FBI Warns of Cyber Scammers Using Various Methods to Deceive and Defraud Elderly Victims for Financial Gain

Source: Federal Bureau of Investigation (FBI) State Crime News

LOS ANGELES—This World Elder Abuse Awareness Day, the FBI Los Angeles Field Office is warning the public about scams targeting the nation’s senior population. While many Americans, including the most vulnerable among us, have been focused on overcoming a global pandemic, cybercriminals have been using the opportunity to profit from our dependence on technology by launching an Internet crime spree. Their tactics include phishing, spoofing, extortion, and various types of web-based fraud.

In 2020, the FBI’s Internet Crime Complaint Center received a total of 791,790 complaints with reported losses exceeding $4.1 billion. Based on the information provided in the complaints, approximately 28% of the total fraud losses were sustained by victims over the age of 60, resulting in approximately $1 billion in losses to seniors. This represents an increase of approximately $300 million in losses reported in 2020 versus what was reported by victims over 60 in 2019.

The myriad scams seniors often encounter include the including following:

  • Romance Scam: Criminals pose as interested romantic partners through dating websites to capitalize on their elderly victims’ desire to find companions.
  • Tech Support Scam: Criminals pose as tech support representatives and offer to fix non-existent computer issues—gaining remote access to victims’ devices and, thus, their sensitive information.
  • Grandparent Scam: Criminals pose as a relative—usually a child or grandchild—claiming to be in immediate dire financial need.
  • Government Impersonation Scam: Criminals pose as government employees and threaten to arrest or prosecute victims unless they agree to provide funds or other payments.
  • Sweepstakes/Charity/Lottery Scam: Criminals claim to work for legitimate charitable organizations to gain victims’ trust. Or they claim their targets have won a foreign lottery or sweepstake, which they can collect for a “fee.”
  • Home Repair Scam: Criminals appear in person and charge homeowners in advance for home improvement services that they never provide.
  • TV/Radio Scam: Criminals target potential victims using illegitimate advertisements about legitimate services, such as reverse mortgages or credit repair.
  • Family/Caregiver Scam: Relatives or acquaintances of the elderly victims take advantage of them or otherwise get their money.

Taking appropriate measures can help protect you and your loved ones from falling victim to these perpetual perpetrators.

  • Recognize scam attempts and end all communication with the scammer.
  • Search online for the contact information (name, email, phone number, addresses) and the proposed offer. Other people have likely posted information online about individuals and businesses trying to run scams.
  • Resist the pressure to act quickly. Scammers create a sense of urgency to produce fear and lure victims into immediate action. Call the police immediately if you feel there is a danger to yourself or a loved one.
  • Be cautious of unsolicited phone calls, mailings, and door-to-door services officers.
  • Never give or send any personally identifiable information, money, jewelry, gift cards, checks, or wire information to unverified people or businesses.
  • Make sure all computer anti-virus security software and malware protections are up to date. Use reputable anti-virus software and firewalls.
  • Disconnect from the Internet and shut down your device if you see a pop-up message or locked screen. Pop-ups are regularly used by perpetrators to spread malicious software. Enable pop-up blockers to avoid accidentally clicking on a pop-up.
  • Be careful what you download. Never open an email attachment from someone you don’t know and be wary of email attachments forwarded to you.
  • Take precautions to protect your identity if a criminal gains access to your device or account. Immediately contact your financial institutions to replace protections on your accounts and monitor your accounts and personal information for suspicious activity.

The FBI strongly encourages anyone who believes they may have been a victim of elder fraud to contact their local FBI field office or submit a tip online. Complaints can also be filed with the FBI’s Internet Crime Complaint Center.

Resources

MEDIA CONTACTS:

  • Rukelt Dalberis: 310-996-3804
  • FBI Press Relations: 310-996-3343

FBI Warns of Elder Fraud in Arizona

Source: Federal Bureau of Investigation (FBI) State Crime News

In honor of World Elder Abuse Awareness Day, June 15, 2021, the FBI Phoenix Field Office is raising awareness about cyber scams targeting the elderly in Arizona.

As a response to the increasing prevalence of fraud against the elderly, the Department of Justice and the FBI partnered in 2017 to create the Elder Justice Initiative. Elder Fraud is defined as a financial fraud scheme which targets or disproportionately affects people over the age of 60. The FBI, including IC3, has worked tirelessly to educate this population on how to take steps to protect themselves from being victimized.

Victims over the age of 60 may encounter scams including Advance Fee Schemes, Investment Fraud Schemes, Romance Scams, Tech Support Scams, Grandparent Scams, Government Impersonation Scams, Sweepstakes/Charity/Lottery Scams, Home Repair Scams, TV/Radio Scams, and Family/Caregiver Scams. If the perpetrators are successful after initial contact, they will often continue to victimize these individuals. Further information about the Elder Justice Initiative is available at justice.gov/elderjustice.

According to the latest FBI Internet Crime Complaint Center or IC3 report, residents over the age of 60 made up the majority of Arizona cyber-crime victims in 2020 (3,053) and accounted for the most adjusted losses (more than $27 million).

Here are the top 5 crimes, targeting Arizona seniors for fiscal year 2020 (according to IC3):

Top 5 Arizona crimes by victim count (ages 60+)*

  1. Type: Non-Payment/Non-Delivery
  • Victim Count: 815
  • Victim Loss: $2,129,253.47
  1. Type: Business e-mail Compromise
  • Victim Count: 98
  • Victim Loss: $7,226,827.59
  • Type: Investment
    • Victim Count: 112
    • Victim Loss: $6,807,103.58
  • Type: Confidence Fraud/Romance Scam
    • Victim Count: 174
    • Victim Loss: $5,191,756,68
  • Type: Real Estate/Rental
    • Victim Count: 138
    • Victim Loss: $3,066,291.37
  • Type: Virtual Currency
    • Victim Count: 101
    • Victim Loss: $3,026,100.57

    *Statistics are from the 2020 Internet Crime Complaint Center (IC3) report for ages 60+, crime type definitions can be found on pages 27-29 of the IC3 report.

    While anyone—young or old—can fall victim to these scams, seniors with cognitive impairment, health issues, or other concerns are at higher risk. Add that to the fact that many seniors have a set amount of money in retirement—with little ability to recover financially should fraud occur—and the results can be devastating.

    If you are an older American—or a caregiver—here are some things you can do to protect you and your family:

    • Contact an attorney before signing any legal document.
    • Check financial statements every month for unusual activity.
    • Avoid unsolicited contacts—whether by phone, e-mail, at your door, or in-person while you are out and about. It is OK to hang up the phone, delete the e-mail, or tell someone you are not interested and walk away.
    • Be wary when someone asks you to form a company in order to open up a new bank account.
    • Never give your financial details or personal information to someone you don’t know and trust, especially if you met them online.
    • Be suspicious when the individual you met on a dating website wants to use your bank account for receiving and forwarding money.
    • Be careful of IRS imposter/Sweepstakes scams where the fraudsters tell you that you won the lottery/sweepstakes and you have to pay taxes before you collect your winnings. This is a scam!

    Remember:

    • A legitimate company will not ask you to use your own bank account to transfer their money. Do not accept any job offers that ask you to do this.
    • The government will never request money or personal information from you over the phone.

    If you believe you are a victim of fraud, or know a senior who may be, regardless of financial loss, immediately report the incident to your local law enforcement agency and to the FBI’s Internet Crime Complaint Center at www.ic3.gov or call your local FBI office.

    Resources:

    Security News in Brief: Turkish Businessman Arrested in Austria on Charges that He Allegedly Laundered Over $133 Million in Fraud Proceeds

    Source: United States Department of Justice News

    A Turkish businessman was arrested in Austria on June 19, at the request of the U.S. Department of Justice. This arrest followed a superseding indictment returned by a federal grand jury in Salt Lake City, Utah, on April 28, which was unsealed today. The superseding indictment charged Sezgin Baran Korkmaz with one count of conspiring to commit money laundering, 10 counts of wire fraud, and one count of obstruction of an official proceeding.

    Security News in Brief: Five Charged in Scheme to Export Thermal Imaging Scopes and Night Vision Goggles to Russia, in Violation of Arms Export Control Act

    Source: United States Department of Justice News

    A federal grand jury in Los Angeles unsealed an indictment Thursday that accuses five defendants of conspiring to unlawfully export defense articles to Russia. Specifically, the defendants allegedly exported thermal imaging riflescopes and night-vision goggles without a license, in violation of the Arms Export Control Act.