Beverly Police To Return $21K Bitcoin Scam Funds Stolen From Seniors

BEVERLY, MA — A very rare recovery and restitution of money lost to a Bitcoin scam was being celebrated in Beverly after Police Chief John LeLacheur and Essex County District Attorney Paul Tucker said $21,000 from residents ages 80, 83 and 90 was to be returned to the victims.

Authorities said this is believed to be one of the first times in Essex County that funds have been recovered and returned to victims of such scams and that $150,000 in additional money was seized during the investigation.

LeLachuer said the victims were tricked into depositing cash into Bitcoin ATM machines for fraudulent reasons and that they reported the incidents quickly gave police the best chance to recoup the money.

LeLachuer said police then worked with Essex County District Attorney's Office to go to court and have the funds in the machines held and returned to victims.

Bitcoin machines are often emptied daily with scammers using them specifically because they are very difficult to trace.

"It was absolutely critical that these scams were reported within 24 hours of the time residents were victimized," Chief LeLacheur said. "Once that cash has been emptied out, there is little police or prosecutors can do to get the cash returned."

Beverly police recently presented one victim with a check for their lost funds, and they will soon be presenting checks to two other victims.

Det. Capt. Michael Devlin and Det. Shawn Desmond were among the department members credited with breaking the case.

Beverly police said $150,000 in additional funds were seized that have not yet been ordered returned by courts.

The Beverly Police Department provides the following safety tips from the Federal Trade Commission (FTC) to help residents recognize and prevent scams such as Bitcoins scams, which have
stolen millions of dollars in cash from residents statewide.

• Scammers pretend to be from an organization you know. They might use a real name, like the Social Security Administration, the IRS, or Medicare, or make up a name that sounds official. Some pretend to be from a business you know, like a utility company, a tech company, or even a charity asking for donations.
• Scammers say there’s a problem or prize. They might say you’re in trouble with the government, that you owe money, that someone in your family had an emergency, or that there’s a virus on your computer. Some scammers say there’s a problem with one of your accounts and that you need to verify some information. Others will lie and say you won money in a lottery or sweepstakes but have to pay a fee to get it.
• Scammers pressure you to act immediately. They might tell you not to hang up so you can’t check out their story. They might threaten to arrest you, sue you, take away your driver’s or business license, or deport you. They might say your computer is about to be corrupted.
• Scammers tell you to pay in a specific way. They often insist that you pay by sending money through Bitcoin, a money transfer company or by putting money on a gift card and then giving them the number on the back. Some will send you a check (that will later turn out to be fake), tell you to deposit it, and then send them money.

The FTC also recommends that if you get an email or text message from a company you do business with and you think it's real, it's still best not to click on any links. Instead, contact them using a website you know is trustworthy, or look up their phone number. Don’t call a number they gave you or the number from your callerID.

Residents who believe they may have fallen victim to such a scam, or who believe they may be communicating with would-be scammers, are encouraged to immediately contact the Beverly
Police Department at 978-922-1212.