Two out-of-state men face charges in gold bullion schemes, U.S. prosecutors say
PROVIDENCE – Out-of-state scammers targeted two elderly Rhode Islanders, defrauding one 79-year-old of gold bars valued at $130,000 and $35,000 in cash, according to U.S. Attorney Zachary A. Cunha.
In both cases, including one that involved a 72-year-old Tiverton man, the scammers are accused of manipulating the men with help from online popup messages that fraudulently accused them of child pornography-related offenses, federal prosecutors say.
After that, they say, the schemes brought the Rhode Island men into contact with people who impersonated federal authorities and directed the men to buy gold.
A 22-year-old Canadian man is accused of defrauding the 79-year-old man from Narragansett.
The man had been shopping online when the popup message appeared, directing him to place a call, prosecutors say, adding that the scammers also accused him of money-laundering activity.
A suspicious request to buy gold bullion
Impersonators directed him to turn over assets and he gave an unknown person $35,000 in cash when that conspirator visited his home in early September. Several days later, he bought $135,000 in gold bars and delivered them to conspirators.
The Canadian defendant from Scarborough, Ontario, has been charged with wire fraud and wire fraud conspiracy, money laundering and money laundering conspiracy.
In the second scheme, a 22-year-old Bridgeport man faces the same charges, prosecutors say.
In that case, a 72-year-old Tiverton man encountered an online popup box and ended up talking to an impersonator who representing himself as a Federal Trade Commission agent.
The Rhode Islander made more than $360,000 in gold bullion purchases from a New York dealer via wire transfer, prosecutors say.
Another unknown person picked up almost $200,000 in bullion from the man.
But he was working with authorities, the real ones, when it came time for one of the conspirators to make another pickup on Sept. 21, prosecutors say.
Local police and federal authorities, including Homeland Security Investigations, on the case
The delivery of a package that did not contain the expected contents then took place in a restaurant parking lot under surveillance.
Connecticut state police arrested the conspirator during a traffic stop.
Agents from Homeland Security Investigations and police from East Providence, Narragansett and Tiverton provided substantial assistance with help from other local police and state police in both states.
Federal, state and local law encorcement continue to partner on a series of ongoing probes into such scams.
Such investigations and probes rely on information from the public.
An elder fraud hotline
To tip off authorities to cases of elder fraud, telephone 1-833 FRAUD-11.
More information about the department’s elder justice efforts can be found on the website www.elderjustice.gov.
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This article originally appeared on The Providence Journal: Two RI elderly swindled into buying gold bars prosecutors say
