Two Cousins Admit to $8.5 Million Rental Scam, Airbnb Responds to Fraudulent Activities
Two cousins, Shray Goel and Shaunik Raheja, have pleaded guilty to federal crimes related to a nationwide rental scam that generated $8.5 million through deceptive practices. The scheme involved listing properties on platforms like Airbnb and Vrbo using fake identities and fabricated reviews. They employed a 'double-booking, bait-and-switch' strategy, listing the same property multiple times at different prices to maximize profits. When reservations were canceled, guests were given false reasons such as maintenance issues. The operation, which began in 2013, involved over 10,000 bookings. Although the indictment included allegations of racial discrimination, targeting guests perceived to be Black, the cousins did not plead guilty to these charges. Airbnb has condemned the actions, emphasizing their commitment to trust and accountability, and has taken steps to prevent such incidents in the future.