HARRISBURG, PA — A 20-year-old man has been sentenced to up to three years in prison for orchestrating a scheme to steal and alter Apple gift cards from Wal-Mart stores in Western Pennsylvania, defrauding both businesses and consumers in the process.
Zhixiang Chen, a Chinese national in the United States illegally, pleaded guilty in Lawrence County Court to corrupt organizations and organized retail crime. The judge ordered Chen to serve 1.5 to 3 years in jail, forfeit $16,143 in stolen funds and equipment, and pay a $25,000 fine. Chen is also banned from all Wal-Mart stores and faces deportation proceedings.
Authorities say Chen profited by stealing Apple gift cards, altering them to reroute funds to himself, and then returning the tampered cards to store shelves. Unknowing customers would purchase the cards, only to find the balances drained after loading them with value.
The scheme, which allegedly generated hundreds of thousands of dollars for Chen and his associates, was uncovered when Frazer Township police caught him in May 2024 attempting to leave a Wal-Mart with 126 gift cards hidden in his jacket. A search of his vehicle revealed nearly 4,000 more cards, potentially worth up to $1 million, along with cash and equipment used to commit the crimes.
Attorney General Michelle Henry said the case highlights the impact of organized retail crime on businesses and consumers. “This conviction and prison sentence show our commitment to combating theft schemes that cause widespread harm,” Henry said.
The investigation was conducted by the Office of Attorney General, Frazer Township Police Department, and Homeland Security Investigations-Pittsburgh.
