Huffington Magazine Issue 59 | Page 63

HUFFINGTON 07.28.13 THE BIG STEAL A guy can go into a cell phone store and steal 30 or 40 phones and get a lot more than if he hit a bank. of a crime, the report says. Police later returned the phones and all but $4,200 in cash to Floarea per a court judgment. A search of court records found no evidence of the case and both prosecutors and Floarea’s attorney declined to comment on it. In Michigan, some defendants have been sentenced under statutes that prevent their cases from being disclosed publicly, according to a Michigan Department of Corrections spokesman. While it remains unclear how profitable Floarea’s business has become, he appears to be making a comfortable living. Early last year, he purchased a five-bedroom house in West Bloomfield, Mich., for $1.4 million, according to the town assessor’s office. Even Ace Wholesale’s low-level associates say they are well-compensated. One person who buys and sells phones for the company told Sprint’s investigator that he makes $3,000 per week, court documents show. Deaven said he recently interviewed a man who claimed to supply phones to traffickers and boasted about how his work supported his lavish lifestyle. “He said, ‘I drink nothing but top-shelf liquor and get all the girls,’” Deaven recalled. “‘I make more money than the dope man, but have none of the risk.’” ‘A VERY LUCRATIVE CRIME’ The underground market transporting iPhones and other gadgets around the world began with a different form of theft. For years, traffickers have hired teams of so-called “runners” or “credit mules” to buy discounted phones in bulk from retailers by agreeing to long-term service contracts. These runners simply stop paying the bills and sell the devices to traffickers who export them overseas. In March, the California Attorney General charged two people — Shoulin Wen, 38, and Yuting Tan, 27 — with recruiting runners from homeless shelters to buy iPhones and Samsung Galaxy phones. The pair shipped the phones to Hong Kong — a scheme that the attorney general says netted them nearly $4