JONATHAN DANIELS

IRON MOUNTAIN — Two Georgia residents have been accused of using fraudulent credit cards to scam multiple businesses in the Upper Peninsula out of roughly $20,000.

A local business May 19 contacted the Michigan State Police Iron Mountain Post to report two people had used the credit cards to purchase merchandise at various locations the business has throughout the U.P., including Dickinson, Iron and Menominee counties, MSP stated in a news release.

Working with the Iron Mountain Police Department, the MSP investigation determined the suspects’ vehicle had been seen recently in the Auburn Hills, Michigan, area. Auburn Hills Police found the vehicle and the suspects at the Great Lakes Crossings Mall in Auburn Hills. They were arrested and subsequently transported to the Dickinson County Jail.

Friday, both 34-year-old Jonathan Daniels of Lithonia, Georgia, and 28-year-old Shanee Clark of Covington, Georgia, were arraigned in Dickinson County District Court on a single count of larceny by conversion greater than $1,000 but less than $20,000; and three counts each of financial transaction device-uttering and publishing, and financial transaction device-possession of fraudulent.

Both were arraigned as habitual offenders. Daniels’ bond was set at $30,000, Clark’s at $20,000, with 10% allowed. Both are scheduled to return to court June 5.

The MSP stressed that both are considered innocent unless proven guilty.

Fraudulent credit cards were allegedly used in these crimes, MSP advised. It’s believed the purchase of merchandise is made at a store using a fake card. When the payment is processed at the store, an error is found in the system, but the purchase still goes through as a “stand in” or offline transaction.

Later, the bank rejects the payment because the card was fake and not linked to a real account. The bank then sends a chargeback to the store, which means the store must cover the cost of the stolen merchandise.

To counter against these scams, retailers should always send transactions online to get approval right away, MSP stated in the news release. Do not allow “offline” transactions or for the card data to be entered manually. Also, check the card to see if it looks fake or changed. If anything seems suspicious, call law enforcement immediately.

MSP encourages anyone with more information — including any other potential victims of this scam — to contact the local MSP Post.

Locally, for Menominee, Dickinson and Iron counties, the MSP Iron Mountain Post can be reached by calling 906-774-2122.

The MSP Iron Mountain Post thanked other agencies that assisted with this investigation, including the Iron Mountain Police Department, Dickinson County Sheriff’s Department, Marinette County (Wis.) Sheriff’s Department, Auburn Hills Police Department, MSP Metro North Post, Dickinson County Dispatch and MSP Negaunee Regional Communications Center.