Two Indian-Americans sentenced for credit card fraud

Verma and Lal would then split the proceeds of the phony transactions with these other conspirators.

Published: 28th March 2017 02:09 PM  |   Last Updated: 28th March 2017 02:09 PM   |  A+A-

File photo for representational purpose


WASHINGTON: Two Indian-Americans in the US have been sentenced to over a year of imprisonment for a massive international credit card fraud involving more than USD 200 million.

Vijay Verma, 49, and Tarsem Lal, 78, both of whom are owner of a jewelry store in New Jersey, have been sentenced to 14 months in prison and 12 months of home confinement, respectively, the Acting US Attorney William E Fitzpatrick said.

Both had earlier pleaded guilty to the charges. Verma and Lal were indicted in October 2013 as part of a scheme to fabricate more than 7,000 false identities to obtain tens of thousands of credit cards. According to court documents, participants in the scheme doctored credit reports to pump up the spending and borrowing power associated with the cards.

They then borrowed or spend as much as they could, based on the phony credit history, but did not repay the debts – causing more than USD 200 million in confirmed losses to businesses and financial institutions, federal prosecutors alleged.

These debts were incurred at Verma's jewelry store, among many other locations, where Verma would allow fraudulently obtain credit cards to be swiped in phony transactions, court papers said. Federal prosecutors alleged that Verma and Lal each admitted allowing others who came to their Jersey City, New Jersey, store to swipe cards they knew did not legitimately belong to them.

Verma and Lal would then split the proceeds of the phony transactions with these other conspirators. In addition to the prison terms, Judge Thompson sentenced Verma to three years of supervised release and Lal to three years of probation.

Each of them have been fined USD 5,000 and ordered to pay forfeiture of USD 451,259.


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp