SEATTLE, WA — Two brothers, Patrick McDonagh and Matthew McDonagh, have been sentenced to 18 months in prison for defrauding elderly homeowners under the guise of home repair contractors. The brothers pleaded guilty to conspiracy to commit wire fraud in September, following their arrests in June and federal charges in July, according to the United States Attorney’s Office.
The McDonaghs targeted elderly homeowners, claiming urgent repairs were needed, then pressuring victims to pay exorbitant amounts for work that was often unnecessary or incomplete. Their scheme spanned three states, with significant losses for victims, including $435,000 from a Shoreline resident and over $673,000 from a Bellevue homeowner.
Exploiting Vulnerable Victims
United States Attorney Tessa Gorman condemned the brothers’ actions, stating, “The defendants preyed on our elderly neighbors – peddling lies about urgent repairs to exploit their fears and extract money.” Gorman emphasized the broader issue, noting that elder fraud in Washington State cost seniors $88 million last year.
In the Shoreline case, the McDonaghs approached the victim in January, falsely claiming a hole in the roof needed immediate attention. They demanded payments for fake repairs, including a fabricated “titanium tie rod system” for a non-existent foundation issue. The brothers created an illusion of work by digging trenches and pouring concrete, while pressuring the victim daily for additional funds, even requesting $20,000 for supposed “taxes.”
Investigators said the brothers also coerced the victim to wire $200,000 to a third party for building supplies, though some of the money was recovered.
A Widespread Scheme
The McDonaghs’ fraudulent activities extended to Oregon and Illinois. In Oregon, Patrick McDonagh falsely claimed affiliation with a legitimate construction firm, collecting as much as $29,000 from victims for unfinished foundation work. In Illinois, Matthew McDonagh offered to repave a driveway and rebuild a retaining wall for $99,000, collecting $75,000 for poorly executed work that damaged the victim’s home.
Restitution Ordered
The brothers have been ordered to pay restitution to their victims, including:
- $235,000 to the Shoreline victim.
- Over $673,000 to the Bellevue victim.
- $75,000 to a victim in Illinois.
- Around $50,000 to three victims in Oregon.
After completing their sentences, the McDonaghs are likely to face deportation. One of the brothers is also facing fraud charges in Ireland.
Avoiding Contractor Fraud
The FBI provided tips to protect homeowners from similar scams:
- Be wary of contractors who knock on your door claiming to be “in the area” and use high-pressure sales tactics.
- Avoid contractors who demand full payment upfront or accept only cash.
- Watch for claims of leftover materials from another job as part of their pitch.
Authorities recommend getting multiple estimates, ensuring contractors are licensed and insured, and checking their credentials through resources like Washington State’s Department of Labor & Industries website, the Better Business Bureau, or the Federal Trade Commission.
This case serves as a reminder to stay vigilant against contractor fraud, particularly for vulnerable members of the community.