NY man accused of using ‘gold bar scam' to steal $555,892 from Pennsylvania resident

The Hill

19 hours ago

LANCASTER COUNTY, Pa. (WHTM) — A New York man is accused of stealing gold bars worth over half a million dollars from a resident in Lancaster County, Pa., using a scam that authorities say is becoming increasingly common nationwide.
The victim, described as an elderly woman by police in Ephrata, contacted authorities in April to report that someone stole $555,892 worth of gold bars.
Investigators said that the suspect, 44-year-old Zhong Ren, of Brooklyn, N.Y., first gained access to the woman's computer in March.
Ren allegedly convinced her that someone was trying to access her life savings, and the only way to keep the money safe was to convert it into gold bars and turn them over to federal employees.
These supposed federal employees would purportedly keep the gold safe in Philadelphia's Federal Reserve vault.
Investigators said people claiming to be government employees showed up twice in April at the woman's Ephrata address, ultimately leaving with $555,892 in gold.
A 'complex' investigation led investigators to Ren, who was charged Thursday with theft by unlawful taking, criminal conspiracy of theft by unlawful taking, theft by deception, criminal conspiracy of theft by deception, and impersonating a public servant in connection with the crime.
Court documents show Ren did not immediately post bail and was being held at Lancaster County Prison. His preliminary hearing is scheduled for July 18.
What to know about the scam
The FBI and local police across the U.S. have been warning Americans, especially seniors, about the con.
In June, police in California warned that gold bar scams were becoming prevalent nationwide, and described how the criminal strategy often works:
Initial contact: Criminals contact victims by phone, email, or text message, often pretending to be from a trusted source like the government, a bank, or a tech company.
False urgency and fear: They create a sense of urgency, claiming the victim's financial accounts are compromised or vulnerable to hacking.
Conversion to gold: Victims are instructed to withdraw their money and convert it into gold bars.
Courier collection: A courier is sent to the victim's home to collect the gold bars, promising they will be stored securely or used for a legitimate purpose, such as protecting the victim's assets.
The scam: Instead of protecting the gold, the courier steals the gold bars, and the victim is left with nothing.
El Cerrito Police Dept.
In January, the Washington State Department of Financial Institutions issued a similar warning and reminded consumers that 'no government agency will ever ask you to buy gold or use a courier to collect your money.'
To protect yourself against gold bar and other scams you should hang up immediately if someone requests that you buy gold or take out money, according to the Department, which offered the following tips:
Don't click on links in emails or texts if they appear in any way suspicious.
Never share personal information or agree to meet with a stranger.
Beware of anyone who makes you feel pressured by phone, email or in person.
Reach out to your bank or a government agency directly using official contact information to verify any claims.