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If it sounds too good to be true ...CASHMERE, Jul 02, 2009 (The Wenatchee World - McClatchy-Tribune Information Services via COMTEX) -- A Cashmere man joined a long list of other folks around the United States who say they've been taken for $385 by American Grant Aid Services. Richard Flax, 52, said about three months ago he was contacted by a man who said his name was Sheldon Novack with AGAS. Flax said Novack called and told him he'd just been awarded a $30,000 government grant and Novack could help him speed up the bureaucratic red tape if he sent him a check for $385. "He said they were giving the money to first-time homebuyers and that I wouldn't have to pay anything back," he said. Flax, who is on disability and has very limited income, said he didn't suspect anything and sent Novack the check. "After a few weeks, when I hadn't heard anything, I called the number he'd given me," he said. "It had been disconnected." When The Wenatchee World tried to contact AGAS, reportedly out of the Washington, D.C., area., the listed number had been disconnected. A quick Google search on the company shows people in Illinois, Oklahoma, California and Mississippi have reported encountering the same experience as Flax. Ripoffreport.com indicates these people were offered government grants for either a down payment on a house or home improvements. Sometimes the company representatives' names are different, but the end result is always the same: People send checks or money orders for $385, they don't ever hear from the company again, and when they call the phone number the representatives gave them, it's been disconnected. Frank Harrill, supervisory senior resident agent for the FBI in Spokane, said he couldn't comment specifically about American Grant Aid Services, but said the old adage of, "If it sounds too good to be true, it usually is," may sound like a cliche, but is usually accurate. "Consumers need to be aware that whenever someone asks for an advance fee -- it's always suspect," Harrill said. He said in the new era of communications options available today, con artists are able to use any address and any phone number to leave the impression that they are operating out of a legitimate business in a certain city. "But in reality the Web sites, addresses and phone numbers have no relationship to where people really are," Harrill said. "All these frauds take different forms and are very easy to do today," he said. Flax, who contacted The World to warn others about the possible scam, said when he realized he'd probably just become a victim of fraud, he went to a legal aid service in Wenatchee. "They told me to contact the Attorney General's Office and file a complaint, which I did," he said. Kristin Alexander, spokeswoman for the AGO in Seattle, said a letter notifying AGAS that a complaint has been filed went out on June 8. She said the company has 21 business days to respond. "Mr. Flax is the only one (from Washington) who has filed a complaint against this company," Alexander said. "We can't say at this point whether it's a scam or not. ... But it causes me concern because they asked for money upfront. People need to know there is never a reason to send money upfront for a government grant." Flax said he wanted others to be aware of his situation "so they don't get taken like I did." Michele Mihalovich: 665-1188 [email protected] To see more of The Wenatchee World or to subscribe to the newspaper, go to http://www.wenworld.com. Copyright (c) 2009, The Wenatchee World, Wash. Distributed by McClatchy-Tribune Information Services. For reprints, email [email protected], call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA. |