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Jesse Kipf, a 39-year-old father from Somerset, Kentucky, devised an audacious scheme in 2023 to dodge over $100,000 in overdue child support payments. His actions, which involved hacking a government registry and selling sensitive information on the dark web, ultimately landed him a six-year prison sentence for computer fraud and aggravated identity theft.
Faking His Own Death Through the Hawaii Death Registry
Kipf’s plot began when he exploited the credentials of an out-of-state physician to access the Hawaii Death Registry System. Using the stolen username and password, he entered a false death certificate, listing himself as deceased. He even forged a physician’s digital signature to certify his “death.”
This fraudulent document triggered updates in federal databases, officially marking Kipf as deceased. At the time, Kipf owed $116,357.77 in child support payments. By faking his death, he hoped to avoid his financial responsibilities entirely.
Hacking Beyond the Death Registry
Kipf’s fraudulent activities did not stop with his fake death certificate. He admitted to hacking several government and corporate networks, stealing sensitive information, and attempting to sell the data on the dark web. Among the systems he breached were those belonging to the states of Arizona and Vermont, as well as private companies such as GuestTek Interactive Entertainment and Milestone, Inc.
His stolen databases contained highly sensitive information, including Social Security numbers and medical records. Kipf offered access to these compromised systems on the dark web, further compounding the damage caused by his actions.
Consequences of Kipf’s Schemes
Federal prosecutors emphasized the destructive nature of Kipf’s schemes. According to Carlton S. Shier IV, U.S. Attorney for the Eastern District of Kentucky, “This scheme was a cynical and destructive effort, based in part on the inexcusable goal of avoiding his child support obligations. This case is a stark reminder of how damaging criminals with computers can be.”
In November 2023, Kipf faced multiple charges, including five counts of computer fraud, three counts of aggravated identity theft, and two counts of making false statements on financial applications. The financial and personal toll of his actions extended far beyond his intent to evade child support:
- Restitution Orders: Kipf must repay $116,357.77 to the California Child Support Services, $56,247.50 to Milestone, and $19,653.38 to GuestTek.
- Fine Possibilities: He could also face fines of up to $250,000 per count.
Impact and Law Enforcement Response
The damage Kipf inflicted on state registry systems exceeded $80,000. Authorities are still working to rectify the impacted networks and support the victims whose personal data was exposed. Michael E. Stansbury, Special Agent in Charge of the FBI’s Louisville Field Office, highlighted the broader implications of Kipf’s crimes: “Victims of identity theft face lifelong impact, and for that reason, the FBI will pursue anyone foolish enough to engage in this cowardly behavior.”
Jesse Kipf’s ill-conceived attempt to escape his responsibilities unraveled due to diligent law enforcement efforts. Now, instead of evading child support, he faces years behind bars, significant restitution payments, and the enduring consequences of his illegal actions. This case serves as a sobering reminder of the risks and repercussions of cybercrime.
