Western District of Tennessee Takes Part in Largest-Ever Nationwide Elder Fraud Sweep

Memphis, TN – Attorney General William P. Barr and U.S. Attorney D. Michael Dunavant today announced the largest coordinated sweep of elder fraud cases in history, surpassing last year’s nationwide sweep. The cases during this sweep involved more than 260 defendants from around the globe who victimized more than two million Americans, most of them elderly.

As a result of investigative activities by the Federal Bureau of Investigation and the United States Attorney’s Office, authorities in the Western District of Tennessee were able to effectuate a recovery of $100,000 for one elderly victim of an investment fraud scheme, and opened an investigation into another matter involving multiple victims and several million dollars.

In a separate case, following a four-day jury trial in federal court in August 2018, a Memphis man was convicted on two counts of wire fraud. Manzur Mazumder, 49, an insurance agent, started a hedge fund business, which defrauded several individuals of their retirement savings. Between 2014 and 2017, Mazumder obtained a total of $360,000. Mazumder is scheduled for sentencing on March 15, 2019, and faces 20 years imprisonment, a fine of $250,000 and three years supervised release.

"Crimes against the elderly target some of the most vulnerable people in our society," Attorney General William P. Barr said. "But thanks to the hard work of our agents and prosecutors, as well as our state and local partners, the Department of Justice is protecting our seniors from fraud. The Trump administration has placed a renewed focus on prosecuting those who prey on the elderly, and the results of today’s sweep make that clear. Today we are announcing the largest single law enforcement action against elder fraud in American history. This year’s sweep involves 13 percent more criminal defendants, 28 percent more in losses, and twice the number of fraud victims as last year’s sweep. I want to thank the Department’s Consumer Protection Branch, which led this effort, together with the Department’s Criminal Division, the more than 50 U.S. Attorneys’ offices, and the state and local partners who helped to make these results possible. Together, we are bringing justice and peace of mind to America's seniors."

"Criminals steal more than an estimated $3 billion from senior citizens every year. Those who target the elderly will receive the full attention of our office and law enforcement officials in West Tennessee. We will work with our senior citizens to empower them with knowledge and awareness so that they can defend themselves," said U.S. Attorney D. Michael Dunavant.

The Department took action in every federal district across the country, through the filing of criminal or civil cases or through consumer education efforts. In each case, offenders allegedly engaged in financial schemes that targeted or largely affected seniors. In total, the charged elder fraud schemes caused alleged losses of millions of more dollars than last year, putting the total alleged losses at this year’s sweep at over three fourths of one billion dollars.

The charges are merely allegations, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

Since President Trump signed the bipartisan Elder Abuse Prevention and Prosecution Act

(EAPPA) into law, the Department of Justice has participated in hundreds of enforcement actions in criminal and civil cases that targeted or disproportionately affected seniors. The Justice Department has likewise conducted hundreds of trainings and outreach sessions across the country since the passage of the Act.

A fact-sheet with technical-support fraud case information can be found here.

A fact-sheet with cases on mass mailing fraud can be found here.

A fact-sheet with examples of a few elder fraud cases involving extradition in which the Office of International Affairs played a substantial role can be found here.

Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. The Department of Justice provides a variety of resources relating to elder fraud victimization through its Office of Victims of Crime, which can be reached at www.ovc.gov.