Thirteen people have been charged in connection with an alleged elder fraud scheme that targeted hundreds of elderly victims across the United States. The group is accused of operating a call center in the Dominican Republic, which authorities say deceived victims into believing their family members were in distress and needed money. According to investigators, over 400 individuals, averaging 84 years old, lost more than $5 million due to this operation, including at least 50 victims in Massachusetts.
The indictment alleges that Oscar Manuel Castanos Garcia led the operation from the Dominican Republic. He is accused of overseeing call centers where employees carried out what are known as “grandparent scams.” In these scams, an initial caller would pretend to be a grandchild involved in an accident, followed by another caller posing as an attorney who requested money for legal fees. Managers allegedly supervised and paid employees at these call centers.
According to court documents, victims were often instructed to hand cash to “runners” in the United States. Frequently, rideshare drivers—unaware of their role—were dispatched to collect packages containing cash from victims’ homes and deliver them to runners at other locations. Sometimes, victims were told to mail cash or use commercial carriers for delivery.
Authorities allege that some victims received multiple calls requesting additional funds under new pretenses, such as claims of a “mix up” or harm caused during the supposed accident. In certain cases, co-conspirators allegedly arranged for rideshare drivers to take elderly victims directly to banks so they could withdraw more money.
Prosecutors say runners deposited the collected funds into bank accounts or delivered them to associates in New York and elsewhere. Money launderers then transferred proceeds from U.S.-based victims back to Castanos Garcia and others in the Dominican Republic.
The public is encouraged to report suspected elder fraud by contacting USAMA.VictimAssistance@usdoj.gov or calling 1-800-CALL-FBI (1-800-225-5324). Reports can also be made through the FBI’s IC3 Elder Fraud Complaint Center.
Charges include conspiracy to commit mail fraud and wire fraud—which carries up to 20 years in prison—and money laundering conspiracy, which also carries up to 20 years imprisonment and fines based on either statutory limits or twice the amount laundered. Sentencing will be determined by a federal judge according to U.S. Sentencing Guidelines.
United States Attorney Leah B. Foley announced the charges along with Ted E. Docks, Special Agent in Charge of the FBI’s Boston Division. The Justice Department’s Office of International Affairs and several law enforcement agencies from both countries provided assistance with the investigation.
“The details contained in the charging documents are allegations,” officials said. “The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.”
Those charged include Oscar Manuel Castanos Garcia; Joel Jose Cruz Rodriguez; Edward Jose Puello Garcia; Joan Manuel Mathilda Leon; Luis German Santos Burgos; Gerardo Heriberto Nuñez Nuñez; Ransel St Arlin Tavarez Jimenez; Joel Francisco Mathilda Leon; Andry Joel Baez Santana; Jose Osvaldo Polanco Batista; Chaman Samael Silverio Balbuena; Manuel Nicolas Rivera Cueto; and Jose Arony Fermin Vasquez.
