Sheffield mass marketing scam victims to get share of $25m compensation - but 8 have died waiting

People in Sheffield who fell victim to mass marketing scams will receive a share of $25 million compensation.
By Robert Cumber
Published 25th Nov 2022, 17:36 BST
Updated 25th Nov 2022, 17:36 BST
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A total of 22 victims across the city who are due a refund have been identified following an international investigation, but most were elderly and eight of those have sadly passed away before they could get their money back. Of the remainder, only four have so far proved contactable.

US-based fraudsters had targeted UK households with scam mail offering the recipients – many of whom were elderly and vulnerable – alleged ‘guaranteed’ cash prizes. A joint investigation by National Trading Standards and the US Federal Trade Commission identified the criminals, who were found to be based in Kansas, USA and had sent tens of millions of deceptive personalised mailings around the world as part of the ‘Next Gen’ sweepstakes scam.

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The fraud was discovered in 2017 and three individuals responsible were forced to forfeit $30m in cash and assets in 2018, $25m of which was made available to compensate victims around the world. It has taken many months to identify the individual victims but Sheffield Council had revealed that those affected in Sheffield ar entitled to a shared total refund of £2,377.65, to be distributed by Sheffield Trading Standards.

More than 22 Sheffield victims of a global mass marketing scam, entitled to a share of $25m compensation, have been identified - but eight have sadly died before they could receive the refund. File photo by PA/Dominic LipinskiMore than 22 Sheffield victims of a global mass marketing scam, entitled to a share of $25m compensation, have been identified - but eight have sadly died before they could receive the refund. File photo by PA/Dominic Lipinski
More than 22 Sheffield victims of a global mass marketing scam, entitled to a share of $25m compensation, have been identified - but eight have sadly died before they could receive the refund. File photo by PA/Dominic Lipinski

Victims were asked for an upfront fee ranging from £25 to £40, which many paid several times before realising there was no prize. The highest individual losses in the UK ran into thousands of pounds. Across the UK, more than £530,000 will be returned to more than 3,500 victims who have been identified.

The council said Sheffield Trading Standards officers have been trying to contact all 22 people in the city who were affected to arrange a personal visit. During those visits, officers will issue the refund on a pre-loaded credit card which can be spent in shops or paid into bank accounts.

They will also give the victims advice and tips on how to avoid falling foul of these criminals in the future.

Councillor Joe Otten, chair of the council’s Waste and Streetscene Policy committee, said: “Targeting elderly and vulnerable people is unacceptable and we're saddened that some of the people affected in this case are unable to see this outcome and get their money back. There’s lots of advice and support available to help people make the right choices before going ahead with something – stop and think before entering into transactions or giving your details to anyone, check them out, do your research, speak to a friend or relative or contact our Trading Standards for support.”

Sheffield Trading Standards’ Not Born Yesterday campaign aims to protect residents from financial abuse from mass mail scams, rogue trading, doorstep crime and telephone scams. Advice and tips are available on the Trading Standards section of the council website. If you have any suspicions, you can report them by calling 0808 223 2233 or emailing [email protected].