Hurricane Katrina Charity Scam Artists Arrested by Cops, FBI
Jim Kouri, CPP
October 08, 2005
A Burbank, California man and a Glendale, CA woman have been arrested and charged with posing as American Red Cross volunteers and soliciting money under the false pretense that donations would assist the victims of Hurricane Katrina.
Tino Lee, 44, and Gina Liz Nicholas, 19, were brought before a federal judge in the United States District Court in Los Angeles and each were charged with impersonating someone associated with the American Red Cross for the purpose of soliciting money, a felony offense that carries a potential penalty of five years in federal prison.
Lee and Nicholas allegedly were soliciting donations on behalf of the American Red Cross outside an electronics store in Burbank. They were arrested Thursday evening by officers with the Burbank Police Department after officers determined they did not have any paperwork linking them to the American Red Cross.
The police officers turned the suspects over to the Federal Bureau of Investigation, which confirmed that Lee and Nicholas were not acting on behalf of the American Red Cross.
The case against Lee and Nicholas was the first federal case brought in the nation alleging a Hurricane Katrina scam. The United States Department of Justice recently established the Hurricane Katrina Fraud Task Force, which is designed to deter, investigate and prosecute disaster-related federal crimes such as charity fraud and insurance fraud.
"We have taken a zero-tolerance position against those who would use a national tragedy such as Hurricane Katrina to line their pockets with money intended for victims," said United States Attorney Debra Wong Yang. "Victims of the hurricane should know that we will do everything to ensure that aid graciously donated by fellow Americans will reach those in need. And those wanting to assist and lend a hand to those less fortunate should know that any scam targeting their generosity will be shut down and those responsible will be punished to the fullest extent of the law."
Officials with the American Red Cross of Greater Los Angeles say the organization rarely has individual volunteers soliciting donations outside stores or in other public locations. When they do, it is normally in partnership with other organizations like the Fire Department and the media. Red Cross volunteers will always offer a receipt for cash donations, although the agency prefers that donors write checks made out to the "American Red Cross."
Here are some tips to avoid being scammed by phony charity workers of organizations.
Ask to see identification before donating money. Legitimate organizations issue photo ID cards to their charity workers.
Do not respond to any unsolicited SPAM/incoming e-mails about the
hurricane
Be skeptical of individuals claiming to be surviving victims asking for
money to be placed in bank accounts
To ensure that contributions to US-based nonprofit organizations are
used for intended purposes, go directly to the Web sites of recognized
charities and aid organizations, as opposed to following a link to
another site
Verify the legitimacy of nonprofit organizations by consulting trusted
Internet-based resources (such as the Network for Good and the Federal
Emergency Management Agency) which may assist in confirming the
existence of the organization as well as its nonprofit status
Don't open e-mail attachments that claim to contain pictures of
disaster areas, as the files may contain viruses. Only open attachments
from known senders.
In addition, the National Association of Chiefs of Police warns citizens to beware of phony charity telemarketers claiming to represent police or firefighter organizations. These fraudulent telephone representatives of organization such as The United Fire Marshals Association, the National Law Enforcement Association, and others are attempting to prey upon the generosity of Americans during the aftermath of the catastrophe in New Orleans and the Gulf Coast.
Tino Lee, 44, and Gina Liz Nicholas, 19, were brought before a federal judge in the United States District Court in Los Angeles and each were charged with impersonating someone associated with the American Red Cross for the purpose of soliciting money, a felony offense that carries a potential penalty of five years in federal prison.
Lee and Nicholas allegedly were soliciting donations on behalf of the American Red Cross outside an electronics store in Burbank. They were arrested Thursday evening by officers with the Burbank Police Department after officers determined they did not have any paperwork linking them to the American Red Cross.
The police officers turned the suspects over to the Federal Bureau of Investigation, which confirmed that Lee and Nicholas were not acting on behalf of the American Red Cross.
The case against Lee and Nicholas was the first federal case brought in the nation alleging a Hurricane Katrina scam. The United States Department of Justice recently established the Hurricane Katrina Fraud Task Force, which is designed to deter, investigate and prosecute disaster-related federal crimes such as charity fraud and insurance fraud.
"We have taken a zero-tolerance position against those who would use a national tragedy such as Hurricane Katrina to line their pockets with money intended for victims," said United States Attorney Debra Wong Yang. "Victims of the hurricane should know that we will do everything to ensure that aid graciously donated by fellow Americans will reach those in need. And those wanting to assist and lend a hand to those less fortunate should know that any scam targeting their generosity will be shut down and those responsible will be punished to the fullest extent of the law."
Officials with the American Red Cross of Greater Los Angeles say the organization rarely has individual volunteers soliciting donations outside stores or in other public locations. When they do, it is normally in partnership with other organizations like the Fire Department and the media. Red Cross volunteers will always offer a receipt for cash donations, although the agency prefers that donors write checks made out to the "American Red Cross."
Here are some tips to avoid being scammed by phony charity workers of organizations.
Ask to see identification before donating money. Legitimate organizations issue photo ID cards to their charity workers.
Do not respond to any unsolicited SPAM/incoming e-mails about the
hurricane
Be skeptical of individuals claiming to be surviving victims asking for
money to be placed in bank accounts
To ensure that contributions to US-based nonprofit organizations are
used for intended purposes, go directly to the Web sites of recognized
charities and aid organizations, as opposed to following a link to
another site
Verify the legitimacy of nonprofit organizations by consulting trusted
Internet-based resources (such as the Network for Good and the Federal
Emergency Management Agency) which may assist in confirming the
existence of the organization as well as its nonprofit status
Don't open e-mail attachments that claim to contain pictures of
disaster areas, as the files may contain viruses. Only open attachments
from known senders.
In addition, the National Association of Chiefs of Police warns citizens to beware of phony charity telemarketers claiming to represent police or firefighter organizations. These fraudulent telephone representatives of organization such as The United Fire Marshals Association, the National Law Enforcement Association, and others are attempting to prey upon the generosity of Americans during the aftermath of the catastrophe in New Orleans and the Gulf Coast.
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