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Scam artists trying to take money from North Country people with Ebola fear, tax payment frauds

Posted 10/27/14

State authorities are warning people in St. Lawrence County and around New York about two kinds of scams making the rounds, one about Ebola and one about tax debt. A consumer alert warning about …

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Scam artists trying to take money from North Country people with Ebola fear, tax payment frauds

Posted

State authorities are warning people in St. Lawrence County and around New York about two kinds of scams making the rounds, one about Ebola and one about tax debt.

A consumer alert warning about scams related to fears of Ebola has been issued by Attorney General Eric Schneiderman’s office. Scammers commonly use moments of heightened public fear to perpetuate frauds, and reports have surfaced of fundraising scams claiming to benefit victims of Ebola, yhe announcement from the AG’s office said. There have also been dubious offers by companies selling bogus Ebola preparedness kits and preventative medications while there is not an FDA-approved vaccine for Ebola.

If you receive solicitations about Ebola, consider the following tips:

• Do your homework on the disease. With scammers selling bogus emergency preparedness kits and medical treatments, be sure to know the facts. There are no FDA-approved vaccines, medications, or dietary supplements to prevent or treat Ebola, so be wary of offers promising otherwise.

• Stay informed about the disease, the latest emergency preparedness measures, and the most medically accurate information by visiting the Centers for Disease Control and Prevention website and the New York State Department of Health website.

Consumer Reports published an article referring to a bogus e-mail solicitation offering a $29 “surplus protection kit” supposedly designed for emergency response teams and law enforcement agencies.

The Federal Trade Commission has warned that there are no FDA-approved medical treatments for Ebola and that consumers should file complaints with the FTC and the FDA if they encounter a fraud.

According to USA Today, at least three companies have been issued warnings by the Food and Drug Administration in the past month for selling bogus treatments, solutions, or therapies for Ebola.

• Donate to reputable charities. Fraudulent solicitations have been received claiming to pay funds to families of Ebola patients and promising to fight the disease. If you receive a charitable solicitation, do some research to determine whether the charity is legitimate. The Better Business Bureau (BBB) has a website called www.give.org that allows users to look up charities and see whether they meet various standards of accountability. Charity Navigator also offers a listing of reputable charities responding to the Ebola outbreak that can be found online here.

According to a report in Daily Finance, the Better Business Bureau’s New York office has received complaints about fraudulent telephone solicitations involving a charity claiming to raise funds to help Ebola victims. There have also been reports of door-to-door frauds claiming to raise money for a Texas nurse who became infected with the disease.

• Do not click on unsolicited links in e-mail or online. Scammers sometimes utilize a technique called phishing, in which victims are baited into clicking on harmful links or entering personal information under false pretenses. Consumers have reported receiving fraudulent e-mails linking to dubious websites where charitable donations can be made. Learn more about an organization before clicking on links or providing donations or personal information.

CBS News has reported that fake e-mail solicitations about Ebola have been linked to malware.

• Ask tough questions. If you receive a charitable solicitation, ask what percentage of your donation will go to the organization and how much will go to professional fundraisers and overhead costs. Ask the charity to send you written information, such as brochures.

• Pay close attention. Some fraudsters will use names similar to those of legitimate charities or mimic the appearance of a legitimate charity’s website to deceive potential donors.

• Report potential scams. If you believe you are the victim of a scam or have been solicited by a scammer, take the time to report the incident. One of the best ways to fight back against scammers is to report them.

• Report the unlawful sale of bogus medical products to the U.S. Food and Drug Administration.

• Report suspicious charitable solicitations: If you believe an organization is misrepresenting its work or that a scam is taking place, contact the attorney general’s office at charities.bureau@ag.ny.gov or (212) 416-8402.

Some of those tips are also applicable to another scam reported by the state Tax Department about fraudsters calling with a “hard sell” on the telephone to convince taxpayers to send money to bogus “tax collectors.”

The scam artists try to get people to believe that they owe New York State back taxes.

“These unscrupulous operators claim to work for an attorney and attempt to convince the person they’re calling to send money directly to them to settle their state tax debt,” said Margaret Neri, a deputy commissioner at the New York State Department of Taxation and Finance. “Don’t be deceived by this hard sell. These calls, often threatening in nature, are not coming from the Tax Department – that’s not how we do business.”

Many of the calls are made to the taxpayers from 305-507-8505. The scam artists insist they can settle the taxpayer’s tax liability for a fraction of the total due, and thus avoid collection actions by the department. Victims of this scam are advised to purchase a money order, generally from one of the popular chain drug stores, and then call back for further instructions on how to remit the payment.

“The perpetrators of this scam attempt to validate themselves by providing personal information—often obtained illegally—to the taxpayer,” Neri said. “While the Tax Department may ask questions to verify a taxpayer, it does not disclose personal information.”

Neri stressed that the Tax Department has a formal process in place for contacting people with tax issues – and it doesn’t include calling taxpayers about their liabilities “out of the blue.” The Tax Department never calls without first mailing the taxpayer an official notice through the U.S. Post Office, and it doesn’t require the use of only one specific way to make a payment the way the con-artists do.

If you’ve been targeted by this scam, file a consumer complaint online with the NYS Attorney General’s office or call the office’s hotline, (800) 771-7755.