Two Men Pleaded Guilty to Running a Nationwide Rental Scam and Bagging $9 Million

Two cousins charged in an alleged $8.5 million nationwide vacation rental scheme pleaded guilty to federal charges. The cousins allegedly scammed customers out of vacation rentals using double booking and bait-and-switch tactics. Authorities said the scheme affected about 10,000 vacations.

The two have been identified as Shrey Goel and Shaunik Raheja, both 37. According to federal prosecutors, the cousins, accused of running the scheme, earned about $8.5 million. The operation relied on fraudulent listings, deception, double bookings and last-minute cancellations, prosecutors said.

Goel and Raheja launched the scheme in 2013, using an online business to list properties on digital platforms, including Airbnb and Vrbo. The operation was shut down in 2019 following a lengthy federal investigation.

Goel and Raheja, from Calabasas, California, and Denver, Colorado, respectively, primarily targeted rental guests who were Black for cancellation scams, according to the federal superseding indictment. They allegedly used fake identities to defraud people, particularly Black victims. The two men have not pleaded guilty to these specific allegations.

“Airbnb is built on trust, and bad actors have no place in our community. We supported the U.S. Attorneys' offers and the FBI throughout their investigation to help ensure those responsible are held accountable, and we are thankful for their work. We have taken multiple steps to strengthen our differences to help make rare issues like these even rarer, " a spokesperson from Airbnb said.

According to federal investigators, the two men admitted to listing the same property on multiple platforms, including Airbnb and Vrbo, only to cancel on guests at the last minute. They also used excuses about maintenance issues to keep the most expensive bookings for themselves.

The business created by the duo operated under various names, including Abbot Pacific LLC and Jet Set Work LLC, according to prosecutors. Properties included listings across Southern California and in cities such as Chicago, Dallas, Denver and Nashville.

According to the report of the Los Angeles Times, the duo had pleaded guilty this year to the charges of obstruction of Justice and wire fraud; they have not been found guilty of any racial allegations that have been placed. Over the years, they have earned around $8.5 million by scanning people.

Goel also admitted to overbooking properties and to using electronic communications to send guests false excuses for cancellations after securing higher-paying reservations.

Raheja specifically admitted that he lied to Federal agents during the 2023 investigation. Both men are currently awaiting a sentencing hearing scheduled for late summer in 2026.