A Chinese national has admitted guilt in a fraud scheme involving tampered gift cards at grocery stores throughout South Florida. According to court records, Cao Yuan Liu, 22, and an accomplice traveled to various grocery stores between January 14 and December 17, 2024, where they manipulated gift cards by opening the packaging, exposing or removing serial numbers and PINs, then resealing the packaging to appear untouched. Once customers purchased and activated these compromised cards, Liu and his co-conspirator accessed the funds for their own benefit.
“Gift card fraud schemes like this prey on unsuspecting consumers and erode trust in our everyday retail systems,” said U.S. Attorney Jason A. Reding Quiñones for the Southern District of Florida. “Liu’s conviction sends a clear message: those who tamper with gift cards and steal from innocent consumers will be held accountable. Our Office is committed to protecting South Florida communities from these sophisticated fraud operations and ensuring justice for those affected.”
Investigators used surveillance footage that showed Liu and his co-conspirator leaving several stores in a black Bentley SUV with New York license plates. On December 17, law enforcement found both suspects at their shared apartment in Jensen Beach during a search warrant operation that resulted in the recovery of multiple tampered gift cards. Authorities later seized the Bentley SUV and discovered additional evidence tied to the fraudulent activity.
The investigation identified about 42 grocery stores across Florida that were targeted as part of this scheme.
Liu pleaded guilty to one count of conspiracy to possess 15 or more counterfeit or unauthorized access devices. He could face up to five years in federal prison; sentencing will be determined by a federal district court judge after reviewing relevant guidelines.
U.S. Attorney Reding Quiñones announced the plea alongside Acting Special Agent in Charge José R. Figueroa of Homeland Security Investigations (HSI) Miami. The case was investigated by HSI Fort Pierce and Martin County Sheriff’s Office, with Managing Assistant U.S. Attorney Carmen M. Lineberger leading prosecution efforts.
Further information about related court documents can be found on the District Court for the Southern District of Florida’s website at www.flsd.uscourts.gov or through http://pacer.flsd.uscourts.gov under case number 25-cr-14043.
