Retired Navy Admiral Nearly Duped as Scammers Target Military Families

In a troubling revelation, the Federal Trade Commission has reported that financial scams targeting service members and veterans resulted in a staggering $584 million loss in 2024. 

Even the highest ranks of leadership are vulnerable to this danger. Formerly active Navy Rear Adm. Brian E. Luther, who serves as president and CEO of Navy Mutual, recently shared a personal account of how he almost fell prey to a similar fate.

Luther, at the helm of Navy Mutual since 2020, revealed that his family faces the threat of scammers almost every other year. His experience highlights the evolving methods employed by fraudsters, who utilize advanced tactics such as spoofed phone numbers, personal data, and high-pressure strategies to deceive victims into revealing sensitive information.

A deceptive phone call, masquerading as a communication from Luther's credit union's fraud department, set the stage for a scam that almost trapped him. The callers possessed intricate personal details and cited authentic transactions, such as his wife's recent credit card activity. With every transfer of the call, the sense of urgency intensified, ultimately leading to a request for Luther to access his account and update his password. Identifying the warning sign, he declined and brought the matter to the attention of others. The credit union subsequently verified that no such call had occurred and promptly altered his account numbers as a safety measure.

Luther publicly recounted his experience to highlight the fragility that can affect even those who are financially astute. “What happened to me could easily happen to anyone,” he remarked.

Navy Mutual, a nonprofit organization dedicated to serving veterans since 1879, consistently alerts military families to the dangers of scams. The FTC highlights a concerning trend in which various fraud schemes are targeting service members. These include deceptive job offers, romance scams, fraudulent investment opportunities, and phishing attacks conducted via phone, email, or social media platforms.

Fraudsters frequently mimic reputable organizations or generate a misleading sense of urgency, compelling individuals to respond without delay. The FTC highlights four prevalent red flags: endorsements from a recognizable entity, declarations of an issue or reward, a sense of urgency to take swift action, and demands for unconventional payment methods, such as gift cards, wire transfers, or cryptocurrency.

Authorities are advising service members and their families to cease any suspicious communications and to contact their financial institutions directly using official contact numbers. If personal information is revealed, it is crucial to take swift action to secure accounts, thereby safeguarding against identity theft or additional fraudulent activities.

For military personnel, the dangers go far beyond financial loss. Fraud poses significant risks to credit ratings, security clearances, and professional trajectories. “This is a continuous danger,” Luther stated. “The sophistication of scammers should never be underestimated.”

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