5 people tasked with helping Alabama woman — as live-in caretakers, cleaners and hairdressers — instead allegedly stole more than $200K from her in elder fraud scheme

by Serah Louis

An elderly woman who received full-time care in her Birmingham, Alabama home due to medical issues was allegedly defrauded of more than $200,000 by the people supposed to care for her.

Fed officials recently announced five individuals, including the woman’s caretakers, house cleaner and hairdresser, were charged with conspiracy to commit wire fraud and aggravated identity theft.

The perpetrators are accused of scheming to swindle the woman using her credit card information, with the crimes taking place between December 2020 and February 2022.

The conspirators ran up the victim’s credit cards

The Birmingham woman’s caretakers, Mykia Henderson and her mother, Cynthia Mixon — along with Henderson’s husband, Corey Webb — are accused of stealing and using her credit card information.

Based on financial records, the family appears to have helped themselves to over $40,000, reports the Miami Herald. They used business banking services like Square and Stripe to charge the woman’s credit cards, as well as issue checks to themselves using her bank accounts and transferring those funds to their personal bank accounts.

Two other women in the victim’s orbit are implicated in the fraud. Whitney Wallace, a house cleaner, pleaded guilty to one count of wire fraud in March, after she stole the victim’s credit card information and continued using the card to make purchases even after she stopped working for the woman.

Wallace spent about $43,227 on purchases from Amazon, Target and DoorDash — which included a commercial-grade bounce house, a 75-inch TV and pricey shoes, the Miami Herald discovered.

And the woman’s hairdresser, Shakira English, used her Square account to charge her client’s credit cards over $130,000, moving the funds to her personal bank account. English has been charged with 10 counts of wire fraud and one count of identity theft.

Elder fraud is becoming a major problem in the US

Financial elder abuse is harming older adults across America and their perpetrators can be friends, family, neighbors, or even caregivers and other professionals.

A 2022 AARP report says the rate of elder financial exploitation has more than doubled since the COVID-19 pandemic began in 2020.

And an April analysis from the Treasury’s Financial Crimes Enforcement Network (FinCEN) says filings show roughly $27 billion in suspicious activity related to elder financial exploitation in just one year between June 2022 and June 2023.

In some cases, the scammers may bleed funds from credit cards and bank accounts, fail to repay money they owe, make exorbitant charges for their services or not do what they were already paid to do. They might make calls pretending to be from the IRS, Social Security  Administration or Medicare, or send phishing emails and texts.

If you suspect you or someone you know has been scammed, contact your bank or financial services provider right away. In certain cases, your bank can cancel or reverse fraudulent transactions or monitor your accounts. You can also report a scam to the Federal Trade Commission and call the National Elder Fraud Hotline at 833-372-8311.

There are Adult Protective Services agencies across the country that you can reach out to as well if you suspect someone you know might be a victim of elder abuse.

Full Article & Source:
5 people tasked with helping Alabama woman — as live-in caretakers, cleaners and hairdressers — instead allegedly stole more than $200K from her in elder fraud scheme

Georgia Woman Accused of Defrauding St. Charles County Widower

For Immediate Release

U.S. Attorney's Office, Eastern District of Missouri

ST. LOUIS – A woman accused of defrauding a 74-year-old widower in a St. Charles County, Missouri nursing home has turned herself in to authorities in Georgia.

Shanita Gray, 51, was indicted by a grand jury in U.S. District Court in St. Louis on Dec. 6, 2023, with ten counts of wire fraud, one count of use of a counterfeit access device and four counts of aggravated identity theft. The indictment was unsealed Friday.

The indictment accuses Gray of using the personal information of the widower and a fraudulently obtained financial power of attorney to access the credit and debit cards and financial accounts of the alleged victim, identified in court documents as “D.H.” 

Gray notified the administrators of D.H.'s nursing home that she was seeking emergency guardianship of him, the indictment says, and concealed the existence of D.H.'s half-sister. She told D.H.’s son that she would manage his financial affairs.

Gray searched D.H.'s Berkley, Missouri home to locate personal identifying information, identify his financial accounts, take possession of his debit and credit cards and obtain samples of his handwriting, the indictment says. When D.H. refused to sign a power of attorney authorizing her to manage his financial affairs, Gray added his name to a form in which she sought a court appointment to be guardian and conservator that had already been notarized, it says. She obtained online access to his financial accounts, added herself as a beneficiary, changed his contact information on financial accounts to her Georgia address and emailed the bogus power of attorney document to financial institutions, the indictment alleges.

The indictment says Gray obtained more than $300,000 by selling shares in D.H.’s investment accounts, transferring funds out of his bank accounts, drawing checks for her benefit and the benefit of others, conducting electronic funds transfers to pay her bills and redirecting D.H.'s pension and retirement checks to her personal and business bank accounts.

The wire fraud charge is punishable by up to 20 years in prison. The counterfeit access device charge carries a maximum prison term of 10 years and the aggravated identity theft carries a penalty of two years in prison, consecutive to all other charges. Each charge also carries the possibility of a fine of up to $250,000. If convicted, restitution would be mandatory.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt.  Every defendant is presumed to be innocent unless and until proven guilty.

The Social Security Administration Office of Inspector General and the Maryland Heights Police Department investigated the case. Assistant U.S. Attorney Tracy Berry is prosecuting the case.

Contact

Robert Patrick, Public Affairs Officer, robert.patrick@usdoj.gov.

Source:
Georgia Woman Accused of Defrauding St. Charles County Widower

Indianapolis woman used stolen nursing license to fraudulently work in nursing homes

Photo by: Video Blocks

Nursing Home Resident

By: WRTV.com Staff

INDIANAPOLIS — An Indianapolis woman could face up to five years in prison for allegedly using stolen Social Security numbers and a stolen Licensed Practical Nurse number to obtain jobs she wasn’t qualified for while collecting over $50,000 in fraudulent Social Security benefits.

Rochelle Perry, 49, of Indianapolis, was indicted by a federal grand jury on five counts of Social Security number fraud, three counts of aggravated identity theft and one count of Social Security disability benefits fraud.

According to the U.S. Attorney’s Office, between February 2020 and March 2022, Perry submitted five fraudulent applications for employment to Indianapolis area nursing homes and assisted living facilities.

Officials say Perry used a stolen Social Security number on all five applications. She was receiving Social Security disability insurance benefits under her true Social Security number, and she knew that those benefits would be reduced or eliminated if the Social Security Administration found out she had a job.

Perry also knew that she might not be able to pass an employment background check if she applied to a health care facility using her true Social Security number, the U.S. Attorney’s Office says.

Court documents state in some of the job applications, Perry also used a stolen Licensed Practical Nurse (LPN) license number to make employers believe she was an LPN. Perry has never received any type of nursing license in the state of Indiana.

Of the five job applications, four were for LPN positions. Perry applied for those positions despite not having a nursing license.

Officials say Perry worked as an LPN at one facility from January 2021 to April 2021. She worked at a second facility from May 2021 to November 2021, and at a third facility she worked as a Memory Care Program Coordinator from February 2020 to April 2020.

Between December 2019 and December 2022, Perry received $54,991 in Social Security disability benefits under her true Social Security number.

On two separate occasions, in August 2021 and October 2022, Perry submitted Work Activity Reports to the Social Security Administration. In those reports, Perry declared, under penalty of perjury, that she had not earned any income since May 2019. Perry did not disclose that she had been earning wages at health care facilities.

If convicted on all counts, Perry faces up to 5 years in federal prison. A federal district court judge will determine the actual sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Full Article & Source:
Indianapolis woman used stolen nursing license to fraudulently work in nursing homes

Caretaker Of Two Seniors Charged With Stealing Money From Their Bank Accounts

MIAMI, Fla. (CW44 News At 10)– There has been a federal indictment unsealed that charges the caretaker of two seniors with accessing to their bank accounts to steal nearly $300,000.

The indictment alleges that from 2016 to 2019, Sherri Lynn Smith worked as a caretaker for an elderly couple in Broward County.  As part of her duties, Smith had access to the victims’ bank accounts to assist them with paying their monthly bills.  Smith used her access to the victims’ bank accounts to embezzle approximately $300,000 out of the victims’ accounts without their knowledge or consent, according to the indictment.

She accomplished this by writing and forging the victim’s signature on a number of checks made payable to herself, her family members, and her creditors; initiating Zelle electronic money transfers from the victims’ accounts to her own bank account; and making electronic payments from the victims’ accounts to her and her husband’s numerous credit card accounts, it is alleged.

The indictment returned by a federal grand jury on June 8, 2021, charges Smith with 16 counts of bank fraud and 5 counts of aggravated identity theft.

Smith made her initial federal court appearance today before U.S. Magistrate Judge Bruce E. Reinhart, who sits in West Palm Beach.  If convicted, the maximum prison sentences on each bank fraud count is 30 years.

The maximum sentence on each aggravated identity fraud charge is two years.  The case is assigned to U.S. District Judge Aileen Cannon, who sits in Ft. Pierce.

Full Article & Source:

Caretaker Of Two Seniors Charged With Stealing Money From Their Bank Accounts

Franklin Securities Broker Charged With Stealing From Elderly Clients

NASHVILLE, Tenn – June 15, 2020 – A former Investments Vice President at Raymond James & Associates, Inc. (Raymond James), has been charged with stealing $933,500 from two elderly clients, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.

A criminal Information charged Fredrick M. Stow, 65, of Franklin, Tennessee, with securities fraud, wire fraud, and aggravated identity theft. In a separate action, the U.S. Securities and Exchange Commission (SEC) on Friday filed a civil action against Stow, alleging violations of the antifraud provisions of the Securities Exchange Act of 1934.

“The conduct alleged here is detestable,” said U.S. Attorney Cochran. “Protecting our senior citizens from fraudsters like this is one of our highest priorities. Today marks the 15th annual World Elder Abuse Awareness Day and now more than ever, we remain steadfast in condemning elder abuse, neglect and exploitation and remain committed to preventing and prosecuting fraud on America’s seniors.”

According to the charging documents, beginning in 1982, Stow acted as the registered representative for three brokerage accounts owned by a client who was a retired airline pilot and WWII era veteran. Stow changed firms numerous times and the client elected to move his accounts with Stow each time, ultimately transferring his accounts to Raymond James when Stow joined the firm in 2013. Over time, Stow inserted himself into the personal and financial affairs of this client and in the later years of the client’s life, he frequently visited him at his home, where he lived alone but received full-time nursing care.

In October 2015, Stow began misappropriating funds from this client’s IRA account by forging wire transfer letters of authorization to permit transfers from the client’s IRA account to a SunTrust Bank account that Stow owned jointly with his wife. Stow also began selling securities in the client’s IRA account and transferring the proceeds to Stow’s own bank account.

At the time of this client’s death at the age of 98 in March 2018, Stow had made 74 unauthorized transfers and had stolen more than $900,000 from him. The charging documents also allege that within weeks of this client’s death, Stow stole $32,000 from another elderly brokerage customer, by transferring money from the customer’s brokerage account to another SunTrust bank account that Stow owned.

If convicted, Stow faces up to 20 years in prison and a fine of up to $5 million. The government also seeks a monetary judgement and the forfeiture of any property derived from the proceeds of the criminal conduct.

This case was investigated by the United States Secret Service and the SEC. Assistant U.S. Attorney Stephanie Toussaint is prosecuting the case.

Full Article & Source:
Franklin Securities Broker Charged With Stealing From Elderly Clients

Pottsville Woman Charged for Being Part of a "Grandparents Scheme; Defrauding Victims of At Least $158,800

United States Attorney William M. McSwain announced Friday that Yahaira Diaz, 33, of Pottsville, Pennsylvania, was charged by Information with aggravated identity theft, mail fraud, and access device fraud. The charges against the defendant stem from her participation in what has been popularly dubbed the “Grandparents Scheme”, a type of elder financial abuse.a
 
The charges come one day in advance of “World Elder Abuse Awareness Day” on June 15, 2019.

As alleged in the Information, the scheme operated as follows: an individual called an elderly victim posing as the grandchild of the victim, or posing as an attorney representing the grandchild. The caller claimed that the grandchild was in a vehicular accident and was arrested for driving under the influence (or some type of legal trouble). The caller then said that the grandchild needed money for bail or legal representation, and persuaded the victim to send thousands of dollars in cash via overnight delivery service to an address where the schemers retrieved the package. The schemers then continued to call the victim and demand more money until the victim realized that he or she had been defrauded and stopped sending money.

In those telephone calls, to further convince the grandparents to send cash, the co-schemers described the grandchild’s situation as increasingly serious: claiming that the grandchild had been arrested for driving under the influence; that a pregnant woman was involved in the accident; that the pregnant woman and her unborn child were injured or killed; that the grandchild would not be released from prison without additional funds; and that legal and other fees were mounting.

Diaz allegedly played a leadership role in this scheme, which she and her co-schemers perpetrated in Allentown and Bethlehem, Pennsylvania. For example, she identified and arranged for access to residential locations where her co-schemers instructed victims to send the fraud proceeds. Diaz recruited and controlled additional participants in the scheme who allowed her to use their residences for the receipt of proceeds, and who helped retrieve the packages and shared the proceeds with other co-schemers.

Diaz engaged in numerous incidents of the Grandparents Scheme as well as credit card fraud, which is also charged in the Information. In the Grandparents Scheme, Diaz and her co-schemers defrauded at least 10 elderly victims of at least $158,800 and attempted to defraud those victims of at least an additional $69,000. If convicted, the defendant faces a maximum possible sentence of 72 years in prison, including a mandatory minimum term of two years in prison.

“Crimes against the elderly target some of the most vulnerable people in our society, and schemes like the ‘Grandparent Scheme’ are particularly heinous because they prey on a senior’s love for their family,” said U.S. Attorney McSwain. “The Department of Justice is committed to protecting our seniors from fraud, and my Office will continue to prioritize prosecuting criminals who prey on our elderly residents.”

“Trying to scam strangers out of money is criminal,” said Michael T. Harpster, Special Agent in Charge of the FBI's Philadelphia Division. “Specifically targeting elderly victims because you figure they're easy marks is cruel. The FBI will never stop working to shut down elder fraud schemes like this to protect older folks and help them hang on to their hard-earned money.”

“Crimes like these against our elderly citizens are taken very seriously by law enforcement. The Bethlehem Police Department, working with its Federal partners, will investigate, arrest and prosecute individuals involved in criminal scams like these ‘Grandparent Scams,” said Mark DiLuzio, Chief of Police, Bethlehem Police Department. “As Chief, I would like to personally thank U.S. Attorney McSwain and his Office, the FBI, U.S. Postal inspectors, the Northampton County District Attorney’s Office and Bethlehem Police Detectives who all worked collectively and brought this person and her partners to justice. On behalf of all elderly citizens in the City of Bethlehem, thank you!”

The case was investigated by the Federal Bureau of Investigation, the United States Postal Service, the Bethlehem Police Department, and the Northampton County District Attorney’s Office, and is being prosecuted by Deputy United States Attorney Louis D. Lappen.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

The Department of Justice is committed to combating elder fraud. The Department’s historic 2018 and 2019 Elder Fraud Sweeps collectively brought criminal and civil actions against more than 500 defendants responsible for defrauding more than $1.5 billion from at least 3 million victims.

The Department of Justice also provides a variety of resources relating to elder fraud victimization through its Office of Victims of Crime (OVC), which has announced a new competitive solicitation addressing enhanced multidisciplinary teams for older victims of abuse and financial exploitation (up to $375,000 each) and funding for a National Multidisciplinary Team Technical Assistance Center (for up to $3 million), which will help facilitate the expansion of elder abuse case review across the nation. The deadline is July 7, 2019.

Full Article & Source:
Pottsville Woman Charged for Being Part of a "Grandparents Scheme; Defrauding Victims of At Least $158,800

Officials:Dickson attorney stole $1 Million from child of Tennessee trooper killed on duty

DICKSON, Tenn. (WZTV) — A Dickson attorney is accused in a million-dollar scheme, including stealing $1.1 million from a minor whose Tennessee trooper father was killed in the line of duty.

Attorney Jackie Lynn Garton, 54, is charged with wire fraud, aggravated identity theft, and tax fraud related to an 8-year long scheme stealing money from clients and law partners.

The scheme lasted from 2009 to 2017, according to middle Tennessee's U.S. District Attorney's office.

Officials said Garton acted as a trustee and removed over $1.1 million from the trust of a minor whose Tennessee trooper father was killed in the line of duty.

Documents say Garton withdrew funds from clients’ accounts without their permission and deposited the stolen funds into his personal bank accounts. He's also accused of trying to defraud the IRS of $350,000.

If convicted, Garton faces 25 years in prison and a $750,000 fine in addition to paying restitution to the victims. 

Full Article & Source:
Officials:Dickson attorney stole $1 Million from child of Tennessee trooper killed on duty