Professor Nicole Iannarone was quoted in a Nov. 4 article on Vice, “The Bogus Tech Bro Accused of Scamming the Elderly to Fund Gambling Sprees.” The article discusses the recent indictment of Isaac Grossman, CEO of tech startup Dragon-Click, on charges of wire fraud, mail fraud, money laundering and related conspiracies for siphoning $1.3 million from Dragon-Click’s corporate accounts.
The article describes how Grossman and others allegedly target seniors looking to strengthen their retirement accounts with investments in technology. Iannarone explains how these scams can be appealing to many seniors:
“They think, ‘Maybe we don’t have as much money as we wish we did,’” Iannarone said. “That exposes them to potential risk. It can make one more susceptible to fraud.”
And the relationship may not be appealing solely for financial reasons. “Social isolation can be a significant challenge for seniors,” Iannarone added. “You are lonely, get a call from this person and next thing you know, you become friends.”
Iannarone recently testified at an SEC Roundtable on combating elder investment fraud such as Grossman’s. She is an expert on regulation of financial intermediaries, consumer experience in resolving securities disputes, professional ethics, and law and technology.