[00:00:00] This is Scams and Cons News with Jim Grinstead
[00:00:07] In this week's news, a Nebraska woman has conned out of a gold bar and a Cocoa Beach
[00:00:15] Florida man has caught trying to con seniors out of their money.
[00:00:19] But we begin with the story from Hong Kong, where in a recent development a Hong Kong
[00:00:23] accountant had fallen victim to a phone scam, losing more than $600,000 to fraudsters who posed
[00:00:30] as mainland Chinese officials.
[00:00:33] The scammers accused the accountant of spreading seditious messages on wastewater treatment
[00:00:38] plants in Japan, claiming it endangered national security.
[00:00:42] The scheme involved multiple scammers impersonating officials and manipulating the victim into
[00:00:47] transferring funds and divulging personal information.
[00:00:51] The man was ordered by someone claiming to be a mainland security official to set up a
[00:00:56] bank account, then tell the scammers the account number and password.
[00:01:01] The South China Morning Post said the man was asked to transfer the money into the account
[00:01:05] to prove his loyalty.
[00:01:07] The man was also told to buy a new mobile phone to communicate with them.
[00:01:11] The money vanished as did the text messages traded among the man and the fake security
[00:01:16] officials.
[00:01:18] Two years ago, Pat and Marissa Lawler embarked on a house hunting journey, exploring 50 homes
[00:01:24] for sale amidst the competitive market with low interest rates.
[00:01:29] Despite being outbid three times, the Lawlers eventually secured a home in West Hills near
[00:01:34] Los Angeles with family members helping to secure a loan.
[00:01:38] Their escrow process progressed smoothly until Pat Lawler received by email what seemed
[00:01:43] to be wire instructions for the down payment.
[00:01:46] They then transferred $160,000 to the escrow agent.
[00:01:51] Days later another email arrived from the supposed escrow agent requiring the down payment again,
[00:01:57] revealing they had fallen victim to a scam.
[00:02:00] NBC Los Angeles said Dr. Clifford Newman, a cybersecurity expert at the University
[00:02:05] of Southern California, said scammers likely infiltrated the escrow company's email
[00:02:10] system through various meetings leading to what is known as business email compromise.
[00:02:16] This type of scam has seen a significant increase in recent years with victims losing billions
[00:02:22] of dollars to fraudulent activities like down payment wire transfers.
[00:02:27] Despite regulations requiring escrow companies to report fraud, recovering lost funds proves
[00:02:32] challenging for victims like the Lawlers.
[00:02:35] While some companies have insurance against errors and omissions, it often doesn't
[00:02:40] cover wire fraud incidents.
[00:02:42] The Lawlers' attempts to seek recourse from Jade Escrow in Temple City were met with silence.
[00:02:49] There will be a lot of good eating in the neighborhood around Indianapolis when a woman
[00:02:53] mistook a scammer's instructions and bought the wrong gift cards.
[00:02:57] Here's WTHR.
[00:02:59] Frustrating, I miss all the money I own right here.
[00:03:03] She put her $6,000 on those cards after someone claiming to be social security
[00:03:07] called her and said her bank account was hacked.
[00:03:10] This is the picture he sent me to prove that he was who he said he was.
[00:03:15] The scammer said in order to keep her cash safe from the hack, it needed to be pulled
[00:03:19] from the bank immediately and stored on gift cards.
[00:03:22] Those gift cards, the scammer told Nancy, needed to come from Walmart and bought using
[00:03:27] self-checkout.
[00:03:29] Apple was his retailer of choice.
[00:03:31] I bought the Applebee.
[00:03:33] But Nancy heard Applebee's and bought those instead.
[00:03:37] He was irritated, his plans weren't going as planned.
[00:03:41] Still, he wanted the card numbers to drain the funds.
[00:03:45] That's when Nancy realized it was a scam.
[00:03:47] I was feeling angry but I wasn't in a panic yet because I was just going to go back to
[00:03:53] Walmart and I'm just going to sell these back.
[00:03:57] The panic hit when Walmart slammed the door in my face and said, oh no, we don't
[00:04:02] buy back gift cards.
[00:04:04] She and her neighbor also called Applebee's guest relations multiple times.
[00:04:08] They suggested going back to Walmart so Nancy thought about selling the gift cards.
[00:04:14] And it sounds like an okay plan until you see that two resale sites don't accept Applebee's
[00:04:19] gift cards, a third resale site has active Better Business Bureau warnings and a fourth
[00:04:25] doesn't let people sell gift cards in amounts greater than $100.
[00:04:30] When she asked Applebee's to break up the $500 amounts, they said no.
[00:04:34] Gift cards are really popular with scammers because they're really easy for people to
[00:04:38] find and to buy and they're more like cash.
[00:04:41] Christina Miranda with the FTC said according to their 2023 data, they received nearly
[00:04:46] 42,000 fraud reports about gift cards or prepaid cards.
[00:04:51] The losses from those reports, $217 million.
[00:04:56] Whenever we receive a complaint, know that it's being looked at by investigators behind
[00:05:01] the scene, by law enforcement behind the scene.
[00:05:04] And have you ever eaten out of Applebee's?
[00:05:06] No, not yet.
[00:05:08] I think I'm going to pretty soon.
[00:05:11] Applebee's official said they would return her $6,000 Walmart did not comment.
[00:05:17] This is Scams and Cons News.
[00:05:21] I'm a summer guy.
[00:05:23] I'll be on the porch enjoying a cool drink and reading.
[00:05:26] It doesn't get any better unless someone else does the cooking.
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[00:07:04] While we're on the topic of gift cards, ABC10 reports on a new type of gift card scam
[00:07:09] they uncovered.
[00:07:11] It works like this.
[00:07:13] Thieves steal blank cards from stores.
[00:07:15] In this case, Target.
[00:07:18] They sneak them back to their cart, record the number off the sticker, then glue it back
[00:07:22] down and put them back on the rack.
[00:07:25] They have software that then alerts them when the cards are activated.
[00:07:29] A Sacramento police officer tells about the cards they found in just one arrest.
[00:07:34] 5,739 additional gift cards.
[00:07:38] To be exact, they were all taken from one Target store in Sacramento County.
[00:07:43] Last week, undercover deputies with the Sacramento County Sheriff's Office filmed
[00:07:47] the man switching out the gift cards.
[00:07:49] When he exits the store, he's tackled.
[00:07:51] When he hit the ground, 200 gift cards came falling out like confetti.
[00:07:56] We caught the guy who was working targets on the West Coast, but there are others
[00:08:01] working other retail establishments.
[00:08:03] To think that nobody in our building had any idea that this was happening leads us
[00:08:08] to believe that the majority of the community doesn't realize that it's happening.
[00:08:12] But this entire operation almost wasn't discovered.
[00:08:15] They told us they didn't want to work with us.
[00:08:18] And we went and showed up anyways.
[00:08:20] We're going to be there regardless of whether or not they want to work with us,
[00:08:23] because the community deserves this level of service.
[00:08:27] It wasn't just Target gift cards, Apple store cards were also found.
[00:08:31] Investigators say this is happening at all major retailers.
[00:08:34] Sacramento County Sheriff's Office wants to see stores lock up these gift cards,
[00:08:39] like they do with a lot of other products to protect the consumer.
[00:08:43] The Lincoln, Nebraska woman suffered a significant financial loss after
[00:08:47] falling victim to a scam where she was manipulated into surrendering a gold bar.
[00:08:52] The incident unfolded when the Lincoln Police Department received a report from
[00:08:56] a 76 year old woman who disclosed that she'd been receiving correspondence and
[00:09:01] phone calls reportedly from the Federal Trade Commission.
[00:09:05] The individual who posed as an agent informed her that she was under
[00:09:08] investigation for money laundering in Texas.
[00:09:11] The scammer instructed her to procure a gold bar from the Royal Canadian Mint and
[00:09:16] bring it to a Walmart.
[00:09:18] Compliance with these instructions led the woman to purchase and
[00:09:22] hand over a one kilogram gold bar in the store's parking lot.
[00:09:26] After receiving the bar, the scammer escaped in a white van.
[00:09:31] The gold was valued at more than $66,000.
[00:09:35] In Cocoa Beach, Florida, police caught a man trying to rip off elderly residents.
[00:09:41] The WKMG reports.
[00:09:44] Hey, he's right! Come here! Do not move!
[00:09:46] These are the envelopes that the victim has sent.
[00:09:50] Detectives here at the Cocoa Beach Police Department explain to me how it
[00:09:54] all started with a phone call that tricked a 91 year old woman into
[00:09:58] putting $7,500 cash in one of these envelopes.
[00:10:02] I then just handed it off to a lift driver who showed up at her door.
[00:10:06] So the caller tells her that basically her grandson was involved in a car crash
[00:10:11] and that he needed to postpone so he can get out and get medical treatment.
[00:10:15] But then the elderly woman called her grandson and of course he was fine,
[00:10:19] so she called Cocoa Beach Police.
[00:10:21] That is when another call comes in from the suspect stating that
[00:10:26] the female that was in the other car that her grandson hit was pregnant
[00:10:31] and has passed away.
[00:10:32] So he wants more money?
[00:10:33] $5,000.
[00:10:34] Detectives met her at her house and put together a second envelope
[00:10:39] this time without any cash.
[00:10:41] Detectives followed the lift driver when he showed up.
[00:10:44] Turns out these small town detectives had unraveled a ring that criss-crossed the country.
[00:10:49] They say their suspected scammer, Jose Palanco Batista,
[00:10:52] was on the radar of police departments across the U.S., even the FBI.
[00:10:57] The subject was in possession of multiple cell phones, I believe.
[00:11:01] Over 10.
[00:11:02] Let's be real, it's not like this guy is the head of this organization
[00:11:06] but he is definitely the lynchpin that connects all of these people
[00:11:10] that are taking these money from victims
[00:11:13] and then dispersing them to the people that are up at the top.
[00:11:17] And I think this put a huge dent in their organization.
[00:11:20] How often have you said to yourself,
[00:11:23] I need my chimney cleaned?
[00:11:25] Then comes a knock at the door from someone who's a chimney sweep,
[00:11:29] already has some jobs booked in your neighborhood
[00:11:31] and wants to know if you'd be interested.
[00:11:34] With a discount, of course.
[00:11:36] So they crawl up on the roof, check things out,
[00:11:39] oh my, it's worse than it looked from the ground.
[00:11:43] You sign an agreement, pay half down
[00:11:45] and the scammer says he'll be back in a week to do the work.
[00:11:49] But of course he never shows up.
[00:11:51] These types of scams are ones you should regularly walk away from
[00:11:54] even if they do sound legitimate.
[00:11:57] But if you want to test whether they are legitimate,
[00:11:59] ask for their contractor's number.
[00:12:02] Then check with your state's office
[00:12:03] that licenses contractors to see if they're on it
[00:12:06] and when they first filed their paperwork.
[00:12:09] A scammer will try to persuade you
[00:12:11] that the check isn't necessary,
[00:12:13] their name is on the side of the truck
[00:12:14] along with a phone number, you can always reach them.
[00:12:17] But be persistent.
[00:12:19] If they can't produce a valid contractor's license,
[00:12:22] it's best to walk away.
[00:12:24] This is Scams Incons News.
[00:12:28] ["Skams Incons News Theme Song"]
[00:12:32] Hi, I'm Shawn McCabe.
[00:12:34] And I'm Carrie McCabe.
[00:12:35] We are, well, married obviously,
[00:12:37] but we're also obsessed with the darker side of things.
[00:12:41] True crime stories, alien abductions, poltergeists.
[00:12:45] If it leaves you scratching your head
[00:12:46] and keeping those lights on at night,
[00:12:48] we want to hear about it.
[00:12:49] That's why we host the podcast,
[00:12:50] Ain't It Scary with Shawn and Carrie.
[00:12:53] Every week we bring our listeners a true story
[00:12:55] guaranteed to send chills down your spine
[00:12:58] from history's most brutal serial killers
[00:13:00] to the mystery of spontaneous human combustion.
[00:13:03] Yep, lots of these stories leave unanswered questions behind
[00:13:06] and you'll get to poke through the rubble of the evidence
[00:13:09] with a hardened skeptic and...
[00:13:10] Someone whose mind is more open to fun.
[00:13:13] Yeah, that's what I was gonna say.
[00:13:15] You can find Ain't It Scary with Shawn and Carrie
[00:13:17] wherever you get your podcasts
[00:13:20] and on social media at Ain't It Scary.
[00:13:22] Come play with us.
[00:13:30] Authorities in an eastern Iowa county
[00:13:32] are on the hunt for $524,000
[00:13:35] that they suspect was embezzled
[00:13:37] after an employee mistakenly transferred it
[00:13:40] in response to a fraudulent email
[00:13:42] posing as the city of Dyersville.
[00:13:44] According to the Telegraph Herald,
[00:13:46] Dubuque County officials
[00:13:47] disclosed the missing funds on Monday.
[00:13:50] The payment designated under
[00:13:52] the Federal American Rescue Plan Act
[00:13:54] was intended for distribution by Dubuque County
[00:13:57] to Dyersville, as reported by Radio Iowa.
[00:14:00] The discrepancy was brought to light
[00:14:02] when Dyersville officials inquired about the transfer's status,
[00:14:06] only to find out that the county had already executed it.
[00:14:10] An internal investigation concluded
[00:14:12] that Dyersville email system had been compromised.
[00:14:16] Dragago stated the county staff received a request
[00:14:18] for the funds from an authentic Dyersville email address
[00:14:22] leading to the erroneous transfer.
[00:14:25] The auditor's office now suspects
[00:14:27] that the invoice prompting the transfer
[00:14:29] was masterminded by a third party.
[00:14:32] This is Scams and Cons News.
[00:14:36] Scams and Cons is a member
[00:14:38] of the Evergreen Podcast Network.
[00:14:41] You might be surprised to know
[00:14:43] that not all serial killers
[00:14:45] are straight cisgender white men
[00:14:46] and the victims of true crime
[00:14:48] are not a monolith either.
[00:14:50] She's Wendy and I'm Beth
[00:14:51] and together we host Fruit Loops Serial Killers of Color,
[00:14:55] a true crime podcast.
[00:14:56] Together we take deep dives
[00:14:58] into the true crime stories about marginalized
[00:15:00] and minor ties perps and victims that often go untold.
[00:15:03] We also provide the context and nuance
[00:15:06] that these stories deserve.
[00:15:07] At Fruit Loops we're serving up true crime
[00:15:09] with a side of history, society, culture and some fun.
[00:15:13] Listen to Fruit Loops Serial Killers of Color
[00:15:15] on Spotify, Google Play, Apple Podcast
[00:15:17] or wherever you get your podcasts.