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Broadband & Mobile Featured Article
May 19, 2008
TracFone Applauds First Criminal Conviction of International Prepaid Mobile Phone Trafficker
By Raju Shanbhag TMCnet Contributing Editor
TracFone Wireless, the largest U.S. provider of prepaid mobile phone services, is applauding the recent guilty plea by an international traffickers of prepaid mobile phones an important milestone in the industry’s battle against the bulk prepaid phone purchasing schemes. The bulk prepaid phone purchasing scheme is an activity where the phones’ proprietary software is altered, the devices are repackaged, and resold domestically and abroad to unsuspecting customers.
Muhammad Mubashir, 27, of Sugar Land, Tex., plead guilty before Judge Melinda Harmon of the U.S. District Court for the Southern District of Texas. He plead guilty to charges of criminally disobeying a federal court order prohibiting him from continuing to purchase, tamper with or export prepaid mobile phones. But many more such schemes exist across the country with the help of “runners” who purchase prepaid mobile phones from major retail outlets. After removing the prepaid software, the middlemen sell these phones as new to customers domestically and abroad in Latin America, Asia and the Middle East at a significant profit.
“Prepaid mobile phone traffickers are not legitimate entrepreneurs,” the company said in a statement. “We contend they are engaging in unlawful activity that harms American businesses and consumers. The fact that one of them is going to jail is a wake-up call for anyone else engaging in this activity.”
In a press release, TracFone said that the company will continue to aggressively pursue those who participate in prepaid mobile phone trafficking. The company said such schemes undermine its ability to provide an affordable, quality mobile phone to its customers.
Raju Shanbhag is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
Muhammad Mubashir, 27, of Sugar Land, Tex., plead guilty before Judge Melinda Harmon of the U.S. District Court for the Southern District of Texas. He plead guilty to charges of criminally disobeying a federal court order prohibiting him from continuing to purchase, tamper with or export prepaid mobile phones. But many more such schemes exist across the country with the help of “runners” who purchase prepaid mobile phones from major retail outlets. After removing the prepaid software, the middlemen sell these phones as new to customers domestically and abroad in Latin America, Asia and the Middle East at a significant profit.
“Prepaid mobile phone traffickers are not legitimate entrepreneurs,” the company said in a statement. “We contend they are engaging in unlawful activity that harms American businesses and consumers. The fact that one of them is going to jail is a wake-up call for anyone else engaging in this activity.”
In a press release, TracFone said that the company will continue to aggressively pursue those who participate in prepaid mobile phone trafficking. The company said such schemes undermine its ability to provide an affordable, quality mobile phone to its customers.
Raju Shanbhag is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
