6 July 2023
WICHITA, Kan. (KSNW) – A Kansas man was among two arrested last week after allegedly targeting elderly people in a telemarketing timeshare scheme, one of the latest incidents in what the FBI warns is an increase in elder fraud. It is according to Nexstar affiliate KTLA-TV.
The men, Michael Farole, 44, of West Los Angeles, and Christopher Lang, 42, of Hays, Kansas, said they represented companies that provided advertising and other services to current and former timeshare owners and allegedly convinced victims to pay advance fees in return for services that involved selling or securing the sale or rental of timeshares, officials said.
They were charged in U.S. District Court in Los Angeles with conspiracy to commit wire fraud.
After the victims paid initial fees for services that were never provided, the defendants allegedly kept contacting the victims by phone, text and email in an effort to charge more fees.
An investigation revealed that at least 370 elderly people lost more than $4.5 million as a result of the fraud, officials said.
“The victims used funds from their social security income, investment and retirement accounts, as well as their savings, to pay the fraudulent companies,” according to the FBI. “Despite the recurring fees that each victim paid, often reaching the hundreds of thousands over several years, none received the timeshare-related services or proceeds promised.”
According to evidence seized during the investigation, the men used proceeds from the scheme to pay for personal expenses and luxury items.