Iran executes nationwide scam mastermind
Shafaq News – Tehran
Iranian authorities executed the head of a large-scale fraud scheme who targeted tens of thousands of people, local media outlets said on Sunday.
The convicted, Mohammad Reza Ghaffari, led the “Rezaayat Khodro Taravat Novin” company, which began operating in Takestan in 2013 and drew more than 34,000 clients with promises of discounted car deliveries and profitable investment contracts.
Judicial investigations later determined that only 4% of customers ever received vehicles, while payouts were made using deposits from new participants in what authorities described as a Ponzi-style (fraud where early investors are paid "returns" using money from new investors) operation that generated losses estimated at roughly $350 million.
An 8,000-page case file was reportedly opened in 2019 following widespread complaints. Ghaffari and several associates were arrested in August 2023, and authorities seized 88 vehicles, an ambulance, and other company assets.
Ghaffari was convicted of large-scale economic disruption, unauthorized deposit-taking, networked fraud, and misappropriation of investor funds. Other defendants received lengthy prison terms, and the implicated companies were ordered dissolved.
Judicial officials said Ghaffari was repeatedly given opportunities to repay investors during and after the trial. The Supreme Court upheld his sentence on August 12, 2025, and after a grace period of more than four months expired without restitution, the ruling was carried out.
