Trio Charged with Selling Worthless Credit Cards
An information was filed today charging Blake Rubin, 30, of Huntington Valley, PA, Chase Rubin 28, of Rydal, PA, and Justin Diaczuk, 31, of Philadelphia, PA, with running a multi-million dollar telemarketing scam, announced United States Attorney Zane David Memeger. According to the information, the defendants duped more than 70,000 people into buying what they falsely marketed as a general-purpose credit card that customers could use to buy merchandise over the Internet and improve their credit. They were charged with conspiracy to commit mail and wire fraud and mail fraud. The Rubin brothers were also each charged with a second count of mail fraud count, and Chase Rubin was also charged with wire fraud.
According to the information, the Rubin brothers began selling the “Platinum Trust Card” in February 2009 from a telemarketing call center in Jenkintown, and Diaczuk opened a second call center in Philadelphia in January 2010. In 2011, the defendants changed the name of the card to the “Express Platinum Card.” At both call centers, the defendants allegedly directed telemarketers to contact people with bad credit and read from scripts designed to trick those people into paying approximately $79.95 to become the owner of an essentially worthless card. Instead of being a general-purpose credit card, the Platinum Trust Card could be used only on one website and, even there, it did not enable its owner to buy anything entirely on credit. Moreover, buying or using the cards had no impact on an owner’s credit rating.
The defendants allegedly operated the two call centers until January 2012, when the Federal Trade Commission obtained a federal court order shutting them down. In total, the defendants’ fraud amounted to $7.5 million.
If convicted, Blake Rubin faces a maximum possible sentence of 45 years in prison, a $750,000 fine, three years of supervised release, and a $300 special assessment. Chase Rubin faces a maximum possible sentence of 65 years in prison, a $1 million fine, three years of supervised release, and a $400 special assessment. Diaczuk faces a maximum possible sentence of 25 years in prison, a $500,000 fine, three years of supervised release, and a $200 special assessment.
The case was investigated by the United States Postal Inspection Service and the FBI and is being prosecuted by Assistant United States Attorneys Mark B. Dubnoff and Joel Sweet.
An information is an accusation. A defendant is presumed innocent unless and until proven guilty.