Milford woman tries 'arrest warrant' scam on FBI agent

GRAND RAPIDS, Mich. (FOX 2) - Milford resident Kari Melissa Morales, 51, was part of a scam that texted people about fraudulent arrest warrants, demanding money, and threatening people with jail time if they didn't pay.

In recent years, it's become a common scam.

But Morales and her cohorts tried it one too many times, and finally ran into the long arm of the law, literally.

According to U.S. Attorney Mark Totten one of her co-conspirators tried the scam on a west Michigan resident, but the phone number has recently been reassigned to an FBI agent.

Morales was charged by a federal grand jury with participating in a fraud scheme that attempted to obtain $60,000 from a west Michigan resident in exchange for avoiding arrest and prosecution on a fake "FBI Warrant of Arrest" for a false allegation of "IRS tax fraud."

"Financial fraud is rampant," said U.S. Attorney Mark Totten. "Fraudsters come at us through our devices, in the mail, and at our doors. And they target some of our most vulnerable, especially senior citizens." He continued: "Safety starts with awareness. Federal agencies like the IRS and FBI will never send anyone texts, emails, or other messages requesting or demanding money to dismiss an arrest warrant or criminal charges."

Morales was charged with conspiracy to commit wire fraud, which is punishable by up to 20 years in prison. According to the indictment, in early April 2024, Morales drove to Grand Rapids to exchange a fake "IRS receipt" and fake "FBI WARRANT OF ARREST" for $60,000 in cash she was to obtain for a co-conspirator. Morales obtained the fake documents from a co-conspirator she met online and never met in person, who instructed Morales to print the documents and exchange them for cash she was to receive from the female named in the documents.

For her part, Morales would have received $2,500, with the rest of the money going back to the partner. Instead, she faces up to 20 years in prison if convicted.

The investigation of the scheme began when a co-conspirator posing as the "IRS fraud department" sent a text message to a cell phone number that previously was assigned to a female resident of Kent County. The co-conspirator did not know that the targeted victim’s cell phone number had been reassigned to a federal law enforcement agent in Kent County, Michigan.

The Justice Department, FBI, and U.S. Postal Inspection Service recently announced the completion of "The Money Mule Initiative," a national campaign to identify, disrupt, and criminally prosecute complex fraud schemes. These schemes often rely on "money mules" – people who receive fraudulent proceeds, retain a portion, and forward the remainder to a co-conspirator – to facilitate schemes that often originate overseas. Many "advance fee" fraud schemes target older Americans and use various false stories designed to manipulate victims to mail, wire, or hand money to "money mules" located in the United States.

This investigation was conducted by the U.S. Postal Inspection Service, the Drug Enforcement Administration, and the Michigan State Police. The prosecution is being handled by Assistant United States Attorney Chris O’Connor.