New Legislation Will Protect Older Adults in North Carolina from Fraud

NC Center for Public Policy Research via T. Jerry Williams

September 18, 2013 — Mebane Rash

Verne Strickland Blogmaster


 

Although schemes to rip off unsuspecting seniors are not new, what is new is the growing population of older adults in North Carolina, the increased sophistication of scams using the Internet, and the international scope of this crime. 

These scams take place statewide.  For example, in Burke County, scam artists based in Jamaica have targeted older adults.  One woman lost $52,000.  A 92-year-old former Army colonel in Raleigh was bilked out of more than $227,000 by home repair con artists.  The caretakers of an elderly man in Clinton took close to $16,000 worth of jewelry, charged more than $14,000 on his credit cards, stole his trailer, and hauled off his computer, refrigerator, and washing machine.

Scammers do not discriminate, targeting elders of all socio-economic brackets, all races, both male and female.  Some risk factors include being homebound, having memory impairments, possessing assets that are easily converted to cash, and the expectation that often seniors are just more polite.

The stories of fraud against the elderly across this state are rampant and appalling.  It is even more tragic when the fraud is carried out by relatives, family friends, or caregivers.

The most recent data from the Federal Trade Commission shows North Carolina already ranks 24^th among the 50 states in the number of fraud complaints per capita and 23^rd in the number of identity theft complaints per capita.  The Federal Trade Commission says that people over 50 account for almost one-half of all consumer fraud complaints, and more than a third of all identify theft complaints.  These figures are likely to go up quickly as the huge Baby Boom generation started turning 65 in 2011.  By 2020, 820,000 more Baby Boomers will turn 65 in North Carolina, so that’s 820,000 more targets for scammers.  The N.C. Center for Public Policy Research conducted research on this important issue and made recommendations to the legislature.

To combat this crime, Senator Stan Bingham (R-Davidson) sponsored Senate Bill 140 (signed into law by Governor Pat McCrory as Session Law 2013-337) to protect against the financial exploitation of older adults.  Representative Hugh Blackwell (R-Burke) shepherded the bill through the House.  The bill passed the Senate 47-0 and the House 111-1.  This legislation will increase the recognition of fraud committed against the elderly and work to prevent it, increase reporting when fraud is suspected, and increase the prosecution of those who would defraud or financially exploit the elderly.  It also continues the work of the Task Force on Fraud Against Older Adults, co-chaired by Senator Bingham and Representative Blackwell.

The Task Force includes representatives from the financial industry such as the N.C. Bankers Association, State Employees Credit Union, and Commissioner of Banks; from state agencies such as the Division of Aging and Adult Services and the State Treasurer’s Office; from advocacy groups for the aging such as AARP and the Senior Tar Heel Legislature; and from law enforcement groups such as the FBI, the N.C. Conference of District Attorneys, the N.C. Chiefs of Police; and from the N.C. Center for Public Policy Research.

The Task Force met all last year and came up with a multi-pronged approach that is designed to prevent fraud on the front end with the help of the banking, savings and loan, and credit union community, and to step up prosecution of fraud on the back end with the help of the N.C. Conference of District Attorneys and the Attorney General’s office.

So whether it’s fake home and roof repair schemes in Wake, Nash, and Wilson counties, or securities fraud targeting an Alzheimer’s victim in Wake County, or a fake home health aide stealing money and checks in Mecklenburg County, or sweepstakes and lottery scams in Northeastern North Carolina, or a scam in your own hometown, the work of the Task Force will help prevent fraud committed against the elderly and step up the prosecution of fraud all across North Carolina.
September 18, 2013 — Mebane Rash

Although schemes to rip off unsuspecting seniors are not new, what is new is the growing population of older adults in North Carolina, the increased sophistication of scams using the Internet, and the international scope of this crime. 

These scams take place statewide.  For example, in Burke County, scam artists based in Jamaica have targeted older adults.  One woman lost $52,000.  A 92-year-old former Army colonel in Raleigh was bilked out of more than $227,000 by home repair con artists.  The caretakers of an elderly man in Clinton took close to $16,000 worth of jewelry, charged more than $14,000 on his credit cards, stole his trailer, and hauled off his computer, refrigerator, and washing machine.

Scammers do not discriminate, targeting elders of all socio-economic brackets, all races, both male and female.  Some risk factors include being homebound, having memory impairments, possessing assets that are easily converted to cash, and the expectation that often seniors are just more polite.

The stories of fraud against the elderly across this state are rampant and appalling.  It is even more tragic when the fraud is carried out by relatives, family friends, or caregivers.

The most recent data from the Federal Trade Commission shows North Carolina already ranks 24^th among the 50 states in the number of fraud complaints per capita and 23^rd in the number of identity theft complaints per capita.  The Federal Trade Commission says that people over 50 account for almost one-half of all consumer fraud complaints, and more than a third of all identify theft complaints.  These figures are likely to go up quickly as the huge Baby Boom generation started turning 65 in 2011.  By 2020, 820,000 more Baby Boomers will turn 65 in North Carolina, so that’s 820,000 more targets for scammers.  The N.C. Center for Public Policy Research conducted research on this important issue and made recommendations to the legislature.

To combat this crime, Senator Stan Bingham (R-Davidson) sponsored Senate Bill 140 (signed into law by Governor Pat McCrory as Session Law 2013-337) to protect against the financial exploitation of older adults.  Representative Hugh Blackwell (R-Burke) shepherded the bill through the House.  The bill passed the Senate 47-0 and the House 111-1.  This legislation will increase the recognition of fraud committed against the elderly and work to prevent it, increase reporting when fraud is suspected, and increase the prosecution of those who would defraud or financially exploit the elderly.  It also continues the work of the Task Force on Fraud Against Older Adults, co-chaired by Senator Bingham and Representative Blackwell.

The Task Force includes representatives from the financial industry such as the N.C. Bankers Association, State Employees Credit Union, and Commissioner of Banks; from state agencies such as the Division of Aging and Adult Services and the State Treasurer’s Office; from advocacy groups for the aging such as AARP and the Senior Tar Heel Legislature; and from law enforcement groups such as the FBI, the N.C. Conference of District Attorneys, the N.C. Chiefs of Police; and from the N.C. Center for Public Policy Research.

The Task Force met all last year and came up with a multi-pronged approach that is designed to prevent fraud on the front end with the help of the banking, savings and loan, and credit union community, and to step up prosecution of fraud on the back end with the help of the N.C. Conference of District Attorneys and the Attorney General’s office.

So whether it’s fake home and roof repair schemes in Wake, Nash, and Wilson counties, or securities fraud targeting an Alzheimer’s victim in Wake County, or a fake home health aide stealing money and checks in Mecklenburg County, or sweepstakes and lottery scams in Northeastern North Carolina, or a scam in your own hometown, the work of the Task Force will help prevent fraud committed against the elderly and step up the prosecution of fraud all across North Carolina.
September 18, 2013 — Mebane Rash

Although schemes to rip off unsuspecting seniors are not new, what is new is the growing population of older adults in North Carolina, the increased sophistication of scams using the Internet, and the international scope of this crime. 

These scams take place statewide.  For example, in Burke County, scam artists based in Jamaica have targeted older adults.  One woman lost $52,000.  A 92-year-old former Army colonel in Raleigh was bilked out of more than $227,000 by home repair con artists.  The caretakers of an elderly man in Clinton took close to $16,000 worth of jewelry, charged more than $14,000 on his credit cards, stole his trailer, and hauled off his computer, refrigerator, and washing machine.

Scammers do not discriminate, targeting elders of all socio-economic brackets, all races, both male and female.  Some risk factors include being homebound, having memory impairments, possessing assets that are easily converted to cash, and the expectation that often seniors are just more polite.

The stories of fraud against the elderly across this state are rampant and appalling.  It is even more tragic when the fraud is carried out by relatives, family friends, or caregivers.

The most recent data from the Federal Trade Commission shows North Carolina already ranks 24^th among the 50 states in the number of fraud complaints per capita and 23^rd in the number of identity theft complaints per capita.  The Federal Trade Commission says that people over 50 account for almost one-half of all consumer fraud complaints, and more than a third of all identify theft complaints.  These figures are likely to go up quickly as the huge Baby Boom generation started turning 65 in 2011.  By 2020, 820,000 more Baby Boomers will turn 65 in North Carolina, so that’s 820,000 more targets for scammers.  The N.C. Center for Public Policy Research conducted research on this important issue and made recommendations to the legislature.

To combat this crime, Senator Stan Bingham (R-Davidson) sponsored Senate Bill 140 (signed into law by Governor Pat McCrory as Session Law 2013-337) to protect against the financial exploitation of older adults.  Representative Hugh Blackwell (R-Burke) shepherded the bill through the House.  The bill passed the Senate 47-0 and the House 111-1.  This legislation will increase the recognition of fraud committed against the elderly and work to prevent it, increase reporting when fraud is suspected, and increase the prosecution of those who would defraud or financially exploit the elderly.  It also continues the work of the Task Force on Fraud Against Older Adults, co-chaired by Senator Bingham and Representative Blackwell.

The Task Force includes representatives from the financial industry such as the N.C. Bankers Association, State Employees Credit Union, and Commissioner of Banks; from state agencies such as the Division of Aging and Adult Services and the State Treasurer’s Office; from advocacy groups for the aging such as AARP and the Senior Tar Heel Legislature; and from law enforcement groups such as the FBI, the N.C. Conference of District Attorneys, the N.C. Chiefs of Police; and from the N.C. Center for Public Policy Research.

The Task Force met all last year and came up with a multi-pronged approach that is designed to prevent fraud on the front end with the help of the banking, savings and loan, and credit union community, and to step up prosecution of fraud on the back end with the help of the N.C. Conference of District Attorneys and the Attorney General’s office.

So whether it’s fake home and roof repair schemes in Wake, Nash, and Wilson counties, or securities fraud targeting an Alzheimer’s victim in Wake County, or a fake home health aide stealing money and checks in Mecklenburg County, or sweepstakes and lottery scams in Northeastern North Carolina, or a scam in your own hometown, the work of the Task Force will help prevent fraud committed against the elderly and step up the prosecution of fraud all across North Carolina.