FBI, Postal Service Crack Down on Elderly Fraud Scheme in Puerto Rico

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A federal grand jury has returned a 40-count superseding indictment charging eight individuals with various fraud-related crimes, including conspiracy to commit bank fraud, wire fraud, access device fraud, aggravated identity theft, and money laundering conspiracy. The scheme targeted mostly elderly clients of Banco Popular de Puerto Rico, who were tricked into providing their debit cards and PIN numbers.

The Scheme

According to the indictment, Ángel De La Rosa, also known as “Julio Zapata,” and others posed as federal agents or bank officials, visiting the homes of account holders and claiming that their accounts had been compromised. They would then ask for the debit cards and PIN numbers, which were used to purchase Postal Money Orders at various post offices throughout Puerto Rico.

Laundering the Proceeds

The money orders were later negotiated into cash, with proceeds used to buy jewelry worth over $40,000 in New York. The scheme was operated through a jewelry store in San Juan, Puerto Rico, as a means of laundering the fraudulent proceeds.

Reaction from Authorities

“The U.S. Attorney’s Office will continue to pursue and prosecute individuals who take advantage of others, including the elderly,” said United States Attorney W. Stephen Muldrow. “We urge everyone to take steps to protect their personal information.”

The FBI and the U.S. Postal Inspection Service are leading the investigation into the scheme, which is believed to have begun in October 2021.

“If you or someone you know has been a victim of elder fraud, we urge you to come forward,” said Special Agent in Charge Joseph González of the FBI’s San Juan Field Office. “We need to break the silence and help those who have been scammed.”

Penalties and Forfeiture

The defendants face a maximum penalty of 30 years in prison if convicted, as well as mandatory consecutive sentences for aggravated identity theft charges. The proceeds of the fraud scheme are subject to criminal forfeiture.

What You Can Do

If you believe you have been a victim of identity theft, you can obtain helpful information and complaint forms on the Federal Trade Commission ID Theft Website at www.ftc.gov/idtheft.