A 70-year-old Hazel Park woman lost more than $270,000 after responding to a fake email that appeared to be from the FTC, which falsely claimed federal warrants for drug trafficking and money laundering. Scammers pressured her not to contact local police, convinced her to liquidate pension accounts and buy gold, and repeatedly demanded payments. Investigators traced the fraud to a 30-year-old suspect in Sacramento who was extradited to Michigan and charged with two felony counts of false pretenses; bond was set at $300,000. The FTC warns it never demands payment or asks people to buy gold and urges victims to report scams at ReportFraud.ftc.gov.
Fake 'FTC' Email Costs 70-Year-Old Michigan Woman More Than $270,000 — Suspect Extradited on Fraud Charges
Image Credit: CrimeInTheD/Facebook.
A 70-year-old Hazel Park, Michigan, woman was defrauded of more than $270,000 after scammers sent a fake email that appeared to be from the Federal Trade Commission (FTC) and falsely claimed federal warrants had been issued for drug trafficking and money laundering.
How the Scam Worked
The victim first received an unsolicited email saying a warrant had been issued and instructing her to contact the agent handling the case. When she called the number in the message, the person posing as an agent insisted she needed to pay money to clear the warrants and warned her not to contact local police, claiming officers would arrest her if she did.
Believing the threat was real, the woman liquidated pension accounts in her name and those of her late husband, and she was also instructed to buy gold and hand it over as part of the supposed process to resolve the matter. After several payments and demands, her total losses exceeded $270,000.
Investigation and Charges
Hazel Park police collected surveillance footage, obtained search warrants and used Flock license-plate reader data while pursuing leads. Investigators traced the scheme to a 30-year-old man in Sacramento, California. Authorities located and extradited him to Michigan, where the Oakland County Prosecutor's Office authorized two felony counts of false pretenses.
The defendant was arraigned in Hazel Park District Court on September 2. A judge set bond at $300,000 and ordered GPS monitoring as a condition of any release. Police have not publicly identified the suspect; the charges are accusations and have not been proven in court.
FTC Guidance And What To Do If You’re Targeted
The FTC says it will never: threaten arrest, demand payment, instruct you to transfer savings for protection, or tell you to withdraw cash or buy gold to give to someone.
The agency advises anyone who receives an unexpected email, call or text claiming to be from the FTC to avoid using the contact information provided in the message. Instead, end the communication and contact the agency using a phone number or website you know to be legitimate.
Consumers should never send money via gift cards, cryptocurrency, wire transfers or payment apps to someone claiming to be from a government agency. If you already sent money or disclosed sensitive information, stop communicating with the sender, contact affected banks or institutions, and report the impersonation at ReportFraud.ftc.gov. If personal information was exposed, visit IdentityTheft.gov for steps to secure accounts and recover from identity theft.
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