Ajay Kumar, 24, of Los Angeles, California, pleaded guilty on July 28 to conspiracy to commit money laundering in connection with a phantom hacker scheme that targeted elderly victims, according to an Aug. 3 announcement from the U.S. Attorney for the District of Arizona. Sentencing is scheduled for Oct. 8 before United States District Judge John J. Tuchi.
According to his plea agreement, Kumar’s co-conspirators contacted victims while posing as government employees and falsely claimed that the victims’ accounts had been compromised. The callers told victims they needed to move their funds to a government account for safety. In some cases, co-conspirators maintained contact with the victims for weeks and convinced them to withdraw cash or purchase gold, which was then collected by individuals posing as government agents.
The plea states that in December 2024, Kumar attempted to pick up approximately $500,000 in gold bullion from a victim in Arizona. As part of his plea agreement, Kumar admitted he traveled throughout the United States collecting cash and gold from victims and delivering it to other co-conspirators involved in the scheme.
A conviction for conspiracy to commit money laundering carries a maximum penalty of 20 years in prison and a $500,000 fine. The Federal Bureau of Investigation’s Phoenix Division conducted the investigation into this case. Assistant U.S. Attorney Adriana Genco is handling prosecution duties.
Phantom hacker scams and government impersonation scams are increasingly prevalent and disproportionately affect elderly individuals. Fraudsters typically pose as government agents and pressure targets into quickly transferring money under false pretenses such as threats or urgent requests for security reasons. Authorities urge members of the public to remain vigilant: “The government will never call individuals to instruct them to transfer funds to the government,” officials said in their statement.
Victims or those who know someone affected by elder fraud are encouraged to call the National Elder Fraud Hotline at 833-FRAUD-11 (833-372-8311) or file complaints through the FBI’s Internet Crime Complaint Center website at ic3.gov.
The U.S. Attorney for the District of Arizona advances community wellness through outreach programs and victim advocacy; it is a component of the U.S. Department of Justice consisting of about 180 assistant attorneys and 160 support staff members; handles federal prosecutions; serves Arizona including its border with Mexico and federally recognized tribes; coordinates law enforcement efforts; and works with federal, tribal, state and local agencies, according to its official website.