US Prosecutors Charge 16 For Ruthless Grandparent Scams

US authorities charged sixteen people for allegedly defrauding the elderly of significant amounts of money in ruthless age-focused scams.

The suspects, aged 21 through 59, lived in both the Dominican Republic and the US and were allegedly involved in a broad “grandparent scam” that claimed victims in several states across America.

Grandparent Scams on The Rise

These scams targeting older people frequently exploit senior citizens’ vulnerabilities and relative lack of tech-savvy, often costing them their lives’ savings. In this scenario, threat actors gather a list of phone numbers belonging to older people and call them pretending they’re friends or family in difficult or dangerous situations, such as in jail or car accidents.

Once the victim is hooked and believes the scammers’ story, perpetrators ask for money, emphasizing the gravity of the situation to embed a sense of urgency, increasing their odds of succeeding.

Fake Stories Involving Health and Legal Components

According to the indictment, some of the alleged offenders, operating in a division called the “openers,” sold the initial scam by cold-calling victims using numbers that seemed to originate from the US and convincing them of the veracity of fake scenarios involving their loved ones.

As The Register reported, perpetrators would make up stories involving health and legal components, such as a car accident, arrest, or miscarriage. Unsuspecting victims would enter a state of panic and pay to ensure that their loved ones would be out of harm’s way.

Once the scam was sold, other members of the group, referred to as the “closers,” would allegedly impersonate authoritative figures related to the phony case, such as police officers, lawyers, or court staff, to add legitimacy to the story.

Scammers Allegedly Used Couriers to Collect Victim Payments

Victims would send even thousands of dollars via mail; the FBI warned earlier this year that tech support scammers often use couriers to collect payments from victims. From the authorities’ estimations, scammers moved over $55 million in ill-gotten funds using couriers between May and December 2023.

In this scenario, the accused allegedly employed their own “couriers,” posing as legitimate couriers and providing victims with fake receipts. Once the money reached the con artists, they would try to launder it in various ways, including bulk cash transfers and wire transfers to the Dominican Republic.

If found guilty, each alleged offender could face up to 20 years in prison and fines of up to $250,000 for each count of mail and wire fraud and $500,000 for each money laundering charge.

Keeping Safe Against Scams

Scams frequently target seniors due to their perceived lack of familiarity with digital technology and generally trusting nature. Educating them on the tactics used by threat actors could help them identify potential threats and move out of harm’s way. Dedicated services such as Scamio can help you identify potential scams without significant effort: send any suspicious email, link, text, or QR code and receive an analysis instantly.