A 73-year-old Hardy woman accused of participating in a scam that targeted elderly and disabled victims has been released on bond, according to court records. Patti Lynn Dunlap pleaded not guilty during a recent appearance in Baxter County Circuit Court. Her $50,000 cash-only bond was modified Monday to allow it to be posted through a bail bond company. Dunlap was released from custody later that day.
Dunlap was arrested on July 22 in Mountain Home after authorities allege she attempted to retrieve $45,000 from a victim in a scam operation. The victim, who was confined to a wheelchair, was a decoy, and the money was fake, according to a probable cause affidavit. Investigators say Dunlap had coordinated with scammers, often located overseas, to act as a "money mule"—transporting funds or valuables from victims.
Authorities say Dunlap arrived at the arranged location, the Town and Country Grocery on 9th Street, around 3:30 p.m. on July 22. After allegedly accepting a box she believed contained cash, she placed it in her vehicle and left. Undercover officers followed her and stopped her on U.S. Highway 62 East, where she was taken into custody. Officials reported that she had knowledge of the scam's operational details, including using a password—"golden egg"—to confirm her identity to the supposed victim.
During interviews with investigators, Dunlap reportedly admitted to her role in the scheme and disclosed details about other participants. She told authorities she had been involved in similar scams since March 2025 and received compensation for her actions. She also explained how the illicit funds were converted into Western Union wire transfers and Apple gift cards. Dunlap allegedly purchased gift cards in several towns, including Salem, Hardy, Highland, Thayer, and West Plains.
According to investigators, Dunlap had previously been flagged for potentially fraudulent activity by a bank, leading to the account's closure by her "handler." She said she then opened another account to continue participation in the scam. Investigators later recovered receipts, a laptop, and other evidence from a filing cabinet at Dunlap's home in Hardy.
The case follows a pattern seen in scams preying on the elderly, typically involving fraudsters posing as federal agents to entrap victims into transferring money. Dunlap is the first U.S. citizen arrested locally in connection with this kind of operation. Federal Immigration and Customs Enforcement has detained two other "money mules," identified as Chinese nationals, in what authorities say is an unrelated case.
Dunlap is scheduled to appear in court again in early November as the case proceeds.