Scammers have stolen about $22,000 from an elderly man after he fell victim to a sophisticated Bitcoin fraud scheme. According to the police, the scam started with a fraudulent Amazon text message appearing on his phone from Amazon. The text claimed that his account had been compromised.
After receiving the fraudulent texts, the victim then received calls from someone who identified himself as Agent John Krebs from the Federal Trade Commission, calling from a Washington, D.C. number. The caller told the man that he was under investigation for money laundering and gave him details on how to resolve the charges. The victim claimed that the scammer asked him to deposit $22,000 into a Bitcoin ATM at a gas station along South Dixie Highway in West Palm Beach.
Scammers trick elderly victim into paying $22,000 in BTC
Rachel Leitao, public information officer with the West Palm Beach Police Department, noted that residents need to stop paying Bitcoin to criminals who claim they can resolve any issue they have. “No government agency is going to contact you if you need to make a payment at a Bitcoin kiosk. That is a red flag,” she said. Police have now taken it upon themselves to warn residents about the increased rate of fraudulent schemes during the holiday season.
Leitao claimed that there is always an increase in scams around the holiday season. The warning comes as scammers have continued to target local victims in the area. According to reports, another local victim, John Klingel, told reporters that he lost more than $38,000 to these scammers who put pressure on him to deposit funds into a Bitcoin kiosk. He claimed that the scammers are very crafty and slick, noting that they will stop at nothing to convince you to pay the fees.
The warnings also come amid a rise in cryptocurrency fraud across the United States. The American Association of Retired Persons reported that more than $9.3 billion was lost to scammers due to fraud and theft related to digital assets. The report claimed that elderly people aged 60 or older lost about $2.8 billion of the total funds. As these scams are increasing, the West Palm Beach Police are also putting measures in place to help residents against these scammers.
Police urge citizens to be cautious of these criminals
The West Palm Beach police recently announced that it is encouraging its residents to sign up for what it calls Operation Senior Shield, a free system that sends alerts and updates on the latest scams to help elderly residents recognize red flags and protect their funds and personal information. “It really focuses on making sure that there’s awareness surrounding these financial and fraud scams,” Leitao said. Klingel said he plans to sign up for the program.
The police have assured the general public that the investigation into the West Palm Beach victim’s case remains ongoing, and they are looking to track down the operations of the scammers after he received the funds. At the same time, the police have claimed that it will start sending out alerts to residents who have signed up for the Operation Senior Shield, a development that is set to kickstart at the beginning of next month.
Meanwhile, the West Palm Beach police have revealed guidelines that could help citizens avoid these scams. They urge citizens to verify all agency calls via the official number or website. The police also noted that law enforcement will never ask for money, digital assets, or gift cards. They also asked residents not to share their personal information online, urging them to talk to someone they trust around them if they feel that something is off.
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