Gujarat man arrested in US over Rs 1.32-crore gold bar scam

A 25-year-old man from Gujarat has been arrested in the United States for allegedly acting as a courier in an organised fraud network that duped elderly Americans through a sophisticated "gold bar purchase" scam, US authorities said.
According to media reports, Harsh Fojalal Shah was arrested on July 20 in Honolulu, Hawaii, following a sting operation in which investigators alleged he arrived to collect what he believed were gold bars from an elderly victim. He has been charged with conspiracy to commit wire fraud, according to the US Attorney's Office for the District of Hawaii.
According to prosecutors, the fraud network impersonated US Marshals and other government officials, falsely informing senior citizens that their identities had been compromised. Victims were allegedly instructed to liquidate their savings and purchase gold bars, claiming the assets needed to be safeguarded as part of a fictitious government investigation.In one such case, an elderly woman identified as Jane Doe was persuaded to purchase and hand over nine gold bars worth more than $137,000 (about Rs1.32 crore). The fraudsters later allegedly attempted to convince her to liquidate her retirement savings to buy an additional $429,000 (about Rs4.14 crore) worth of gold before law enforcement intervened.Authorities then conducted a controlled operation using imitation gold bars. Shah allegedly arrived at a pre-arranged meeting in Kaneohe, Hawaii, where he identified himself using a one-dollar bill as a pre-decided password before accepting a box he believed contained ten gold bars.
Investigators said Shah attempted to evade surveillance by carrying out evasive driving manoeuvres across Honolulu before he was arrested.During post-arrest questioning, Shah allegedly admitted to carrying out around ten similar pickups from elderly victims over the past several months, investigators said.
US Attorney Ken Sorenson said the case demonstrated both the courage of the victim in reporting the crime and the determination of law enforcement agencies to pursue fraudsters targeting senior citizens.If convicted, Shah faces a maximum sentence of 20 years in federal prison, a fine of up to $250,000, and a term of supervised release.The investigation is being led by Homeland Security Investigations (HSI) with assistance from the Honolulu Police Department and the Hawaii Attorney General's Office.CJ Ammons, Acting Special Agent in Charge of HSI, said authorities were committed to dismantling criminal organisations that prey on vulnerable elderly people and ensuring those responsible are brought to justice.
The US Attorney's Office also urged older adults and their families to remain vigilant against scams involving unsolicited phone calls, emails or text messages claiming bank accounts or identities have been compromised.The "gold bar purchase" scam has emerged as a rapidly growing financial fraud in the United States, with criminals posing as government or law enforcement officials to persuade victims to convert their savings into gold for purported "safekeeping." Just over a month ago, another Indian national was arrested in Florida for allegedly attempting to collect nearly $500,000 (about Rs4.82 crore) worth of gold from an elderly woman targeted in a similar impersonation and phishing scheme.