$1 million in losses after two older people scammed into buying gold

Police in Ottawa are saying there is a new version of the grandparent scam circulating the region.

Ottawa police and Ontario Provincial Police (OPP) are warning the public about a scam where fraudsters are tricking elderly people into buying and shipping large amounts of gold to avoid financial loss. Officials said they have received two reports from older adults in Ottawa who were scammed into buying $500,000 worth of gold each.

“These scams can sound very convincing, and we don’t want anyone to feel embarrassed about coming forward,” said Fraud Detective Shaun Wahbeh. “If something feels suspicious, always ask for help. We’re here to help you.”

Provincial police say the detachment in Norfolk County reported a similar case, with losses near $350,000.

“This scam is a new version of the ‘Grandparent Scam,’ where criminals previously claimed a loved one was in trouble and needed money for bail,” police said in a press release. “Now, the scam artists are telling victims that the only way to protect their money is to buy gold.”

Criminals use pop-up messages that appear to be from trusted sources on victims’ computers, convincing them their online financial information has been stolen. Once suspects gain the victim’s trust they convince them to buy gold and arrange to pick it up. This, officials says, leads to “significant” financial loss.

The victims are told not to tell their family or bank.

“Those behind this type of scam are always changing their tactics, and we need to stay alert,” OPP media relations officers Bill Dickson said. “If you’re contacted by these criminals, don’t hesitate to report it to the police. You’re not alone.”