The Car and Truck Fleet and Leasing Management Magazine

Toys 'R' Us Logistics Director Arrested for Fleet Card Fraud

March 28, 2016

Photo via Wikipedia.
Photo via Wikipedia.

Federal agents arrested a former Toys "R" Us logistics director at his New Jersey home on March 22 for allegedly stealing nearly $2 million from the company with its fleet cards.

Daniel Chon, 28, was released March 23 on a $500,000 bond for the fraud scheme that occurred between May 2, 2013 and March 10, according to the U.S. Attorney's Office for the Eastern District of New York via NorthJersey.com.

Chon exploited the company's fleet cards, which include an eCash feature that allows a user to load funds to a card and withdraw the funds at an ATM.

During a nearly three-year period, an employee with the username Chon logged into the company's secure fleet card system and loaded the cards with eCash on 117 different occasions totaling $1.91 million.

Chon then allegedly approved payments from Toys "R" Us. In addition, about $1.88 million in eCash funds were withdrawn from ATMs in the U.S. and in Europe. Security photos show Chon completing these transactions, according to the complaint.

Cash withdrawals were made in New Jersey locations such as Franklin Lakes in Bergen County as well as in London, Madrid, and Berlin.

Authorities say Chon also deposited about $405,000 and $216,000 into checking accounts for which he was the only signatory.

Twitter Facebook Google+

Comments

Please note that comments may be moderated. 
Leave this field empty:
 
 

  1. 1. Scott [ March 28, 2016 @ 11:29AM ]

    What card program did Toys R Us have implemented at the time of said fraud?

  2. 2. Michele [ March 28, 2016 @ 12:16PM ]

    Stupid and greedy!

  3. 3. Ralph McDarmont [ March 29, 2016 @ 07:35AM ]

    $1.9 million! I don't know what card program the company was using but I would suggest a different vendor. There should have been alarm bells everywhere. And who is this guy's oversight superior? So much for the safety and security of fleet cards, where oversight is handed to a third-party vendor. An in-house, entry-level accounting clerk could have caught this scam in a couple of months. Nothing beats in-house fleet management.

  4. 4. Smith [ April 01, 2016 @ 09:42AM ]

    I is not the card company's responsibility to keep people from stealing. If I was their fleet manager no one would have that ability. The more money they make the more they think they are entitled

 

Fleet Incentives

Determine the actual cost of owning and running a vehicle in your fleet. Compare vehicles by class and model.

Sponsored by

Ensuring that a fleet's assets are being used by the right employees, in the right locations, at the right times, for the right applications.

Read more

Up Next

More From The World's Largest Fleet Publisher