Pakistani national charged in $126M U.S. postage fraud scheme

Faheem Akram, a 33-year-old Pakistani national, has been indicted in a U.S. federal court for allegedly operating LabelsBank.com, a website that sold over 5.1 million counterfeit postage labels.

Prosecutors allege the scheme allowed more than 5,200 customers to bypass legitimate shipping costs by purchasing labels for a fixed price of approximately $2 each, regardless of a parcel’s weight, size, or destination. The operation is estimated to have caused more than $126 million in losses to the U.S. Postal Service through lost revenue and shipping costs.

Federal authorities have seized the domain and shut down the website. Akram faces 10 federal counts, including conspiracy, wire fraud, and the sale of counterfeit postage. The investigation was conducted by the U.S. Postal Inspection Service.