In a written plea agreement filed in the case, Gordon acknowledged that from June 2018 through May 2019, he engaged in a scheme to defraud Kohls Department Stores, Inc. (Kohls) and its customers by obtaining stolen Kohls Cash coupons and then selling them through his Twitter account, @OfficialJigLord. Gordon also used stolen Kohls Cash coupons to make purchases for himself. Kohls Cash is part of a rewards program Kohls offers to customers. Customers earn Kohls Cash coupons based on their purchases and they can redeem those coupons for additional purchases.
Gordon acknowledged that he knew that the Kohls Cash coupons that he advertised, sold, and used had been stolen through credential-stuffing campaigns on Kohls webstore in an effort to gain unauthorized access to individual customers online accounts. Credential stuffing occurs when an individual uses a computer program to rapidly run a large database of stolen username/password combinations (i.e., credentials) against the websites of various businesses in an attempt to access individuals online accounts and commit fraud. These types of credential stuffing campaigns are successful only when individuals reuse the same username/password combination for multiple online accounts.
Magistrate Judge Duffin has issued a written recommendation to United States District Judge J.P. Stadtmueller that Gordons guilty plea be accepted. Judge Stadtmueller set a sentencing hearing for Jan. 22, 2020, at 8:30 a.m. in Courtroom 425. At sentencing, Gordon faces a maximum of up to 20 years in prison for wire fraud, and up to 10 years in prison for trafficking access devices. Each count also carries a maximum fine of $250,000.
The case was investigated by the United States Secret Service, the Wauwatosa Police Department, the Greenfield Police Department, and the U.S. Army Criminal Investigation Division. This criminal case is being prosecuted by Assistant United States Attorneys Benjamin Proctor and Scott Campbell.
-- Eastern District of Wisconsin
Source: U.S. Secret Service