Scam Promising Government Funds Defrauds Elderly Victims of $486,000

Con Artists Worked Together to Defraud Seniors

Nigerian national Oluwaseyi Akinyemi (who went by the names “Paddy Linkin” and “Joseph Kadin”), pled guilty to working with other conspirators from July 2018 to April 2019. According to his plea, they targeted elderly people on social media, passing themselves off as agents of real and imaginary governments and offering victims significant financial rewards in exchange for up-front costs of cash, money orders or gift cards to cover supposed taxes and fees.

In some cases, the conspirators impersonated friends on social media as a way to gain credibility with potential victims, vouching for the fake scheme and making it seem like something trustworthy.

Once the victim expressed interest, the details would emerge about the amount of money required in advance to pay costs. In order to secure the promised rewards, victims sent cash, gift cards and valuables through the mail to Akinyemi, who would keep a portion of the proceeds and send the rest to Nigeria.

A Non-Existent Grant Program Cost One Senior Fraud Victim $80,000

One victim was a 78-year-old Texan, who received an application on social media for a fake grant program from the federal government. Along with the application, there was a message that Victim 1 thought was coming from a friend of his. Believing that the offer of government money was legitimate, Victim 1 reached out to the con artists and was told that he could receive $100,000 as long as he paid taxes in advance. The victim send numerous packages of money, and received fake certificates through email, some bearing the insignia of the Internal Revenue Service and stating they were from “Federal and State Tax Institutes.” Eventually, the victim was promised a federal grant for $5 million. He continued sending Akinyemi and other co-conspirators money through the mail. The man ended up paying Akinyemi between $70,000 and $80,000.

Fraudster Poses as a Friend From High School

Another victim was 71 years old, living in Indiana. The first contact they received came from someone they thought they knew. Believing that they were hearing from a high school friend regarding a community fund, they actually heard one of the conspirators vouching for the non-existent government grant, even claiming to have received money from it and giving details about the various amounts that could be received.

When the victim followed up on the contact information, another con artist posing as a government agent began asking for information, including the victim’s monthly income. When that information was provided, the victim was led to believe that they had been approved and could begin filing a claim for government funds, always with fees and taxes required in advance for payment to be made. The victim began with sending $800 to secure $80,000 they thought would come, and continued sending more money for larger amounts from the “grant” that never materialized.

In total, the victim sent close to $50,000.

Fraud Exacts a Heavy Toll

Speaking with law enforcement officers on April 25, 2019, Akinyemi admitted to his involvement in these schemes, confirmed that he had received money through the mail from victims, and told of others in Nigeria that he had conspired with. He also revealed that he had managed to receive nearly $80,000 through the mail in the year before he was caught.

Over the course of the scheme, at least five victims were defrauded of significant amounts of money and suffered financial hardship as a result.

Akinyemi’s actions amounted to elder fraud, according to United States Attorney for the District of Maryland Erek L. Barron. “Akinyemi not only took advantage of a nursing care patient, a national health crisis, and an employment crisis,” Barron said, “but he also caused financial harm to at least 13 elderly victims.”

False Claims Filed for COVID-19 Benefits

As part of a plea agreement in December 2020, Akinyemi and others gave information concerning an additional scam filing fake unemployment claims, in order to receive CARES Act Covid-19 funds. Akinyemi used his home address for the claims, but also used the address of a nursing home client in Washington D. C. who he had been providing at-home services for. Unemployment claims were filed in the names of victims in Maryland and Arizona, some of whom were deceased. A total of nine unemployment claims were filed on behalf of the nursing home resident. Akinyemi admitted to additional claims made for funds associated with Covid-19 benefits, applying for more than $170,000.

The total cost of the scheme, involving Akinyemi and co-conspirators, was more than $7,000. Falsely using the identities of 19 different people, the team files claims that would have resulted in $250,000 in state and federal benefits.

Imposter Scams Target Senior Citizens

According the Federal Trade Commission (FTC), “imposter scams” are some of the most common ways that con artists defraud the elderly. In an imposter scam, an individual may pretend to be a friend or loved one. They may also claim to be a representative from a business, or work for the federal government. In every case, the aim is the same — the individual will claim that they need money or personal information, or both, in order to avoid an emergency or other dire circumstance. They may say that someone else will come to harm if the money doesn’t come through, or they may convince the victim that they will suffer some kinds of consequences personally. Or else, they may try to make the victim believe that they will reap some kind of financial benefit themselves — a prize, some government funding, a gift from a stranger.
In every case, the result is the same. If the unwary victim actually gives money, they will receive nothing in return. In most cases, they will never see that money again.

What Can You Do To Stay Safe From Elder Fraud?

• Ask questions: If you receive a call, email or text from someone who says they’re a friend or loved one and asking for money to deal with an emergency, don’t be afraid to ask for verification of their identity. Ask them questions that only the actual person would know the answer to. Ask them what your middle name is, or where they last saw you, or what their favorite sports team or food is. If the emergency is genuine, you won’t have lost any time, and if the person is really who they say they are, they shouldn’t be hesitant or offended that you are checking on these facts.
• Stay private: Remember that As a rule, do not divulge private information over the phone, via email or text message. Do not provide personal information (such as your Social Security number, credit card information, ATM PIN, passwords) over the phone, email or text message unless you are certain with whom you are speaking.
• Share this info: Tell others about these scams and how they are perpetrated. Make sure that others in your group are aware that they might be targeted by individuals impersonating someone they know, just to get money.
• Report suspected fraud: The Department of Justice runs the National Elder Fraud Hotline at 1-833-FRAUD-11 (1-833-372-8311), which has an interactive tool for elders who have been financially exploited to help determine to which agency they should report their incident, and also a senior scam alert website. Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324. Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP.

Federal Elder Fraud Resources

Senior citizens or caregivers who think they have been defrauded should be aware that there is a National Elder Fraud Hotline run by the Department of Justice. The hotline number is  833-FRAUD-11 (833-372-8311), and features interactive tools that will help determine what agencies and departments that fraud should be reported to, as well as a website with the latest news in ongoing scams.  Complaints should be filed online with the FBI’s Internet Crime Complaint Center. That can be reached through the website, or by phone at 800-225-5324.  The Federal Trade Commission (FTC) can also handle complaints of elder fraud: Go to www.ftccomplaintassistant.gov or call 877-FTC-HELP (382-4357).

In the case of attempted fraud involving COVID-19 benefits, help is available through the National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721. There is also a NCDF Web Complaint Form that can be accessed online at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.