Blog
Phantom ATMs Reap $80 Million
Investors expecting revenue from ATM fees were sorely disappointed following a possible Ponzi scheme. Two suspects involved in the case are accused of wire fraud. Their alleged victims were promised income from the machines stationed in retail locations throughout the...
Bank of Montreal in Search of Mission $9.2 Million
In a lawsuit filed by Bank of Montreal, former employee Gregory Rao is accused of stealing money from clients. $9.2 million from 20 clients to be exact. Mr. Rao was dismissed in August after admitting to misappropriating $2 million. But as it dug deeper, the bank...
A Ponzi Scheme in the Wild West
Following consumer complaints, investment companies DC Wealth Management Inc. and DC Associates Inc. have been shut down by Montana regulators amid allegations of a Ponzi scheme. Allegations indicate Donald Chouinard defrauded investors of $1.5 million. The ex-LPL...
Hong Kong’s Costliest-Ever Scam
The reputation of a leading Asian financial center is at stake in the wake of an enormous insider scam. Former Morgan Stanley Managing Director Du Jun was raked over the coals by Hong Kong Judge Andrew Chan for his insider dealing. Du was sentenced to 7 years in...
Bad PR
A public relations specialist passing along merger/acquisition tips to a former Lehman Brothers broker contributed to an insider trading scheme. Frederick Bowers pleaded guilty to conspiracy to commit securities fraud and fraud for his role in a program to profit $4.8...
Do the Crime. Do the Time.
A Federal judge sentenced Stephan Wilson, 45 to nearly 20 years in prison following his role in scheming more than 80 clients out of millions of dollars. His promise? An 18 to 24 percent return on an investment fund. Not only were his promises empty – now his...
Medical Capital Holdings, Inc. Prescribes Smoke and Mirrors
Investors seeking class action status are suing trustees of Medical Capital Holdings, Wells Fargo and Bank of New York Mellon. Medical Capital has already been charged by the SEC with fraud. Get a load of the sordid details in the full Investment News story, complete...
That’s Your Idea of Conservative?!
A supposedly conservative bond fund owned by a widowed 72-year old Deutsche Bank client turned out to have a risky alter ego. A $500,000 initial investment in June 2007 had nearly vanished by February 2009, a substantial loss for the client’s marital trust. Deutsche...