CALDWELL, NJ – Raymond Bradley Pearce, known as Brad Pearce, 48, and Dusti O. Pearce, 45, pleaded guilty today to a conspiracy to commit wire fraud in a scheme that involved selling pirated Avaya Direct International (ADI) software licenses, valued at over $88 million in retail. The pair worked alongside Jason M. Hines, 43, of Caldwell, New Jersey, in selling unauthorized licenses that enabled features on a popular business telephone system used worldwide.
Brad Pearce, a former system administrator at Avaya, used his work privileges to generate tens of thousands of unauthorized ADI software license keys. These were then sold to Hines and others who resold them globally. Dusti Pearce managed the accounting for this illegal operation. Hines, operating a de-authorized Avaya reseller, was their largest customer, buying over 55% of the pirated licenses.
The scheme not only deprived Avaya of revenue but also disrupted the global market for Avaya ADI software licenses, as the pirated licenses were sold well below wholesale prices. To hide their illegal gains, the couple channeled their earnings through multiple bank and investment accounts and bought large quantities of gold bullion and other valuables.
Both Brad and Dusti Pearce face a maximum penalty of 20 years in prison and are required to forfeit at least $4 million, along with cash, gold, silver, collectible coins, cryptocurrency, and a vehicle. A sentencing date has not been set. Hines had pleaded guilty to similar charges in July.
The case announcement was made by officials from the Justice Department’s Criminal Division, the U.S. Attorney’s Office for the Western District of Oklahoma, and the FBI’s Oklahoma City Field Office.