Police chief: Beware of sweepstakes scam

Watch out for sweepstakes scam phone calls and letters, like the letter recently received in the mail by Orion residents Charles and Martha Koch.
The Kochs have lived in Lake Orion for 30 years, and Charles said the letter they received from a company calling itself ‘LVAAP? out of Las Vegas was the first of its kind they had ever received.
The letter said Martha had been confirmed for a prize of over $3,341,006.
The letter listed only a PO Box in Nevada, no phone number, and asked the Kochs to electronically debit transfer a $20 fee to claim their prize.
Charles took the letter to the Lake Orion Police Department and The Lake Orion Review. A day later, he received another letter from a different company, saying a prize worth over $3 million had been won, and again asking for $20 to be transferred.
‘I was kind of leery because there’s no (real company) name on it,? Koch said of the letters. ‘I took it right to the police, and (Narsh) figured it was a gimmick.?
Lake Orion Police Chief Jerry Narsh said the Kochs? experience isn’t the first he’s heard of involving this type of scam.
‘Although I’ve never seen this LVAAP before,? he said, adding that a call to the state of origin’s Better Business Bureau or state attorney general’s office will provide information about whether the company in question is legitimate or not.
‘Something people should know is, international lotteries are illegal for US citizens,? Narsh said. ‘There are letters that have been coming out for years from Africa…it’s always the same story.?
Narsh said although the country of origin sometimes changes in that scam, the story never does.
‘But now there are some newer scams that are targeting seniors,? he said. ‘We’re seeing an increase in a tough economy of sweepstakes and charitable fraud.?
Narsh said the Lake Orion Police Department has dealt with fraud cases where ‘many thousands of dollars,? have been sent.
‘Never give out on the phone your banking information, Social Security number, or routing numbers,? he said.
Some scammers are now disguising themselves as a utility company when they call, telling a senior citizen that they must send money or their electricity will be shut off.
?(The senior) then can’t remember if they paid the bill, and they don’t want their lights turned off, so they send the money,? Narsh said.
Regarding the Kochs, Narsh said they received what he calls a ‘teaser letter.?
‘Scam artists send these out to see if you’ll send the $20,? he said. ‘It’s like setting the hook. If you send it, then they will ask for your banking information. That’s where the real fraud occurs.?
Companies that only list a PO box or a suite number as their contact information is a dead giveaway.
‘It’s always so tiered that it’s very difficult to prosecute them,? said Narsh. ‘Even if you can get to them, the money is usually not returned.?
Mail and phone scams are a billion dollar industry in the United States, and Narsh said anyone receiving a letter or call that they find suspicious should call the Lake Orion Police Department.
‘In Michigan there are vulnerable adult laws in place,? he said. ‘But unfortunately by the time we get involved, life savings are often gone.?
Narsh said relatives and friends should keep watch for signs of someone defrauding senior citizens.
‘There are signs to look for,? he said. ‘A lot of sweepstakes and prize letters, lots of confirmation numbers posted by the phone.
‘Also a lot of phone messages from banks, or from charities, magazines and sweepstakes,? said Narsh. ‘Once one (scam artist) targets a senior, others will follow.?
Because Narsh believes informed citizens are the police department’s best weapon in stopping fraud, the Lake Orion Police Department will be partnering with the Orion Senior Center to hold a Fraud Detection and Information Seminar in the near future.
Read The Lake Orion Review and watch ONTV for more information on a date and time, or contact the Orion Senior Center or LOPD.