Jerome F. Gorgon, Jr., U.S. Attorney’s Office for the Eastern District of Michigan | Department of Justice
Mubasher Riaz, a resident of Ypsilanti, Michigan, has been sentenced to 50 months in prison for conspiracy to commit wire fraud. The sentence was handed down by Judge Matthew F. Leitman and announced by United States Attorney Jerome F. Gorgon Jr., along with Jennifer Runyan, Special Agent in Charge of the Detroit Field Division of the Federal Bureau of Investigation (FBI).
According to authorities, Mubasher Riaz and his brother Muzzammil Riaz were charged earlier this year for their roles in an online refund scheme. The brothers used fraudulent identities, virtual private networks, and multiple electronic devices to purchase goods from hundreds of vendors online. Items included cell phones, tablets, electronic doorbells, and clothing.
After receiving these goods, the defendants filed false refund claims with vendors, claiming the items were defective. Instead of returning the actual products as required for refunds, they shipped back empty boxes or unrelated items such as books that matched the expected weight of returns. Mubasher Riaz then resold the goods for profit.
The FBI discovered evidence of this scheme while executing a search warrant at Mubasher Riaz’s home in November 2023 during an investigation into sexual exploitation of children involving Riaz. He was previously sentenced to 188 months in prison by Judge Sean F. Cox on those charges earlier this year. Some proceeds from his fraud are being used to pay restitution to victims in that case.
Agents found over 40 cell phones and 30 tablets at Riaz’s residence; each device was labeled with personal identifying information linked to different identities used in the fraud scheme. Proceeds from these activities were converted into cryptocurrency before being recovered and liquidated by federal agents.
As part of his sentence for wire fraud conspiracy, Mubasher Riaz forfeited $400,000 from liquidated assets and surrendered 91 electronic devices obtained through fraudulent means. He will also be ordered to repay victims; a restitution hearing is set for February 4, 2026.
“The FBI believes many possible victims of the scheme exist,” according to officials. Potential victims are encouraged to contact the Federal Bureau of Investigation at fbi.gov/mubasherriazvictims (the link is case sensitive).
The investigation was conducted by the FBI and prosecuted by Assistant United States Attorney Zachary Zurek; forfeiture matters are being handled by Assistant United States Attorney Kelly Fasbinder.
