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In the News : SAIF

Publication: The Modesto Bee
By: Patrick Giblin
Date: June 13, 2003

 

retirees warned about con jobs;
scams can last years before victims realize money is gone for good

 

Con artists aren't interested in draining the bank accounts of the 80-year-old widow down the street.

Instead, they want the money of folks who are near retirement or have retired recently, active people between the ages of 50 and 70 who are worried about how they are going to make it on Social Security, said Alice Molina, a regional trainer with the Seniors Against Investment Fraud program.

The program is run by the California Department of Corporations, which oversees investment and financing authorities in the state. Molina and Dick Ryder, a recruiter for program, gave a presentation to about 20 people at the Modesto Senior Center on Thursday morning. Many who attended represented other organizations that deal with people 50 and older.

Molina said scam artists will never look or sound like thieves. Instead, they often are professional, well-dressed and seem to have all the answers about what they are trying to sell.

"These people will study everything we want and then take advantage of it," she said. "Then they will move into our senior centers or church groups and become our friends."

They aren't after a few dollars, she said. "They want your life savings."

State officials estimate Californians are scammed out of $10 billion each year.

The schemes can be anything from sending money to pay for taxes on nonexistent lottery winnings to investing in property or a stock that will be the next hot thing. Some scams last two to three years before the victim realizes the money is gone for good.

"There are con artists who will tell you all these good stories and high returns and offer you a legitimate business practice," Molina said. "But instead of investing the money, they put it in their pocket."

Never agree to an investment without investigating it and making sure the dealer has a legitimate license, she said. Don't give checking account, driver's license or Social Security numbers over the phone, she said. And don't return phone calls to out of area numbers that aren't recognizable.

"It could be an 800 number in a foreign country where they charge $2,400 per minute for the call," Molina said.

Never let a stranger in the house, even if that person is in a uniform and said he or she is from the water company and needs to check the faucets.

"Call the company and make sure it's a legitimate employee," Molina said.

FIGHTING FRAUD

  • Never give money for a reward or prize, and beware of people who say they want to share money that they have found, or want to bless your money or perform a ritual to increase the money's value.
  • Never give personal information over the telephone unless you can verify who is on the other end of the line. And never let people in your house unless you know who they are.
  • Banks and law enforcement agencies will never ask you to withdraw money from your account for any reason, even an investigation.
  • Never discuss your finances with people whom you do not know.
  • Always call police when you think someone has tried to con you.
  • Always use the services of well-established businesses.
  • Only have your initials and address preprinted on your personal checks. Make store clerks add other identifying information.
  • You can demand that your number be removed from a phone solicitor's list and that they no longer call you at home.
  • If you are unsure about an investment's legitimacy, contact the California Department of Corporations: telephone (866) ASK-CORP or www.corp.ca.gov.

 

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