Bankrupt Banker

HBOS has frozen the accounts of Andy Hornby

HBOS has frozen the accounts of Andy Hornby, its chief executive, after a thief stole his identification details and withdrew thousands of pounds in cash. Mr Hornby, who earned £1.7m last year, is said to have been told the news while on holiday.Fraud investigators are now poring over Mr Hornby's accounts to work out how much money has been stolen.The thief is believed to have obtained one of Mr Hornby's bank statements and used it to pose as the 41-year-old chief, stealing up to £7,000 in one day.The fraudster is said to have been filmed on CCTV withdrawing cash from bank branches and from an ATM machine.The embarrassing episode adds to a gruelling year for Mr Hornby, who has had to face shareholder unrest since HBOS launched a £4bn rights issue in April. It is not known for how long the fraudster had access to the accounts before staff became aware of the theft.The good news for Mr Hornby is that he will probably be eligible for a refund from HBOS. The bank said that, like all lenders, it will generally reimburse customers who are victims of fraud if they have taken sufficient care to safeguard their details. Banks advise their customers to shred financial documents and to keep those that are not shredded in a safe place.HBOS declined to discuss Mr Hornby's case, saying that the bank never commented on an individual customer's affairs.

HBOS has frozen the accounts of Andy Hornby

HBOS has frozen the accounts of Andy Hornby, its chief executive, after a thief stole his identification details and withdrew thousands of p...

London Police’s the Dedicated Cheque and Plastic Crime Unit when they raided a factory that made counterfeit credit cards

Two people had been apprehended by London Police’s the Dedicated Cheque and Plastic Crime Unit when they raided a factory that made counterfeit credit cards. The people that were caught are involved in credit card fraud, were charged with conspiracy and defraud cases.The machines and gadgets that the criminals used were also taken into custody. Among those that were discovered included robbed chips, fake credit cards and account numbers, PIN terminals, fake magnetic strip cards, card reader and computer softwares.John Folan, Detective Chief Inspector of the DCPU, said that the positive turn out of the raid is one of the largest busts made and that it proved to be a welcome outcome for the Police’s efforts to quell crime, especially credit card and check fraud. He said that the bugged chips and PIN terminals have been spread in retailer’s outlets all over UK, which was believed to be more than twenty. For people who are just thinking of applying for a credit card, go ahead and compare different credit card offers because the Association for Payment Clearing Services noted that card holders are protected by a banking code against such crimes.

London Police’s the Dedicated Cheque and Plastic Crime Unit when they raided a factory that made counterfeit credit cards

Two people had been apprehended by London Police’s the Dedicated Cheque and Plastic Crime Unit when they raided a factory that made counter...

Mortgage Asset Research Institute just released a report on mortgage fraud for the first three months of the year, and California ranked No. 2,

Mortgage Asset Research Institute just released a report on mortgage fraud for the first three months of the year, and California ranked No. 2, behind the No. 1 state of…..Florida!Coming in No. 3 was a three-way tie: Illinois, Maryland and Michigan.The MARI maintains a database of reported incidents of fraud and misrepresentations, and the ranking is based on total number of properties involved in fraud (the totals were not given). Nationwide such reports were up 42 percent in the first quarter vs. a year ago. And here I thought fraud would decrease after the credit crunch began last summer. Although the report didn’t break out Orange County, it said in California 52 percent of properties with “misrepresentations” are in the Los Angeles. “Income and employment misrepresentation on the mortgage application rank high in Florida, California, Illinois and Maryland. Florida and Maryland report higher income than employment misrepresentation, and California and Illinois report slightly higher employment than income misrepresentation.”“The first quarter data reveals that loan application misrepresentation continues to plague the industry. According to the FBI’s 2007 Mortgage Fraud Report, ‘the downward trend in the housing market provides an ideal climate for mortgage fraud perpetrators to employ a myriad of schemes suitable to a down market. Simply stated, mortgage fraud will not disappear

Mortgage Asset Research Institute just released a report on mortgage fraud for the first three months of the year, and California ranked No. 2,

Mortgage Asset Research Institute just released a report on mortgage fraud for the first three months of the year, and California ranked No....

Increasing rates of global cyber fraud, it has been discovered that Nigerian banks have lost over N7.3 billion to cybercrime related activities.

Increasing rates of global cyber fraud, it has been discovered that Nigerian banks have lost over N7.3 billion to cybercrime related activities. The Chief Executive Officer of the Global Network for Cyber Solution, Mr. Segun Olugbile, disclosed at a Press Conference in Abuja, yesterday.He said that banking industry, as one of the most strategic sectors of the economy needed protection from cyber-criminality considering the huge amount of funds lost in that sector annually. He pointed out that some of the rampant cyber corrupt practices in the banking sector include online financial fraud inside-out, identity theft, system penetration by outsiders, data and network sabotage and denial of service attacks.Mr. Olugbile whose organisation recently convened a national stakeholders’ conference on Cybercrime and Cyber security to address the challenging issues and their impact on Nigeria, said global loses $200 billion dollars annually in direct and related damages to Cybercrime which also said was a threat to world peace and security.“The quantum effect of the emerging monstrous challenge of Cybercrime to developing economies translates into a colossal digital nightmare to the African Continent and indeed, particularly to Nigeria”, he said.The CEO added that there were reliable case studies to prove that an attack on a national infrastructure could, by virtue of its catastrophic consequences, completely paralyze the machinery of Government. He therefore urged the federal government to declare Cybercrime and Cybersecurity as a National emergency, which deserved conscious political will and special budgetary resources to effectively engage the challenges presented by its impact. Mr. Olugbile also called on Nigerian legislators to enact into law National Information Infrastructure (NIIA) Act, provide legislative framework for cyber crime and security and establish Cyber Crime Reporting and Response Centre, as well as, a Cybercrime and Cybersecurity Training Centre.

Increasing rates of global cyber fraud, it has been discovered that Nigerian banks have lost over N7.3 billion to cybercrime related activities.

Increasing rates of global cyber fraud, it has been discovered that Nigerian banks have lost over N7.3 billion to cybercrime related activit...

Donald H. Allen and his companies H&M Petroleum Corp. and American Energy Resources Corp. raised about $9.9 million from more than 350 investors

Colorado Springs man and his two oil and gas companies have agreed to pay $510,000 to settle civil fraud allegations, the Securities and Exchange Commission said Thursday.The SEC alleged that between March 2002 and December 2006, Donald H. Allen and his companies H&M Petroleum Corp. and American Energy Resources Corp. raised about $9.9 million from more than 350 investors nationwide without disclosing that they had never generated profits for investors.Allen did not immediately respond to a telephone message.Allen was accused of spending $2.3 million of investor funds to pay for items including a custom speedboat, ski vacations, fitness equipment and jewelry.The SEC alleged Allen and his companies touted annual returns of up to 354 percent without disclosing the speculative nature of the projections; incorrectly told investors that AER and H&M invested in their own projects; that securities were improperly sold in unregistered transactions; and that Allen acted as an unregistered broker.Allen and his companies settled the case without admitting or denying the allegations

Donald H. Allen and his companies H&M Petroleum Corp. and American Energy Resources Corp. raised about $9.9 million from more than 350 investors

Colorado Springs man and his two oil and gas companies have agreed to pay $510,000 to settle civil fraud allegations, the Securities and Exc...

Charged with scheming and conspiring to defraud a bank are 31-year-old Michael Vorce of Grand Rapids and 29-year-old James Jett of Byron Center.

Two Michigan men face federal charges in an alleged fraud scheme using stolen personal information to obtain bank loans for purported purcha...

Avusa Media Ltd payroll administrator Laurence van Tonder, who allegedly defrauded the company out of more than R5-million in three years,

Avusa Media Ltd payroll administrator Laurence van Tonder, who allegedly defrauded the company out of more than R5-million in three years, has appeared in the Port Elizabeth commercial crimes court.Van Tonder, 38, of Hampshire Road, Sherwood, Port Elizabeth, reportedly pocketed R1653254 of the money himself, but the state has charged him with taking the entire amount of R5075552.He is accused of 94 counts of fraud, committed between November 2005 and December last year.He was not asked to plead and no evidence was led. The case was postponed to September 15, possibly to plead to the charges. Van Tonder is out on warning.His duties at Newspaper House included capturing the monthly payroll on the electronic payroll package system and reconciling monthly payments to Discovery Health.Van Tonder allegedly opened four FNB accounts in his name. A fifth one was opened at Nedbank for his life partner. He then allegedly entered inflated payments on the transfer request forms for payment to Discovery Health, and altered the banking details to reflect these amounts, misrepresenting to Avusa Media Ltd that the bank accounts belonged to Discovery Health.

Avusa Media Ltd payroll administrator Laurence van Tonder, who allegedly defrauded the company out of more than R5-million in three years,

Avusa Media Ltd payroll administrator Laurence van Tonder, who allegedly defrauded the company out of more than R5-million in three years, h...

Bradford & Bingley, admitted yesterday that it had been forced to take an £18 million impairment charge in the half year to June 30 to cover borrowing

Bradford & Bingley, admitted yesterday that it had been forced to take an £18 million impairment charge in the half year to June 30 to c...

Winston Peters said he would be suspended from the post while the country's Serious Fraud Office investigates finances of his New Zealand First Party.

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjwI8H8Bu95efBCcsS3TyeJm7LDSIYbW6u-cG2vs8qOX7le59C949hAtlyGtonCm-3y5PZL2NPIOREzRbPVtc6Hfbdc9O-lbDuu_yaV201Hu1YKLSPK3ie-ptQ-EUKqUeLnZ6ulznmeFkwt/s1600-h/winston.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5240385656450973858" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjwI8H8Bu95efBCcsS3TyeJm7LDSIYbW6u-cG2vs8qOX7le59C949hAtlyGtonCm-3y5PZL2NPIOREzRbPVtc6Hfbdc9O-lbDuu_yaV201Hu1YKLSPK3ie-ptQ-EUKqUeLnZ6ulznmeFkwt/s400/winston.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> Winston Peters said he would be suspended from the post while the country's Serious Fraud Office investigates finances of his New Zealand First Party. He also is battling claims that he failed to declare to Parliament a private 100,000 New Zealand dollar (US$70,000) donation from a billionaire. Prime Minister Helen Clark said she would temporarily take over as foreign minister. Clark said she hoped the inquiry ``will address these matters expeditiously,'' noting that Peters had offered ``his total cooperation'' in the investigation, with a first meeting with investigators scheduled for Saturday. Clark said it was ``appropriate'' that he stand aside while the fraud inquiry was held. Since taking office in late 1999, Clark has sacked, suspended or forced the resignations of 11 other ministers. Five redeemed themselves and later returned to Cabinet _ though only three regained their seniority. Serious Fraud Office Director Grant Liddell said Thursday the investigation would focus on allegations that two donations to Peter's New Zealand First Party were not used for their intended purposes. Peters denied all claims of wrongdoing and said earlier Friday that he would not be hounded from office because there was no evidence against him. ``I'll dispose of the Serious Fraud Office in exactly the time it takes them to understand the information,'' he told a meeting of senior citizens, adding that he would forward any necessary evidence ``in the shortest possible time.'' A separate investigation by Parliament's Privileges Committee is checking whether Peters broke parliamentary rules by failing to declare the 100,000 New Zealand dollar (US$70,000) donation by a New Zealand national living in Monaco, called for a fresh hearing on the issue for next Thursday. Peters' lawyer, Brian Henry, said Peters knew nothing of the 2006 donation until he told Peters of it last month. His New Zealand First Party is a key support party for Clark's Labour-led coalition government. Elections are due in New Zealand by mid-November

Winston Peters said he would be suspended from the post while the country's Serious Fraud Office investigates finances of his New Zealand First Party.

Winston Peters said he would be suspended from the post while the country's Serious Fraud Office investigates finances of his New Zealan...

Srinivasen Pillay will represent himself in an alleged $1.3-million fraud case involving clients’ funds.

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEijdfibD4mCvB6byW-CtQKEFEw8dKMTisj_EDmvn1N0ZGaV2I4-3dJWw13hIRHxQd8MnoydhOQK1_5P52XIPcGKmB0JwFzb0KYh6ONMaP_7rVH4I3ouTQkLpy6j0G9_lyD289I8Z7uWswbd/s1600-h/hali.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5240384223972909458" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEijdfibD4mCvB6byW-CtQKEFEw8dKMTisj_EDmvn1N0ZGaV2I4-3dJWw13hIRHxQd8MnoydhOQK1_5P52XIPcGKmB0JwFzb0KYh6ONMaP_7rVH4I3ouTQkLpy6j0G9_lyD289I8Z7uWswbd/s400/hali.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> Srinivasen Pillay will represent himself in an alleged $1.3-million fraud case involving clients’ funds.Mr. Pillay, who was arraigned Thursday in Halifax provincial court, told Judge Marc Chisholm that he would not be hiring a lawyer. On July 23, Halifax Regional Police laid 105 criminal charges of fraud over $5,000, theft over $5,000 and breach of trust against Mr. Pillay. He asked Thursday that the charges against him not be read in court.Crown attorney Andrew Macdonald asked the judge to adjourn the case until Sept. 26 to allow Mr. Pillay time to review the Crown’s evidence against him. The Crown’s disclosure documents will not be available until next week.The Crown alleges that between March 2000 and February 2005, Mr. Pillay, 50, misappropriated and converted client trust funds for his personal use, sometimes using money from some clients to cover shortfalls in the accounts of others.He is free on a $50,000 bond with orders not to gamble or go to any casinos. His mother has posted her home as surety.Mr. Pillay was disbarred May 5, 2005, after the disciplinary committee of the Nova Scotia Barristers’ Society’s found him guilty of stealing $1.3 million from the trust funds of 14 clients. The society compensated clients for the loss.

Srinivasen Pillay will represent himself in an alleged $1.3-million fraud case involving clients’ funds.

Srinivasen Pillay will represent himself in an alleged $1.3-million fraud case involving clients’ funds.Mr. Pillay, who was arraigned Thursd...

Organised mortgage fraudsters cost troubled mortgage lender Bradford and Bingley (B&B) £18m in the first six months of the year

Bradford & Bingley,admitted yesterday that it had been forced to take an £18 million impairment charge in the half year to June 30 to cover borrowing by criminal gangs and other fraudsters. The sum represents an increase on a £15 million charge taken in June. B&B’s losses may be only the tip of the iceberg. The Association of Chief Police Officers has estimated the scale of mortgage fraud in the UK at £700 million a year, but many believe this to be conservative. Navigant, a consultancy that conducts forensic investigations, has estimated that British mortgage lenders could be sitting on at least £7 billion of fraudulent loans. B&B, which has 3 per cent of the mortgage market, is the first high street bank to disclose the size of its losses due to fraud. Rod Kent, its chairman, said that the bank had not been singled out and was no more vulnerable than other lenders. “We don’t think we are being selected, we are just being more transparent,” he said. Organised mortgage fraudsters cost troubled mortgage lender Bradford and Bingley (B&B) £18m in the first six months of the year, contributing to a £26.7m loss for the bank. B&B’s first half result was well down on the £180.4m profit recorded in the corresponding period in 2007, with the lender struck by a £74.6m credit impairment charge this year - which includes the £18m fraud charge.Its balance sheet was also hit by an increased number of mortgages three months or more in arrears and a 5% deflation in regionally weighted house prices.The bank's restructured £400m rights issue and ownership uncertainty has weighed heavily on investors in recent months, with B&B’s share price currently more than 82% lower than its 52-week high. Chairman Rod Kent says the firm, under new chief executive Richard Pym, has a strong enough capital base to operate effectively in the current economic conditions.“In the light of the turbulence in the banking and housing sectors, the first six months of this year have been very challenging for B&B,” he says.“Although we clearly signalled this at our announcement on 2nd June, the results for the half year are, of course, disappointing. “In the light of continuing weakness in the housing market and the wider economy, we continue to expect arrears and repossessions to increase for the remainder of the year, although we will be putting further resources into tackling the problem.”

Organised mortgage fraudsters cost troubled mortgage lender Bradford and Bingley (B&B) £18m in the first six months of the year

Bradford & Bingley,admitted yesterday that it had been forced to take an £18 million impairment charge in the half year to June 30 to co...

Khai Van Nhin age 42 was a baker in San Jose and has just received a nine year sentence along with a $127,000 in restitution for insurance fraud.

Khai Van Nhin age 42 was a baker in San Jose and has just received a nine year sentence along with a $127,000 in restitution for insurance fraud. Nhin was accused of forming an auto insurance fraud ring and he entered a plea agreement where he admitted to heading this insurance fraud ring for three years. If he had not made the plea agreement he would have faced as much as twenty-four years in prison. Nhin was in front of Judge Ron Del Pozzo and his attorney made no statement to reporters. This case was put together that netted Nhin with an investigation that was named “ Operation Cashout” according to Stan Voyles the Deputy District Attorney. Nhin along with twenty-seven other people were indicted by the grand jury in 2006, four other people were charged along with Nhin.  By the way if you happen to live in Chicago, Illinois and require an outstanding Chicago workers comp attorney then might I suggest the esteemed Law Offices of Dworkin & Maciariello. They are indeed some of the leading Chicago workers comp attorneys and they not only service workers comp cases in the city of Chicago but also the surrounding areas.According to prosecutors including the Distric Attorney Nhin and the others that were a part of the auto fraud insurance ring filed as many as 31 auto accident that included at least 12 different vehicles between 2002 and 2005. the way they arranged the fraudulent claims is by purchasing damaged vehicles and then filing claims that they had been forced off the roadway and struck the guardrail. This was said to have totaled an amount in the area of $500,000 that was kept and not used to fix any of the vehicles that were claimed to have been damaged. The other 30 defendants that were involved in the case have also pleaded guilty, their sentences range from three years in prison to community service. Nhin was extradited and returned to Santa Clara County from Seattle where he was found when his car was pulled over because he did not have a license plate on the vehicle.

Khai Van Nhin age 42 was a baker in San Jose and has just received a nine year sentence along with a $127,000 in restitution for insurance fraud.

Khai Van Nhin age 42 was a baker in San Jose and has just received a nine year sentence along with a $127,000 in restitution for insurance f...

Michael Vorce, a former West Michigan boat broker who investigators say is behind a multimillion-dollar loan fraud scam that cost local banks millions

Michael Vorce, a former West Michigan boat broker who investigators say is behind a multimillion-dollar loan fraud scam that cost local banks millions, was taken into federal custody this week. Vorce, 31, was arrested in Chicago late Tuesday, along with a Byron Township man, in what authorities say was another effort to allegedly defraud a bank. A hearing that had been scheduled for Friday in Milwaukee was postponed until next Thursday. Vorce and the other suspect will remain in custody at least until that hearing. Vorce, formerly of Alpine Township, allegedly tried to use the identity of a Milwaukee attorney to secure a $391,450 loan. That loan was ostensibly to buy a 48-foot Sea Ray yacht, according to the case filed in U.S. District Court in Milwaukee. The federal complaint alleges Vorce and James Jett, 29, initiated the scheme with a fraudulent loan application June 30. They face felony charges of bank fraud and conspiracy to commit bank fraud, along with possible identity theft charges. How the situation could be tied to an ongoing criminal investigation of Vorce in Grand Rapids is unclear. In a press release, the FBI said the pair are involved in a multi-state identity theft and bank fraud scheme involving at least $2.6 million at four financial institutions. "The investigation is continuing as the individuals appear to be part of a larger fraud scheme," the statement said. FBI spokesman Leonard Peace said he didn't know whether the larger scheme not detailed in the court complaint included activity in Michigan.

Michael Vorce, a former West Michigan boat broker who investigators say is behind a multimillion-dollar loan fraud scam that cost local banks millions

Michael Vorce, a former West Michigan boat broker who investigators say is behind a multimillion-dollar loan fraud scam that cost local bank...

Ammaly Sisombath, 26, was arrested on the spot May 19. Her common-law husband, David Bourne, 26, was caught outside in an SUV with the Kitchener coupl

Ammaly Sisombath, 26, was arrested on the spot May 19. Her common-law husband, David Bourne, 26, was caught outside in an SUV with the Kitchener couple's young daughter. Sisombath had 47 white plastic cards on her -- with the PIN for each written on the outside -- and more than 400 more were found in a gym bag in the SUV. The scheme was outlined in Kitchener court yesterday after Sisombath pleaded guilty to fraud under $5,000.While doing that crime, she was already on probation for a 2007 conviction for possession of forgery instruments.Crown prosecutor Neil Dietrich said it's believed Sisombath got the information to make the fake cards from customers at a Cambridge gas station where she worked. The cards were fitted with magnetic strips encoded with data from legitimate bank cards.Also found in the SUV was a list of local businesses with banking machines."It's not hard to imagine what would have been done with the remaining cards," Justice John Lynch said.At the time of the arrests, police described it as one of the largest debit-card scams ever seen in Waterloo Region. Actual losses totalled only about $2,600 before the scheme was discovered.Lynch sentenced Sisombath to the equivalent of a year in jail and two years on probation, calling the scam part of a "new wave of crimes plaguing our society."Sisombath spent more than three months in pretrial custody -- time credited on a two-to-one basis -- leaving her with just over five months to serve.Bourne received a six-month jail term after pleading guilty to fraud under $5,000.

Ammaly Sisombath, 26, was arrested on the spot May 19. Her common-law husband, David Bourne, 26, was caught outside in an SUV with the Kitchener coupl

Ammaly Sisombath, 26, was arrested on the spot May 19. Her common-law husband, David Bourne, 26, was caught outside in an SUV with the Kitch...

Integrity Bank of Alpharetta was closed by the Georgia Department of Banking and Finance.

Integrity Bank of Alpharetta was closed by the Georgia Department of Banking and Finance. Why Fridays? It gives officials a couple of days to assess things and prepare for dealing with consumers.$974 million in deposits at Integrity will be taken over by Regions Bank of Birmingham. The FDIC is reporting that it will end up paying out an estimated $250 million to $350 million for insured deposits. Why another bank failure? It's said that this one can be blamed on the real estate market. Integrity specialized in real estate lending and grew quickly, but as soon as the real estate market got sketchy the problems started. Late last year there was a management shakeup and the bank was delisted from the Nasdaq market early in 2008. More banks are expected to fail this year as the real estate market struggles to recover. Many banks built their businesses in large part based on real estate lending, and until the market for real estate and mortgages stabilizes, some banks will be at risk.Consumers must protect their deposits by educating themselves on the rules for FDIC insurance. The general rule is that an individual is covered for up to $100,000 in all accounts at a bank. But there are certain situations in which more coverage is extended. Carefully learn the rules and split your money between banks to protect yourself. It's wise to have money at more than one bank, not only because of the insurance issue, but because you may be unable to access your cash for a while in the case of a bank failure. Using more than one bank will hopefully mean that you've got access to at least some of your money during a crisis at a particular bank

Integrity Bank of Alpharetta was closed by the Georgia Department of Banking and Finance.

Integrity Bank of Alpharetta was closed by the Georgia Department of Banking and Finance. Why Fridays? It gives officials a couple of days t...

>Casey Anthony is once again behind bars after police arrived at the 22-year-old’s Florida home and arrested her on charges of check fraud

Casey Anthony is once again behind bars after police arrived at the 22-year-old’s Florida home on Friday night and arrested her on charges of check fraud.The charges stem from several instances in July in which Casey Anthony used a friend’s checkbook to buy items at various stores in the Orlando area as well as withdraw cash. She is now back in jail on $3,000 bond and is scheduled to appear in court Saturday.Anthony had been confined to her parent’s house after being released from prison on a $500,000 bond just over a week ago. She had spent a month in an Orlando prison on charges of child neglect and lying to investigators, both charges tied to the case of her missing 3-year-old daughter, Caylee Anthony. Caylee Anthony has been missing for more than two months but Casey only reported her daughter missing one month ago. She has told investigators she left Caylee with a babysitter and when she returned both were gone.While not named a formal suspect in the disappearance of Caylee Anthony, Casey has been named a person of interest. Earlier this week the University of Tennessee “Body Farm” revealed that air sample taken from the trunk of a car Casey had been driving indicated human decomposition and in a separate analysis hair found in the trunk was said to belong to Caylee Anthony.

>Casey Anthony is once again behind bars after police arrived at the 22-year-old’s Florida home and arrested her on charges of check fraud

Casey Anthony is once again behind bars after police arrived at the 22-year-old’s Florida home on Friday night and arrested her on charges o...

South African who was a U.S. track star faces prison on fraud charges here.

South African who was a U.S. track star faces prison on fraud charges here. South African media report Sydney Maree was convicted and senten...

Niles Mayor Nicholas Blase was a tireless advocate for his community, even as he faced federal charges that he accepted kickbacks for 30 years

Niles Mayor Nicholas Blase was a tireless advocate for his community, even as he faced federal charges that he accepted kickbacks for more than 30 years.But Blase, 80, said he was just plain tired and had left for a family vacation spot in Wisconsin before formally stepping down as the suburb's 47-year mayor as of 5 p.m. Monday. Village Board members preparing to choose an interim mayor from among their ranks at a Tuesday meeting took Blase at his word."I think he's just generally tired," said Trustee Andrew Przybylo. "He wanted to step away before the political season got up and running."Przybylo called Trustee Robert Callero the logical choice to replace Blase because of his business background as a certified public accountant and his work with the board's finance committee. Callero could not be reached Monday. Blase announced his plans to retire in a message to Niles residents that was posted this weekend on the village Web site.In his statement, Blase said he "had no intention of running again because at 80 years of age and 47 years of Mayoring, I am tired. I am retiring early so a Mayor candidate can start campaigning now without the question 'is Mayor Blase going to run again?' "Village Manager George Van Geem said Monday morning that Blase had left for Wisconsin and was unavailable for comment.A federal trial on mail fraud and tax evasion charges was scheduled to begin Sept. 8 but has been canceled. Prosecutors declined to comment on whether a plea agreement was in the works or if the charges against Blase might be dropped. A status hearing in the case is scheduled for Sept. 11.Blase's lawyer, Sheldon Zenner, also declined to comment on the status of the federal case, which has been hovering over Niles and its mayor for two years."He will not be available for an interview," Zenner said via e-mail.Blase told Przybylo a week ago of his plan to retire, but did not mention any intention to settle the federal case."He always told me he's going to go to trial," Przybylo said.But Przybylo said the pressure of a federal indictment could shake anyone."There's no question," he said. "When the federal government pulls you out of your house in the morning, and takes you to jail in your bedroom slippers, it puts pressure on you."That's what happened on June 8, 2006—on Blase's 78th birthday.Blase has pleaded not guilty to charges that he pressured Niles businesses to buy insurance through Ralph Weiner & Associates, a Wheeling insurance agency. The agency secretly kicked back 20 percent of its commissions from Niles businesses to a shell company effectively controlled by the mayor, the charges allege.Przybylo said he would not throw his hat into the ring for interim mayor when the board meets behind closed doors Tuesday night. But he did not rule out running for the office in April."I would run, maybe, in the future," he said. "I have a contribution to make."He said a state law prohibiting elected officials from holding liquor licenses is open to interpretation. His family owns the White Eagle restaurant and banquet hall in Niles."That is certainly a factor in my decision," he said. "I am not going to walk away from a family business of more than 70 years."Przybylo said he would keep an open mind about the choice for interim mayor but said Callero would be a logical choice because Niles depends so heavily on sales tax for revenue.But Przybylo also suggested longtime Trustees Louella Preston and Bart Murphy were potential interim successors to Blase. Neither could be reached Monday.Trustee Kim Biederman said she would be willing to be considered for mayor. She said Blase's focus on bringing in sales-tax revenue to the village instead of using property taxes has helped make Niles what it is today.Officials said Blase never let the federal allegations affect his job."I think he did a good job dealing with it," Van Geem said. "He didn't come in wringing his hands about it."

Niles Mayor Nicholas Blase was a tireless advocate for his community, even as he faced federal charges that he accepted kickbacks for 30 years

Niles Mayor Nicholas Blase was a tireless advocate for his community, even as he faced federal charges that he accepted kickbacks for more t...

Raymond Joseph Laprise was sentenced Monday to eight months of house arrest, although the court-imposed conditions will be less stringent than normal

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh_c2zjy7F8YL3r8UmkjYsLU6ulf10XrAMvZZ-n0crkfIxfNMfDzC_0w8ZFIeiEsRhESNYsJwAUvFQglVP738737hzUerEZJw76oPZAdLuDRmSjqWeHbepQAfqocX5_GI_Ml1l41RFWUwH8/s1600-h/realestate25.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5239657861801676754" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh_c2zjy7F8YL3r8UmkjYsLU6ulf10XrAMvZZ-n0crkfIxfNMfDzC_0w8ZFIeiEsRhESNYsJwAUvFQglVP738737hzUerEZJw76oPZAdLuDRmSjqWeHbepQAfqocX5_GI_Ml1l41RFWUwH8/s400/realestate25.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> Raymond Joseph Laprise was sentenced Monday to eight months of house arrest, although the court-imposed conditions will be less stringent than normal to accommodate his new job as a travelling salesman.Superior Court Justice Joseph Donohue said he felt it was important that Laprise keep working so he can make restitution to the finance company he defrauded. Laprise, 54, was convicted in February of fraud and theft for filing bogus paperwork 37 times to get more than $100,000 in loans from "factoring companies" that advance commissions to real estate agents. As new loans replaced old ones, he paid back all but $14,265.Donohue ordered Laprise to pay back the amount by February at a rate of no less than $2,000 a month. When Laprise balked at the payment rate, telling the judge through his lawyer that he is paid by commission, the judge shook his head and criticized Laprise for not having thought of that earlier.You would think that someone who wanted to put themselves in the best light with the court and community would have taken care of that," Donohue said moments earlier in passing sentence.Defence lawyer Roland Schwalm said Laprise is employed selling building supplies throughout Southwestern Ontario. He travels as far away as Woodstock, so he can't be home in Windsor every night to comply with a court-ordered curfew. Donohue agreed to impose house arrest using both Laprise's Windsor home and a friend's residence in London as home addresses. Laprise must be at one of those two places when not working or attending medical appointments. In an order more detailed than judges normally impose, Donohue gave Laprise one hour out of his workday for lunch and two hours -- from 10 a.m. to noon -- on Saturdays to be out of the house for "groceries and grooming." Laprise must also perform 80 hours of community service.Laprise was arrested in 2004 after his friend and fellow real estate agent, Robert Janisse, discovered Laprise's fraud scheme and called police.Laprise operated Integrity Realty until 2003, when, facing bankruptcy, he got Janisse to take over the company so Laprise could continue to sell houses. Janisse was a silent partner who left left the day-to-day operation of the business to Laprise.Janisse discovered Laprise and Laprise's assistant, Linda Eaton, had been keeping two sets of sales records. One set was accurate, kept in case of audits, and one was made up of fraudulent sales transactions used to procure loans.Eaton was charged along with Laprise. She pleaded guilty in September 2005 to theft under $5,000 and was sentenced to three years probation.During his trial, Laprise tried to pin the crimes on Eaton and Janisse, calling himself a "victim of circumstance."Donohue did not believe Laprise and convicted him of all charges.Assistant Crown attorney Elizabeth Brown told the court finance companies may become more stringent because of Laprise's fraud. "They rely on the honesty of real estate agents," Brown said. "This is a breach of trust situation." On Monday, Donohue said Laprise "besmirched" all real estate agents by his conduct. "It's unfortunate that one member of a profession brings down the reputation of all others."Court heard Laprise's real estate licence has been suspended and that it will likely be revoked permanently.

Raymond Joseph Laprise was sentenced Monday to eight months of house arrest, although the court-imposed conditions will be less stringent than normal

Raymond Joseph Laprise was sentenced Monday to eight months of house arrest, although the court-imposed conditions will be less stringent th...

United Arab Emirates bank sued Morgan Stanley, the Bank of New York Mellon Corp and ratings agencies Moody's and S&P on Monday, accusing them of fraud

United Arab Emirates bank sued Morgan Stanley, the Bank of New York Mellon Corp and ratings agencies Moody's and S&P on Monday, accusing them of fraud in operating a fund that collapsed in the U.S. credit crisis.The lawsuit filed by Abu Dhabi Commercial Bank in U.S. district court in Manhattan said a complex deal known as the Cheyne Structured Investment Vehicle (SIV) was marketed by the defendants as highly rated and reliable, but they had hidden the risks."Instead of protecting the SIV and its investors as promised, defendants exposed the SIV to significant undisclosed risks," the lawsuit said. "Defendants knew the assets purchased and held by the SIV were risky and of poor quality. They further knew the models used to generate the high rates were flawed."SIVs, which once held some $350 billion in assets, have played a major role in the U.S. credit crisis, after proving unable to refinance their short-term debts.A series of SIVs are now selling off bank debt and assets such as asset-backed securities to try to pay back investors, a move that many see as further pressuring credit markets.A deal was announced last month to restructure Cheyne, which at receivership was a $7 billion fund. Many investors who elected to stay in the restructured fund now have assets worth less than one-half of their former value, and the Abu Dhabi Commercial Bank's investment is worth zero now, the complaint said.A spokeswoman for Morgan Stanley and a spokesman for Bank of New York Mellon declined to comment.A spokesman for S&P parent McGraw-Hill Cos Inc declined comment, saying the company had not yet been served with the complaint. A spokesman for Moody's Corp was not immediately available for comment.SIVs used short-term funding, such as asset-backed commercial paper, to buy longer-term assets such as bank debt and asset-backed securities.The bank brought the action on behalf of all investors who bought investment grade Mezzanine Capital Notes issued by Cheyne Finance PLC and its wholly owned subsidiary Cheyne Finance Capital Notes from October 2004 to October 2007."The ratings agencies intentionally, recklessly or negligently misled investors in Cheyne," according to the suit. "But for the ratings agencies violations of law, the capital notes never would have been issued."

United Arab Emirates bank sued Morgan Stanley, the Bank of New York Mellon Corp and ratings agencies Moody's and S&P on Monday, accusing them of fraud

United Arab Emirates bank sued Morgan Stanley, the Bank of New York Mellon Corp and ratings agencies Moody's and S&P on Monday, accu...

Richard Pundt, 64, was arrested Thursday by the Federal Bureau of Investigation and appeared Friday in U.S. District Court

Richard Pundt, 64, was arrested Thursday by the Federal Bureau of Investigation and appeared Friday in U.S. District Court on three counts of mail fraud, six counts of wire fraud and one count of conspiracy.The indictment was filed in U.S. Central District of California.Pundt said there is “absolutely no basis for the allegations. I am a victim in this case and once the evidence is in, I expect to be fully exonerated.”The indictment claims Pundt and others promoted a fraudulent high-yield investment scheme. Pundt and the others are accused of telling undercover agents that they could place them in a “safe ... no-risk, secret program.”The undercover agents were told they would have to undergo a “compliance” process and be subjected to “due diligence” scrutiny by the Central Intelligence Agency, the indictment says. Pundt is the president and CEO of Enlighten Technologies Inc., a private legal communications network with voice, videoconferencing and data capabilities. Pundt is a former FBI agent and former assistant Linn County prosecuting attorney, according to the Enlighten Web site. Pundt isn’t listed as practicing on the Linn County or Iowa Bar association Web sites.

Richard Pundt, 64, was arrested Thursday by the Federal Bureau of Investigation and appeared Friday in U.S. District Court

Richard Pundt, 64, was arrested Thursday by the Federal Bureau of Investigation and appeared Friday in U.S. District Court on three counts o...

Martha Vernon, 53, and her daughter, Tiffany Dunbar, 29, were both sentenced to time in prison. They pleaded guilty in April to tax fraud.

Martha Vernon, 53, and her daughter, Tiffany Dunbar, 29, were both sentenced to time in prison. They pleaded guilty in April to tax fraud.Ve...

Martin Wirick and Vancouver real estate developer Tarsem Singh Gill.Ex-lawyer, real estate developer arrested on multiple counts

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_W-vcURRSBWx4xuBJChGGVDLMUjDrKk9raxrXGn7hHqamQTuBuxZ66HdC-Qvx49KpudQeARWU0Q46s3BLcPO7EBeUwtAQXBu2M_Yx3cQS_cZCSH_bXcRsh8eDsrvvZRMA1wz9cT1pUeWp/s1600-h/sunwirick08a.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5239654177747243298" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_W-vcURRSBWx4xuBJChGGVDLMUjDrKk9raxrXGn7hHqamQTuBuxZ66HdC-Qvx49KpudQeARWU0Q46s3BLcPO7EBeUwtAQXBu2M_Yx3cQS_cZCSH_bXcRsh8eDsrvvZRMA1wz9cT1pUeWp/s400/sunwirick08a.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> A marathon investigation into one of the biggest financial frauds in B.C. history concluded Tuesday with multiple charges against former Vancouver lawyer Martin Wirick and Vancouver real estate developer Tarsem Singh Gill.Wirick was arrested at his Vancouver workplace, Koko's Gourmet Pet Foods in North Vancouver, and Gill near his Ross Street home in South Vancouver on Tuesday by members of the special RCMP-Vancouver police task force that conducted the six-year investigation. Both men were later released. They are scheduled to make their first court appearance on Sept. 15.Martin Wirick faces multiple charges as a result of a six-year investigation into one of the biggest frauds in B.C. history. Vancouver Sun filesWirick and Gill are charged with two counts of fraud and theft against 77 different homeowners, and two counts of fraud and theft against lenders in 30 different loan transactions.Wirick is also charged with two counts of uttering false documents and Gill with one count of possession of stolen property. The total amount of money alleged to have been unlawfully taken from homeowners and lenders exceeds $30 million.The biggest victim, however, was the B.C. Law Society. Its special compensation fund, which insures clients for lawyer fraud, paid out $38.4 million in claims on account of Wirick's alleged misconduct."As far as we know, not a single person lost their home over this," society president John Hunter said in an interview. "We are quite proud of that." To pay for the claims, the law society imposed special assessments of $600 per year on each of its 10,000 lawyer members. (That assessment has since been reduced to $150 per year.)Gill's method of operation -- as described in the Benchers' Bulletin (the law society's in-house publication) -- was to develop a property and sell it to one of his nominees. The nominee would arrange a mortgage on the property and then sell it to an innocent purchaser.The purchaser, in turn, would arrange financing from his lending institution and forward the money to Wirick on his undertaking to pay off the original mortgage loan and register a new first mortgage. But rather than disburse the money as promised, Wirick simply paid the funds to Gill and his Vanview group of companies.In many cases, Wirick would provide false discharge documents, and a portion of the purloined money would be used to keep the original mortgage payments current, so neither the purchaser nor the original mortgage lender would be any wiser.The new mortgage lender, meanwhile, naturally assumed he had obtained a first mortgage against the property. But since the original mortgage hadn't really been discharged, he was actually in second position.In some cases, this process was repeated, enabling Gill to mortgage the property many times over and generate more money than it was worth. Eventually the scheme collapsed, revealing a tangled web of transactions, mortgages and competing claims.When the scheme was uncovered, law society officials took over Wirick's practice and audited his books and records. They also obtained access to Gill's records through the court, which gave them a good idea of where the money went.

Martin Wirick and Vancouver real estate developer Tarsem Singh Gill.Ex-lawyer, real estate developer arrested on multiple counts

A marathon investigation into one of the biggest financial frauds in B.C. history concluded Tuesday with multiple charges against former Van...

Steve Warshak, 42, founder of Berkeley Premium Nutraceuticals, also was ordered to pay $93,000 in fines. He was convicted in February on 93 counts

Steve Warshak, 42, founder of Berkeley Premium Nutraceuticals, also was ordered to pay $93,000 in fines. He was convicted in February on 93 counts of conspiracy, fraud and money laundering.Federal prosecutors accused the company of bilking customers out of $100 million through a series of deceptive ads, manipulated credit card transactions and refusal to accept returns or cancel orders. U.S. District Judge S. Arthur Spiegel ordered the company, along with other defendants, to forfeit more than $500 million. He said it was impossible to calculate exactly how much money was lost by customers, so he accepted a figure based on how much Warshak and the company took in. Berkeley distributes various products alleged to boost energy, manage weight, reduce memory loss and aid sleep. The company's main product, Enzyte, which promises sexual enhancement, has ads featuring "Smiling Bob," a happy man with an exaggerated smile. "This is a case about greed," Spiegel said as he reviewed the case. "Steven Warshak preyed on perceived sexual inadequacies of customers."Spiegel said one aspect of the fraud relied on the reluctance of customers to come forward, which would mean admitting they ordered the sexual enhancement pills. "I don't see any evidence of remorse or concern for anyone but himself," Spiegel said.Allowed to make a statement, Warshak said that was not true. "I do feel deep remorse and would like to apologize to any customer who ever had a bad experience with my company," he said. "I apologize to all the great people, the employees of Berkeley — they've given their heart and soul. I let them down." Spiegel said the company, which likely will be hit with the majority of the forfeiture, will be allowed to remain in business.Spiegel denied Warshak's request to remain free on bond pending appeal, but gave him 30 days to wrap up personal business and report to prison.Warshak's mother, Harriet Warshak, was sentenced to two years in prison. She was convicted of conspiracy and other charges.Spiegel allowed her to remain free pending appeal and acknowledged that she is 75, has cancer and likely will never be incarcerated because of the time it takes appeals to work through the courts. "It probably will take some years before that is accomplished," Spiegel said. She had pleaded with the judge not to send her to prison. "I have grandchildren," she said. "The time I have left, I'd like to spend with them. I don't think it's fair to take me away from them."

Steve Warshak, 42, founder of Berkeley Premium Nutraceuticals, also was ordered to pay $93,000 in fines. He was convicted in February on 93 counts

Steve Warshak, 42, founder of Berkeley Premium Nutraceuticals, also was ordered to pay $93,000 in fines. He was convicted in February on 93 ...

Reported incidents of mortgage fraud in the U.S. increased by nearly 50% in the first quarter of 2008

Reported incidents of mortgage fraud in the U.S. increased by nearly 50% in the first quarter of 2008 from a year ago, according to a new report released this week. The report is based on data submitted by Mortgage Asset Research Institute (MARISM) subscribers about loans that were originated in the first quarter of this year and have since been classified as fraudulent, and shows a whopping 42% increase in filings. At the local level, Florida continues to lead all states in reported mortgage fraud. In fact, according to the report, Florida accounted for 24% of all properties with material misrepresentation for loans originated during the first quarter of 2008, and the Miami MSA alone boasts 49% of all of the reports submitted for properties in the state.California ranked second in the first quarter of this year (with 52% of the properties with misrepresentation coming from the Los Angeles area), followed by a three-way tie for third place among Illinois, Maryland and Michigan.Major urban areas also score the highest in Illinois, Maryland and Michigan. Ninety-four percent of investigations in the state of Illinois are for properties in the Chicago MSA, while in Maryland, 25% of reports are in the Baltimore MSA. In addition, the Detroit MSA counts for 56% of all of the misrepresentation reported for Michigan.For all states, the most common type of fraud was in the “General Application Misrepresentation” category, followed closely by misrepresentations related to income and employment. In addition, multiple types of fraud types–such as identity theft and identity fraud–continue to appear in a significant percentage of loan transactions.In general, misrepresentation on the mortgage application trends high in each of the states. Income and employment misrepresentation on the mortgage application rank high in Florida, California, Illinois and Maryland. Florida and Maryland report higher income than employment misrepresentation, and California and Illinois report slightly higher employment than income misrepresentation. Michigan shows a high percentage of asset and debt misrepresentation on the mortgage application. Appraisal misrepresentation (including value inflation and incorrect use of comparables) is most prevalent in Michigan. Maryland has an abnormally high percentage — 69% — of tax return and financial statement misrepresentation. In its final analysis, this week’s report concludes the following: The first quarter data reveals that loan application misrepresentation continues to plague the industry. According to the FBI’s 2007 Mortgage Fraud Report, “the downward trend in the housing market provides an ideal climate for mortgage fraud perpetrators to employ a myriad of schemes suitable to a down market.” Simply stated, mortgage fraud will not disappear — in fact, it is expected to significantly grow, evolve and penetrate new areas within the industry. As the nation’s lenders redraw their credit practices, we see a continued need to highlight and eliminate loans that are not in good order at the point of origination, well before prefunding processors spend any effort to seek added verification or validation of the mortgage application information. If loan applications are not in good order when submitted, the loan data may likely be adjusted to fit the business practice expectation to meet the requirements for funding, which ultimately may result in funded loans that quickly go bad. To save itself from schemes both commonplace and new, the mortgage industry must continue to strengthen its attention to and practice of due diligence to ensure that transactions are in good order at the point of origination. This includes an analysis of the borrower’s identity, as well as the players involved in each of the real estate roles whether they are outsourced or work directly for the lender. As lenders pursue higher-quality loans for the market, the priority should be on identifying poor quality at the earliest possible point in the process — and at the lowest possible cost. In MARI’s view, the origination and prefunding processes offer the largest and least expensive opportunities to assure funding of higher quality loans. How a lender accepts or rejects a loan application at the front door is often all a criminal needs to see how much further he or she may push through the loan process. Pre-funding fraud detection solutions can help prevent the risk of application discrepancies, exposure to compromised identities and establishment of relationships with insiders who leverage someone’s good name to perpetrate fraud. If on the mortgage application general misrepresentation or income, appraiser or employer misrepresentation were checked adequately at origination and pre-funding, in this quarter’s examples, would there still be significant fraud to report…? Mortgage fraud inflicts damage to profits, reputations and consumer confidence. Today, it is wise to ensure you know the customers, employees and vendors involved in every loan transaction — doing this early in the process can result in overall protection from tainted pipelines and hidden threats to loan quality.

Reported incidents of mortgage fraud in the U.S. increased by nearly 50% in the first quarter of 2008

Reported incidents of mortgage fraud in the U.S. increased by nearly 50% in the first quarter of 2008 from a year ago, according to a new re...

Kwan Hee Yoo WANTED

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhwZtI7-CChf5A4ICS3JVqraafi0Fh3DNuycN8oPFJJCfkx6xFGX-85vGt09pY4PyCaKJ6tXjswaNlQCNqTj2l0m_CB58JoDzGRxujYhtQdCS8JP-U3_neyTVT61OIiHzQ7p0fdGJ9gSJJ4/s1600-h/8909926_BG1.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5239651674560594034" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhwZtI7-CChf5A4ICS3JVqraafi0Fh3DNuycN8oPFJJCfkx6xFGX-85vGt09pY4PyCaKJ6tXjswaNlQCNqTj2l0m_CB58JoDzGRxujYhtQdCS8JP-U3_neyTVT61OIiHzQ7p0fdGJ9gSJJ4/s400/8909926_BG1.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> Police need your help in finding a suspected felon. They have issued felony construction fraud warrants for 34 year-old Kwan Hee Yoo. York-Poquoson Sheriff's describe Yoo as an Asian male with black hair and brown eyes. They say is between 5'3 and 5'11, 130 to 180 pounds. Some distinctive features Yoo is said to have are scars on his lower right abdomen. His last known address is 6100 Mooretown Road in Williamsburg. Police say he may be driving a white pick-up truck with 'Kwan Yoo Flooring' on the side.

Kwan Hee Yoo WANTED

Police need your help in finding a suspected felon. They have issued felony construction fraud warrants for 34 year-old Kwan Hee Yoo. York-P...

Paul Hochfelder was awaiting arraignment in state Supreme Court on multiples counts of grand larceny, forgery and other charges. If convicted, he face

Paul Hochfelder was awaiting arraignment in state Supreme Court on multiples counts of grand larceny, forgery and other charges. If convicted, he faces up to 25 years in prison. Hochfelder's attorney, Paul Goldberger, questioned why prosecutors had his client arrested at his upper Manhattan apartment and didn't allow him to surrender even though "he's been cooperating with their office for the last four years." "The idea that they'd come down and lock him up is ridiculous," Goldberger said. He said his client, who was expected to be arraigned Thursday, has been in a treatment program for cocaine and alcohol abuse for two years. Hochfelder, 37, made his name as a founder and chairman of Max Capital Management Corp., once one of the city's largest landlords of commercial property, including the Helmsley building on Park Avenue. In 2003, Mayor Michael Bloomberg appointed him to the city's Latin Media and Entertainment Commission along with luminaries including actors Antonio Banderas and Jimmy Smits. Amid mounting financial troubles in recent years, Hochfelder came under investigation after borrowing millions of dollars from two banks, a business partner, his uncle, an in-law and a childhood friend. Prosecutors allege he secured the loans by forging signatures and claiming he had a stake in property he never owned. They say he used the money on personal expenses and previous debts. "He was very good at convincing people he was a successful entrepreneur," District Attorney Robert Morgenthau said Wednesday while announcing the indictment. "He was very persuasive." Morgenthau said Hochfelder could face additional charges stemming from schemes involving other properties including The Sagamore resort, on Lake George in the Adirondacks, and The Westin Aruba Resort, in the Caribbean. City Hall had no immediate comment.

Paul Hochfelder was awaiting arraignment in state Supreme Court on multiples counts of grand larceny, forgery and other charges. If convicted, he face

Paul Hochfelder was awaiting arraignment in state Supreme Court on multiples counts of grand larceny, forgery and other charges. If convicte...

Jacquie Hammond, 39, owner of the now-closed Canadian School of Modern Broadcasting, is charged with six counts of financial card fraud

Jacquie Hammond, 39, owner of the now-closed Canadian School of Modern Broadcasting, is charged with six counts of financial card fraud, fiv...

Samir Cabrera, 31, was indicted on four counts of wire fraud after federal officials accused him of flipping a number of properties

Samir Cabrera, 31, was indicted on four counts of wire fraud after federal officials accused him of flipping a number of properties without notifying investors he stood to make millions of dollars off the deals.New charges include several additional counts of wire fraud, one count of mail fraud and five counts of money laundering, according to U.S. Attorney’s Office officials.Federal investigators accused Cabrera of purchasing two parcels of undeveloped land in south Fort Myers in 2006, at 13701 Fiddlesticks Blvd. for $3.9 million and 13800 Fiddlesticks Blvd. for just over $3 million, using a company owned by Cabrera. Investigators said he flipped the properties the same day he purchased them, selling for $2.8 million in gains to limited liability companies he also owned and which were funded by several investors.Almost all of the misappropriated funds were from investment funds of investors with the LLC companies, investigators said. The June 2008 indictment additionally states Cabrera “misrepresent(ed) the price of the unimproved real property to potential and actual (investors) for whom the defendant would and did act as fiduciary and trustee.”Cabrera allegedly received a share of the profits for the real estate deals and picked up “kicker fees” disguised as loan payments, potentially netting Cabrera and others upward of $3 million. According to the superseding indictment, Cabrera is accused of conducting financial transactions with some of the money gained through the alleged fraudulent deals, including a deposit to a personal account of $311,441.02; a $100,000 transfer to a Las Vegas casino; and third-party checks totaling $126,731.23.The case is being investigated by the FBI and IRS, and will be prosecuted by Assistant U.S. State Attorneys Jeffrey Michelland and Robert Barclift.If convicted, Cabrera faces a maximum 20 years imprisonment for each count of fraud, and a maximum of 10 years on each money laundering count. He also faces a maximum fine of $250,000 and three years of supervised release, as well as restitution owed to victims of the offenses and forfeiture of property “constituting or derived from proceeds obtained as a result of the offenses,” according to the U.S. Attorney’s Office.

Samir Cabrera, 31, was indicted on four counts of wire fraud after federal officials accused him of flipping a number of properties

Samir Cabrera, 31, was indicted on four counts of wire fraud after federal officials accused him of flipping a number of properties without ...

R Kelly has released a statement denying involvement in a fraud case that scammed investors in South Africa out of over a million dollars.

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhFtXahC2LlDFJoQOuWQ7j1PmeJx5MmBbTj9nxkH2ETV7h7sDAIl3i0_ojtOVXs9GyPqN6t5S4iQjg6_4fsy3G6DEJLFQQcpIVc1IrML-8BdpcAd5dZ4egc24WJ6ccUbiCFsJFUw5wFp5FE/s1600-h/KELLY.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5239648985975895762" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhFtXahC2LlDFJoQOuWQ7j1PmeJx5MmBbTj9nxkH2ETV7h7sDAIl3i0_ojtOVXs9GyPqN6t5S4iQjg6_4fsy3G6DEJLFQQcpIVc1IrML-8BdpcAd5dZ4egc24WJ6ccUbiCFsJFUw5wFp5FE/s400/KELLY.jpg" style="display:block; margin:0px auto 10px; text-align:center;cursor:pointer; cursor:hand;" /></a> R Kelly has released a statement denying involvement in a fraud case that scammed investors in South Africa out of over a million dollars. reported, Busiswe Zakwe, of Durban, South Africa, says she deposited $1.5 million dollars to Kelly's bank account after convincing people to invest in a tour of South Africa by the star. When the singer did not come to South Africa, she reportedly absconded with the cash. Police raided her office after receiving complaints that she had conned people out of $1,300 each in 2005. Officials reportedly found a deposit slip which apparently proves the money went into R Kelly's account, and sought to speak to the singer. However, a statement from Kelly's camp today reads: "There is absolutely no truth to the reports that R Kelly received money from a South African woman accused of swindling investors by convincing them to invest in a non-existent R Kelly tour in 2005. "Mr Kelly has no knowledge of this woman, has never received any money from her, and has not been contacted by any law enforcement authorities regarding the matter. He will, of course, cooperate fully with any legitimate investigation of this matter, since he has nothing to hide."

R Kelly has released a statement denying involvement in a fraud case that scammed investors in South Africa out of over a million dollars.

R Kelly has released a statement denying involvement in a fraud case that scammed investors in South Africa out of over a million dollars. r...

damage from the global mortgage meltdown has more than matched that of the savings-and-loan bailouts of the 1980s and early 1990s.

Long before the mortgage crisis began rocking Main Street and Wall Street, a top FBI official made a chilling, if little-noticed, prediction: The booming mortgage business, fueled by low interest rates and soaring home values, was starting to attract shady operators and billions in losses were possible. "It has the potential to be an epidemic," Chris Swecker, the FBI official in charge of criminal investigations, told reporters in September 2004. But, he added reassuringly, the FBI was on the case. "We think we can prevent a problem that could have as much impact as the S&L crisis," he said.Today, the damage from the global mortgage meltdown has more than matched that of the savings-and-loan bailouts of the 1980s and early 1990s. By some estimates, it has made that costly debacle look like chump change. But it's also clear that the FBI failed to avert a problem it had accurately forecast.Banks and brokerages have written down more than $300 billion of mortgage-backed securities and other risky investments in the last year or so as homeowner defaults leaped and weakness in the real estate market spread. . .Most observers have declared the mess a gross failure of regulation. To be sure, in the run-up to the crisis, market-oriented federal regulators bragged about their hands-off treatment of banks and other savings institutions and their executives. But it wasn't just regulators who were looking the other way. The FBI and its parent agency, the Justice Department, are supposed to act as the cops on the beat for potentially illegal activities by bankers and others. But they were focused on national security and other priorities, and paid scant attention to white-collar crimes that may have contributed to the lending and securities debacle. . . Sources familiar with the FBI budget process, who were not authorized to speak publicly about the growing fraud problem, say that he and other FBI criminal investigators sought additional assistance to take on the mortgage scoundrels. They ended up with fewer resources, rather than more.In 2007, the number of agents pursuing mortgage fraud shrank to around 100. By comparison, the FBI had about 1,000 agents deployed on banking fraud during the S&L bust of the 1980s and '90s, said Anthony Adamski, who oversaw financial crime investigations for the FBI at the time. The FBI says it now has about 200 agents working on mortgage fraud, but critics say the agency might have averted much of the problem had it heeded its own warning.

damage from the global mortgage meltdown has more than matched that of the savings-and-loan bailouts of the 1980s and early 1990s.

Long before the mortgage crisis began rocking Main Street and Wall Street, a top FBI official made a chilling, if little-noticed, prediction...

Widespread fraud. Hundreds of billions of dollars in losses. Thousands of displaced homeowners.

Widespread fraud. Hundreds of billions of dollars in losses. Thousands of displaced homeowners. You'd think somebody would have seen it ...

Dubai property crash

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhTFqkNALXNktTvhiVmddyL81IpNYADnY7EeT8ix5Kv0_kXMmd8NsohpqG0zpEhfKT4HJsv43v-P9ZM_I_ACOTblFYmZFTFKr5Kquh-ZtIY3-en4WlDrOEuDaq7Anr4R28b5puKU4jTmgI/s1600-h/dub.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5239472663038388258" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhTFqkNALXNktTvhiVmddyL81IpNYADnY7EeT8ix5Kv0_kXMmd8NsohpqG0zpEhfKT4HJsv43v-P9ZM_I_ACOTblFYmZFTFKr5Kquh-ZtIY3-en4WlDrOEuDaq7Anr4R28b5puKU4jTmgI/s400/dub.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> Soaring housing prices in Dubai are likely to peak in 2009 before falling at least 15 percent as the Gulf emirate takes measures to weed out short-term speculators, a Reuters poll showed on Tuesday.Residential property prices in the desert city, home to palm tree-shaped islands and an indoor ski slope, are likely to jump 35 percent this year, according to the median of forecasts from 10 analysts at banks, investment firms and research institutions.Price growth will probably slow to 8.5 percent next year, when five of nine analysts expect prices to hit a peak after double-digit increases in each year since Dubai opened its property market to foreign investment in 2002.

Dubai property crash

Soaring housing prices in Dubai are likely to peak in 2009 before falling at least 15 percent as the Gulf emirate takes measures to weed out...

Emirati businessman Abid Al-Boom has heard evidence that he owes depositors 847 million dirhams ($231 million)

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi500rSOtigI0cZ1ikYf9Bb50vgsQrr77mff6EEEA5EGbql10VS5hSABoCt23H3wEGmUoGZBg1aU4M4I7GasVFBOIpPcVbuMHFLrm0qeZbJfrJ6LfspppbE41Jr7p6KSTeQ2qzZjcQQZZQ/s1600-h/dubai-courts44_thumb.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5239470180366847218" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi500rSOtigI0cZ1ikYf9Bb50vgsQrr77mff6EEEA5EGbql10VS5hSABoCt23H3wEGmUoGZBg1aU4M4I7GasVFBOIpPcVbuMHFLrm0qeZbJfrJ6LfspppbE41Jr7p6KSTeQ2qzZjcQQZZQ/s400/dubai-courts44_thumb.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> trial of Emirati businessman Abid Al-Boom has heard evidence that he owes depositors 847 million dirhams ($231 million) while assets seized covered only 15 percent of the amount, the UAE daily The National reported on Wednesday.Thousands of investors, including many on fixed low incomes, say they have lost their life savings in a bogus multi-million dirham investment portfolio run by the Al-Boom, prosecutors said.After receiving numerous complaints from depositors, Dubai Attorney General, Essam Eisa Humaidan, in July ordered al Boom’s arrest along with eight others, including an African business partner, an Emirati business partner and Al-Boom’s brother Khalid, the paper added. “We have registered to date complaints from 3,458 depositors and counting. My office has been busy answering calls from depositors and we have referred the case to the Dubai Rulers Court where auditors will examine al Boom’s accounts to determine where the money has gone,” the paper quoted Yousef Foulaz, the chief prosecutor for Deira First District as saying. "The final amount is likely to go up as we continue to receive and register more complaints."Mr Humaidan had earlier ordered the closure of the offices of Al Boom Holding LLC, and Abid Al Boom Management and Development Properties, the suspension of trading in shares owned by the accused and the freezing of all assets belonging to them, including any real estate and bank accounts held by the accused, in order to secure investors’ rights, the paper said.

Emirati businessman Abid Al-Boom has heard evidence that he owes depositors 847 million dirhams ($231 million)

trial of Emirati businessman Abid Al-Boom has heard evidence that he owes depositors 847 million dirhams ($231 million) while assets seized ...

Clarissa Foster of Shaker Title Services was indicted 18 months ago in an extensive mortgage fraud case that involved 61 people, 38 properties

Clarissa Foster of Shaker Title Services was indicted 18 months ago in an extensive mortgage fraud case that involved 61 people, 38 properties in Cleveland, East Cleveland and Garfield Heights, and 2.85 M million dollars in loans from multiple lenders. Prosecutors charged that she and her 60-year-old mother lied to lender Argent Mortgage Company claiming money they provided for downpayments actually came from borrowers and then collected commissions for the service. Cuyahoga County Assistant Prosecutor Michael Jackson. Cuyahoga County Assistant Prosecutor Michael Jackson: So the lender thinks the borrower is putting $10,000 down but in fact it’s coming from one of the key players in the scheme. In court, witnesses testified that other players in the scheme simply made numbers up on documents so that borrowers could qualify for home loans. Foster was sentenced to five years in prison and ordered to pay $100,000 to Argent. Her mother got three years probation. The two say they will appeal. But that was for only nine of the property deals in the indictment. Later this month, the two head back to court to face charges on the rest of the properties. There are more sentencings in the case ahead. One of the biggest players in the case, Neal Wolf of Ace Home Loans, has pleaded guilty and is set to be sentenced on Sept. 22.

Clarissa Foster of Shaker Title Services was indicted 18 months ago in an extensive mortgage fraud case that involved 61 people, 38 properties

Clarissa Foster of Shaker Title Services was indicted 18 months ago in an extensive mortgage fraud case that involved 61 people, 38 properti...

Peytcho Peev, 41, has been charged with conspiracy to commit an indictable offence, possession of credit card forgery devices

Peytcho Peev, 41, has been charged with conspiracy to commit an indictable offence, possession of credit card forgery devices, and several other related offences. Vaughan man has been charged in the seizure of ATM tampering devices that police alleged were used to steal millions from bank machines across the GTA. Officers from Toronto, York, Peel, the OPP, RCMP and the Canada Border Services Agency began looking into ATM skimming last spring after financial institutions complained about an increase in fraudulent activity. At the time, Toronto Police said a "sophisticated" crime ring was responsible for installing cameras and card readers at ATMs to steal PIN numbers and copy magnetic strip data from debit and credit cards of bank machine users. Using that data, the group was able to create counterfeit bank cards that were used to withdraw cash from ATMs across the GTA, police said. On June 17, officers executed 27 search warrants and eight people were arrested and charged with more than 100 fraud and other related offences. Investigators executed another search warrant Wednesday and uncovered an alleged "industrial-scale" forgery lab inside 27 Roytec Rd. -- near Weston and Langstaff Rds. in Woodbridge. Inside the huge facility, officers found 217 "ATM card reader overlays" in various stages of completion, police said yesterday. The lab also had molding equipment, electronics, a paint shop and a circuit board constructing station, police said. And it was allegedly "stocked for continuous production," police said. Computers were seized during the investigation and are still being examined, but police said they expect to find data from thousands of debit and credit cards. Police have said such scams are a growing concern for the banking industry and more than $100 million was stolen from 159,000 card holders in 2007.

Peytcho Peev, 41, has been charged with conspiracy to commit an indictable offence, possession of credit card forgery devices

Peytcho Peev, 41, has been charged with conspiracy to commit an indictable offence, possession of credit card forgery devices, and several o...

Roddrick Benjamin Russell, 32.arrested in connection with an alleged credit card fraud attempt at a local bank.

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjxTXRuwGUTVerBSVdxHnrqnqWqY2xyyL8DmW5ZAi0oC68Ay7CLAiylSqoipgnPM-gqmnpieGbTq5GpgQka2YMc8thd6Yph9qRSSSm19lpQGatXusi1jTopKkMVHvEhMHf9VXUXF6PQb-ch/s1600-h/po.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5238790332356363954" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjxTXRuwGUTVerBSVdxHnrqnqWqY2xyyL8DmW5ZAi0oC68Ay7CLAiylSqoipgnPM-gqmnpieGbTq5GpgQka2YMc8thd6Yph9qRSSSm19lpQGatXusi1jTopKkMVHvEhMHf9VXUXF6PQb-ch/s400/po.jpg" style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" /></a> Police in Petoskey have arrested a California man in connection with an alleged credit card fraud attempt at a local bank. Petoskey Department of Public Safety officials identified the man as Roddrick Benjamin Russell, 32.Police said officers were called to the 5/3 Bank office in downtown Petoskey at about 11:30 a.m. on Friday when employees there reported a suspicious person trying to make $5,000 withdrawal on a credit card. Police said bank employees had been alerted to credit card fraud attempts by Russell at other bank locations by banking security workers. Police said when they made contact with Russell they determined that he allegedly was attempting a credit card scam with a stolen credit card and false identification. Police arrested Russell on two 20-year racketeering charges, two five-year identity theft charges, four fraud charges and one possession of a controlled substance. Russell remains lodged at the Emmet County Jail in lieu of a $50,000 bond. If he is unable to post bond, he will be arraigned on the charges on Wednesday. A date for a preliminary examination in the case will be set at that time.Police are still looking for a woman accomplice that was reportedly traveling with Russell during several of the alleged credit card fraud attempts at banks throughout Northern Michigan.

Roddrick Benjamin Russell, 32.arrested in connection with an alleged credit card fraud attempt at a local bank.

Police in Petoskey have arrested a California man in connection with an alleged credit card fraud attempt at a local bank. Petoskey Departme...

Mari Matilde Leony Rodriguez-Triana, 44, and Raisa Diaz, 34, pleaded guilty to conspiracy to commit racketeering.

Six South Florida residents have pleaded guilty in connection with a mortgage fraud scheme that defrauded several financial institutions out of more than $17 million.They were among 15 arrested last month after a 10-month investigation. The defendants faced charges of racketeering, conspiracy to commit racketeering, mortgage fraud, grand theft, identity theft and money laundering. Authorities believe the scheme involved the use of two separate title companies in Miami-Dade County and worked this way:The title agents would prepare fraudulent HUD-1 statements on behalf of the other co-conspirators, which then would be provided to the lender. (A HUD-1 settlement statement is a document that informs the lender how disbursements will be made after a loan is funded.) Many of the HUD-1 statements involved in this case contained fraudulently inflated sales contract prices. For example, a seller might believe his or her property sold for $1.6 million, but a fraudulent HUD-1 statement might reflect the contract sales price for the property as $2.25 million. The lender would fund the loan believing the property sold for the inflated sales price. The title agent, acting on behalf of the other co-conspirators, would then transfer the fraudulently obtained profits into a bank account of either a third party or a shell company controlled by one of the co-conspirators. Monica Fergusson, 37, and Diana Diaz, 40, pleaded guilty to conspiracy to commit racketeering. They face up to five years in prison and must pay $20,000 to the task force, as well as costs of prosecution and investigation. Mari Matilde Leony Rodriguez-Triana, 44, and Raisa Diaz, 34, pleaded guilty to conspiracy to commit racketeering. They face up to three years in prison and must pay $10,000 to the task force, as well as costs of prosecution and investigation. Marlene Norono, 47, pleaded guilty to conspiracy to commit racketeering. She faces up to three years in prison and must pay $15,000 to the task force, as well as costs of prosecution and investigationMario Lubian, 47, pleaded guilty to mortgage fraud and was sentenced to one year of community control, to be followed by four years of probation, including 90 days of county jail. He must also pay $10,000 to the task force, as well as costs of investigation and prosecution.

Mari Matilde Leony Rodriguez-Triana, 44, and Raisa Diaz, 34, pleaded guilty to conspiracy to commit racketeering.

Six South Florida residents have pleaded guilty in connection with a mortgage fraud scheme that defrauded several financial institutions out...

Australian government website, SCAMwatch, is warning all email users to be wary of an email scam that claims they purchased an airline ticket online.

Australian government website, SCAMwatch, is warning all email users to be wary of an email scam that claims they purchased an airline ticket online. Australian Competition and Consumer Commission (ACCC), which owns and runs the website, has issued an alert after it received several complaints from net users, of the scam. In a clever ploy, the bogus email informs users their credit card account has been debited by around $500 to pay for the purchase. The fraudsters figure this would cause anybody to get flustered and be intrigued enough, to start clicking hazardously.The ticket and a receipt, served as attachments inside the email, lie in wait to take advantage of bewildered users in their moment of weakness. Clicking on these attachments trigger the download of malicious software that makes a note of all passwords plus other confidential information stored inside computers and transmits the same to the fraudsters.It would be a thing of horror if the fraudsters are able to get hold of online banking passwords. In such a scenario, owners of bank accounts would only be able to stand and watch as the fraudsters strip their accounts off money. Being well aware of its dangers

Australian government website, SCAMwatch, is warning all email users to be wary of an email scam that claims they purchased an airline ticket online.

Australian government website, SCAMwatch, is warning all email users to be wary of an email scam that claims they purchased an airline ticke...

Clarence W. Burk, was charged with insurance fraud and offering a false instrument for filing.

Clarence W. Burk, of 7614 Lauther Road, was charged with insurance fraud and offering a false instrument for filing. If convicted, he could ...

Owner of Mid-West Choppers was building a custom tribute bike for the 9-11 Foundation. Now he could face 30 years in prison.

Chip Miyler is accused of swindling customers out of about $900,000. A federal indictment issued this week charges Miyler with five counts of mail fraud, two counts of wire fraud and one count of bank fraud. Three years ago, the owner of Mid-West Choppers was building a custom tribute bike for the 9-11 Foundation. Now he could face 30 years in prison. Six years ago, Chip Miyler invited WQAD news cameras into his Galesburg shop and told us opening Mid-West Choppers was a dream come true."Build one $1500 bike a month, man, wouldn't that be great?," he said in 2002, a year after the shop opened. "We don't even build bikes like that anymore. Ours are $25 thousand and up."In 2005, his shop got national attention when it was honored with the job of creating a tribute bike for the 9-11 Foundation ."They could have picked anybody in the country, but they chose us," he said at the time.Two months later, Mid-West Choppers suddlenly shut down and filed for bankruptcy.The FBI says dozens of very angry customers were left holding the bag.According to the U.S. Department of Justice, Miyler took hundreds of thousands of dollars in downpayments from customers between 2003 and 2005. The indictment says he defrauded 25 customers who ordered custom-built bikes and diverted the money for his personal use.The indictment also charges Miyler lied about collateral when he applied for a bank loan in October of 2005.If convicted, bank fraud carries a maximum penalty of 30 years in prison. Mail and wire fraud charges stem from payments collected from customers by mail and wire transfer. Each of those charges carries a maxium penalty of 20 years in prison.

Owner of Mid-West Choppers was building a custom tribute bike for the 9-11 Foundation. Now he could face 30 years in prison.

Chip Miyler is accused of swindling customers out of about $900,000. A federal indictment issued this week charges Miyler with five counts o...

credit card fraud levels resulted in costs of over half a billion pounds last year, with crime levels in relation to credit card fraud rocketing.

credit card fraud levels resulted in costs of over half a billion pounds last year, with crime levels in relation to credit card fraud rocketing. The data comes from a recently released report, and officials state that part of the reason for the rise is that cardholders’ details are being stolen or cloned in destinations abroad where chip and pin in not in use.One official said: “The increase is driven by a rise in fraud abroad with UK card details stolen for use in countries yet to upgrade to chip and pin.” However, it was also noted that there had been an increase in CNP or Card Not Present credit card fraud, which is where the card does not have to be present for a transaction to be made, such as with online or telephone transactions. The number of fraudulent credit card transactions last year soared to 2.7 million transactions, and the cost relating to counterfeit or cloned cards rocketed by around 46% to about £144 million. The information was provided by the payment clearance service APACS and was recently included in the Home Office annual crime figures report. Industry officials have said, however, that online banking fraud levels have been falling, although consumers are still urged to be very vigilant, as phishing scam attempts have been rising.

credit card fraud levels resulted in costs of over half a billion pounds last year, with crime levels in relation to credit card fraud rocketing.

credit card fraud levels resulted in costs of over half a billion pounds last year, with crime levels in relation to credit card fraud rocke...

Richard Culbertson was sentenced to four concurrent terms in prison

Richard Culbertson was sentenced to four concurrent terms in prison on three counts of communications fraud and one count of engaging in a pattern of criminal activity. Culbertson pleaded guilty in June to the second-degree felonies. Richard Culbertson's wife, Kathleen, was sentenced to 60 days in jail and two years probation for her role. In return for her guilty plea, her charges were reduced to class A misdemeanors. Judge James A. Taylor ordered Richard Culbertson transported to the prison immediately to begin serving his sentence. Kathleen Culbertson has until Monday afternoon to report to the Utah County Jail. The pair also were ordered to pay $1.114 million in restitution, but Taylor said the proceeds from selling the houses involved in the scheme can be credited toward the restitution. The Culbertsons used their daughter's and son-in-law's names to buy a house, inflated income on a loan application and pocketed a $59,324 home loan that was supposed to pay for landscaping and remodeling. Richard Culbertson ran for mayor last year, and was defeated by Heather Jackson 1,650 to 549.

Richard Culbertson was sentenced to four concurrent terms in prison

Richard Culbertson was sentenced to four concurrent terms in prison on three counts of communications fraud and one count of engaging in a p...

HBOS’s Andy Hornby has become the victim of identity theft.

A fraudster is believed to have obtained one of Mr Hornby’s bank statements and used it to impersonate the chief executive.Reports suggest t...

Joseph Thornburgh faces charges of conspiracy to commit mail fraud, wire fraud and money laundering

Joseph Thornburgh faces charges of conspiracy to commit mail fraud, wire fraud and money laundering.The 60-year-old Thornburgh pleaded not g...

Mark D. Hamburg of Quitman has been arrested for misdemeanor home repair fraud and contracting without a license.

Mark D. Hamburg of Quitman has been arrested for misdemeanor home repair fraud and contracting without a license. An investigation by the Co...

Accounting fraud at its Schenker freight unit in Belgium which amounted to several tens of millions of euros going back several years.

German rail operator Deutsche Bahn [DBN.UL] said on Friday it had discovered an accounting fraud at its Schenker freight unit in Belgium whi...

Joseph Brunson, Tony Pough and Timothy McQueen each were indicted on 12 counts of money laundering and 10 counts of transporting checks

Joseph Brunson, Tony Pough and Timothy McQueen each were indicted on 12 counts of money laundering and 10 counts of transporting checks obtained by fraud. The men who called themselves the "3 Hebrew Boys" previously had been indicted on 35 counts each of federal mail fraud. They still face those charges, as well as state securities fraud charges.Each of the new fraud charges is connected with checks allegedly sent to the men at their offices in Columbia from investors in locations as far away as Pontiac, Mich., according to the indictment. It said the checks ranged from $5,250 to $63,000 each and totaled nearly $200,000.On the money laundering counts, prosecutors list more than a dozen items — from a $180,000 luxury box at a sports arena to a $4.5 million private jet — that they say they men purchased with money from investors.A Sept. 3 arraignment has been scheduled on the new charges, which each carry a penalty of up to 10 years in prison and a $250,000 fine. Each of the mail fraud charges carries the same monetary fine and up to 20 years in prison.Prosecutors say the men, who named their investment plan the "3 Hebrew Boys" after a Bible tale about brothers who kept their faith in God even as they were thrown into a fiery furnace and survived, promised daily returns of up to 500 percent.Authorities said the trio focused on recruiting investors in churches and at military bases, adding some soldiers fighting in Iraq even sent the men checks as word of the plan spread.All told, prosecutors say the men lured at least 7,000 investors from two dozen states, taking $80 million along the way. The three had told people that the money would be invested in foreign currency markets, but investigators have said less than $40,000 was actually invested — and the rest allegedly spent on luxury items for the three defendants.The men, who are representing themselves at trial, and attorneys appointed to act as their legal advisers did not immediately return messages seeking comment on the new charges. A court-appointed receiver has said he had collected more than $18 million in assets to return to investors if the men are found guilty.The men were in court for two separate hearings this week.On Monday, U.S. Magistrate Joseph McCrorey ordered Brunson to undergo a mental evaluation to see if he's competent to stand trial, at one point expressing frustration with Brunson's repeated statements that he was not a defendant and not subject to U.S. laws.Also Monday, U.S. District Judge Margaret Seymour rejected a series of motions by the three men, including requests that the case be dismissed under the argument that the U.S. District Court does not have jurisdiction over the case.

Joseph Brunson, Tony Pough and Timothy McQueen each were indicted on 12 counts of money laundering and 10 counts of transporting checks

Joseph Brunson, Tony Pough and Timothy McQueen each were indicted on 12 counts of money laundering and 10 counts of transporting checks obta...

Richard Pundt was arrested Thursday night on three counts of mail fraud, six counts of wire fraud and one count of conspiracy.

Richard Pundt was arrested Thursday night on three counts of mail fraud, six counts of wire fraud and one count of conspiracy. He appeared i...

Darrell Dickinson submitted false claim information on funeral costs to get money through a program that helps cover such expenses

Authorities say 59-year-old Darrell Dickinson submitted false claim information on funeral costs to get money through a program that helps c...

Alain Gagnon, a federal public servant accused of defrauding the government of $2.4 million has pleaded guilty

Alain Gagnon, a federal public servant accused of defrauding the government of $2.4 million has pleaded guilty to breach of trust by a public officer and fraud over $5,000.The 51-year-old Public Works and Government Services financial officer was arrested in September 2007. Mr. Gagnon was released on $5,000 bail and $15,000 security put up by family.Court documents showed that Mr. Gagnon, who lives in L'Ange-Gardien, used his position to defraud the government for more than a decade starting on Sept. 11, 1996.The RCMP investigation began in July 2007 when the Special Investigations Directorate of Public Works turned the matter over to the Ottawa RCMP Commercial Crime Section. The directorate investigates illegal activity solely within Public Works.About $885,000 of Mr. Gagnon's assets have been seized or frozen since his arrest, including his $400,000 L'Ange-Gardien home, several bank and investment accounts, and seven vehicles.The vehicles included a Toyota Camry, Honda Odyssey Mini Cooper and Toyota Yaris, a snowmobile and ATV, said Crown prosecutor Sylvain Petitclerc.Mr. Gagnon is to be sentenced on Nov. 4.

Alain Gagnon, a federal public servant accused of defrauding the government of $2.4 million has pleaded guilty

Alain Gagnon, a federal public servant accused of defrauding the government of $2.4 million has pleaded guilty to breach of trust by a publi...

Roger Faulkenberry, 47, sentenced executive vice president who raised money from investors at National Century Financial Enterprises, to 10 years

Roger Faulkenberry, 47, sentenced a former executive vice president who raised money from investors at National Century Financial Enterprises, to 10 years in prison.James Dierker, 40, the company's former vice president of client development, received the lightest of four sentences handed down over two days: five years in prison. Marbley and government prosecutors agreed that Dierker was the least culpable of five defendants that went to trial.The four former executives with National Century were convicted in March of defrauding investors over several years. The men said they were innocent and their lawyers argued the government had shown only a fraction of the company's activities in making their fraud case. A fifth defendant, Rebecca Parrett, fled in March while on bond following her conviction and has not been found. The FBI was issued a warrant for her arrest. On Wednesday, Marbley sentenced Randolph Speer, 57, the company's former chief financial officer, to 12 years in prison. Donald Ayers, 72, the company's former chief operating officer, was sentenced to 15 years in prison.Marbley also ordered three of the defendants -- Ayers, Speer and Faulkenberry -- to repay $2.4 billion to investors, or the total amount of money lost through the alleged fraud. The $1.9 billion figure is what the government proved at trial. Dierker must repay $48 million, the amount of money lost by the companies he dealt with.Lance Poulsen, the company's founder and chief executive officer, faces his own trial in October. On Friday, he is scheduled to be sentenced for his March conviction on charges he tried to bribe a witness.National Century was a health care financing company based in suburban Columbus. Prosecutors said executives authorized millions in unsecured loans to the health care providers, then misled investors about the loans.As the money owed to the company mounted, National Century declared bankruptcy in November 2002.National Century offered financing to small hospitals, nursing homes and other health care providers by purchasing their accounts receivable, usually for 80 or 90 cents on the dollar, so the providers wouldn't have to wait for insurance payments. National Century then collected the full amount of the payments.

Roger Faulkenberry, 47, sentenced executive vice president who raised money from investors at National Century Financial Enterprises, to 10 years

Roger Faulkenberry, 47, sentenced a former executive vice president who raised money from investors at National Century Financial Enterprise...

Benitez brothers were masters of Medicare fraud

Benitez brothers were masters of Medicare fraud, prosecutors say.They spent their Medicare millions on Mediterranean-style homes, apartments, hotels, boats, a helicopter, even a water park -- all in the resort area of Bavaro, Dominican Republic, court records show.After they were indicted on fraud charges in late May, Carlos, Jose and Luis Benitez used their Cuban passports to travel from Miami to the Dominican Republic, then to Cuba.The three brothers are accused of defrauding the U.S. government's health insurance program by billing $110 million in false claims for HIV drug-infusion treatments at their dozen Miami-Dade clinics. Medicare paid their companies about $84 million in reimbursements between 2001 and 2004, according to federal authorities and court records.The Benitezes -- who came to this country in 1995 and became U.S. citizens five years later -- have a lot of company. They are among 56 fugitives charged since 2004 with filing at least $272 million in phony Medicare claims before disappearing from Miami-Dade. Collectively, the fugitives absconded with at least $142 million in taxpayer funds. Thirty-three of the 36 fugitives whose names have been released by authorities are Cuban immigrants, most of whom came to the United States during the past 15 years, according to FBI, immigration and court records obtained by The Miami Herald. Half of those fugitives have fled to Cuba, according to the FBI, which based its information on travel, customs, passports, bank and computer records. The majority of some 700 Medicare fraud defendants charged since 2004 are immigrants who share an implicit trust when they join small criminal enterprises in South Florida to defraud the government program, according to perpetrators, prosecutors and investigators.Timothy Delaney, assistant special agent in charge of the FBI's office in Miami, said Medicare fraud has spread over the past decade in certain pockets of South Florida's population of 750,000 Cuban Americans -- just as it has in heavily populated immigrant communities in other major cities.Medicare is seen as an easy mark for fraud because it is built on an honor system that pays claims quickly with scant review. Also, the odds of getting caught are low and the odds of making millions are high.Delaney said certain segments of Cuban immigrants in Miami and Hialeah -- just like Armenians in Los Angeles, West Africans in Houston and Russians in New York -- trust one another to form mini-rackets. ''We have unscrupulous providers, willing doctors and willing practitioners,'' said Delaney. ``They don't think they've committed a crime.'' Among the known Medicare fugitives who fled to Cuba: Eduardo Moreno, who came to the United States in 1997.Moreno, 39, used a network of offices to operate medical equipment and HIV drug-infusion scams totaling $7.2 million in false Medicare claims, according to federal court records. He bought himself a $445,000 southwest Miami-Dade home and a $200,000 Rolls-Royce Phantom.When the FBI arrested him last year on fraud charges, he made a $250,000 bond, then skipped the country -- back to Havana, according to the FBI. Agents tracked him through his travel records and his relatives.Moreno is among at least 18 identified fugitives suspected of fleeing to Cuba -- with another 18 escaping to other parts of Latin America, Europe, Canada, Florida or unknown locations, according to the FBI's account of travel records and other information.In addition, there are 20 unidentified fugitives whose names remain under seal until their arrests.''A good number of them are Cuban and they will return to Cuba, where, as you know, there is no extradition policy and we have no way to get them back at this point,'' said Delaney, who headed the FBI's national healthcare fraud program before transferring to Miami in 2005.U.S. Sen. Mel Martinez, R-Florida, a Pedro Pan Cuban exile who benefited like thousands of others from the Cuban Adjustment Act, is pushing legislation in Congress to double the criminal and civil penalties for Medicare fraud offenders. While Martinez said he didn't think Medicare fraud was strictly a ''Cuban issue,'' he also condemned the Cuban government for harboring the fugitives.''My first thought is, it's one more reason why the Cuban government is an outlaw state because it allows fugitives of justice to find refuge there,'' Martinez said.Cuban leaders Fidel Castro and his brother Raul Castro have rarely turned over fugitives of any kind. Tracking down Medicare fugitives in countries such as the Dominican Republic, however, can be successful because they have extradition agreements with the United States. Federal authorities are working with the Dominican Republic to pursue the Benitez brothers and seize their extensive assets in Bavaro -- including a hotel called Cabañas Singapur.Other assets include more tourist hotels, a Robinson R44 Raven helicopter, apartment complexes, luxury homes, supermarkets and a rental car agency -- registered under shell companies or straw names. Dominican officials started seizing properties and freezing their bank accounts in July in cooperation with the U.S. government, which plans to return the proceeds to Medicare.On Friday, Justice Department prosecutors filed a proposed restraining order in federal court in Miami to ensure the Benitez brothers' assets are not sold or transferred to other parties.The Benitez brothers' fugitive case has made headlines in the Dominican Republic not only because of the U.S. government's pursuit of their ill-gotten gains. Over the Fourth of July weekend, Carlos Benitez's daughter and son-in-law -- Yanelkis Benitez Ramirez and Lenin Linares Guerrero -- were kidnapped. Days later, Dominican authorities rescued the couple.Meanwhile, FBI agents have traced the Benitez brothers to Havana, according to federal authorities.In general, the FBI has had little luck capturing Medicare fugitives abroad in recent years. ''We've had no one returned on a healthcare fraud warrant that I'm aware of,'' Delaney said. The one exception: In June 2004, authorities in the Dominican Republic turned over three Medicare fugitives -- Ruben Martinez; his daughter, Adriana Ramos, and her husband, Daniel Ramos -- who had fled to that country months before their indictment on fraud charges.They were part of a Miami-Dade family racket headed by Martinez, 57, that was eventually convicted of bilking $14.5 million from Medicare by charging for bogus medical equipment orders such as hospital beds, oxygen tanks and foot arch supports in 2000-02. Federal authorities recovered $1 million from Dominican bank accounts, $900,000 from U.S. banks, real estate, jewelry and a Porsche Boxster. ''It was a classic case of international cooperation,'' said former federal prosecutor Wifredo Ferrer, the lead attorney in the prosecution of Martinez and 11 others. ``The three fugitives were Cuban nationals, not citizens of the Dominican Republic. The Dominican authorities deemed them persona non grata and expelled them to the United States.''

Benitez brothers were masters of Medicare fraud

Benitez brothers were masters of Medicare fraud, prosecutors say.They spent their Medicare millions on Mediterranean-style homes, apartments...

Albert Gonzalez has been charged along with 10 others with breaking into the computer systems of nine of the nation's largest retail companies

Albert Gonzalez, 27, who is single and lives with his parents in a modest three-bedroom home in Miami, has been charged along with 10 others with breaking into the computer systems of nine of the nation's largest retail companies and stealing more than 40 million credit and debit card numbers.He is being held without bail in Central Islip in another computer fraud case involving a Dave & Buster's restaurant. The companies targeted by what authorities described as "a sophisticated scheme" were Barnes & Noble, BJ's Wholesale Club, Boston Market, DSW, Forever 21, Office Max, the Sports Authority and TJX Cos., the parent company of TJMaxx and Marshall's. Prosecutors say Gonzalez and the other defendants drove around searching for holes in retailers' wireless networks. They then installed "sniffer" programs within the networks that gathered card numbers as well as password and account information. Some of those numbers were sold to other criminals here and in Eastern Europe. Prosecutors say the defendants also used the numbers to withdraw tens of thousands of dollars from automated teller machines."He is a master in the field of computers," said one person familiar with the self-taught Gonzalez and the three-year investigation into the case. Gonzalez allegedly worked as an informant while also tipping the alleged ring, a source familiar with the case said. Informants by their very nature are part of the criminal underworld and have to be handled very carefully, the source said. Secret Service spokesman Malcolm Wiley said yesterday that as soon as the agency became aware of Gonzalez's double role, it dropped him as an informant and began investigating him. Without going into details, the indictment says that Gonzalez got information while working as an informant, which he passed on to fellow hackers to prevent them from being identified by authorities.Gonzalez's attorney, Rene Palomino of Miami, scoffed at the indictment alleging computer fraud, wire fraud, access device fraud, aggravated identity theft and conspiracy. In a telephone interview yesterday, Palomino said that his client was innocent and that the government faced "substantial challenges" in proving its case. Gonzalez began working as an informant for the Secret Service in 2003, after he was arrested in New Jersey on fraud charges, according to court papers. Secret Service director Mark Sullivan has credited Gonzalez with helping the agency break up a major hacking operation. "That was the first time ever that a computer system was wiretapped," Sullivan said, referring to the 2004 takedown of the leaders of a message board used by hackers and credit-card scam artists around the world to buy and sell stolen information. But sources said that when agents discovered that Gonzalez was tipping off some members of his massive hacking operation to the government's investigation, the resulting probe initially led to his May indictment in federal court in Central Islip. Gonzalez was charged then with illegally obtaining the credit card information of 5,000 customers at the Dave & Buster's restaurant in Islandia. He pleaded not guilty.Brooklyn attorney George Farkas, who handled Gonzalez's Central Islip court hearings, declined to comment yesterday.

Albert Gonzalez has been charged along with 10 others with breaking into the computer systems of nine of the nation's largest retail companies

Albert Gonzalez, 27, who is single and lives with his parents in a modest three-bedroom home in Miami, has been charged along with 10 others...

Samuel Israel III ,aka Sam Ryan or David S. Clapp.wanted

<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgUKiO7gMuDWoJdiK4NsfklwNUPLGBU-jDiBSc2QGGY64holFVIVc6nLhf-UCn9QoV85JDdwJYodDGkhQGQGP5r3C89b__ZapgYiggVoz87w_XngslD8zrwciL56IqI4z1NiXdGSSWrilAz/s1600-h/40241850.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5231687873686504786" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgUKiO7gMuDWoJdiK4NsfklwNUPLGBU-jDiBSc2QGGY64holFVIVc6nLhf-UCn9QoV85JDdwJYodDGkhQGQGP5r3C89b__ZapgYiggVoz87w_XngslD8zrwciL56IqI4z1NiXdGSSWrilAz/s400/40241850.jpg" style="display:block; margin:0px auto 10px; text-align:center;cursor:pointer; cursor:hand;" /></a> Israel, 48, told the judge that the idea of spending 20 years in prison was so distasteful he had considered suicide. But he eventually decided: "I have to take responsibility for my actions no matter what the consequences."That sentiment didn't last long. Within two months, federal investigators said, Israel settled on life as a fugitive. On the day he was to surrender, authorities said, he abandoned his sport utility vehicle on a bridge in the New York City suburbs, scratched "Suicide is Painless" in the dust on the hood to make it seem he had jumped, and skedaddled. On Thursday, 10 days later, agents got their first big break when Debra Ryan, the girlfriend Israel left behind, told them she had helped him pack a recreational vehicle with his belongings and a motor scooter. Ryan was arrested and charged with helping Israel escape. Authorities released a photo of the RV and its license plate number, and said Israel might be spotted at campgrounds or highway rest areas, possibly using the names Sam Ryan or David S. Clapp.Skepticism about his "suicide" started almost as soon as state police determined the vehicle belonged to Israel. When no body was found beneath the 150-foot-high bridge over the Hudson River, authorities said they suspected a ruse. So did investors who were hoping to get some of their money back. "This is a very smart guy, a very crafty guy who was able to steal a lot of money from other smart people," said Ross Intelisano, an attorney for 20 investors in Israel's Bayou Group funds. "My gut tells me he's not the type to jump off a bridge." Within a week, the search for a body was called off, and Israel was officially declared a fugitive. A "wanted" poster and other bulletins revealed his Social Security number, his bird tattoo and his aliases: Sam Ryan and David S. Clapp. Israel's girlfriend at first told police that he left their Armonk house June 9 to drive to prison. He'd been expected at a federal penitentiary in Massachusetts for inmates with special health care needs.After Israel stopped on Bear Mountain Bridge, near West Point about 40 miles north of New York City, surveillance video showed a second car slowly pass his SUV and stop. Agents were hoping to enhance the images to find out what happened next. Federal officials refused to confirm reports that the driver of the second car has been questioned.They also won't go into detail about the search for Israel. But a former federal prosecutor said fugitives who carefully plan their getaways often leave clues behind."You have to be very thorough, very meticulous in setting up your escape," said Lawrence Barcella Jr., who is now a defense attorney specializing in white-collar crime. "But it's hard to do that without leaving some hint, some trail, about your thought process or even your destination."If he went online to find out about a place, if he called there on a cell phone, they can find that out. The advances in technology and all the security upgrades since 9/11 have made it much easier to track someone down," he said. He said falsified travel documents would be available to someone with money, "but again, the government is much more sensitive to that now and much more sophisticated in the detection of that."It's much harder to leave the country now than it used to be."Agents will also apply old-fashioned pressure, potentially including threats of prosecution, to Israel's friends and associates, as they already have to the girlfriend."You know what they say, 'We have ways of making you talk,'" the former prosecutor said.Wherever he is, Israel probably won't be able to resume a life of conspicuous consumption if he wants to evade detection. "You have to tone it down," Barcella said. "The more you spend, the easier you are to find. You also have to cut yourself off completely from your past. That means putting the people and places you love behind you."It takes a level of mental discipline. You can't even engage in those things that are familiar. "If you love to go kayaking, you may not want to go kayaking because that's a profile the feds are going to have," Barcella said. Hiding out might also be complicated by Israel's medical needs. He's had nine back surgeries, wears a pacemaker and is addicted to painkillers, according to prosecutors.Another path Israel could take is to settle in a country that does not have an extradition treaty with the United States.He could also flee to a place that is ill-equipped to deal with such a legal case or somewhere that might welcome his money.Jacob "Kobi" Alexander, who is accused of pocketing millions of dollars while manipulating stock options as chief executive of Comverse Technology Inc., has been living openly in Namibia with his family for two years. "Of course, Namibia's in the African desert," Barcella said. "It's not the Costa del Sol. On the other hand, it's not the federal penitentiary, either

Samuel Israel III ,aka Sam Ryan or David S. Clapp.wanted

Israel, 48, told the judge that the idea of spending 20 years in prison was so distasteful he had considered suicide. But he eventually deci...

Top