(Adds details from indictment, press conference)
By Karen Freifeld
NEW YORK, July 23 Police arrested seven people
tied to a $1.6 million international fraud that used stolen
credit cards to buy tickets through the StubHub online market to
thousands of events, including Yankees baseball games, Broadway
shows and Jay-Z concerts.
Officials from the United States, Canada and United Kingdom
announced the arrests on Wednesday at a press conference by
Manhattan District Attorney Cyrus Vance Jr in New York.
The suspects include a Russian national who was detained
while vacationing in Spain, three others arrested in London, two
in the United States and one in Canada, according to a press
release issued by Vance.
The law enforcement action "reflects the increasingly global
landscape in which financial and cyber criminals operate," Vance
Vadim Polyakov, 30, the Russian who was arrested in Spain
and is accused of being the ringleader, and Nikolay Matveychuk,
21, also of Russia, are charged with using stolen credit card
numbers to buy more than 3,500 tickets.
They bought tickets to concerts featuring Elton John, Marc
Anthony, Justin Timberlake, Jay-Z and other performers along
with sporting events including Yankee, Giants, Jets and Rangers
games as well as Broadway shows such as "The Book of Mormon."
The tickets were purchased on StubHub, an online secondary
marketplace owned by eBay.
The fraudulent purchases were done using credentials stolen
in breaches of other sites, not by hacking into StubHub, StubHub
spokesman Glenn Lehrman said.
Three Americans were indicted for re-selling the stolen
tickets. Daniel Petryszyn, 28, of New York as well as Laurence
Brinkmeyer, 29, and Bryan Caputo, 29, both of New Jersey, fenced
the tickets on online sites such as StubHub, eBay, TicketsNow,
Craigslist and occasionally in person at concerts themselves,
At Polyakov's direction, the three men deposited the
proceeds in multiple PayPal accounts and bank accounts in the
United Kingdom and Germany, according to prosecutors.
One of these bank accounts belonged to Sergei Kirin, 37, a
Russian who advertised his money-laundering services online,
according to court documents. Polyakov told the three Americans
to send payments to Kirin, who took a percentage as a fee,
according to prosecutors.
StubHub said that it had been working with authorities on
the case for about a year.
"Once fraudulent transactions were detected on a given
account, affected customers were immediately contacted by
StubHub's trust and safety team and refunded any unauthorized
transactions," the company said in a statement.
Polyakov was tracked to a hotel in Barcelona on July 3 and
arrested but has not yet been extradited. Petryszyn and Caputo
were arrested on Wednesday. Brinkmeyer is expected to surrender
in the coming days, Vance said.
Matveychuk and Kirin have not been apprehended.
The identities of the suspects arrested in London and
Toronto for alleged money-laundering were not immediately
(Additional reporting by Mica Rosenberg, Joseph Ax and Deepa
Seetharaman; Writing by Jim Finkle; Editing by Lisa Shumaker,
Christopher Cushing, James Dalgleish and Cynthia Osterman)