New York man convicted of fraud with fraudulent price announcement | GRANDPA

A Queens man has been convicted of participating in a scheme to send fraudulent prize communications that tricked consumers into paying fees for falsely promised cash prizes.

Scott Gammon, 48, of Broad Channel, New York, was sentenced today to 36 months in prison followed by two years of supervised imprisonment. The verdict was issued by US District Judge Joan M. Azrack, who also ordered Gammon to forfeit $139,611.97.

According to court documents, from August 2014 to August 2019, Gammon was involved in a direct mailing that sent fraudulent win notifications to thousands of consumers. The mailings prompted consumers to pay a fee, ostensibly in exchange for a large cash prize. None of the consumers who sent a fee have ever received such a prize.

“Participants in fraud schemes face federal prison,” said Brian M. Boynton, deputy assistant attorney general, chief of the Justice Department’s civil division. “The Department of Justice is committed to protecting elderly and vulnerable Americans and to prosecuting individuals who engage in such programs.”

“The financial exploitation of the elderly and other victims through fraudulent pricing schemes is a form of abuse and deserves punishment, as today’s ruling demonstrates,” said US Attorney Breon Peace for the Eastern District of New York. “A prison sentence should deter others from exploiting the weak.”

“Today’s sentencing concludes the investigation into Mr. Gammon, who developed a fake prize scheme to defraud and steal from elderly Americans who believed they had won a prize,” said Acting Inspector Daniel B. Brubaker from the United States Postal Inspection Service (USPIS) New York Division. “Unfortunately, the participants realized too late that they had been cheated. When a prize didn’t materialize and their money wasn’t refunded, they became victims. Postal inspectors remind consumers to remain vigilant and play an active role in protecting their money. If you’re asked to pay for a prize you didn’t enter in order to win, it’s fraud.”

Two other defendants also pleaded guilty to conspiracy to commit mail fraud because they participated in the program. Christopher King, 37, of Oceanside, New York, and Natasha Khan, 39, of Elmont, New York are scheduled to be sentenced at a later date.

The USPIS investigated the case.

Trial Attorneys Daniel Zytnick and Timothy Finley of the Civil Division’s Consumer Protection Division and Assistant US Attorney Charles P. Kelly for the Eastern District of New York are prosecuting the case. Assistant US Attorney Tanisha Payne for the Eastern District of New York Asset Recovery Division handles foreclosure matters.

The department’s extensive and broad-based efforts to combat elder fraud aim to stop the widespread losses that elders suffer from scam schemes. However, the best method of prevention is to share information about the different types of elder scam schemes with relatives, friends, neighbors and other elders who can use this information to protect themselves.

If you or someone you know is 60 years of age or older and has been a victim of financial fraud, you can get help from the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Crime Victims Office, is staffed by experienced professionals who provide callers with one-on-one support by assessing the victim’s needs and identifying relevant next steps. Case managers will identify appropriate hotlines, provide information to callers to assist in reporting, connect callers directly to appropriate hotlines, and provide resources and referrals on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those committing fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood that losses will be recovered. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. ET. English, Spanish and other languages ​​are available.

For more information about the Consumer Protection Branch and its enforcement efforts, visit www.justice.gov/civil/consumer-protection-branch. For information about the Department of Justice’s Elder Fraud Initiative, visit www.justice.gov/elderjustice.

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