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OREM — A Chicago woman prosecutors say is part of a nationwide "tap-to-pay" scam is facing numerous charges in Utah.
Yanyun Shanghai Liu, 20, was charged Tuesday in 4th District Court with 20 crimes, including three counts of money laundering and engaging in a pattern of unlawful activity, second-degree felonies.
"The Utah Organized Retail Crime Association has identified an organization operating out of China that is actively perpetrating 'tap-to-pay' scams in Utah and across the country. The scam involves Chinese nationals using stolen financial transaction card numbers loaded onto a cellphone to purchase gift cards via the phone's tap-to-pay feature. Each transaction uses a different card number and the purchase amounts are usually small enough to avoid triggering fraud alerts," according to charging documents.
Prosecutors say the group travels to multiple states to conduct the scam and the bank card numbers "are often sent from China to operators in the United States and the gift card numbers are in turn sent to China by the operators."
On Feb. 21, two Orem police officers were alerted by a management at Sephora in University Place mall that a woman was purchasing multiple gift cards using the tap-to-pay method, the charges state. The officers then followed the woman to two more stores, where she attempted to buy gift cards at each.
As Liu attempted to leave the mall, officers pulled her over. They discovered she had a Chinese passport, an Illinois driver's license and was driving a car registered in California, according to the charges. Liu claimed she had just purchased four gift cards for a friend.
The officers found four Sephora gift cars purchased by the tap-to-pay method using three different credit card numbers, according to the charges. In addition, police found gift cards purchased from Foot Locker and Lululemon.
"The Lululemon receipts showed that a total of six different card numbers were used successfully to make the four purchases and an additional three card numbers were declined," the charges state.
Receipts for gift cards purchased in Washington, Washington County, were also discovered in the vehicle, as well as cards purchased in Las Vegas and Fresno, California, the charges say.
Liu was also charged with 13 counts of unlawful acquisition of a financial transaction card, a third-degree felony; and three counts if unlawful use of a financial transaction card, two class A misdemeanors and a class B misdemeanor.
