Charlotte Business Owner Sentenced to Prison for Selling Fraudulently Obtained iPhones Overseas

iPhonePhoto byCharlotte Business Owner Convicted Of Selling Fraudulently Obtained iPhones Overseas Is Sentenced To

The U.S. Attorney's Office, Western District of North Carolina announed Rami Mahmod Mhana, 46, a Charlotte business owner, was sentenced today to 68 months in federal prison for his role in a scheme to sell stolen and fraudulently obtained iPhones and other electronic devices to buyers overseas. Following his prison term, Mhana will also serve three years of supervised release. The sentencing was announced by U.S. Attorney Dena J. King for the Western District of North Carolina.

In May 2023, a federal jury convicted Mhana of conspiracy, international transportation of stolen goods, and money laundering. The case was prosecuted by Assistant U.S. Attorneys Michael E. Savage, William Bozin, and Benjamin Bain-Creed in Charlotte.

According to court documents and evidence presented at trial, Mhana owned and operated Wireless City Fashions, Inc. (Wireless City) and Protocol Business Group Inc. (Protocol) in Charlotte, as well as multiple Boost Mobile stores in the area. From at least May 2017 through October 2019, Mhana purchased thousands of new Apple iPhones and other electronic devices that were stolen or fraudulently obtained. He then sold and shipped these devices to buyers in the United Arab Emirates (U.A.E.) and Hong Kong.

Mhana sourced a significant portion of the stolen and fraudulently obtained devices from local “boosters,” individuals who steal or acquire goods through fraud and sell them for profit. His Bradford Drive store became known as a location where boosters could sell these stolen devices for cash without questions. Trial evidence revealed that Mhana provided his employees with a price list, detailing how much they should pay for specific new model iPhones and other electronic devices, typically well below their retail value.

In addition to his prison sentence, Mhana was ordered to pay $3,649,033 in restitution to the victims of the fraud scheme. He must also forfeit $229,118 and more than 100 new, in-the-box iPhones that were seized during the investigation.

Mhana is required to report to the federal Bureau of Prisons once a federal facility is designated for his sentence.

This case is part of a broader effort by the Charlotte Mecklenburg Police Department (CMPD) and the United States Secret Service (USSS) to combat organized criminal activities in Charlotte. Through a fully integrated partnership, the CMPD and the Secret Service have effectively leveraged their combined resources, expertise, and authorities to target and dismantle significant criminal organizations affecting the community.

In a related case, two other Charlotte businessmen were sentenced to prison in August 2023 for orchestrating a similar scheme.