A New York man who previously worked at the Social Security Administration admitted to acting as a courier for a Dominican Republic-based “grandparent scam” that targeted elderly Americans, the Justice Department announced Wednesday.
Victor Anthony Valdez, 39, of the Bronx, New York, pleaded guilty in federal court on Tuesday to participating in a wire fraud conspiracy that defrauded elderly Americans as part of a transnational “grandparent scam.”
The scam, which operated out of call centers in the Dominican Republic, involved fraudsters impersonating victims’ grandchildren or other figures of authority, convincing them that their relatives were in legal trouble and needed money for bail or other expenses.
Valdez, a former claims specialist with the U.S. Social Security Administration, admitted to acting as a courier for the scheme. Between August 2020 and August 2021, Valdez is believed to have collected, or attempted to collect, tens of thousands of dollars from victims in New York and New Jersey. Victims were instructed to hand over cash to Valdez, who visited their homes to retrieve the money.
U.S. Attorney Philip R. Sellinger condemned the scam, highlighting that the fraud preys on the emotional vulnerability of grandparents, many of whom are Social Security beneficiaries living on fixed incomes. Sellinger also reiterated his office’s commitment to prosecuting those who exploit vulnerable seniors.
Brian M. Boynton, Principal Deputy Assistant Attorney General, emphasized that the Justice Department, along with law enforcement partners, would continue to pursue individuals aiding transnational criminal operations that target elderly victims.
The case was investigated by the Social Security Administration’s Office of the Inspector General and Homeland Security Investigations (HSI). Valdez faces a maximum sentence of 20 years in prison and a fine of up to $250,000. His sentencing is scheduled for April 9, 2025.
The U.S. Attorney’s Office encourages individuals who suspect elder fraud to contact the National Elder Fraud Hotline at 1-833-FRAUD-11 for support and guidance.