Tag Archive for: elder fraud

DA Stephan Testifies Before U.S. House Committee on Crime, Updates Congress on National Threat of Organized Retail Crime

San Diego County District Attorney Summer Stephan testified before Congress today for the second time this year, addressing the Subcommittee on Crime and Federal Government Surveillance within the House Judiciary Committee. During her remarks, the DA provided a snapshot of how organized retail crime has evolved in the last few years, including an update on progress being made in San Diego County under Proposition 36.

“Organized retail crime is not a victimless offense,” Stephan told lawmakers. “It harms workers, consumers, small businesses, and entire communities. It undermines public safety and erodes confidence in the rule of law.”

Watch DA Stephan’s testimony here.

DA Stephan urged Congressional action to combat the growing threat of organized retail crime (ORC) and transnational theft networks that are harming communities and businesses across the nation with commercial and residential thefts and burglaries. DA Stephan was called to testify for her expertise in combatting these types of crimes in San Diego County.

Stephan cited national data estimating that U.S. retailers lost $45 billion to theft in 2024, with losses projected to exceed $53 billion by 2027. She emphasized that organized theft contributes to store closures, job losses, higher consumer prices, and increased violence against retail employees.

In San Diego County alone, the DA’s Office has filed organized retail theft cases against 336 defendants over a three-year period, resulting in more than $3.2 million in documented losses and significant prison and jail sentences for convicted offenders.

Stephan’s testimony highlighted numerous cases involving coordinated “flash mob” thefts, multi-state retail burglary rings, and transnational criminal organizations — including South American Theft Groups (SATGs) — responsible for high-end residential burglaries and large-scale commercial thefts with stolen goods shipped overseas.

Stephan pointed to California’s recent legal reforms, including voter-approved Proposition 36, which strengthened penalties for habitual theft and expanded prosecutors’ ability to aggregate thefts across locations and time periods. These changes have allowed law enforcement to better target organized criminal networks rather than treating theft as isolated incidents.

“Our experience in California shows that strong, clear laws combined with collaboration work,” Stephan said. “Prop 36 has made a real difference to local businesses and prosecuting these habitual offenders is making stores and the community safer. By emphasizing accountability alongside treatment and rehabilitation, data also shows that Prop 36 is working to address the core drivers of habitual criminal behavior. This kind of reform can serve as a model for the nation.”

District Attorney Stephan voiced strong support for the bipartisan Combating Organized Retail Crime Act, which would expand federal enforcement tools and create a national Organized Retail Crime Coordination Center. She emphasized that organized theft rings routinely cross city, county, state, and international borders — making federal coordination essential.

She also highlighted the need for improved data-sharing, stronger public-private partnerships, and public awareness campaigns to reduce the resale of stolen goods online and in informal markets.

In addition to retail theft, Stephan addressed fraud-based crimes such as gift card scams and elder fraud, noting that San Diego County alone recorded $149 million in elder scam losses in one year. She stressed that integrated national data systems could expose connections between organized theft and fraud networks operating simultaneously.

“Restoring the rule of law means accountability that fits the crime,” Stephan said. “We must distinguish between minor offenses and sophisticated criminal enterprises that prey on consumers and businesses alike.”

District Attorney Stephan reaffirmed her office’s commitment to working with Congress, law enforcement, retailers, and community partners to combat organized crime.

“We stand ready to assist in strengthening laws and resources to protect our communities, our businesses, and our consumers,” she said. “Together, we can meet this challenge and ensure justice is served.”

Also testifying at today’s hearing were Scott McBride, Chief Global Asset Protection Officer & Chief Security Officer, American Eagle Inc.; Chris Spear, President and CEO, American Trucking Association; and Shane Bennett, Principal of Cyber Defense for Theft, Fraud & Abuse, Target.

Elder Fraud Prevention: Spot the Red Flags Before It’s Too Late

Elders in our community are being targeted by scammers — from fake tech support to imposters pretending to be loved ones. If your money is involved and you’re told to keep it secret, it’s a scam. In just one year, seniors in San Diego County lost more than $130 million to scams. Watch this video to learn the warning signs and how to protect yourself and your loved ones from becoming victims. Stop. Hang Up. Tell Someone. Report scams at IC3.gov. Click here to protect yourself and your loved ones from scams targeting the elderly: https://www.sdcda.org/preventing/Elder-Scam-Prevention-Campaign-Materials

 

Photo of gavel and scales of justice.

Woman Convicted in Elder Theft Case is Sentenced

San Diego County District Attorney Summer Stephan said today that a woman who illegally took possession of an 89-year-old victim’s house and refused to vacate it has been sentenced to two years formal probation and 150 hours of community service. The sentence was handed down this afternoon in San Diego Superior Court downtown.The defendant, Asfar “Benny” Shamlou was also ordered to stay away from the property and victims in this case. The victim’s family is currently in the process of regaining possession of the home.

“This defendant took advantage of an elderly woman in poor health and was brought to justice by our DA Real Estate Fraud team,” said DA Stephan. “Elder abuse comes in many forms. Our office pursues justice on behalf of seniors and works to hold defendants like this accountable for preying on some of the most vulnerable in our community.”

In this case, the victim, who suffers from dementia, had a stroke in 2018 and moved into a nursing care facility. Shamlou, 67, whose website indicates she has a background in finance and real estate investments, identified the Carmel Mountain Ranch home as being vacant and delinquent on property taxes. She illegally moved into the home in early 2021. When confronted by the victim’s family, she told them she had paid the back taxes and that she now owned the home. Shamlou threw away all of the owner’s possessions and even remodeled the home.

The defendant was charged with five felony counts including theft from an elder, burglary, grand theft of personal property, and vandalism. She was convicted of all criminal counts by a jury in December of 2023.

This case was prosecuted by Deputy District Attorney John Dunn who is the lead prosecutor in the DA’s Real Estate Fraud Unit. Suspected fraud or other real estate related crime can be reported to the District Attorney here.

DA Issues Warning After Elderly Woman is Scammed Out of $200,000

San Diego County District Attorney Summer Stephan announced criminal charges today against a man for his role in a scam that targeted an elderly San Diego woman who was convinced to pay over $200,000 in cash to the thieves over several weeks. Zhi Gao, a 22-year- old resident of San Gabriel, CA, was arrested Thursday evening when he went to the victim’s home to pick up a cash payment from her. He has been charged with attempted grand theft, attempted receiving stolen property, and resisting an officer in the performance of their duties. Gao is believed to be part of a larger theft ring and a courier for the criminal network.

[WATCH LIVE STREAM OF NEWS CONFERENCE, HERE]

“We are alerting our community about the most common and current scam that is stealing precious life savings from our seniors,” DA Stephan said. “This egregious case of financial elder abuse is a compelling reminder to seniors and their families to be aware of the warning signs of a scam and reach out for help. These ruthless scammers targeted a vulnerable elderly woman through a sophisticated fraud scheme. The case should also serve as a warning to scammers who are running such criminal enterprises that we’re working together in a first-of-its-kind Elder Justice Task Force and having increased success in tracking them down and putting them behind bars.”

The victim, a 65-year-old woman with significant health issues, fell victim to two of the most popular scams that law enforcement is encountering. The first, was a “tech support scam.” The victim’s computer froze and then a pop-up message from Microsoft appeared on her screen providing a phone number to call to fix her computer. The victim called the phone number and the scammer, pretending to be from Microsoft, solicited an initial $120 from the victim to fix her computer.

After believing she was dealing someone from Microsoft, the scam shifted to the “banking scam.” The scammers contacted the victim again pretending to be from Chase Bank claiming there was now fraud on her account and that all the money in her bank accounts was at risk. The scammers told her to pull money out of her existing bank accounts so that the money could be secured in a safe account while the fraud division investigated the case for her.

Over the last few weeks, the victim made several withdrawals of between $20,000 and $30,000, ultimately losing more than $200,000 of her life savings. The victim’s family was doing routine checks of her financial accounts when her children noticed the suspicious activity and reported the case to the San Diego Police Department. Police worked with the victim and her family to set up another cash pickup at which point Gao was taken into custody when he arrived at her residence to pick up the package.

The scammers are part of a transnational criminal network that use couriers to pick up money from victims of elder scams. Several times a week, couriers come into San Diego County to collect funds from elderly victims who are scammed out of their life savings. In the past several months, dozens of scammers have utilized ride share companies such as Uber and Lyft to pick up fraudulently obtained funds while other suspects such as Gao appear to be working directly for the criminal syndicates. Couriers most commonly pick up money from victims and deliver it to another person in the network, or they convert the cash to cryptocurrency and send it out of the country. In most cases, once the money is sent by the victims, it cannot be recovered.

“The increase in tech support scams targeting our most vulnerable citizens is alarming,” said FBI Special Agent in Charge Stacey Moy. “The FBI is committed to working with our federal, state, and local partners to bring to justice anyone caught defrauding our elder population.”

The case is being investigated by the San Diego FBI Elder Justice Task Force (EJTF) which is comprised of the DA’s Office, FBI, U.S. Attorney’s Office, Adult Protective Services, The Law Enforcement Coordination Center (LECC), and local law enforcement agencies. Working together, the task force has created systems to connect the dots of financial elder abuse crimes in San Diego and hold perpetrators accountable.

Last year, the task force identified 1,800 reported victims of financial scams, representing about $49 million in losses for San Diego County. Authorities believe the number is much higher since many victims do not report their losses. Of grave concern is that the trend of losses is increasing. In 2023 so far, reported losses have already exceeded $75 million.

The District Attorney’s Office is warning the public that if you or anyone you know is contacted by someone claiming to be from company or law enforcement agency asking you to withdraw large sums of cash, wire money, purchase gift cards or use cryptocurrency, it is a scam. Stop communicating immediately and talk to your family members before sending any money. In addition, do not ever let anyone install remote access software on your computer or devices. Scammers always tell their victims that loved ones will be in danger, money will be lost, or that someone will get in trouble if they speak up and talk to anyone about the scam.

If you or somebody you know has been the victim of any fraud or scam, please report the case to your local law enforcement agency and to the FBI’s Internet Crime Complaint Center (IC3) at https://www.ic3.gov/ If you are concerned and suspect anyone you know may be the victim of any type of elder abuse, you can make a referral to Adult Protective Services by calling 1-800-339-4661.