Covington Man to Be Sentenced for Internet Fraud
A Covington man faces two to twenty years in prison after pleading guilty in federal court to defrauding two internet companies.
Melvin Dietz, Jr., will be sentenced on March 14, 2014.
Court records indicate that Dietz pleaded guilty on November 19 to devising a scheme to defraud WeBuyUsedCisco.com and Teksavers.com. WCPO reports:
Dietz executed his scheme by using PayPal, which is a global e-commerce business allowing payments and money transfers to be made through the Internet. Through email, he used a fake identity and negotiated a price with a representative of the company for the Cisco equipment.
Officials say Dietz used 14 different PayPal accounts with fake identities to craft and execute his scheme.
Shortly before or after he created an account, he contacted one of these companies and fraudulently offered to sell them certain Cisco items by misrepresenting that he possessed them.
Through email, he used an alias identity and negotiated a price with a representative of the company for the Cisco equipment.
At Dietz's direction, the company transferred payment to one of the PayPal accounts that Dietz had set up using the same or a different alias identity.
Thereafter, Dietz cut off communication and never sent the equipment.
Combined, the two frauds totaled more than $70,000.
According to the Kenton County Commonwealth's Attorney Office, the case was referred to federal authorities by Assistant Commonwealth's Attorney Cory Plybon and was investigated by Covington Police Detective Brian Kane.