Personal assistant steals $10 million from top employers. How to recognize elder financial abuse
Catalina Corona, a personal assistant to an elderly couple in New York has admitted to stealing $10 million from her employers, according to CNBC (1). This elder fraud and abuse case against Richard Schmeelk—a retired Salomon Brothers businessman—and his wife, Priscilla, went unsolved for seven years.
Prosecutors say Corona used forged checks, unauthorized wire transfers and impersonation schemes to withdraw money from the Schmeelks’ accounts between 2017 and 2024.
Even after Richard Schmeelk’s death in 2022 at the age of 97, the fraud continued.
The stolen funds were used to pay for a lavish lifestyle, including purchases at Gucci, Cartier and Louis Vuitton, as well as hundreds of thousands of dollars in credit card payments.
The scheme only came to light when the bank flagged a suspicious $1,500 check in 2024, raising questions about how long the fraud would have continued if not for that intervention.
Corona is now facing a sentence of up to 30 years in prison.
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Cases like this are not isolated. According to the FBI, elder fraud led to nearly $5 billion (2) in reported losses by 2024, with more than 147,000 complaints filed.
The real number is probably much higher, as many victims never report the abuse – whether they don’t know it’s happening, feel ashamed or dependent on the abuser.
These cases are particularly troubling because of the role of trust. Financial abuse is usually not carried out by strangers, but by people who are already in the victim’s circle, such as carers, assistants, relatives or advisers.
Once that trust is established, it can be difficult to see where things are going wrong.
In this case, prosecutors say Corona wrote hundreds of checks to herself, transferred funds to her accounts and continued the fraud even after Richard Schmeelk’s death.
Elder financial abuse can be hard to spot, especially if it happens slowly. Warning signs include unusual financial activities, such as sudden withdrawals, large transfers or unexplained purchases that do not conform to normal spending habits.
Other red flags include changes in bank behavior — such as new authorized signers or unexpected shifts in account access — as well as missing documents, unpaid bills or confusion about finances.
Caregivers who display unexplained wealth can also indicate potential abuse. You can also notice people who are withdrawn or defensive when discussing money.
While no plan is foolproof, there are steps seniors and families can take to reduce the risk of financial abuse:
1. Review fees: A good tip is to review your bank and credit card statements regularly. Be sure to set alerts for unusual activity or large transactions.
2. Different financial obligations: Avoid giving one person complete control of finances. Use checks and balances, such as requiring two-factor authentication for large transactions.
3. Use professional supervision: Engage a trusted financial advisor, accountant or attorney who can provide independent guidance.
4. Limit access where possible: Grant only the level of access required. For example, a caregiver may need to pay bills – but not transfer funds or write checks.
5. Stay connected: Isolation increases risk. Seniors should check in regularly with family or friends who can review and monitor their financial accounts.
6. Take immediate action: If you see suspicious activity, contact the bank immediately, document the matter and report it to the local authorities or appropriate fraud agencies.
This situation shows that even people with decades of financial experience can become victims if safeguards are not in place.
Financial abuse often thrives in silence and builds slowly until the damage is severe.
The takeaway is to stay alert.
In most cases, the difference between catching fraud early and finding it years later comes down to one thing: paying attention to small signs before they turn into big losses.
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CNBC (1); FBI (2)
This article originally appeared on Moneywise.com under the headline: Personal assistant steals $10 million from top employers. How to recognize elder financial abuse
This article provides information only and should not be construed as advice. Offered without warranty of any kind.
