Federal Elder Fraud Charges - Targeting Seniors
You helped a friend move some money. That's how it started. Someone you met online - someone who seemed legitimate, charming even - asked if you could receive a wire transfer and forward it along. Maybe they said it was for an investment, or to help a relative overseas. You thought you were doing a favor. You didn't know the money came from an 82-year-old widow in Ohio who'd been convinced her grandson was in jail.
Now there are federal agents at your door.
The federal government has built an entire prosecution machine dedicated to elder fraud. It's not just a priority - it's a coordinated assault involving the FBI, IRS Criminal Investigation, Secret Service, and 94 U.S. Attorney offices, each with a designated Elder Justice Coordinator whose job is to find cases exactly like yours. The DOJ's Transnational Elder Fraud Strike Force specifically hunts foreign-originated scams. And the sentences? Defendants convicted of defrauding elderly victims face prison terms two to three times longer than comparable fraud cases.
Welcome to Spodek Law Group. We handle federal elder fraud defense cases across the country. If you've been contacted by federal agents, received a target letter, or believe you may be under investigation for any fraud involving elderly victims - this article explains what you're facing and what options exist.
The Federal Machine Built to Prosecute You
The DOJ's Elder Justice Initiative isn't a suggestion or a press release. It's infrastructure. Every single one of the 94 United States Attorney's offices has appointed an Elder Justice Coordinator - a prosecutor whose primary responsability is formulating and leading that district's elder fraud strategy. These coordinators share intelligence, coordinate cases across jurisdictions, and compete to bring the biggest prosecutions.
During the most recent reporting period - July 2023 through June 2024 - the Department pursued over 300 enforcement actions against more than 700 defendants. These defendants were charged with stealing nearly $700 million from over 225,000 older victims. The National Elder Fraud Hotline recieved more than 50,000 calls. Victim compensation funds have returned over $129 million to more than 100,000 victims across the country.
The losses keep climbing. According to the FBI's IC3 Elder Fraud report, total losses reported by older adults topped $4.9 billion in 2024 - a 43% increase from 2023. Your reading that right. Almost a 50% jump in one year. And theres more: aggregate fraud losses from older adults went from $600 million in 2020 to $2.4 billion in 2024. Investment scams alone accounted for $1.8 billion. The government sees these numbers and responds with resources.
The FBI's international cooperation has exploded. In 2024, FBI collaboration with India enabled over 215 arrests through eleven joint operations with CBI and local law enforcement. That's a 700% increase in arrests compared to 2023. Based on that success, the FBI expanded it's program to Accra, Ghana, where agents now work directly with Ghanaian law enforcement on elder fraud schemes. Your facing an international dragnet, not just domestic prosecutors.
Frederick Kumi learned this the hard way. In December 2025, a federal grand jury indicted this Ghanaian national for running romance scams that took over $8 million from elderly victims across the United States. According to the indictment, Kumi and his network used Artificial Intelligence software to assume false identities and form close personal relationships with victims. They gained trust through social media and dating platforms. Then they convinced victims to send money - often there entire life savings. Kumi was arrested in Ghana on December 11, 2025. Extradition is pending.
But here's the part most people miss.
Why Elder Fraud Sentences Are 2-3x Longer
Getting caught isn't the worst outcome. Getting sentenced is. And sentences for elder fraud are dramatically longer than comparable fraud cases - not because of different statutes, but because of how federal sentencing guidelines treat elderly victims.
The Federal Sentencing Guidelines include a "vulnerable victim" enhancement. If the defendant knew or should have known that the victim was unusualy vulnerable due to age, physical or mental condition, or the defendant's relationship with the victim - the offense level increases by 2 to 4 levels. For elderly victims, courts apply this enhancement almost automaticaly. There's no debate. There's no argument. The victim was over 60, the victim lost money, the enhancement applies.
But that's just the beginning. If "sophisticated means" were used - shell companies, cryptocurrency, encrypted communications, AI-generated personas - add 2 more levels. If you had any leadership role in the scheme, add 2 to 4 more levels. If victims suffered "substantial financial hardship," add 2 to 4 more levels. Mass marketing enhancement? Add 4 levels. By the time its all added up, someone with no criminal history can face 5 to 10 years in federal prison for a first offense.
Look at what happened to a Chinese national college student on an F-1 Visa. He traveled across the country working as a "money mule" - picking up cash from older victims and transfering it to his handler. That's all he did. No scheming. No phone calls to victims. Just picking up envelopes. Sentence: 16 months in federal prison plus $188,000 in restitution. A college student. For being a courier.
The charges stack fast. One elder fraud operation can trigger multiple counts:
Two Virginia men pled guilty in late 2024 for laundering $6 million from an elder fraud scheme. Each received 87 months - more than seven years. Pranav Patel, a New Jersey man connected to an elder fraud money laundering conspiracy, received 75 months plus a forfeiture order of $1,791,301. Badetito Obafemi, a Georgia man who ran romance scams targeting elderly victims in Missouri, Minnesota, and New Jersey, received 24 months plus $311,520 in restitution - for $300,000 in fraud.
How Banks Are Building the Case Against You
Financial institutions are now active participants in elder fraud investigations. This isn't speculation. It's regulatory mandate.
In December 2024, the Federal Reserve, FDIC, OCC, NCUA, and CFPB issued a joint interagency statement on elder financial exploitation. The statement reminds banks of their obligations under Bank Secrecy Act regulations to file Suspicious Activity Reports (SARs) when they detect suspected elder financial exploitation. A FinCEN financial trend analysis of BSA reports found that approximately $27 billion in reported suspicious activity was linked to elder financial exploitation over a one-year period.
Banks watch for specific red flags. Unusual behavior of an older adult or their caregiver. Unexpected large wire transfers out of an account with no history of similar activity. New signatories on accounts belonging to elderly customers. Sudden changes in spending patterns. When these flags appear, banks file SARs - and those SARs become evidence in federal investigations. Your bank may be building the government's case while you think your being discreet.
The use of technology creates additional problems. The Frederick Kumi indictment specifically mentions use of Artificial Intelligence software. Prosecutors argue that AI-enabled fraud demonstrates "sophisticated means" - triggering additional sentencing enhancements. The same tools that make fraud schemes easier to execute make the resulting sentences longer.
What to Do If You're Under Investigation
The single most important rule:
Never agree to discuss a potential elder fraud case with federal agents without a lawyer present.
Federal agents are trained interrogators. They seem friendly. Understanding. They suggest that cooperation will help. What they don't tell you is that everything you say can and will be used to build charges against you. There have been numerous cases where people who talked to investigators without counsel ended up charged with additional crimes - making false statements to federal agents, obstruction of justice - on top of the underlying fraud allegations.
If you're under investigation or concerned you might be:
- Don't destroy any documents, emails, or text messages. Document destruction is a separate federal crime.
- Don't discuss the matter with others who may be involved. Those conversations can be used against you and may constitute conspiracy.
- Don't move money or attempt to return funds without counsel. This can be used as consciousness of guilt.
- Don't assume that because your role was small, you're safe. Money mules get federal prison time.
- Contact a federal defense attorney immediately. The earlier you have counsel, the more options exist.
Todd Spodek has handled elder fraud cases in federal court. He understands the difference between cases where early intervention can limit exposure and cases where aggressive trial defense is necessary. He knows how prosecutors think, how sentencing enhancements stack, and what factors judges actually consider.
Spodek Law Group can help you understand where you stand. The consultation is free. You'll get an honest assessment - not best-case fantasies, but realistic outcomes based on how these cases actually play out in federal court.
Call us at 212-300-5196. The government has resources. They have 94 dedicated Elder Justice Coordinators. They have international cooperation. They have your bank filing suspicious activity reports. What they dont have is a time machine. The earlier you have counsel, the more leverage exists.
Were here when you need us.
