Worker steals unclaimed rewards to reap $393K in merchandise and gift cards, feds say

A former employee of a Minnesota-based retail store stole about $467,000 in customer rewards certificates, which he then used to reap $393,200 in gift cards and merchandise, according to federal authorities.

Michael John Gennarelli, of Huntington Beach, California, recently admitted to defrauding his former employer through the rewards scam, according to a Sept. 13 news release from the U.S. Attorney’s Office for the District of Minnesota.

Authorities say the 32-year-old man was working as a sales consultant and mobile supervisor for the company when he illegally accessed the brand’s computer network.

While in the network, Gennarelli would obtain sales receipts for “high-dollar-value purchases” that were not linked to any customers’ “My Rewards” accounts — a customer loyalty program, according to the news release.

“Gennarelli then created numerous fraudulent ‘My Rewards’ accounts, applied the stolen sales receipts information, and claimed the associated ‘My Rewards’ points for the value of such purchases,” authorities said.

Gennarelli’s defense attorney did not immediately respond to a request for comment from McClatchy News on Sept. 14.

Gennarelli pleaded guilty to one count of wire fraud on Sept. 13 in federal court, according to court records.

His sentencing hearing has not been scheduled as of Sept. 14.