WASHINGTON (Reuters) – A supervisor at a Chicago journey company has been charged with “illegally reaping” greater than 42 million Delta Air Strains miles price greater than $1.75 million by registering clients as staff on the airline’s enterprise rewards program.
The U.S. Justice Division mentioned on Friday that Gennady Podolsky, a Ukrainian and American citizen and managing accomplice and journey agent at Vega Worldwide Journey Companies Inc, was charged with 12 counts of wire fraud on Wednesday.
Seth Kirschenbaum, an legal professional representing Podolsky, mentioned in a press release his consumer’s conduct with Delta’s loyalty program was “not fraudulent” and that allegations that the conduct was unlawful are “merely incorrect.”
Podolsky registered shoppers as staff on Delta’s SkyBonus program, which offers rewards to companies when their staff journey, to earn miles off the flights he booked for them, the Justice Division assertion mentioned.
A Delta spokeswoman mentioned the corporate is “glad to see any type of fraud indicted” and can work with the Federal Bureau of Investigation and the Justice Division to make sure the case is “prosecuted to its fullest extent.”
Reporting by Bryan Pietsch; Modifying by Sonya Hepinstall