Hidden Trails: Where to Find Money After a Scam or Fraud
Download MP3🔍 Episode Description:
In this episode, we explore the options available to victims of fraud, scams, or Ponzi schemes—especially when the scammer no longer holds your money. Using insights from the U.S. Department of Justice’s Asset Forfeiture Guide, we look at real-world examples and explain how victims may still be able to recover funds.
đź“ť Key Takeaways:
- What happens if a scammer no longer has your money after a fraud or crypto scam?
- Introduction to the U.S. Department of Justice Asset Forfeiture Guide
- Understanding Criminal Forfeiture under 21 U.S. Code § 853:
- Property derived from scam proceeds can be forfeited.
- Assets used in the commission of the fraud (e.g., office space) may also be subject to forfeiture.
- Third-party transfers:
- Assets transferred to another person or company may be taken back unless they were obtained in good faith and for a legitimate reason.
- Example: Scott Rothstein case in Florida where a watch company had to return funds received from fraud proceeds.
- Substitute Assets:
- If the scammer has already spent the stolen money, the government can seize other assets of equal value—like a house or car—even if those were not directly tied to the scam.
- Civil Forfeiture possibilities:
- The government may seize raw materials, equipment, vehicles, or other assets used to carry out or conceal the scam.
- Multiple recovery options:
- Victims may recover through civil or criminal actions.
- Includes claims on third-party assets, substitution of lost funds, and seizure of fraud-related resources.
⚠️ Disclaimer:
This episode is for informational purposes only and is not legal advice. Please consult with a qualified attorney for legal support specific to your case.
This episode is for informational purposes only and is not legal advice. Please consult with a qualified attorney for legal support specific to your case.
