Two Elkhart Residents Charged After Alleged DEA Impersonation Fraud Scheme in Hobart
Two Elkhart residents are facing multiple felony charges following a Hobart fraud investigation in which a local woman was allegedly targeted by callers impersonating a federal drug enforcement agent and demanding cash payments.
According to court documents, Jose Segura, 21, and Zaidy Arellano, 23, are accused of participating in a scheme that involved posing as agents of the U.S. Drug Enforcement Administration (DEA) and collecting thousands of dollars in cash from a Hobart resident under false pretenses.
The investigation began after a fraud was reported on or around January 12, 2026, in the 7000 block of Dunlin Court. Police were told the victim had received a call on January 9, 2026, from an unknown male claiming to be “Paul Watson,” a DEA agent who provided a badge number to appear legitimate.
Court records state the caller told the victim her nephew had been arrested for possessing a large quantity of cocaine and that she could bond him out for $8,500. The caller allegedly claimed the nephew was unaware of the drugs, stating they had been placed in his luggage by a cab driver. The victim was instructed to withdraw cash from her bank and told that agents would come to her home to collect the money.
The victim reported withdrawing $8,500 and later handing the cash, sealed in an envelope, to a Hispanic male who came to her front door around 5:00 p.m. while she remained on the phone with the caller. The male reportedly provided a name the victim had been instructed to expect.
On January 12, 2026, the victim received another call from the same number requesting an additional $8,500, allegedly for attorney fees. At that point, she became suspicious and contacted police. Investigators with the Hobart Police Department worked with the victim to allow the caller to believe the transaction would proceed as before, setting up a controlled operation to apprehend the suspects.
During the investigation, officers monitored a phone call that lasted approximately two and a half hours. Court documents state the caller conducted “status checks” roughly every 20 minutes to ensure the victim remained compliant. Officers also observed a black 2018 Mercedes SUV with Indiana plates making slow laps through the cul-de-sac before leaving and later returning.
Police reported the caller advised the victim that the individuals would arrive within five minutes and provided instructions on how the money should be handed over. When the Mercedes returned and parked in front of the residence, officers observed a male walking up the driveway toward the front door. Police activated emergency lights and took the male into custody, while a female passenger in the vehicle was also detained.
Court records state officers then entered the residence, identified themselves over the phone, and terminated the call with the alleged scammer.
The male suspect was identified as Jose Segura. According to court documents, Segura waived his Miranda rights and admitted he knew the victim was being scammed. He told investigators he was there to collect money as part of the fraud and stated he had participated in similar pickups on three prior occasions, though he claimed he was not the individual who collected the initial $8,500 on January 9.
The female suspect, Zaidy Arellano, was advised of her Miranda rights in Spanish, according to court records. She initially claimed she believed she was picking up packages, but later admitted she knew the activity was illegal. Arellano reportedly told investigators she had been involved since approximately September 2025, estimating she had participated in four to five pickups. She also described typical amounts collected and how cash was stored until larger sums were accumulated before being transported elsewhere.
Both suspects are currently held at the Lake County Jail.
Charges Filed January 14, 2026
Jose Segura, 21
• Fraud – loss between $750 and $50,000 (Attempt to Commit), Level 6 Felony
• Theft – value of property between $750 and $50,000 (Attempt to Commit), Level 6 Felony
Zaidy Arellano, 23
• Fraud – loss between $750 and $50,000, Level 6 Felony
• Theft – value of property between $750 and $50,000, Level 6 Felony
• Fraud – loss between $750 and $50,000 (Attempt to Commit), Level 6 Felony
• Theft – value of property between $750 and $50,000 (Attempt to Commit), Level 6 Felony
Prosecutor Issues Fraud Alert
Following the arrests, Lake County Prosecutor Bernard A. Carter issued a public fraud alert warning residents, particularly seniors, about phone scams involving impersonation of law enforcement and federal agents.
According to the alert, scammers often claim a loved one has been arrested, create urgency and fear, demand secrecy, insist on cash-only payments, and may even send someone directly to a victim’s home to collect money. Prosecutors emphasized that legitimate law enforcement agencies will never request cash, send collectors to a residence, or threaten individuals for attempting to verify information.
Residents who receive similar calls are advised to hang up immediately, avoid providing money or personal information, contact a trusted family member, and call their local police department directly. Anyone who believes they have been targeted is urged to report the incident to law enforcement without delay.
⚠️ IMPORTANT FACTS TO KNOW
• Police and federal agents will NEVER ask for cash
• They will NOT send someone to your home to collect money
• They do not threaten citizens for trying to verify information
• Requests for secrecy and urgency are major red flags
What To Do If You Get a Call Like This
✅ Hang up immediately
✅ Do not give money or personal information
✅ Call a trusted family member or friend
✅ Contact your local police department directly
✅ If someone comes to your door asking for money, call 911
