Russian national pleads guilty to being part of $568 million fraud ring

Sergey Medvedev is accused of being one of the leaders of the Infraud Organization, which trafficked in stolen financial data and in malware.
(Tim Evanson / Flickr / Wikimedia Commons)

A 33-year-old Russian man has pleaded guilty to being part of a cybercriminal enterprise that caused more than $568 million in losses through identity theft and stolen payment cards, the U.S. Justice Department announced Friday.

Sergey Medvedev is accused of being a leader of the Infraud Organization, an online forum that trafficked in stolen financial data, malware “and other contraband,” the department said in a press release. Medvedev, also known as “Stells,” “segmed” and “serjbear,” pleaded guilty to RICO conspiracy in federal court in Nevada, U.S. officials said.

Infraud was founded a decade ago by a Ukrainian national who wanted to make it the internet’s top spot for “carding,” or buying things with stolen credit card data, according to the indictment. Infraud members routed interested buyers to the automated sites of members, which offered malware and stolen financial and personal data, according to prosecutors. The organization’s slogan was, “In Fraud We Trust,” prosecutors said.

Infraud was dismantled in 2018 after the Justice Department announced the indictment of 36 of the organization’s affiliates and the arrest of 13 of them. Medvedev was arrested in Thailand and later extradited to the U.S.


Medvedev’s guilty plea is the latest effort by U.S. prosecutors to crack down on cybercrime emanating from Eastern Europe. On Friday, a federal judge sentenced another Russian man, Aleksei Burkov, to nine years in prison for operating two web forums, one that facilitated more than $20 million in credit card fraud.

An attorney for Medvedev did not immediately respond to a request for comment.

You can read the indictment below.

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Sean Lyngaas

Written by Sean Lyngaas

Sean Lyngaas is CyberScoop’s Senior Reporter covering the Department of Homeland Security and Congress. He was previously a freelance journalist in West Africa, where he covered everything from a presidential election in Ghana to military mutinies in Ivory Coast for The New York Times. Lyngaas’ reporting also has appeared in The Washington Post, The Economist and the BBC, among other outlets. His investigation of cybersecurity issues in the nuclear sector, backed by a grant from the Pulitzer Center on Crisis Reporting, won plaudits from industrial security experts. He was previously a reporter with Federal Computer Week and, before that, with Smart Grid Today. Sean earned a B.A. in public policy from Duke University and an M.A. in International Relations from The Fletcher School of Law and Diplomacy at Tufts University.

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