Tech Support, Fake Refunds and Threats: Fifth Defendant Pleads Guilty in Houston Elder Fraud Ring

Here is what happened

On March 20, 2023, the U.S. Attorney's Office for the Southern District of Texas, part of the Department of Justice (DOJ), announced that Anirudha Kalkote, 25, an Indian citizen, pleaded guilty to conspiracy to commit mail fraud. U.S. District Judge Kenneth Hoyt accepted the plea and set sentencing for June 26. He faced up to 20 years and a $250,000 fine.

Four others had already pleaded guilty and were awaiting sentencing: MD Azad, 26; Sumit Kumar Singh, 25; Himanshu Kumar, 25; and MD Hasib, 27. The release described all four as Indian nationals illegally residing in Houston. All five remained in custody.

How the scheme worked

According to the release, the ring operated from 2019 to 2020 out of several cities, including Houston, and targeted elderly victims across the U.S. and elsewhere:

• Fraudsters contacted victims by phone or through internet sites for computer technical support and directed them to a particular phone number.
• When victims called, they were told they were speaking to an expert who needed remote access to their computer.
• The fraudsters then accessed victims' personal data and bank and credit card information.
• Victims usually paid a fee for the fake support and were later told they were due a refund.
• Using that access, the ring manipulated accounts to make it look like the victim had been overpaid due to a typo, then told victims to send the "excess" back.
• Payment could be by wires through Western Union or MoneyGram, gift cards or cash mailed to aliases by FedEx or UPS.
• Some victims were re-victimized multiple times and threatened with bodily harm if they did not pay.

The Federal Bureau of Investigation (FBI), the U.S. Postal Inspection Service (USPIS) and IRS Criminal Investigation (IRS-CI) investigated, with help from Homeland Security Investigations (HSI), the Fort Bend County Sheriff's Office and local agencies including in Augusta County, Virginia.

Why it matters

The refund overpayment trick is effective because it preys on the victim's sense of fairness. The victim believes they received money by mistake and feels obligated to return it. In fact, the "refund" is usually the victim's own money shuffled between accounts.

The phone remains central. Whether the first contact is a call or a web page, it's all about getting the victim on the line with a scripted "expert."

The Federal Trade Commission (FTC) amended the Telemarketing Sales Rule (TSR) in 2024 so that inbound calls responding to tech support advertising are no longer exempt from the rule.

Practical steps

• Never allow remote access to someone who contacted you or whom you reached through a pop-up or search ad.
• Banks: watch for elderly customers sending wires or buying gift cards to "return a refund."
• Families: explain that real companies do not ask for refunds back in gift cards or cash.
• Report to the FBI Internet Crime Complaint Center (IC3) quickly.