U.S. Postal Inspection Service officials have seized the domain LabelsBank.com and charged its operator with mail fraud. According to court records, Faheem Akram, 33, a Pakistani national from Khanewal, operated the unauthorized website that allegedly sold more than 5.1 million counterfeit USPS postage labels.
The scheme was straightforward in design but expansive in scope. LabelsBank.com sold counterfeit postage at a fixed rate of $2 per label, regardless of package weight, size, or destination. This pricing structure allowed customers to circumvent legitimate USPS shipping charges and ship packages at deeply discounted rates.
According to postal inspectors from the Miami Division, more than 5,000 customers purchased counterfeit labels through the website. The alleged scheme resulted in more than $126 million in losses to the USPS for shipping services rendered.
Akram faces one count of conspiracy to defraud the United States and to make and sell counterfeit postage stamps, five counts of making and selling counterfeit postage stamp labels, and four counts of wire fraud. A court order authorized both the domain seizure and the website’s shutdown.
Miami Division Postal Inspector in Charge Bladismir Rojo stated in a release: “Our reach goes beyond our borders. If you are defrauding the Postal Service and targeting U.S consumers by pushing phony postage, we will find you and bring you to justice.”
U.S. Attorney Jason A. Reding Quiñones for the Southern District of Florida described the operation as “simple but massive,” noting that selling counterfeit postage online at cut-rate prices enabled customers to avoid legitimate Postal Service charges. He emphasized that through the work of the U.S. Postal Inspection Service and prosecutors, the website has been shut down, the domain seized, and federal charges brought against its alleged operator.
Criminal charges remain allegations, and Akram is presumed innocent unless proven guilty in court.
Key facts
- LabelsBank.com sold over 5.1 million counterfeit USPS postage labels
- More than 5,000 customers purchased counterfeit labels from the website
- The website charged a flat rate of $2 per label regardless of package weight, size, or destination
- The alleged scheme caused over $126 million in losses to USPS
- Faheem Akram, 33, of Khanewal, Pakistan, allegedly operated the website
- Akram faces one conspiracy charge, five fraud charges for counterfeiting, and four wire fraud charges