State ups the ante in its battle against fraud

Officials are asking victims and potential victims to alert them to scams and suspicious offers.

By Chris Havens, Star Tribune

Last update: September 26, 2007 - 6:45 PM

If you didn't enter, you can't win.

That's one of the messages of Minnesota law enforcement officials as they launch a new effort to fight fraud.

The Minnesota Department of Public Safety on Tuesday announced a new partnership with public and private institutions to combat so-called foreign-lottery and sweepstakes scams. It also has set up an e-mail account and a hot line to report suspected scams.

There are many variations of these scams, but in most cases a potential victim is asked to send money to claim a prize or be entered into a drawing. Sometimes the scams include e-mails claiming to be from someone in another country. Senior citizens are common targets.

But you have to buy a ticket to play the lottery, said Clint Harris, executive director of the Minnesota State Lottery. And while criminals will send letters that look legitimate, legitimate lotteries never charge you to win a prize, he said.

"These frauds are financially devastating. They are horrendous. And they are cruel," said John Willems, special agent in charge of the Public Safety Department's Alcohol and Gambling Enforcement division.

Minnesota residents and financial institutions are bilked out of between $8 million and $10 million per year, Willems said, although some estimates have been as high as $25 million.

It's difficult to say exactly how many people fall victim because there are a lot of underreported cases, Willems said. But he estimated that a few thousand people a year lose money. Embarrassment often keeps victims from telling authorities, he said.

But he urges victims not to be embarrassed, and to report phone numbers, documents, e-mails and even envelopes if they seem to be fraudulent. "We're calling on folks to recognize and report these crimes," Willems said.

Law enforcement agencies will collect reports of fraud and will screen them to determine which agency is best suited to investigate. The information will go into a database that can be accessed by other agencies.

"The people committing these frauds are predators in every sense of the word who will stop at nothing to squeeze the last possible dollar out of their victims," Willems said.

Chris Havens • 651-298-1542

Chris Havens • chavens@startribune.com

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