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Minnesota lawmakers are advancing legislation that would impose a statewide ban on virtual currency kiosks, a sharp escalation from the state’s regulatory approach just two years ago. The bill, curre...

State adopts rapid injunction law to stop elder scams Depositphotos.com image Dan Emerson//March 2, 2026// In Brief Minnesota becomes the second state to enact a rapid financial exploitation injun...

Minnesota lawmakers have introduced legislation that would impose a complete ban on cryptocurrency kiosks — commonly known as crypto ATMs or Bitcoin ATMs — across the state, marking one of the most ag...

Minnesota lawmakers are advancing a ban on cryptocurrency ATMs, arguing that the machines have become a fast conduit for scammers to siphon money from vulnerable residents, especially seniors. The pro...

Minnesota lawmakers, backed by local police and the Department of Commerce, have introduced legislation to ban crypto ATMs statewide. House File 3642, sponsored by Rep. Erin Koegel, reached the House ...

Crypto ATM Scams Surge in the U.S., Losses Hit $333 Million TL;DR: Losses from crypto ATM fraud in the U.S. reached $333.5 million in 2025, according to a CertiK report. The FBI recorded more than 12...

HF 3642 proposes a Minnesota-wide prohibition on cryptocurrency self-service terminals, often marketed as Bitcoin ATMs, by barring the installation and operation of physical kiosks that convert cash i...

BlockBeats news, on February 27, according to The Block, Minnesota Democratic-Farmer-Labor Representative Erin Koegel recently introduced Bill HF 3642, aiming to ban the placement and operation of cry...

Share: BitcoinWorld Cryptocurrency Kiosks Face Devastating Ban in Minnesota as Elder Fraud Cases Surge to $540,000 ST. PAUL, Minnesota — February 2025 — Minnesota legislators have initiated a groun...

Odaily Planet Daily report: Recently, Minnesota Democratic-Farmer-Labor Party representative Erin Koegel introduced Bill HF 3642, aiming to ban the placement and operation of cryptocurrency ATMs acros...

Minnesota lawmakers are considering a statewide ban on cryptocurrency kiosks after a rise in elder fraud cases. The proposal follows reports of seniors losing large sums through scam-linked transactio...

Minnesota lawmakers are advancing legislation that would prohibit cryptocurrency kiosks across the state. The proposal follows testimony from law enforcement officials who linked the machines to a sur...

A Minnesota woman named Julie Verdugt fell victim to a romance scam on Facebook dating after meeting someone posing as "Bratt Erick Smith," who quickly began requesting money under the guise of needing loans. Scammers often use fake profiles with stolen photos, refuse video calls, and create urgency and secrecy around money requests to manipulate victims. To protect yourself, watch for red flags like requests to keep relationships secret, pressure to act quickly, refusals to video chat, and verify profiles through reverse image searches before sharing personal information or money.

Two Minnesota women of Ecuadorian descent lost money to a scam involving a fake attorney who promised to help get their detained relatives released from ICE custody. The scammer, operating under the name "Inmigrate & Asociados L.LC." with a Florida phone number, collected $1,500 from each victim while providing inconsistent information and fraudulent documents, with the detainees never actually being contacted by the supposed attorney. Potential victims seeking immigration legal assistance should verify an attorney's credentials through official bar associations, avoid paying large upfront fees before services are rendered, and seek help from established nonprofit organizations or pro-bono legal services instead of unknown contacts found on digital flyers.

Two Ecuadorian women in Minnesota say they were scammed while seeking legal help to free family members detained by ICE, paying $1,500 to someone posing as an attorney from "Inmigrate & Asociados L.LC." who contacted them through a digital flyer with a Florida phone number. The scammers targeted vulnerable immigrants desperate to navigate the immigration court system and prevent their loved ones' deportation. To protect yourself, verify attorneys through official state bar associations, be wary of unsolicited legal offers, and never pay upfront fees to unknown legal representatives without confirming their credentials independently.

# Fraud Summary Two Minnesota women lost $1,500 each to someone posing as an immigration attorney after their family members were detained by ICE, according to WCCO reporting. The scammer, operating under the name "Inmigrate & Asociados L.LC." with a Florida phone number, collected payments but provided inconsistent information and forged legal documents with typos and grammatical errors, while the detained relatives were never actually contacted by any attorney. People seeking immigration legal help should verify attorneys through official bar association databases, work with established nonprofits or accredited representatives, and be wary of unsolicited contact or demands for upfront payments without clear documentation and direct communication with the detainee.

# Fraud and Scams Summary Minnesota Aging Pathways is offering a free online presentation on February 11 to educate people about fraud and scams, particularly targeting older adults who are increasingly vulnerable to these schemes. The presentation will cover fraud prevention strategies, how to detect and report fraudulent activity, and ways to protect personal information, with information provided by the Senior Medicare Patrol program. Interested participants can register for the free Zoom class by visiting the Eventbrite link or calling 800-333-2433.

The Trump administration announced plans in January 2026 to create a new DOJ division focused on fighting fraud affecting government programs, businesses, and citizens, led by a presidentially appointed Assistant Attorney General reporting directly to the White House. However, officials have provided conflicting details about the division's structure, resources, and how it will avoid duplicating existing DOJ fraud enforcement efforts, leaving significant questions unanswered. While the administration emphasized recent prosecutions of immigrants accused of benefit fraud in Minnesota, consumers should remain vigilant about fraud targeting them directly and report suspected fraud to the FTC or their local law enforcement.

Minnesota has enacted a new law effective January 1st that strengthens legal protections for older adults who fall victim to scams or financial exploitation by family members or trusted individuals. The law allows vulnerable adults or their representatives to obtain orders of protection that can freeze accounts and cut off contact with perpetrators, giving courts and banks the authority to stop fraud faster than previously possible. Older adults should be aware of this resource if they experience financial scams or suspect exploitation, and financial professionals are now protected when reporting suspected crimes involving vulnerable populations.

The U.S. Justice Department is investigating whether Minnesota political figures, including Governor Tim Walz and Congresswoman Ilhan Omar, received campaign contributions obtained through fraud schemes involving elderly care facilities and charitable organizations. So far, the FBI has found no evidence of campaign violations, though the investigation remains ongoing and has drawn scrutiny as potentially politically motivated. Voters and donors should be cautious about campaign contributions and report any suspicious fundraising activity to election authorities.

# Gold Bar Scam Alert for Minnesota Seniors Scammers in Minnesota are targeting older residents by pressuring them to wire large sums of money (often six figures or more) to purchase gold bars, which are then handed to a "courier" and stolen. These schemes, which may be connected to romance or investment scams, can seem convincing because the gold is purchased from legitimate businesses in the victim's name, but the Minnesota Department of Commerce warns they pose financial and potential physical dangers. To protect yourself, watch for red flags including pressure to act quickly, requests for secrecy, large wire transfers, and any demands involving gold bars.

An estimated $8 billion in government welfare funds was stolen through fraud in Minnesota, highlighting concerns about government inefficiency in administering social programs. The article contrasts government welfare with private charitable organizations like the United Way, which use rigorous donor oversight and volunteer work to ensure 90-95% of donations reach beneficiaries, while government programs allegedly waste significantly more money to fraud and mismanagement. The author argues this raises fundamental questions about whether government should be in the welfare business at all, suggesting private charitable giving with accountability mechanisms is more effective than taxpayer-funded programs.

Following a major federal fraud scandal in Minnesota involving misused nutrition program funds, Ohio's State Auditor Keith Faber announced the state is investigating allegations of fraud in daycare, Medicaid, and elder care programs, while emphasizing that investigations will not involve racial profiling despite online claims targeting Somali-run businesses. Faber stated that fraud investigations occur across all communities in Ohio and are based on specific tips rather than ethnicity or socioeconomic status. If you suspect government fraud, you can report it to Ohio's auditor at 1-866-FRAUDOH or ohioauditor.gov.

# Fraud and Scams Prevention Presentation Minnesota Aging Pathways is offering a free online presentation on February 11, 2026, to help people recognize and prevent fraud and scams, which are increasingly targeting older adults. The two-hour Zoom workshop will cover detection methods, reporting procedures, and protection strategies based on the Senior Medicare Patrol program. Anyone interested can register at the Eventbrite link or by calling 800-333-2433.

Starting January 1, 2026, Minnesota's new law enables courts to quickly intervene and protect vulnerable adults—including seniors and people with disabilities who depend on others for care—from financial exploitation and scams. Instead of waiting weeks or months for emergency conservatorship, victims or trusted contacts can now file a court petition to immediately separate alleged perpetrators from victims and secure or reverse fraudulent transactions, while still allowing victims access to funds for essential living expenses. If you suspect a vulnerable adult is being financially exploited, you can now seek rapid legal protection through the courts rather than waiting for slower traditional remedies.

Minnesota has been investigating a massive taxpayer-funded day-care fraud scheme dating back to at least 2014, with federal authorities recently alleging a staggering $9 billion fraud operation involving fake childcare businesses that billed the state for services never provided. Scammers reportedly smuggled millions of dollars out of the country via airport luggage while also paying kickbacks to parents who enrolled their children in these fraudulent facilities but didn't actually use the services. Taxpayers and families needing legitimate childcare assistance were the primary victims, and authorities recommend remaining vigilant about daycare provider legitimacy and reporting suspicious activity to state officials.

An influencer named Nick Shirley posted a viral video accusing Minnesota Governor Tim Walz of overseeing approximately $110 million in child-care fraud, claiming he found multiple state-funded centers that appeared empty despite receiving millions in taxpayer funding. The video prompted responses from prominent figures including Elon Musk and Republican Rep. Tom Emmer, who called for accountability and investigation. While the allegations are serious, viewers should note that these claims come from an influencer's investigation rather than official findings, and anyone concerned about potential fraud should report it to appropriate state authorities or law enforcement rather than relying solely on social media investigations.

Over $200,000 in cryptocurrency was forfeited by a federal court in a multi-state elder fraud case, with funds seized from scammers who targeted at least four elderly victims (ages 70+) across Louisiana, Texas, and Minnesota. The victims were manipulated through fake emergencies—including threats of arrest and claims of compromised devices—into withdrawing cash and converting it to Bitcoin at ATMs, which they then sent to the scammers' accounts. The recovered funds will now be returned to the victims, and authorities emphasize that seniors should never convert cash to cryptocurrency based on urgent calls or messages, especially those threatening legal consequences or device security issues.

Minnesota Attorney General Keith Ellison faced widespread mockery on social media after posting about his office's fraud-fighting efforts, while a massive $9 billion fraud scandal involving government welfare programs has unfolded in the state under his watch. The scandal, which reportedly involved stolen taxpayer funds meant to help vulnerable populations, prompted critics across the political spectrum to question how Ellison could tout his anti-fraud work while such a large-scale scheme operated relatively unchecked. For consumers, the incident underscores the importance of verifying the legitimacy of utility calls and loan offers independently, and remaining skeptical of unsolicited contacts claiming to represent government or financial institutions.

Scammers have stolen billions of dollars from Minnesota's social welfare programs through elaborate fraud schemes, including the notorious "Feeding Our Future" case that diverted $250 million in pandemic relief funds meant for vulnerable populations like children with autism, people with disabilities, and those seeking addiction treatment. The fraudsters—many with no connection to Minnesota—created fake community organizations and submitted inflated invoices that state officials continued to pay without proper oversight, while some criminals then transferred stolen funds internationally through weak money transfer regulations. Residents should be vigilant about verifying that social service organizations are legitimate and report suspicious billing or program activity to federal authorities, while policymakers need stronger oversight of government spending and stricter compliance rules on financial transfers.

Minnesota Attorney General Keith Ellison is warning residents about cryptocurrency ATM scams, where fraudsters trick victims into sending untraceable money through these machines, with losses skyrocketing from $12 million in 2020 to $250 million in the first half of 2025—far exceeding typical scam losses. Victims should be especially wary if a government agency requests payment via cryptocurrency ATM, as this is a major red flag for fraud. If scammed, report it immediately to local law enforcement or the Minnesota Department of Commerce, as refunds may be available if reported within 72 hours of account creation.

Minnesota's fraud problem has ballooned to $9 billion, with criminals increasingly targeting the state's Medicaid programs through housing scams, cryptocurrency schemes, and other sophisticated frauds. Five new defendants have been recently charged, and authorities warn that fraudsters are now traveling to Minnesota specifically to exploit vulnerabilities in the system—a phenomenon officials call "fraud tourism." Taxpayers and residents should remain vigilant about housing and investment opportunities, verify credentials of financial advisors, and report suspicious Medicaid activity to authorities.

# Fraud and Scams Summary Minnesota Aging Pathways is offering a free virtual seminar on January 14 to help people—particularly older adults—learn how to prevent, detect, and report fraud and scams, which are increasingly targeting seniors. The presentation will cover fraud prevention strategies and information from the Senior Medicare Patrol federal program, with registration available through Eventbrite or by calling 800-333-2433. To protect yourself, attend educational sessions like this one and learn how to recognize warning signs of scams targeting your personal information.

Mavious Redmond, a 54-year-old from Austin, Minnesota, was sentenced to one year and one day in federal prison for impersonating her deceased mother to fraudulently collect Social Security benefits over 25 years, netting over $360,000. Beginning in 1999, Redmond deliberately circumvented Social Security Administration reporting requirements by forging signatures, using false personal information, and impersonating her mother in phone and in-person interactions. She was also ordered to serve supervised release following her prison term for this scheme that defrauded the Social Security program and taxpayers.

This article describes common scams targeting consumers—including IRS impersonation calls, toll payment texts, and lottery email schemes—and notes that fraud losses reached $12.5 billion in 2024, a 25% increase from the prior year. Scammers typically use spoofed numbers, demand urgent payment, and attempt to steal personal information or get victims to click malicious links. The article provides five resources for victims: filing complaints with state agencies (Wisconsin's Department of Agriculture, Trade and Consumer Protection or Minnesota's Attorney General's Office), reporting to local police and the FBI's Internet Crime Complaint Center, contacting AARP's Fraud Watch Helpline at 877-908-

Minnesota Vikings linebacker Dallas Turner lost $240,000 in an imposter scam when a caller falsely claiming to be from JP Morgan Chase convinced him to wire funds to protect his account from fraudulent activity. Imposter scams are the second-highest fraud category, accounting for $2.95 billion in losses in 2024, and commonly originate via spoofed text messages that mimic legitimate banks; consumers should independently verify suspicious communications and never wire funds to "protect" accounts, as legitimate banks never request such actions.

Christina Chapman, an Arizona and Minnesota resident, was recruited via LinkedIn in March 2020 to facilitate a North Korean government scheme that placed thousands of remote IT workers—using stolen identities—into positions at major US companies including Nike and Fortune 500 tech firms, with Chapman managing "laptop farms" and validating fraudulent identity documents. Chapman's role helped North Korea generate millions of dollars for its nuclear weapons program while enabling identity theft and potential cyber intrusions into US corporate networks. She was sentenced to eight years in prison for her participation in the scheme.

Recent CDC data indicates that approximately 1 in 10 Americans aged 60+ experience elder abuse annually. A comprehensive analysis of senior safety across U.S. states, measuring scam reports, homicide rates, violent death rates, and quality of life, ranked Massachusetts as the safest state for seniors (score: 89.96), followed by Minnesota (89.03) and Nebraska (88.78), with scam rates against seniors ranging from 95.5 to 141.1 reports per 100,000 people depending on the state.

Minnesota Attorney General Keith Ellison warned residents about door-to-door pest-control scams involving high-pressure sales tactics, hidden fees, and undisclosed long-term contracts. The scam typically targets consumers off-guard during summer months, with fraudsters failing to deliver services, imposing surprise charges, or forcing automatic contract renewals. Consumers are advised to avoid pressure tactics, read contracts carefully before signing, verify local peddler registration, and report suspected scams to the Attorney General's office rather than remaining silent out of embarrassment.

**More than 200 seniors attended the Alexandria Senior Expo on June 26, where law enforcement officials and banking professionals educated attendees on recognizing and preventing phone, internet, and mail-based scams.** The event, hosted by Triad (a partnership of Douglas County Senior Services, Sheriff's Office, and Alexandria Police), featured 30 vendor tables, breakout sessions, and a keynote speaker from the Minnesota Department of Commerce. Attendees shared personal experiences with scams, including a fake utility bill for $53.24, grandson scams, and tech support scams, highlighting the importance of discussing fraud experiences to help others avoid similar victimization.

An Eagan, Minnesota couple in their 70s nearly lost $125,000 to a scam after receiving a fraudulent call impersonating the Federal Trade Commission, instructing them to transfer funds to Bitcoin to "protect" their identities following a recent data breach. A vigilant bystander at a local eatery noticed something suspicious and called 911, allowing police to arrive and stop the transaction moments before completion. The incident highlights the rising prevalence of identity theft scams targeting seniors through impersonation of trusted government agencies.

A Maple Grove woman lost over $450,000 in bitcoin, gift cards, wire transfers, and cash to scammers posing as U.S. government agents between March and April. The suspects initiated contact via unsolicited email in early March, then used WhatsApp to communicate with the victim and falsely claim they needed funds for a federal investigation, promising reimbursement. The case represents at least the second major cryptocurrency theft in Minnesota involving email-based fraud, with suspects remaining at large.

Senator Tina Smith is urging the Trump Administration to address a widespread text message scam targeting Minnesotans, in which fake DMV messages claim recipients have unpaid traffic tickets and threaten arrest to coerce online payments. The scam has been reported across multiple states including Georgia, New York, Indiana, Florida, New Jersey, and Colorado, and Smith has requested intervention from the Department of Justice to combat the scheme's scale and sophistication.

Thousands of Minnesotans received fraudulent text messages impersonating the Department of Motor Vehicles, threatening legal consequences and demanding payment for fictitious traffic violations. This scam, which has also affected residents in Georgia, New York, Indiana, Florida, New Jersey, and Colorado, puts victims at financial risk and creates anxiety about message authenticity. Senator Tina Smith is urging the Trump Administration to take action against the widespread scheme.

DMV text message scams, known as "smishing," are expanding across multiple states including Colorado, Indiana, Minnesota, California, Michigan, and North Carolina, with earlier warnings issued in Illinois, Pennsylvania, Florida, New Jersey, Georgia, and New York. These fraudulent texts falsely claim recipients have unpaid traffic tickets or outstanding bills and threaten consequences like vehicle registration loss, driving privilege suspension, or credit score damage unless they click a link and pay. The Federal Trade Commission advises recipients not to click links or respond, instead contacting their state DMV directly through official channels and reporting the messages to their wireless provider, the FTC, and the FBI's Internet Crime Complaint Center.

Minnesota Department of Public Safety issued a warning about scam text messages threatening residents with fines and license suspension for alleged outstanding traffic tickets. The texts falsely claim to be from the "Minnesota Department of Motor Vehicles" or "DPSMN," include fake official language and links to fraudulent websites designed to steal personal information, and demand payment via wire transfer or similar methods. Officials recommend not responding to or clicking links in these messages, deleting them, and contacting Driver and Vehicle Services (DVS) directly through drive.mn.gov if verification is needed; anyone who has already provided information or money should contact their bank and report the incident to law enforcement.

Minnesota's Department of Public Safety is warning residents of a scam involving fake text messages impersonating the state's motor vehicles department, falsely claiming unpaid traffic tickets and threatening legal action to pressure recipients into payment. The scam texts often escalate in threatening language across multiple messages and direct victims to click links that steal personal information. DPS advises residents not to open any payment links in unsolicited texts and notes that the department never requests payment via text message; victims should report incidents to the FBI's Internet Crime Complaint Center.

Minnesota state officials warned residents of a phony text message scam impersonating a non-existent "Minnesota Department of Motor Vehicles (DPSMN)" that falsely claims recipients have outstanding traffic tickets and threatens license suspension and credit damage unless they pay through a suspicious link. The Minnesota Department of Vehicle Services confirmed the scam is circulating statewide and emphasized they never request payment via text. Officials advised residents to delete the messages, avoid clicking links, and report suspected scams to the Minnesota Attorney General's Office or Federal Trade Commission.

Seniors are increasingly targeted in cryptocurrency scams because scammers view them as wealthy, trusting, and less technologically savvy, exploiting the irreversible nature of crypto transactions and victims' reluctance to report fraud. The FTC reports growing losses from crypto investment fraud, romance scams, and government impersonation, with seniors in Beaufort County, South Carolina alone losing over $3.1 million in 2024, while sophisticated schemes using AI voice cloning and fake websites are becoming more prevalent. Examples include British pensioners losing hundreds of thousands to romance fraud operations in Cambodia, Minnesota crypto ATM scams that cost over $189 million in 2023, and government impersonation

Julie Anne Darrah, a 52-year-old California investment adviser, stole over $2.2 million from elderly clients between November 2016 and July 2023 by gaining control of their accounts through power of attorney and trustee documents, then liquidating their assets without authorization. She spent the stolen funds on luxury vehicles and properties, leaving some victims without resources for end-of-life care, and also defrauded a Minnesota investment firm of approximately $5.4 million through false statements. Darrah pleaded guilty to wire fraud in March 2025 and was sentenced to 121 months in federal prison, with a civil judgment requiring her to pay $2,416,