A travel agent is accused of fraudulently accumulating $ 1.75 million in frequent flyer miles

The general manager of a Chicago travel agency has been charged with $ 1.75 million in fraud against Delta Air Lines' SkyBonus loyalty program for companies whose employees travel frequently.

According to a statement released Friday by the US District Attorney's Office in the Northern District of Georgia, Gennady Podolsky, 43, a Ukrainian and US dual citizen and managing partner of Vega International Travel Services, has won and redeemed more than 42 million SkyBonus points .

"Podolsky has used his knowledge of the travel industry to take advantage of his clients' travel agencies," said US Attorney Byung J. "BJay" Pak in a statement. "Through his access, he would have benefited from Delta Air Lines' corporate loyalty program, illegally collecting millions of SkyBonus points worth more than $ 1.75 million."

Headquartered in Chicago, Vega Travel is a small travel agency offering a full range of services to customers of Russian and Eastern European origin living abroad, the US Attorney's Office announced.

From March 2014 to April 2015, Podolsky, Vega Travel's main travel agent, reportedly created a SkyBonus account for a fertility treatment center owned by a parent of the agency's president. He is accused of having entered the SkyBonus information from the Fertility Center when his clients flew Delta and booked via Vega Travel while they were not employed and had no connection with the site. fertility center.

Podolsky allegedly traded fraudulently accumulated SkyBonus points by requesting, receiving and using reward certificates for free air travel and other benefits.

Podolsky was prosecuted for 12 counts of wire fraud. The FBI is currently investigating the case.

"The fraudulent accumulation of frequent flyer miles in the travel industry may seem like a victimless crime, but big business may lose significant profits," said Chris Hacker, FBI's special agent of 39; Atlanta. "The FBI will do everything in its power to protect businesses and prevent anyone from participating in this corrupt behavior."