$8M Cisco SMARTnet Scamster faces 30 years in prison

The "perp" in an $8 million Cisco SMARTnet scam, Steven Edward Miller age 38, pled guilty last week before United States District Judge Michael W. Mosman in Portland, Oregon, to one count of money laundering and one count of mail fraud. Miller faces up to 10 years in prison and a $250,000 fine for the money laundering conviction and simultaneously faces up to 20 years in prison and a $250,000 fine for the mail fraud conviction.

Miller scammed Cisco between Aug. 2004 and Nov. 2006 (he was incarcerated in Nov. 2007), by making more than $7.9 million in false SMARTnet warranty claims for Cisco parts. Cisco shipped the SMARTnet warranty replacement parts to Miller's downtown Portland office locations that operated under the business names: PDX USA (PDX is the airline code for the Portland International Airport) as well as The New CB Shop and to other entity names located at Miller’s residences in Everett and Marysville, Washington. Cisco was led to believe that Miller operated telecommunications/internet services for area residents. Miller never returned the defective Cisco parts for which he made warranty claims, as is required under the Cisco SMARTnet service program. In reality, Miller did not have any defective Cisco parts. Once he obtained the "new replacement parts" from Cisco, he sold them via the Internet and kept the proceeds for himself. Investigators from the Internal Revenue Service – Criminal Investigation and Cisco jointly investigated this matter. Assistant United States Attorney Claire M. Fay is prosecuting this case on behalf of the United States. "IRS Criminal Investigation cannot investigate crimes such as this without the assistance of the victim," said Kenneth J. Hines - the IRS Special Agent in Charge of the Pacific Northwest. "We are grateful for the talent and commitment displayed by the Cisco Systems investigator who worked side by side with our agent on this matter." Judge Mosman accepted Miller’s guilty plea and scheduled sentencing for February 23, 2009.


Is this just the tip of the iceberg, how many "small" Cisco SMARTnet scams are being perpetrated today? BradReese.Com Cisco Refurbished Quotes on New Cisco Equipment One year warranty on refurbished: Cisco Aironet Cisco Power Supplies Cisco VoIP Gateways One year warranty Refurbished Cisco

  
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