600 Stolen Identities, and Over $1 Million in Losses, Lead Identity Theft Ringleader to Prison

The leader of an identity theft ring that stole more than 600 identities from U.S. government employees and others has been sentenced to serve 12 years in prison, followed by three years of supervised release. Jenaro Blalock previously pleaded guilty to access device fraud and aggravated identity...

Robert Anderson, Jr., Named to Lead FBI’s Criminal, Cyber, Response, and Services Branch

Robert Anderson, Jr., has been named the executive assistant director of the Criminal, Cyber, Response, and Services Branch at FBI Headquarters. In this role, he will be responsible for all criminal and cyber investigations worldwide, as well as international operations, critical incident response, and...

European Parliament Votes to Toughen Anti-Money Laundering Rules

The ultimate owners of companies and trusts would have to be listed in public registers in EU countries under draft anti-money laundering rules voted by the European Parliament. “The public registers will make life more difficult for criminals trying to hide their money. Our economy currently...

Bernard Madoff Guilty Plea: 5 Years Ago Today

Five years ago today, on March 12, 2009, Bernard Madoff pleaded guilty to orchestrating the largest Ponzi scheme in history. That day, Madoff told the court, “I knew what I was doing was wrong, indeed criminal.” He said that when he began the Ponzi scheme, “I believed it would end...

Animal Feed Company, Audit Committee Chair, and Other Executives in China and US Charged with Accounting Fraud

The Securities and Exchange Commission has charged an animal feed company and executives in China and the United States with conducting a massive accounting fraud in which they repeatedly reported fake revenues from their China operations to meet financial targets and prop up the stock price. The...

Funeral Homes Continue to Violate FTC’s Disclosure Requirements

Investigators working undercover in nine states have found that, in 32 of the 124 funeral homes they visited during 2013, the funeral homes failed to disclose pricing information to consumers as required by the Federal Trade Commission’s Funeral Rule. The FTC conducts undercover inspections...

Allegedly Told ‘Don’t Get Caught,’ Swiss Banker Got Caught, and Now He’s Guilty of Conspiring to Defraud the IRS

In what appears to be another significant step toward prosecuting U.S. citizens with unreported overseas bank accounts, and foreign banks – and bankers – that facilitate them, a Swiss banker has pleaded guilty to conspiring to defraud the Internal Revenue Service in connection with his work...

Lawyer and Two Others Named to Senior Positions at the Consumer Financial Protection Bureau

The Consumer Financial Protection Bureau (CFPB) has filled three positions: the Assistant Director for the Office of Installment and Liquidity Lending Markets; the Assistant Director for the Office of Research; and the Assistant Director for the Office of Financial Empowerment. “I’m pleased...

It’s Showtime for ‘Billions,’ where a US Attorney Fights Hedge Fund Billionaires

The premium cable network Showtime has decided on its first drama pilot of the year: “Billions.” Co-created and written by Brian Koppelman, David Levien, and New York Times columnist Andrew Ross Sorkin, "'Billions' is a fictional drama that focuses on the collision and, at times...

7 for 7: Jury Convicts All Defendants in $97 Million Medicare Fraud

A federal jury in Houston has convicted two owners of a former Houston mental health care company, Spectrum Care P.A., several of its employees, and the owners of certain Houston group care homes for their participation in a $97 million Medicare fraud. Physicians Mansour Sanjar and Cyrus Sajadi, the...

Hong Kong Regulator Clears All Banks, Except UBS, in Rate-Rigging Investigation

The Hong Kong Monetary Authority (HKMA), announcing the results of its Hong Kong Interbank Offered Rate (HIBOR) rate-fixing investigation into the actions of nine banks, said that it has found evidence of misconduct in the submission of HIBOR rates by only one bank, and no evidence of collusion between...

17 Large Banks Manipulated LIBOR, FDIC Claims

The Federal Deposit Insurance Corporation, as receiver for dozens of failed banks including Washington Mutual and IndyMac Bancorp, has sued 17 large banks, alleging that they manipulated LIBOR – the London interbank offered rate – over approximately a four-year period. The suit contends...

Jury Convicts CEO in $1 Billion Check Kiting Scheme

Mair Faibish, the former chief executive officer of Synergy Brands, Inc., has been convicted by a federal jury in Brooklyn on all three counts of the indictment for defrauding Signature Bank out of $26 million through a massive check kiting scheme, for making false statements to the U.S. Securities and...

Madoff Employees’ Fate Now with the Jury

A jury of nine women and three men have begun to deliberate the fate of five former employees of Bernard Madoff’s company after receiving their instructions from U.S. District Court Judge Laura Taylor Swain in Manhattan. The trial involving a 31 count indictment against Jerome O’Hara,...

Whistleblower Nets $1.1 Million in False Claims Act Case against Bristol-Myers Squibb

New York has reached a $6.2 million settlement of a whistleblower case alleging that a medical imaging company that made millions of dollars’ worth of sales in New York knowingly evaded New York State and New York City taxes. The whistleblower in the action will receive $1,137,814.80 from the...

Politics, Prison for Financial Fraud, and Now More Politics: Louisiana’s Ex-Governor to Run for Congress

He’s baaack! Former Louisiana Governor Edwin Edwards, who spent nearly a decade as a guest of the federal government following his conviction for financial fraud, racketeering, and extortion, loves politics. And now, the 86-year-old Democrat, with a new wife and a new baby, is running for the...

Who’s Your Anti-Corruption Hero?

The global anti-corruption organization Transparency International now is accepting nominations for its 2014 Integrity Awards. Launched in 2000, the awards recognize the courage and determination of individuals and groups taking remarkable steps to combat corruption, often at great personal risk, TI...

IRS Chief Who Opposed Nixon’s Efforts to Audit ‘Enemies,’ Dies at 100

Randolph W. Thrower, the commissioner of the Internal Revenue Service who opposed the Nixon Administration’s efforts to punish President Nixon’s political “enemies” by auditing their tax returns – and who was fired as a result – has died at 100. Thrower made clear...

Singapore Executive is Second to Plead Guilty in International Navy Corruption Scandal

Alex Wisidagama, a former executive with Glenn Defense Marine Asia (GDMA), has pleaded guilty to participating in a scheme to defraud the United States, admitting that he and others duped the U.S. Navy into overpaying by at least $20 million for supplies and services to American ships in Asian ports...

Law Clerk and Stockbroker Charged with Trading on Inside Information Stolen from Prominent New York Law Firm

The managing clerk of the New York office of Simpson Thacher & Bartlett LLP – a prominent, international law firm – and a professional stockbroker who worked at Oppenheimer & Co. and Morgan Stanley have been arrested and charged with participating in a multi-year insider trading scheme...

Attorney Heading to Prison for Helping Clients Keep Secret Swiss Bank Accounts

California attorney Christopher M. Rusch has been sentenced to serve 10 months in prison for helping his clients Stephen M. Kerr and Michael Quiel, both businessmen from Phoenix, hide millions of dollars in secret offshore bank accounts at UBS AG and Pictet & Cie in Switzerland. U.S. District...

Fighting Financial Fraud with Big Data? That’s IBM’s Goal

Can the fight against financial fraud be waged with computers and software? That’s what IBM seems to believe. IBM said that it has introduced new software and services to help organizations use ”Big Data and Analytics” to address the $3.5 trillion lost each year to fraud and financial...

‘Largest Scam of Its Kind’ Is Targeting Thousands

The Internal Revenue Service is warning consumers about a sophisticated phone scam targeting taxpayers, including recent immigrants, throughout the country. Treasury Inspector General for Tax Administration Russell George said that “thousands of victims” already have lost more than $1...

Biloxi Breach: Attorney Pleads Guilty to Trust Account Fraud

An attorney in Biloxi, Mississippi, Stephen Richard Colson, has pleaded guilty in federal court to falsifying, concealing, and covering up material facts in connection with a scheme to defraud two banks and the bankruptcy court in violation of federal law. The government indicated at the guilty plea...

6 Critical Steps To Thoroughly Vet An Expert Witness

Expert Research Best Practices Seminar and $10 Gourmet Coffee Card Exclusively for Paralegals! Join LexisNexis® for a complimentary Expert Witness Research Best Practices Seminar where you will learn how to vet expert witnesses thoroughly, more efficiently and cost-effectively, with LexisNexis®...