2 arrested in identity theft scam authorities say targeted Army Corps of Engineers

LOS ANGELES - Two Inglewood men who allegedly helped steal the identities and good credit ratings of 100 U.S. Army Corps of Engineers workers to bilk such retail outlets as Macy's and Saks Fifth Avenue were arrested Wednesday.

Derrick Lionel Davis, 37, and Demond Lamont Walker, 31, were taken into custody by FBI agents.

An arrest warrant was issued for Ramiah Lewis, 25, of Covina, who is believed to be in Louisiana. Authorities said Lewis also uses the names Alexis Zavisch and Lucy Romero.

The three are charged with one count each of conspiracy and identity theft, said U.S. attorney's spokesman Thom Mrozek.

Walker and Davis made an initial appearance before a federal magistrate Wednesday where Walker was ordered held without bail. Davis was ordered to post a $50,000 bond secured with a property deed before he could be released. Both were still in federal custody late Wednesday.

A preliminary hearing was set Sept. 14, with arraignment scheduled Sept. 18, Mrozek said.

The trio allegedly opened credit-card accounts at stores such as Home Depot, Macy's, Nordstrom, Saks Fifth Avenue and Victoria's Secret, running up $700,000 in merchandise charges.

''They did seem to be living it up,'' said FBI agent Sherri Rost.

The arrests came on the same day Sen. Dianne Feinstein, D-Calif., held a news conference in Monterey Park with victims of identity theft before taking part in a Senate hearing on the issue at Los Angeles County Sheriff's Department headquarters.

''Modern technology has made vast amounts of personal information obtainable at the click of a keyboard, leaving our personal information vulnerable to interception and misuse,'' Feinstein told the hearing of the Senate Judiciary subcommittee on terrorism, technology and government information.

Across the country, she said, an identity is stolen every minute, pointing out that a Social Security number is the top tool used to capture credit information and that victims often don't learn about the fraud until at least a year later.

''I found out someone was living as me from a letter from a credit card company, asking if I tried to pen up a new account,'' said identity theft victim Selene Kassin. ''When I called the credit bureaus, I found a new address, phone number, driver's license number and numerous new credit cards.''

Feinstein announced that she and Sens. John Kyl, R-Ariz., and Charles Grassley, R-Iowa, have introduced the Identity Theft Prevention Act, which has been endorsed by the Federal Trade Commission. The measure would require credit issuers to notify the original card holder at their original address of any change of address requests. The bill also would develop an identity theft form in which a victim can report what is happening to credit bureaus.

Sheriff Lee Baca said he has formed a four-deputy strike force to combat identity theft in the nation's most populous county. He also said his department has produced a reporting brochure victims can use.

Feinstein called Baca's work ''innovative and groundbreaking,'' adding, ''I think he has developed a model worth emulating around the country.''