Woman stole $300,000 from people deceived about winning a big lottery prize, feds say
A woman profited off of people who were duped into believing they won a massive lottery or sweepstakes prize — after federal prosecutors said the victims paid thousands in “fees” to secure payouts they were promised.
However, there were no “winnings” to be paid, according to the U.S. Attorney’s Office for the District of Arizona.
Several victims, mostly older individuals, were contacted by “scammers” and convinced that they had lottery winnings that needed to be claimed, court documents say. Some were told that they won millions of dollars, according to a criminal complaint.
Fiona Lorraine Walters, 50, of Newburgh, New York, and unidentified co-conspirators kept or transferred money they received through the scheme, according to prosecutors.
Walters laundered more than $300,000 that was stolen from the victims through her and her family’s bank accounts between July 2016 and August 2020, according to prosecutors.
She spent the money on “high end” goods, travel and transferred some of the cash to Jamaica while the victims were left with financial losses, the criminal complaint says.
Walters pleaded guilty on July 11 to a conspiracy to commit money laundering, the U.S. Attorney’s office said in a news release.
Grant Wille, one of her defense attorneys, told McClatchy News on July 12 that “although Ms. Walters’s role in the offense was relatively minor related to other conspirators, she is wholeheartedly and sincerely remorseful to the victims hurt by this conduct and grateful to the government for this opportunity to make amends.”
Woman is sent briefcase with fake $2.5 million prize inside
In October 2018, an accused scammer solicited “fees” from an 81-year-old Arizona resident over the phone in connection with a purported $2,500,000 sweepstakes prize, the criminal complaint says.
The woman made $80,000 in payments but didn’t get the “prize,” according to the criminal complaint.
Walters directly received $20,400 from the woman from October 2018 to December 2018, the criminal complaint shows.
On Dec. 8, 2018, a locked briefcase was shipped to the woman’s home and a “scammer” told her $2.5 million was inside, according to the criminal complaint.
She was told that she would be given the lock combination after making several payments — and if she tried opening the briefcase herself, an “ink bomb” would “explode,” the criminal complaint says.
A sheriff’s deputy from Pima County ultimately responded to the woman’s home and “forced open the briefcase,” according to the criminal complaint.
Instead of cash, the case contained pamphlets and magazines, the complaint says.
Walters is facing up to 20 years in prison, as well as “a fine of $500,000 or twice the value of the funds involved in the offense, whichever is greater, or both, and a term of three years supervised release,” according to prosecutors.
She is set to be sentenced on Sept. 23, prosecutors said.
Suspected financial fraud against individuals who are 60 or older can be reported at the National Elder Fraud Hotline: 1-833-FRAUD-11 or 1-833-372-8311.
This story was originally published July 12, 2024 at 10:16 AM with the headline "Woman stole $300,000 from people deceived about winning a big lottery prize, feds say."
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