Crypto Fraudster Jailed for £200,000 Theft, Luxury Spending

Ajay Shinjin, 25, of Canary Wharf, London, has been sentenced to two and a half years in jail after exploiting SIM-swap technology to steal nearly £200,000 worth of cryptocurrency from multiple victims. He used the stolen funds to finance a lavish lifestyle, including purchasing gold-plated grills and funding luxury trips to Dubai.

Shinjin was initially arrested in 2021. He was later apprehended again at Heathrow Airport in October 2023 while returning to the UK from Dubai, following the discovery of further evidence. Police bodycam footage captured his arrest at the airport.

He pleaded guilty at Inner London Crown Court on September 28 to one count of conspiracy to commit fraud by false representation and one count of transferring criminal property. He was sentenced at the same court on Thursday.

SIM-Swap Fraud Explained

SIM-swap fraud begins with a fraudster gathering a victim's personal information through methods such as phishing emails, social engineering, data breaches, or social media. The fraudster then uses this information to impersonate the victim and pass security checks with their mobile phone provider. This allows them to transfer the victim's phone service to a SIM card in the fraudster's possession. With control of the phone number, the fraudster can intercept calls, texts, and emails, including two-factor authentication (2FA) codes, which they can use to access social media and financial accounts.

Investigation and Theft Details

In early November 2021, telecom provider BT identified unauthorized activity affecting its systems, where customer telephone numbers were transferred to SIM cards controlled by criminals. This practice is known as SIM-swapping. BT's investigation identified devices used to receive ported numbers, which were eSIM-enabled with two IMEI numbers. Data from BT helped police identify suspects, including Shinjin, who was linked to four SIM swap devices.

The investigation revealed that victims associated with these SIM swap incidents reported crimes occurring within the first week of November 2021. One victim lost approximately £40,000 in cryptocurrency on November 2, 2021, with Shinjin receiving about £27,000 into his personal crypto account. Another victim had around £17,000 stolen between November 5 and 7, 2021, which was later found in Shinjin's wallet. A third victim had approximately £8,000 stolen from their Coinbase account on November 3, 2021, which Shinjin facilitated and then transferred elsewhere. A fourth victim had approximately £130,000 in cryptocurrency stolen between November 6 and 7, 2021, a theft Shinjin also facilitated.

During police interviews, Shinjin declined to answer any questions.

Detective Constable Simon Ardeman of the City of London Police stated, "This was a complex and calculated fraud that caused significant financial harm to a number of victims. By deliberately exploiting SIM-swap technology, Shinjin was able to gain access to cryptocurrency accounts and steal nearly £200,000 from multiple victims' accounts. SIM-swap fraud is a sophisticated and increasingly concerning form of offending, and this case demonstrates the devastating consequences it can have for victims. This conviction sends a clear message that those who use technology to commit fraud will be brought to justice."