A carefully planned event in San Fernando Valley, California Large-scale fraud This is targeting dozens of victims, many of whom are older people.

Oren David Sela, 36, stole emails, hijacked phone numbers through SIM exchanges, and used the victim's identity to lose bank accounts, stealing more than $1.8 million.

This is how the program works and what you can do to avoid becoming a victim of similar attacks.

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What is SIM card exchange?

Simulation exchange is a form of identity theft in which scammers trick mobile carriers into transferring your phone number to a new SIM card they control. Once your phone number is hijacked, they can block text messages, including verification codes, and access your bank account, emails, and more.

There are two common ways for scammers to remove mock swaps:

• Social Engineering: They pretend you and contact your phone operator’s customer support, claiming that their phone is lost or stolen. They then convince the carrier to activate the new SIM card with your number.
• Insider Threat: In some cases, scammers bribe or trick employees of mobile operators into switching numbers without following appropriate verification steps.

Once they have control over your phone number, they can:

• Receive all your calls and text messages
• Reset password on your email, bank and social media accounts
• Bypass security alert has been sent to your phone
• Lock you in your account

SIM card exchange turns your phone number into the primary key to stealing your identity and money.

How to Avoid Malicious Exchange Scams

In a $1.8 million fraud plan

Between November 2021 and October 2023, Sela stole emails from homes in Beverly Hills, California and nearby communities. He collected personal information, including:

• Debit card details
• Bank account number
• Social Insurance Number
• driver's license

Using this information, Sela conducted a simulated exchange attack to bypass two-factor authentication (2FA)Protect. This allowed him to:

• Breaking into victims' online banking and financial accounts
• Open a new fraudulent account in the victim's name
• Transfer money to an agency account he controls
• Order new debit and credit cards linked to victim account

Sierra performed hundreds of fraudulent withdrawals and transfers. He tried to steal nearly $2.6 million and successfully stole at least $1.8 million.

The luxury of lifestyle and his downfall

Sela often spends stolen money on luxury goods, including nearly $17,000 watches. In 2022, he was arrested in Beverly Hills and found nearly $25,000 in cash, various expensive jewelry, and numerous fraudulent debit and credit cards belonging to elderly victims. Despite such arrests, Sierra continued to commit fraud. In two subsequent searches of its properties in 2022 and 2023, law enforcement found more than $70,000 in cash, stolen emails, fraudulent identification documents, and bank information related to dozens of victims.

In October 2024, Sierra pleaded guilty to bank fraud and aggravated identity theft. On April 22, 2025, he was sentenced to a 61-month federal prison sentence and ordered to pay $1,818,369 in damages.

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Why is simulated exchange so dangerous

Two-factor authentication provides additional security, but it is only effective if an attacker cannot access your phone. When scammers hijack your phone number, they can intercept 2FA codes sent through text and quickly control your account. Once inside your email or banking app, they can:

• Reset password
• Move money
• Lock you
• Open a new credit limit in your name

If they can control your phone number, they don't even need your password.

What is artificial intelligence (AI)?

What exactly is a data breach? Why should I care?

How to protect yourself from simulated exchanges and identity theft

Take these important steps to protect your information:

1. Monitor your account: Regularly view bank statements, credit card statements and financial accounts for unauthorized activities. Report any suspicious transactions immediately.

2. Lock your SIM card: Set the pin on the SIM card by moving the carrier. Without it, you cannot move your phone number without your permission.

3. Share personal information with caution: Limit the amount of personal information you share online, especially on social media. Scammers often use small details (such as birthdays, pet names or locations) to guess safety issues or imitate you.

4. Place fraud alerts: Contact one of the three major credit bureaus (Equifax, Experian or Transunion) and ask for a fraud alert. This makes it harder for identity thieves to open a new account with your name.

5. Check your credit report: Get a free copy of your credit report and review it carefully for suspicious activity. If you find signs of error or fraud, report them immediately.

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6. Freeze your credit: Credit freezes will prevent new accounts that have not been opened in your name without your consent. It can be set up for free and will not affect your credit score.

7. Use Authenticator apps instead of SMS for two-factor authentication: Use similar applications Microsoft Authenticator or Google Authenticator Instead of relying on text message codes, you can intercept if your phone number is stolen.

8. Strengthen password: Create a powerful unique password for each account. Consider using a password manager to securely generate and store complex passwords. Get more details about me Best Expert Review Password Manager for 2025.

9. Investment Identity Theft Protection: Identity theft companies can monitor your personal information, such as your Social Security Number (SSN), phone number and email address, and remind you whether it is sold on the dark network or used to open an account. They can also help you freeze your bank and credit card accounts to prevent further unauthorized use by criminals. See my tips and best options to protect yourself from identity theft.

10. Try being cautious about phishing and using powerful antivirus software: Beware of emails, texts, or calls for personal information. Be sure to verify the source before providing sensitive details. Installing antivirus software on all devices can help you protect you by blocking malicious links, detecting phishing attempts, and stopping malware before you can steal your private information. The choice of the best 2025 antivirus protection winners for your Windows, Mac, Android and iOS devices.

Kurt's key points

If a scammer can steal your phone number, they can steal your money, your account, and even your identity. SIM card swap is a serious threat as it allows criminals to make shortcuts around your strongest defense capabilities. Take immediate action to protect your mobile phone, account and personal information. A few small steps can keep it safe and face devastating financial losses.

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