Tennessee — Karl Hampton, a 65-year-old exterminator, and his wife, Deborah Hampton, have been convicted in a complex fraud scheme that exploited an elderly widow, draining her finances and amassing over $1.2 million. The couple manipulated the woman, who suffered from dementia, by pretending to be her caretakers and representatives.
Hampton initially met the widow while working as an exterminator in her Tennessee home. Over time, he gained her trust, convincing her that he would care for her both financially and personally. Instead, from January 2018 to February 2020, Hampton emptied the woman’s bank accounts, secured a $500,000 line of credit in her name, and incurred significant charges on her credit cards.
Among Hampton’s lavish purchases were a car, a luxury SUV, and a 4.3-karat diamond ring worth $21,000. He also spent upwards of $1,000 per day on lottery tickets. In a further breach of trust, Hampton stole funds from two investment accounts belonging to the widow’s deceased sister. These funds were intended for the widow and another individual but were instead transferred into Hampton’s possession.
The scheme escalated in 2019 when Hampton manipulated the widow into signing over her Power of Attorney and naming him in her will and Revocable Living Trust. He falsely presented himself as her “son,” “godson,” or “personal representative” to others, leveraging her dementia to strengthen his control over her assets.
Karl’s wife, Deborah Hampton, also benefited from the fraud, and both were indicted in June 2021 on multiple conspiracy and money laundering charges. Karl Hampton was further charged with eight counts of wire fraud. In April 2023, after a week-long trial, Karl was convicted on all counts and sentenced to 60 months in prison, followed by three years of supervised release. He is also required to pay more than $1.2 million in restitution.
Deborah Hampton pled guilty in February 2023 and received a lighter sentence of time served and three years of supervised release. She was ordered to pay $21,000 in restitution, likely for the diamond ring.
The investigation was a joint effort between the FBI’s Memphis Field Office and the Nashville Resident Agency. The case was prosecuted by Assistant U.S. Attorney Kathryn Booth. It remains unclear whether the widow, due to her dementia, was aware of the court proceedings or the full extent of the fraud.