In the face of the recent “Gold Bar Scam” targeting elderly people in New York, State Attorney General Jane Lok Hsia issued a warning and guidelines to consumers on August 7, along with a hotline for reporting.
The modus operandi of such scams, as explained by Jane Lok Hsia, starts with fake pop-up messages on the victim’s computer, claiming that their computer or financial account has been hacked or involved in criminal activities. The scammers then trick the victims into granting remote access to their computers and convince them to convert money into gold bars to protect their life savings. Finally, the scammers disguise themselves as law enforcement officers and take away the gold bars.
Over the past two years, the New York City Police Department (NYPD) has investigated over 100 cases of the “Gold Bar Scam,” resulting in total losses exceeding one billion dollars.
Jane Lok Hsia provided recommendations to New York City residents on how to prevent falling victim to such scams and encouraged those who receive scam calls to report them to her office.
These recommendations include: (1) Do not call the phone numbers provided in pop-up windows, text messages, or emails; (2) Never give remote access privileges to your computer to strangers; (3) Never transfer money from your bank account at the persuasion of someone over the phone; (4) If someone claims issues with your bank account, hang up and call the phone number printed on your bank statement to contact your financial institution; (5) Scammers will create a false sense of urgency to pressure victims into making life-changing decisions on the spot and demand secrecy. The best way to handle such situations is to hang up, contact someone you trust, and explain your predicament.
New York City residents who believe they have fallen victim to this type of scam can contact their local police department or call the State Attorney General’s office at 1-800-771-7755.