Karl Hampton, 65, of Chattanooga, has been convicted after a weeklong trial of 12 counts of felony fraud in connection with a scheme to defraud an elderly widow of over $1 million, according to the Middle District of Tennessee U.S. Attorney’s Office.
Hampton was charged with wire and mail fraud after he and his wife were indicted in 2021 for conspiracy and money laundering.
Man Convicted Of Defrauding Elderly Widow Of $1.2 Million https://t.co/4Nh4DWxCjE
— U.S Attorney-Middle District of Tennessee (@USAO_MDTN) April 14, 2023
Citing evidence presented in court, the U.S. Attorney’s Office reports that Hampton met the elderly widow while working as an exterminator in her home. Between 2018 and 2020, Hampton fooled the victim into believing he would provide her with both personal and financial care.
To make it appear as if he was acting on behalf of the victim, he posed as her “personal representative,” her “son” or her “godson.”
Hampton even persuaded the victim to sign over her power of attorney, name him in her will, and revocable living trust in April 2019. Using her property as collateral, he then took out a $500,000 line of credit in the victim’s name and amassed huge charges on her credit cards for his own personal use.
The evidence in court estimates that Hampton defrauded the victim of approximately $1.2 million in total. The elderly widow’s money was used to buy luxury items and purchase lottery tickets, frequently exceeding $1,000 daily. Hampton’s spending of the victim’s money also included purchasing a Lexus GX460, a 4.3-karat diamond ring, and a $170,000 interest in a pest control business.
Hampton’s sentencing will take place on August 11. In addition, Hampton’s wife pleaded guilty to one count of money laundering in February 2023 and is scheduled to be sentenced on June 16, 2023.
According to the Tennessee Commission on Aging and Disability, financial abuse and exploitation of the elderly is a “growing problem” in the nation, with most cases going undetected.
Any illegal exploitation or abuse of elderly or vulnerable adults may be reported to local law enforcement officials in the area of the victim or to the Tennessee Adult Protective Services.
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Kaitlin Housler is a reporter at The Tennessee Star and The Star News Network.
Photo “Gavel and Money” by Towfiqu barbhuiya.
