Six of eight people involved in a large-scale “grandparent scam” have been arrested after they stole tens of thousands of dollars from elderly residents while pretending to be their grandchildren, officials said.
Lyda Harris, 74, of Laveen, Arizona, became the latest person to plead guilty Thursday (July 7) in federal court.
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How scam worked
Officials said eight people created a network to steal money from elderly Americans across the United States. Those victims would pay thousands to tens of thousands of dollars because they thought they needed to help their grandchildren or family members, according to authorities.
Members of the network would call elderly residents over the phone and impersonate their grandchild or family members, convincing the victim that their loved ones were in legal trouble and needed money to pay for bail or medical expenses, officials said.
The callers would receive money from the residents through in-person pickup or mail and wire transfer, court records show. They would then launder the proceeds, including through cryptocurrency, officials said.
“These defendants were part of a sophisticated criminal organization that exploited the tremendous love a grandparent has for a grandchild,” said U.S. Attorney Randy Grossman, for the Southern District of California. “The victims were financially and emotionally devastated by callous people who thought only of enriching themselves.”
Charges
Harris pleaded guilty to conspiracy under the Racketeer Influenced and Corrupt Organizations Act and is scheduled to be sentenced Sept. 30, according to authorities.
Tracy Glinton, 35, of Orlando, Florida, pleaded guilty June 9 to the same charge and is scheduled to be sentenced Sept. 9, officials said.
They both face a maximum penalty of 20 years in prison.
Officials said six of the eight people involved in this case have now been arrested and pleaded guilty. The two others have been charged, but they still have not been found.
“Scammers continue to target our elderly population at an ever-increasing rate across the country,” said special agent in charge Stacey Moy, of the FBI’s San Diego field office. “These defendants intentionally preyed upon and systematically stole from their victims without a second thought.”