Where I Stand — Mike O’Callaghan: Protect your wallet from scam artists during the holidays

Friday, Dec. 20, 2002 | 3 a.m.

Attorney General Frankie Sue Del Papa is retiring next month, but this hasn't kept her and Consumer Advocate Timothy Hay from doing their jobs. Their public information officer Tom Sargent has been very efficient in warning Nevadans about scams.

The latest warning from the AG told us about the scam related to the "sale of merchandise via Internet auction sites." The notice goes on to tell readers that, "Some sellers of merchandise on Internet auction sites have reported receiving substantial overpayments from purchasers. When the seller notifies the purchaser of the overpayment, the purchaser indicates he is sorry about the mix-up and requests the seller to deposit the overpayment check into the seller's account, and then include a new check for the overpayment when shipping the product. After the seller ships the merchandise and the check for the overpayment, the seller discovers that the buyer's original check is no good. The buyer disappears with both the good check and the merchandise. Many times it is discovered that the buyer was calling from Nigeria or another African country."

An earlier AG notice told us about a scam that, "Involves a newspaper or Internet ad seeking to hire drivers for upcoming car shows. The ad further states that the drivers will be required to drive 'high-end' automobiles such as Bentleys and Ferraris, locally or nationwide.

"When the victim calls the number provided in the ad, he or she is instructed to send several hundred dollars, by Western Union, as a 'security deposit' for driving the expensive automobiles. After the victim sends the money, the driving job never materializes and the victim is out of pocket several hundred dollars."

In September, Sargent sent out a warning about "Gifting Clubs," which zero in on women. Here's his warning: "The perpetrators target close friends, relatives, neighbors and persons they can trust to remain quiet about the pyramid scheme. The statements or literature used to recruit new entrants into the pyramid scheme will refer to a growth of sisterhood by women empowering women to gain control of their lives and their finances. The recruiting material contains statements that the pyramid scheme is legal because it is a 'Gifting Club' under the IRS code. The Women's Circle pyramid scheme characterizes its members by dining terminology. For example, an initial entrant is referred to as 'Appetizer,' and the highest participant, who receives the funds, is called 'Dessert.'

"The victims in these pyramid schemes are admitted by paying a so-called 'gift' of $5,000 and must make a commitment to find new entrants prior to moving up the pyramid. The victim is promised, in return for her contribution, a 'gift' of $40,000 once she reaches the recipient stage."

Continually we hear candidates for office talk about consumer protection. It's refreshing to see the work being carried out by Del Papa and Hay. At work, we get strange e-mail messages that also probably go to millions of homes. Read one of the most recent that caught my attention:

"Need a new driver's license? Too many points or other trouble? Want a license that can never be suspended or revoked? Want an ID for nightclubs or hotel check-in? Avoid tickets, fines, and mandatory driver's education. Protect your privacy, and hide your identity.

"The United Nations gave you the privilege to drive freely throughout the world! (Convention on International Road Traffic of September 19, 1949 & World Court Decision, The Hague, Netherlands, January 21, 1958).

"Take advantage of your rights. Order a valid International Driver's License that can never be suspended or revoked. Confidentiality assured."

It's difficult to determine who will get burned by this scam. Probably the individual who orders it and the public the driver will soon victimize. Don't believe that a traffic officer doesn't know a legitimate international driver's license when he sees it. He will probably also request you have a legitimate passport in your possession.

During the holiday season the scam artists are plentiful and this information may be of value to our readers.