Pennsylvania man sentenced to 54 months for wire fraud conspiracy and aggravated identity theft offenses

SCRANTON, Pa. — A Bushkill Falls, Pennsylvania man, was sentenced to 54 months and a three-year term of supervised release, for conspiring to commit wire fraud and for committing aggravated identity theft, following an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the Monroe County District Attorney’s Office.    

Rehan A. Merchant, 40, pleaded guilty in June 2016, admitting that from Sept. 2014, through Sept. 2015, he and his co-conspirators used and attempted to use counterfeit and stolen credit and debit cards to make fraudulent purchases at the Cigar and Tobacco Outlet. Merchant and his co-conspirators also forged the names of cardholders on the associated credit and debit card receipts. The conspirators further trafficked tobacco between Pennsylvania and New York.  Merchant obtained $193,219.76 from the fraudulent scheme, and attempted but failed to obtain an additional $983,811.59.

Investigators seized and forfeit $82,762.67 of fraudulently-obtained funds. In pronouncing the sentence of imprisonment, United States District Judge James M. Munley imposed a $193,219.76 order of restitution as part of Merchant’s sentence.