Three individuals, Raymond Bradley “Brad” Pearce, Dusti O. Pearce, and Jason M. Hines, have been sentenced for their roles in a large-scale software piracy scheme involving Avaya business telephone system licenses valued over $88 million. The trio was convicted for generating and selling unauthorized Avaya Direct International (ADI) software licenses used to unlock premium features of the Avaya IP Office system. They were ordered to forfeit substantial sums of money, ranging from $2 to $4 million, as part of their sentences.
The fraudulent operation was orchestrated with Brad Pearce, a former Avaya customer service agent, leveraging his administrative access to create thousands of unauthorized ADI licenses. He abused his position by generating licenses and hijacking former employee accounts to avoid detection. Dusti O. Pearce managed the illegal operation’s accounting, while Jason M. Hines, who owned Direct Business Services International (DBSI), purchased and resold the stolen licenses at drastically reduced prices.
Avaya, an American technology firm, provides unified communications services globally. The pirated software licenses, typically distributed through authorized resellers, allowed users to access features of the IP Office system, which was highly valued by businesses. The illegal distribution of these licenses caused significant financial losses for Avaya, totaling around $88 million.
The Department of Justice announced the sentencing of the three men, with Brad Pearce receiving a four-year prison term and ordered to forfeit $4 million. Dusti O. Pearce was sentenced to one year and a day in prison with a $4 million forfeiture, while Hines was sentenced to one year and six months in prison plus 18 months of home confinement, and ordered to forfeit $2 million.
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