Cellphone scheme scams homeless


WINNIPEG—Dozens of homeless people at a Winnipeg shelter have been ripped off by a scam involving cellphones.
A man allegedly drove groups of people from the Siloam Mission to a Visions electronics store to sign them up for cellphone contracts that included a free trial period and $60 gift cards.

He convinced the homeless people to hand over the gift cards as payment for driving them to the store.
Staff at the downtown shelter became suspicious when an unmarked van appeared three separate times one night last week, collecting and dropping off groups of people with brand new phones.
“Nobody recognized this person, who was preying on vulnerable people who don’t get so many perks in life,” said Theresa Saunders, director of Siloam’s patron services.
“It raised red flags with us.”
The swindler is estimated to have made up to $2,000 by duping between 30 and 40 people, all of whom are being encouraged to return their phones to be released from their contracts.
“We don’t want anyone to be put in a bad credit situation,” said Chris Lavallee, sales manager at Visions in St. James, who was alerted by Saunders about the con.
Lavallee said the man was canny enough to exploit a loophole in the promotion rules, which led to its cancellation.
“He figured the more people he brought in, the more bonuses he would make,” he said.
The man is not affiliated with Visions in any way and has been barred from all its stores, added Lavallee.
Saunders said she was happy about the amnesty on returning phones to the store, but is worried those who decide to keep the phones will struggle to keep up with regular payments once the free four-month trial period expires.
Winnipeg police were unable to comment on the matter because no one had reported a crime.