
Greedy company president sinks family-owned firm
Read Time: 6 mins
Written By:
Robert J. Gunderson, CFE
Romance novelist Jude Deveraux has authored 43 New York Times bestsellers, sold more than 60 million copies of her books and enjoyed her fortune from the sales. But in the early 1990s, Deveraux sought help for a turbulent marriage and pregnancy difficulties at a New York psychic parlor where she met a woman who called herself Joyce Michael.
Over the next 17 years, Deveraux would trust Michael as a confidant, friend and someone who could supposedly help solve her problems, including her grief following the tragic death of her 8-year-old son in 2005. But Michael was none of those things. (See Author Jude Deveraux Was Suicidal After Losing $20 Million to Fortune Telling Con, by Christina Ng, ABC News, Aug. 24, 2011.)
According to the ABC News story, Michael encouraged Deveraux to distance herself from other friends and family members and to sell her house and all assets. She manipulated Deveraux (and others) into giving her Deveraux’s money, jewelry and other valuables, claiming they were “cursed” and needed to undergo “cleansing rituals” before she’d return them. Of course, Devereaux never saw those belongings and cash again.
Michael took advantage of Deveraux’s profound grief by claiming she could contact Deveraux’s dead son and prevent him from being “caught between heaven and hell,” and she could transfer his spirit into the body of another boy so they could be together in this life. Michael also said Deveraux’s spirit was in the body of another woman secretly married to Brad Pitt. (See Novelist testifies ‘psychic’ claimed she could reunite her with dead child, by Paula McMahon, Sun Sentinel, Sept. 10, 2013.)
Michael is really Rose Marks, a member of an extended family of psychic con artists who operated in New Jersey, Florida and other states, from as far back as the 1940s in San Diego County. (See Gypsy Clan Facing Test as Psychics, by Tony Perry, L.A. Times, Feb. 27, 1995.) For more than 17 years, Marks defrauded Deveraux of nearly $20 million and used empty promises of hope to also steal her sense of safety, love, belonging and self-esteem. Though Deveraux had had a financially rewarding literary career, she was left with almost nothing.
In 2013, Marks was found guilty of fraud and sentenced to 10 years in federal prison. She lost an appeal of her sentence in 2016. (See Convicted ‘psychic’ loses bid for new trial in $17M fraud case, by Paula McMahon, Sun Sentinel, Dec. 19, 2016.)
Every predator on the hunt senses some type of distress signal in potential victims. That’s also the con artist’s modus operandi.
Historically, con artists, charlatans and grifters have capitalized on turbulent social, cultural and economic situations and on the lives of people during fractured, exposed and emotionally unprotected life situations.
Let’s first look at how Marks got Deveraux’s attention. Marks used the “influential and persuasive intelligence” method to create emotional empathy and engage Deveraux by establishing familiarity, likeability and trust because she knew Deveraux was successful and a woman of means. (Antithetically, strong “presence-driven leaders” — those who empower, motivate and inspire others — use influential and persuasive intelligence for unselfish reasons.) She played on Deveraux’s grief, despair and desperation and then applied techniques of persuasion — demonstrating her authority and drawing Deveraux deeper into Marks’ twisted narrative. Once Deveraux was convinced of the narrative, Marks asserted her influence to completely control Deveraux.
The advent of cognitive neuroscience technology has allowed researchers to pry deeper into the brain to discover areas that influence thoughts and actions when stimulated by certain triggers. Vulnerable life situations, such as divorces, deaths of spouses or children, bankruptcies, layoffs and life-threatening illnesses upset the brain’s neurological functioning.
Three areas of the brain undergo abnormal activity during emotional trauma:
(See After tragedy, brain needs to heal, by Deepak Chopra, CNN, Dec. 18, 2012.)
The mind in such a condition leaves people susceptible to impulsive decisions that overrule any logical decision-making or due diligence. Historically, con artists, charlatans and grifters have capitalized on turbulent social, cultural and economic situations and on the lives of people during fractured, exposed and emotionally unprotected life situations. They strike when individual power to resist has been at its lowest and the influence of emotional distraction is at its greatest. (See 10 Recession Era Scams, by Chris Opfer, HowStuffWorks.)
To ply their craft, the most notorious con artists have exhibited behaviors congruent with three destructive personality disorders.
Psychology recognizes three groups of people with personality disorders that fall into what it calls the Dark Triad: Machiavellianism, narcissism and psychopathy. (See Shedding Light on Psychology’s Dark Triad, by Susan Krauss Whitbourne, Ph.D., Psychology Today, June 26, 2013.)
Those suffering from Machiavellian tendencies are so highly self-centered that they manipulate, deceive and exploit others to achieve their goals. The saying “the end justifies the means” captures the Machiavellian personality, though Niccolò Machiavelli — after whom the tendency is named — didn’t originate the phrase. However, he did write, “For although the act condemns the doer, the end may justify him. …” in “The Discourses.” (See What is Machiavellianism in Psychology? by Harley Therapy, Jan 8, 2015.)
Narcissism (narcissistic personality disorder) is the pursuit of fulfillment from egotistic admiration of one’s idealized self-image and features. The term originated from the ancient Greek myth of the young Narcissus who fell in love with his own image reflected in a pool of water. Narcissists typically have inflated egos, repressed insecurities and few social boundaries. Also, they lack empathy and strongly need attention. (See 5 Characteristics of a Narcissist, Best Counseling Degrees, as derived from 6 Common Traits of Narcissists and Gaslighters, by Preston C. Ni, Psychology Today, July 30, 2017.)
Individuals with psychopathic personalities exude charm, lack remorse, exhibit extreme arrogance, are big risk-takers, lack deep emotional attachments and are master manipulators. Psychopaths can share characteristics of Machiavellianism and narcissism, and have fewer constraints on their behavior, which makes them more likely to inflict emotional, psychological or physical pain on others. (See 5 traits of actual psychopaths, by Amy Morin, Psychology Today, Feb. 19, 2016.)
In a recent article on psychopathy among C-suite executives, researchers reviewed 92 independent data samples on people’s psychopathic tendencies to learn whether they rose to leadership positions, and how they, and others, evaluated their performance as leaders. Results showed that individuals with psychopathic tendencies were slightly more likely to become leaders but were less likely to be seen as effective leaders. [See Shall we serve the dark lords? A meta-analytic review of psychopathy and leadership, by Karen Landay et. al., Journal of Applied Psychology, Vol. 104(1), January 2019.]
While there’s no officially recognized “white triad” to offset the Dark Triad, one recent proposal offers three opposite factors:
(See The Light Triad vs. Dark Triad of Personality, by Scott Berry Kaufman, Scientific American, March 19.)
“Presence-driven” leaders who possess influential/emotional intelligence, consistently exhibit three factors that are more practical in individual encounters than the more philosophical white-triad elements:
Both the white triad and the presence-driven leader triad serve the interests of others whereas the Dark Triad is completely and totally self-serving.
I’m not a doctor nor have I played one on TV, but a simple overview of how the brain’s neurochemistry works will help explain the significant role it plays in the con game and how we unwittingly conspire to allow our brains to be hacked.
The brain’s frontal neocortical area directs behavioral control through “executive functions,” such as abstract thinking, motivation, planning, attention to tasks and inhibition of impulsive responses. The limbic system is responsible for emotion, anxiety, fear, impulsiveness and the “fight or flight” response to real and perceived threats. (See Understanding the stress response, Harvard Health Publishing, May 1, 2018.)
Emotional susceptibility is often brought about by some important life event. Neurotransmitters in the brain’s limbic system are responsible for intricate social bonding, and feelings of well-being, empathy and indifference. (For more information on the role of some neurotransmitters in regulating emotion, anxiety, fear and pain, see Who’s more susceptible to fraud? by Donn LeVie Jr., CFE, in the January/February 2019 issue of Fraud Magazine.)
Con artists work hard during the engagement phase to be likeable and convey familiarity, empathy and trust. All of this elevates certain hormone levels in the brains of potential victims that short-circuits caution, carefulness and due diligence. Con artists are unwitting masters at manipulating brain chemistry — all without knowing the molecular formula for a single cerebral neuropeptide. The potential victim’s trigger life event, their emotional state and the strength of the bogus narrative all work in the con artist’s favor.
The fewer emotional challenges, preoccupations and mental clutter we have going on in our lives, the better able we are to defend against con artists.
An impaired rational center for executive functions (neocortex) also plays into the con artist’s world. When the almond-shaped amygdala receives a boost of oxygen and blood from either a real or perceived “fight of flight” stress/fear/anxiety-producing event, a person’s response occurs between 12 and 30 milliseconds, which immediately overtakes the executive center that requires 250 to 300 milliseconds to activate. The neurochemical effects of an “amygdala hijack” dissipate in about six seconds in non-life-threatening situations if someone can hold off that long before reacting. (See How the brain fears, by Max Miller, Big Think, Sept. 22, 2010.)
In other trigger situations, people might forgo the six-second-wait rule because of a pre-existing emotional buy-in that spirals into a deeper voluntary commitment to the scam. [See Impulsive reactions that lead to toxic workplaces (The Amygdala Hijack), by Maxim Dsouza, Medium, Oct. 30, 2017.] Such a situation gives the con artist a green light to continue moving forward.
Con artists use potential victims’ behavioral impulsivity and/or susceptibility to various ploys. It’s natural for our impulsiveness to increase as we expect increasing financial gain, whether that comes from a promised six-figure investment payoff or a chance to double a $20-dollar bet in a street game of three-card Monte.
Those who are fatigued from lack of sleep or long work hours are more rigid in their thought processes, have more difficulty responding to changing or abnormal situations and take more time to reason properly. (See The sleep deprived human brain, by Krause, Simon, Mander, Greer, Saletin, Goldstein-Piekarski, and Walker, PMC, May 18, 2017.) Individuals suffering from this onset of cognitive tunnel vision that affect the parietal lobe (integration of sense information) and occipital lobe (visual processing) could be unwitting participants in a scam.
Here are a few tips to help avoid brain hijacks by con artists:
We all can benefit when we unlock our capabilities for being more mindful and astute observers, and for applying better logical deductions when presented with opportunities that appear too good to be true. Being more actively aware to the world around us rather than passively embracing it all sharpens our minds to those sights, sounds and other sensory input that can alert us to forms of threat or danger, including those of the con artist’s attempt to hijack our emotions, our valuables and our dreams.
On the most basic level, our brains initially see the world through a lens that accepts everything as being true. This default condition helps the brain quickly process information. (See You Can’t Not Believe Everything You Read, by Gilbert, Tafarodi and Malone, JPSP, August 1993.) It’s the path of least resistance to navigate in an increasingly complex world. The brain must work harder to process things that aren’t as they seem because it demands extra effort to heighten awareness, be present and reflect more deeply.
The fewer emotional challenges, preoccupations and mental clutter we have going on in our lives, the better able we are to defend against con artists. As author Maria Konnikova writes in, “Mastermind: How to Think Like Sherlock Holmes” (Penguin Books, 2013, page 257):
“… the most powerful mind is the quiet mind. It is the mind that is present, reflective, mindful of its thoughts and its state. It doesn’t often multitask, and when it does, it does so with a purpose.”
(Read "Lies, brain scans and the law" at the end of this article)
Donn LeVie Jr., CFE, a Fraud Magazine staff writer, has been a presenter and career and business engagement/positioning strategist and speaker at ACFE Annual Global Fraud Conferences since 2010. He speaks on E.P.I.C. Results™ Leadership through conference and corporate programs. LeVie is the author of several award-winning professional advancement strategy books and is a senior fellow with the Management and Strategy Institute. Visit his website at donnleviejrstrategies.com. Contact him at donn@donnleviejrstrategies.com.
As neurotechnologies become more advanced, could they eventually reveal that our actions are predetermined?
Functional magnetic resonance imagery (fMRI) is a neuroscience technology that measures brain activity by detecting changes in cerebral blood flow that are correlated with brain cell activation. Commercial fMRI companies claim up to 99% infallibility detecting deception; however, recent experiments have shown skilled individuals can generate false fMRI readings. (See Brain imaging lie detector can be beaten with simple techniques, University of Plymouth, May 3, 2019.) As neurotechnologies become more advanced, could they eventually reveal that our actions are predetermined? According to Dr. Steven Hyman, director of the Stanley Center for Psychiatric Research, Broad Institute of Harvard University and MIT, even if an fMRI brain scan found abnormal activity in a region associated with impulse control or emotion regulation, it would show only correlation, not causation, which means the information would have little use in court. (See the video, Limits of neuroscience in court, Brains on Trial, Sept. 26, 2013.)
Cognitive neuroscience and law professionals must address these questions:
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