A Mill Spring man was arrested last week and charged with possession of a counterfeit instrument in connection with a scam, according to the Polk County Sheriffs Office.

The charges stem from a package that was intercepted containing over $300,000 of fraudulent checks and money orders relating to a scam, according to sheriffs office reports.

Hyland Pennington Smith, 52, of 365 Hitching Post Road, Mill Spring was arrested last Wednesday and released on a $5,000 bond, according to Chief Deputy Calvin Atkins.

The checks that were intercepted had been sent from Nigeria to Smiths residence. They contained all the bank information, but left the recipients name blank.

According to the sheriff’s reports, the scam works as follows: the target receives a letter that says he or she has been awarded a large sum of money and must send a percentage of the money in order to pay taxes. A check made out to the target is included with the letter, but the check is not good, Atkins says. The scam instigators hope that the target will have sent the money to “pay the taxes” before finding out that the check is fake.

One letter brought into the sheriffs office recently illustrated a similar scam, officials said. The letter says the Polk resident had been approved for a lump sum payment of $125,000.

Included with the letter was a check, similar to those Smith was arrested for possessing, for $3,980, deducted from your total winning amount. The resident was asked to call a telephone number and to send $2,980 to process taxes on the “winning amount.”

Atkins said the scam has been going on for quite some time. He urges anyone who receives such a letter to discard it or turn it into the sheriffs office.