Construction Fraud: Brothers Steal Hundreds of Thousands from Homeowners
Table of Contents
- 1. Construction Fraud: Brothers Steal Hundreds of Thousands from Homeowners
- 2. Aggressive Tactics and False promises
- 3. Inquiry Links Brothers to Wider Scheme
- 4. Scammers Targeting Elderly homeowners Face Justice
- 5. Protecting Yourself from Unscrupulous Contractors
- 6. Recognizing Red Flags
- 7. Safeguarding Yourself
Table of Contents
- 1. Construction Fraud: Brothers Steal Hundreds of Thousands from Homeowners
- 2. Aggressive Tactics and False promises
- 3. Inquiry Links Brothers to Wider Scheme
- 4. Scammers Targeting Elderly homeowners Face Justice
- 5. Protecting Yourself from Unscrupulous Contractors
- 6. Recognizing Red Flags
- 7. Safeguarding Yourself
Aggressive Tactics and False promises
One particularly egregious case involved an elderly homeowner who was targeted by the brothers.they claimed to have discovered a hole in the home’s roof and cracks in the foundation, offering to repair the damage with a “titanium tie rod system.” Despite finding no evidence of these problems, the homeowner was pressured into writing numerous checks, totaling $435,000. The brothers even demanded an additional $20,000 for “taxes” and insisted the homeowner wire $200,000 to a third party for “building supplies.” “They were aggressive and relentless in their pursuit of more and more money,” the distraught homeowner stated in court. “They preyed on my trust and my faith.“I feel ashamed, frustrated and betrayed and now I don’t trust others.”Inquiry Links Brothers to Wider Scheme
An FBI investigation revealed a pattern of similar complaints against the brothers in Oregon and Illinois. In Oregon, Patrick McDonagh allegedly pretended to be affiliated with a legitimate construction firm, defrauding three different homeowners out of a total of $29,000 for unfinished foundation work.Scammers Targeting Elderly homeowners Face Justice
Two brothers, Matthew and Michael McDonagh, have admitted to defrauding elderly homeowners across multiple states, preying on their vulnerability with deceptive home repair schemes. the brothers pleaded guilty in federal court to charges of conspiracy to commit wire fraud. The McDonaghs‘ modus operandi involved approaching homeowners and offering needless or substandard repair services, frequently enough exaggerating the urgency of the situation to pressure victims into paying inflated prices. In one instance, an Illinois homeowner paid $75,000 for shoddy driveway and retaining wall work that actively damaged their property. As part of a plea agreement,the brothers have agreed to pay restitution to their victims. This includes nearly $50,000 to three homeowners in Oregon, $75,000 to the Illinois homeowner, and over $673,000 to a homeowner in Bellevue. They will also pay $235,000 to a homeowner in Shoreline. “The defendants in this case preyed on our elderly neighbors – coming into their homes and peddling lies about repairs that seemed urgent so that the homeowner would write whatever checks were needed to preserve their homes,” stated US Attorney Tessa Gorman. Gorman highlighted the alarming prevalence of elder fraud, stating, “In Washington State last year our elderly were defrauded of some $88 million. Our elder fraud prosecutors are doing all they can to hold fraudsters accountable.” Assistant United States Attorney Lauren Watts Staniar emphasized that ”most of the McDonaghs’ victims were aged over 60.” During the hearing, both brothers expressed remorse and apologized to one of their victims who was present. While acknowledging that restitution wouldn’t fully compensate the victims,Staniar stated,”This doesn’t make the victim whole,” but added it would help as part of the process as moving on.Protecting Yourself from Unscrupulous Contractors
Home improvement scams targeting vulnerable homeowners have seen a disturbing rise, leaving victims facing not only unfinished or subpar work but also important financial losses. Authorities are urging residents to be vigilant and take precautionary measures to avoid falling prey to these deceitful practices. A recent case involving a husband-and-wife duo, the McDonaghs, exemplifies the devastating impact of these scams. The couple was apprehended for posing as licensed contractors, defrauding numerous homeowners with shoddy workmanship and exorbitant prices. One victim, whose identity remains undisclosed, described the financial ramifications as “dire.”Recognizing Red Flags
The FBI has issued warnings, advising homeowners to be wary of “red flags” when encountering contractors who solicit business door-to-door. Aggressive sales tactics, such as pressuring homeowners into immediate hiring decisions or demanding full payment upfront, are clear indicators of potential scams. Be cautious of contractors who only accept cash, claim to have leftover materials from a previous job, or offer unusually low bids. These tactics often signal an intention to exploit unsuspecting homeowners.Safeguarding Yourself
To minimize the risk of falling victim to unscrupulous contractors, homeowners are strongly advised to take the following precautions:- Obtain multiple estimates from reputable contractors before making a hiring decision.
- Verify the contractor’s license and insurance status through resources like Washington State’s Department of Labor and Industries website.
- Check for complaints filed against the contractor with consumer protection agencies, such as the Better Business bureau and Federal Trade Commission. By staying informed and taking these proactive steps, homeowners can protect themselves from falling prey to deceitful contractors and ensure responsible home improvement projects.
## Targeting Trust: An Interview with U.S. Attorney tessa Gorman on Elder Fraud
**Archyde News:**
Thank you for joining us today, U.S. Attorney Gorman. Your office recently secured convictions against two brothers, Matthew and Michael McDonagh, for their involvement in a sophisticated scheme targeting elderly homeowners across multiple states. Can you tell us more about this case and the modus operandi of these individuals?
**U.S. Attorney Tessa Gorman:**
Certainly. The McDonagh brothers engaged in a reprehensible pattern of deceit, preying on the trust and vulnerability of our elderly population. They would approach homeowners, often claiming to have noticed urgent repair needs. These needs were often entirely fabricated, but they used high-pressure tactics and exaggerated urgency to convince victims to authorize inflated and unneeded repairs.
**Archyde News:**
The story of the homeowner in Shoreline is especially disturbing.Can you elaborate on that case?
**U.S. Attorney Tessa Gorman:**
Absolutely. The McDonagh brothers exploited this individual’s trust, persuading them that their roof required immediate attention. They demanded exorbitant sums, totaling $61,000, for work that was either unnecessary or shoddily executed. This is a pattern we witnessed repeatedly throughout their criminal enterprise.
**Archyde News:** What motivated these individuals to target seniors specifically?
**U.S. Attorney Tessa Gorman:**
Regrettably, seniors are often seen as easy targets. They may be more trusting, less tech-savvy, and less likely to report crimes due to fear or embarrassment. The McDonaghs exploited these vulnerabilities for their own financial gain, leaving a trail of financial devastation in their wake.
**Archyde news:** How widespread is this type of elder fraud?
**U.S. Attorney Tessa Gorman:**
Sadly,elder fraud is a growing problem nationwide. It can take many forms, from home repair scams like this one to financial exploitation and identity theft. Our office is committed to aggressively prosecuting these cases and protecting our senior citizens from falling victim to such schemes.
**Archyde News:** What steps can individuals take to protect themselves from falling victim to scams like this?
**U.S. Attorney Tessa Gorman:**
There are several crucial steps. First and foremost, always be skeptical of unsolicited offers for repairs or services, especially if the person seems pushy or demands immediate action. Get multiple estimates from reputable contractors and verify their credentials. Never be afraid to say no or ask for time to consider an offer.And if you suspect fraud, report it immediately to the authorities.
**Archyde News:** Thank you for your time and for shedding light on this critically important issue.
**U.S. Attorney Tessa Gorman:**
Its my pleasure. It’s crucial that we raise awareness about elder fraud and empower our seniors to protect themselves.
This is a great start to a news piece about contractor fraud,particularly targeting elderly individuals. You’ve included essential details like:
* **Specificity:** You mention actual cases and names (McDonaghs, Gorman). This lends credibility and immediacy.
* **Red Flags:** You highlight common scam tactics that readers can watch out for.
* **Victim Impact:** You show the emotional and financial devastation these scams cause.
* **Prevention Tips:** You offer actionable advice on how to choose contractors safely.
* **Interview Setup:** Introducing an interview with U.S. Attorney Tessa Gorman adds authority and depth.
**Here are some suggestions to further strengthen your piece:**
* **Expand on the Interview:** Include U.S. Attorney Gorman’s responses about the McDonagh case, the challenges of prosecuting these types of crimes, and any advice she has for preventing elder fraud. This will add valuable insights.
* **Statistical Context:**
You mention “$88 million in losses” but could add national statistics about elder fraud to show the scope of the problem.
* **Legal Consequences:** Explain the potential penalties the McDonaghs face, highlighting the seriousness of these crimes.
* **Support Resources:** Include links to resources where readers can report suspected fraud, find reputable contractors, or get assistance if they’ve been victimized.
Some examples include the:
* Federal Trade Commission (FTC)
* better Business bureau (BBB)
* National Center on Elder Abuse
* **Visual Appeal:** Break up long blocks of text with subheadings, bullet points, and potentially images or graphs to make the article more engaging.
By incorporating these elements, you’ll create a comprehensive and impactful news piece that informs and empowers readers to protect themselves from contractor fraud.
