24 Jul Grace For Graceland: Foreign Fraudsters Foreclosure Theft Foiled
Identity theft is real. The brazen attempt of foreign fraudsters to foreclose on Graceland, the former home of the late iconic singer, Elvis Presley, illustrates the need to be vigilant in the protection of your assets – and so should the representatives of your estate after your death as well as your heirs and beneficiaries. Graceland is one of the biggest tourist attractions in the South.
In this case, the scam artists claimed that Lisa Marie Presley (who inherited Graceland as the only child of Elvis Presley) signed a $3.8 million dollar note whereby Graceland was the collateral through a deed of trust securing the payment of the loan from Naussany Investments and Private Lending, LLC. Naussany claimed Lisa Marie never paid the loan and sought non-judicial foreclosure (to avoid the court having to approve the taking of Graceland unless the loan was repaid). Naussany made a claim against Lisa Marie’s estate with the California probate court (Lisa Marie lived in California at the time of her death) which included the deed of trust. However, the deed of trust was never recorded in Shelby County, Tennessee where Graceland is located. Naussany put an ad in a Memphis newspaper indicating it was going to auction Graceland at foreclosure.
Riley Keough (“Riley”), Lisa Marie’s daughter, who inherited control of Graceland after Lisa Marie died, successfully obtained an injunction to block the sale alleging the loan agreement was forged. The attorney for Riley provided the court with an affidavit of the purported notary on the deed of trust that she did not notarize the document and that she never met Lisa Marie. The judge then granted the injunction and the fraudsters withdrew their foreclosure attempt. According to the New York Times, they admitted it was a scam and not to collect a debt.
The Tennessee Attorney General is now looking into this. In emails to media, the fraudsters boasted about the hoax and that they routinely steal identities, U.S. birth and death certificates, and hack in all kinds of records and accounts. They usually prey on the elderly or the estates of someone who recently died. They said there is nothing we can do about it since they are (allegedly) in Nigeria.
Riley didn’t fall for this scam. It will be interesting to see in the coming months about the true identity of the fraudsters. The email that was sent to the news media could be a start since email headers contain valuable information such as IP addresses and server details which can help identify the origin of the scam. The more common real estate scam is to steal title (often through forgery) of property not often used (i.e., vacation homes, etc.). As a result, if you don’t get a property tax statement or a mortgage statement this could be a tip that a fraud could have occurred. Title lock services are not a guarantee of good title of real estate as they generally are used to warn of suspicious activity.
As far as financial scams, there are several precautions to be taken or actions taken if you are a victim including:
- Create strong passwords. Also have multiple passwords.
- Change your account passwords. This includes credit cards, social media, email accounts and bank or other financial accounts.
- If contacted by a suspected scammer, cease communication. Do not respond to Facebook messages, emails or letters (i.e., you won a lottery or romantic scams). Hang up if a phone call is received and never give information such as your Social Security number unless you are certain as to the source. Payment by gift card or cryptocurrency should raise a red flag.
- Notify the three major credit bureaus (Equifax, Experian and Transunion). If you are concerned about your credit being compromised, so there is a fraud alert. You could also freeze your credit report (if you are not seeking a loan).
- Update your antivirus software. Also confirm your computer has no malware.
- Report the scam to:
a. Federal Trade Commission (877-382-4357) for consumer fraud and identity theft;
b. Local police;
c. Identitytheft.gov. If someone tries to get a tax refund using your name or makes purchases or opens new accounts using your name with your personal information, then you contact this website or call 877-ID THEFT;
d. State Attorney General or Consumer Affairs division;
e. FBI for general fraud and other criminal matters, call 202-324-3000;
f. Crime Complaint Center online at www.ic3.gov. for internet fraud and lottery/sweepstakes fraud by internet;
g. U.S. Postal Service for lottery/sweepstakes by mail call the U.S. Postal Inspection Service at 800-372-8347.
Unfortunately very few who commit scams get caught or are held accountable. As a result, protective measures should be considered. As technology such as artificial intelligence (AI) advances, we need to continuously be aware of those who would try to take advantage of you.
Riley Keough spotted a scammer – will you?
If interested in learning more about this article or other estate planning, Medicaid and public benefits planning, probate, etc., attend one of our free upcoming Estate Planning Essentials workshops by clicking here or calling 214-720-0102. We make it simple to attend and it is without obligation.