Employees of “New City Moves” in Chicago are facing potential federal prison time for orchestrating a multi-million dollar moving scam that preyed on over 800 unsuspecting customers, racking up more than $3 million since 2017.
Rise of the Scam
The scam revolved around the fraudulent impersonation of the reputable “New City Moving,” employing deceitful tactics such as fake online reviews and low initial quotes that skyrocketed upon loading items onto trucks.
Federal prosecutors have identified the mastermind as a fugitive, while two accomplices could face up to 20 years in prison for their role in the scheme. This case sheds light on the severe consequences individuals engaging in such deceptive practices might face.
Victims like Marion Schmekel recounted being overcharged by thousands and experiencing substantial delays in receiving their belongings. The imposter company faced legal consequences, including a $100,000+ order to pay for copyright infringement.
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Safeguarding Against Scams
The escalation in moving scams, averaging a consumer loss of $836 last year, urges caution. Authorities advise vigilance against warning signs like phone estimates, suspiciously low bids, or companies with names resembling reputable movers.
To protect against such frauds, meticulous research on moving companies, in-person estimates, verification of licensure and insurance, and checking databases like the Federal Motor Carrier Safety Administration’s Company Database are recommended. Understanding rights regarding damaged items or late deliveries is also crucial.