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Elderly Woman Falls Victim to Online Scam, Bitcoin Depot Faces Legal Battle

Mon, 19 Jun 2023, 06:40 am UTC

Sinister Ransomware Scheme Leads to Lawsuit as Cryptocurrency Firm Challenges Funds Return

It all began when a senior citizen from Crawford, Texas, unknowingly got entangled in a sinister online scam while searching for a cooking recipe.

This 82-year-old woman found herself in a web of deceit after receiving an email claiming she had unwittingly triggered a Ransomware virus. In her quest to solve this issue, she reached out to the provided "customer support," only to find herself redirected to a so-called 'fraud investigator'. This alleged specialist then spun a tale of stolen identity and a phantom $15,000 check issued to an unknown construction company in her name.

The "investigator" suggested a solution, instructing the woman to withdraw the identical amount in cash and deposit it into a Bitcoin Depot ATM in Waco, Texas. The ruse successfully duped the elderly woman into making the transaction. However, when the reality of the scam dawned on her, she promptly alerted the McLennan County Sheriff's Office.

The sheriff's office secured a search warrant for Bitcoin Depot, subsequently seizing the $15,000 and returning the funds to the victim. The sheriff notably expressed his scorn for the cryptocurrency firm, calling them "vultures" and further suggesting they can "go to hell."

In an unexpected turn of events, Bitcoin Depot retaliated by launching a lawsuit against the sheriff's office. They didn't dispute the confiscation but challenged the return of the funds to the elderly woman. The firm insisted that they were not the perpetrators of the scam and, as such, had no role in misleading the victim.

Bitcoin Depot's legal representative, MacVane, affirmed the company's willingness to assist the investigation in any possible way while it awaits an unscheduled hearing. Amid this legal tug-of-war, the actual fraudsters are believed to be based overseas, according to the sheriff.

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Great article. Requesting a follow-up. Excellent analysis.

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Great article. Requesting a follow-up. Excellent analysis.
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