Microsoft engineer gets nine years for stealing $10M from Microsoft

(credit: Robert Scoble)

A former Microsoft software engineer from Ukraine has been sentenced to nine years in prison for stealing more than $10 million in store credit from Microsoft's online store. From 2016 to 2018, Volodymyr Kvashuk worked for Microsoft as a tester, placing mock online orders to make sure everything was working smoothly.

The software automatically prevented shipment of physical products to testers like Kvashuk. But in a crucial oversight, it didn't block the purchase of virtual gift cards. So the 26-year-old Kvashuk discovered that he could use his test account to buy real store credit and then use the credit to buy real products.

At first, Kvashuk bought an Office subscription and a couple of graphics cards. But when no one objected to those small purchases, he grew much bolder. In late 2017 and early 2018, he stole millions of dollars worth of Microsoft store credit and resold it online for bitcoin, which he then cashed out using Coinbase.

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