U.S. Immigration and Customs Enforcement have uncovered a scam by nearly two dozen Canadian nationals that allegedly defrauded Americans of more than $21 million.
Officials said 23 Canadian nationals were indicted by a federal grand jury in Vermont and arrested provisionally by Canadian law enforcement for their participation in a “grandparent scam.” According to the indictment, between the summer of 2021 and June 4, 2024, the defendants allegedly made phone calls from call centers in and around Montral, Quebec, falsely claiming to be an elderly victim’s relative, typically a grandchild, who had been arrested. The callers would tell the victims that they had been in a car crash and needed money for “bail.” Other defendants posed as an “attorney” represented the victim’s grandchild.
Victims were then convinced to provide bail money to someone posing as a bail bondsman who would come to the victim’s home to collect the money. This money was later sent to Canada either through cash deliveries, financial transactions or through cryptocurrency.
“These individuals are accused of an elaborate scheme using fear to extort millions of dollars from victims who believed they were helping loved ones in trouble. Today’s arrests are the result of domestic collaboration as well as our critical international partnerships with our colleagues in Canada, Sûreté du Québec and the Royal Canadian Mounted Police. Tackling transnational crime is one of our greatest priorities and we’re working hand-in-hand with our neighbors to dismantle organized criminal groups that threaten our safety and security,” ICE Homeland Security Investigations Special Agent in Charge New England Michael J. Krol said.
Canadian law enforcement executed search warrants on June 4, 2024, at several call center and found many of them in the act of placing calls to potential victims in Virginia. Gareth West, Usman Khalid, Andrew Tatto, Stephan Moskwyn, and Ricky Ylimaki, were arrested and charged with with conspiring to commit money laundering. Another 18 individuals were charged in connection with the fraud scheme officials said.
“Today’s operation is an excellent example of ICE Canada’s partnership with the Sûreté du Québec and resulted in the disruption of a significant transnational criminal organization. We will continue to partner with the SQ, the Royal Canadian Mounted Police and other law enforcement agencies to identify and dismantle criminal organizations operating throughout North America and abroad that exploit our shared border and vulnerable population for illicit gain,” ICE HSI Attaché for Ottawa Magdalena Sigur said.