Reports have emerged from Michigan about a victim who entered a store under instructions to purchase $USD385,000 in gold after scammers told her the money in her bank accounts was not secure.
The victim arrived at Cedar Springs Coins & Jewelry and was described as frightened for the safety of herself and her family. Business owner Josh VanderWerf was immediately alarmed at both the size and supposed urgency of the order.
VanderWerf contacted the Federal Bureau of Investigation, which launched an investigation that has ended in the arrest of a 25-year-old man who is now facing two felony charges.
“The scheme relied on fear. The scammers convinced the woman that her financial accounts had been compromised and that leaving her money in the banking system would put her savings at risk. Their supposed solution was for her to convert the money into physical gold,” a report from Yahoo explains.
“The method closely matches a scam pattern identified by the FBI's Internet Crime Complaint Centre. Criminals may impersonate technology companies, financial institutions or government officials and tell victims that their accounts have been hacked or are in danger. The victim is then directed to liquidate savings and purchase gold, silver or other precious metals.”
The report added: “In some versions, the criminals later arrange for a courier to collect the metals while claiming the assets will be safeguarded. The FBI says the victim instead loses the property once it is turned over.”
According to local media, several similar scams have been detected in Michigan in recent months.
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