Tennessee Man Sentenced After Defrauding Widow With Dementia Of $1.2 Million 

A Chattanooga, Tennessee, man is headed to prison for defrauding an elderly widow of $1.2 million. Last week, Karl Hampton learned he’ll be spending 60 months behind bars for tricking the 86-year-old woman. A press release from the Middle District of Tennessee’s U.S. Attorney’s Office did not disclose the widow’s name but revealed that she has dementia.

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Tennessee Man Pretended To Be Widow’s Son & Rep
Hampton first met the widow while providing pest control services as an exterminator in her Tennessee home. After that initial meeting, Karl convinced the woman that he would care for her financially and personally, per the release.

Instead, between January 2018 and February 2020, he “drained the woman’s bank accounts.” Additionally, he took out a $500,000 line of credit in the widow’s name and racked up large charges on her credit cards for personal expenses. Those purchases included a car, a luxury SUV, a 4.3-karat diamond ring valued at $21,000, and lottery ticket splurges that toppled $1,000 daily.

Furthermore, Hampton was convicted of stealing money from two investment accounts belonging to the widow’s dead sister. The money was meant to be split between the widow and another individual, but Hampton transferred the funds to himself.

How did Karl Hampton execute his fraud scheme? The press release states that the 65-year-old convinced the woman to sign over her Power of Attorney to him and name him in her will and Revocable Living Trust in 2019. Furthermore, he presented himself as either the widow’s “son,” “godson,” or “personal representative” to her and others, claiming that he was acting on her behalf amid her dementia.

Karl Hampton’s Wife Was Part Of The Fraud Scheme
Karl’s wife, Deborah Hampton, also profited from her husband scheming the widow. Prosecutors indicted the married couple in June 2021 on multiple conspiracy and money laundering counts. Karl racked up eight additional counts of wire fraud.

In April 2023, after a week-long trial, a jury convicted Karl on all counts. In addition to 60 months in prison, he will face three years of supervision after his release and must pay more than $1.2 million in restitution.

Meanwhile, Deborah copped a plea months ahead of her husband’s conviction for his crimes against the widow. She pled guilty in February 2023 and received a sentence of time served and three years of supervised release. Additionally, she must pay $21,000 in restitution, likely for that giant diamond ring, though the press release didn’t specify.

The investigation was a collaborative effort between the FBI, Memphis Field Office, and the Nashville Resident Agency. Ultimately, Assistant U.S. Attorney Kathryn Booth prosecuted the husband and wife.

It’s unclear whether the widow was informed of the fraud scheme or involved in the court proceedings, given her dementia.

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