David Michaels dba Michaels Wealth Management – BCSC Hearings Begin
- BCSC Hearing began January 20, 2014. Expected to sit for 2 weeks. Read reporter Derrick Penner’s article at TheVancouverSun.com “In total, the B.C. Securities Commission alleges 484 investors placed $65 million with David Michaels Wealth Management in a business its enforcement staff contends was ‘premised on fraud and misrepresentations.’ But to investors, many of whom were retirees, Michaels was reassuring.” Read reporter Derrick Penner’s article at TheVancouverSun.com (Vancouver Sun, 20 Jan 2014)
- Background information re David Michaels / Michaels Wealth Management Group from The Vancouver Sun
- BC Securities Commission – Hearings File: David Michael Michaels; 509802 BC Ltd. dba Michaels Wealth Management Group; Executive Director (29 Jan 2014)
- The Fraud Chronicles – David Michael Michaels case document links
The Madoff Affair – Ex-Employees on Trial for Role in The Madoff Affair
- Madoff IT Guys Wrote Code to Trick Auditors, Jury Told Expert prosecution witness, IBM senior technician Richard Dietrich, testifies that he analyzed computers seized from Madoff’s Manhattan office and alleges that two Madoff aides (Jerome O’Hara and George Perez) wrote computer code “to make thousands of fake transaction numbers, dates and time stamps”. (BloombergNews, Jan 28, 2014)
- Jury told that Madoff Ex-Aide Annette Bongiorno earned $3.91 salary from Madoff from 1993 – 2008; but had $70 million in seven personal accounts. (BloombergNews, 23 Jan 2014)
- Bernie Madoff reported to have suffered heart attack. (The Telegraph, 23 Jan 2014)
OTHER CANADIAN FRAUD NEWS
- Parole in sight for Earl Jones after Quebec court ruling. Jones may benefit from a Quebec Superior Court ruling that the federal government’s decision to abolish early parole for white collar crimes as unconstitutional. Jones began serving his 11 year sentence in 2010 (CBCNews, 29 Jan 2014)
LIBOR Fraud Still in the news
- Governor of the Bank of England warns senior bankers that “conduct costs” related to past misbehaviour is the industry’s most pressing issue. (The Telegraph, 26 Jan 2014)
ELSEWHERE IN THE WORLD:
- A US SEC judge recommended Chinese units of the “Big Four” accounting firms be suspended from auditing US-listed companies for 6 months. “Securities and Exchange Commission Administrative Law Judge Cameron Elliot censured the Chinese affiliates of KPMG, Deloitte & Touche, PricewaterhouseCoopers and Ernst and Young.” (Reuters.com, 29 Jan 2014).
- Investment Fraud is booming along with oil and gas drilling. “What investor doesn’t know is the promoter is getting most of the money,” says SEC’s Fort Worth associate director. (DallasNews.com, 4 Jan 2014)
That’s The Fraud Chronicles roundup for the week ending January 29, 2014.
Do you have a news, court or regulatory body information on an interesting fraud case? Comment on this posting or Tweet @fighting_fraud to share your Web links of publicly available fraud news and case information.
Vanessa G. Oltmann
Education and integrity – the best weapons against fraud and corrupti