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MONDAY, NOVEMBER 23, 2009
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4

Music Gang Busted in iTunes Royalties Scam

Group boostsrankings, bank accounts by buying their own music with stolen cards

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(Newser) – A group of ten British DJs have been arrested for allegedly using stolen credit cards to download their own music from iTunes and Amazon, the Times of London reports. The gang is believed to have made $300,000 in royalties from the $750,000 they spent buying 19 compilations they recorded, which shot up the charts because of the fraudulent purchases.

Police believe the suspects obtained 1500 stolen or cloned cards and painstakingly opened iTunes accounts for each one to make the purchases. The amount of sales is thought to have caught the interest of music company bosses. The group, caught after a joint investigation by the FBI and British police, has been charged with suspicion of conspiracy to commit fraud and money laundering.

The group of DJs is believed to have made 40% royalties on each illegal purchase they made through iTunes and Amazon with the stolen cards.
The group of DJs is believed to have made 40% royalties on each illegal purchase they made through iTunes and Amazon with the stolen cards.   (©Peti Deuxmont)
The gang is believed to have spent $750,000 buying their own music from Amazon and iTunes, and collecting a fortune in royalties.
The gang is believed to have spent $750,000 buying their own music from Amazon and iTunes, and collecting a fortune in royalties.   (AP Photo/Paul Sakuma)
A gang of DJs is accused of using stolen credit cards to buy huge quantities of their own music from the Internet.
A gang of DJs is accused of using stolen credit cards to buy huge quantities of their own music from the Internet.   (©Blue.Steel)
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4 comments
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riffran
Jun 11, 09 2:53 AM CDT
gotta admire those scumbags in a strange sort of way...300g until they busted...wow....I dont condone, but that WAS pretty slick Reply
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Yourself
Jun 11, 09 10:27 AM CDT
that's dedication. You gotta be serious about it if you're opening credit cards just to buy your own songs. what i'd like to know is how many it took, and how they got the cards for free? normally when you hear of credit card fraud someone is paying for the info. Reply
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wwwonderer
Jun 11, 09 11:22 AM CDT
But look at it this was. $300K over 1500 cards is about $200 per card. You think they could have gotten more of a return on their time and money. Reply
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IN RESPONSE:
ack
Jun 13, 09 7:33 PM CDT
Math is hard. --Barbie
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