Adley H. Abdulwahab was convicted of fraud, conspiracy, and money laundering in 2011 in the U.S. District Court for the Eastern District of Virginia relating to a $100 million life insurance settlement scheme which defrauded more than 800 investors. As reported by the Fort-Worth Star-Telegram, Abdulwahab, a Texas resident, and four other co-conspirators fraudulently marketed… Continue Reading
Category Archives: Money Laundering
Subscribe to Money Laundering RSS FeedAllen Stanford Guilty on 13 of 14 Counts
Posted in High Profile Cases, Money LaunderingAs previously reported here, there has been a dearth of media coverage of the Allen Stanford trial in Houston. Following almost 3 days of deliberation Stanford was found guilty on 13 of 14 counts in the indictment. Stanford, 61, was convicted on one count of conspiracy to commit wire and mail fraud, four counts of… Continue Reading
You Can’t Make This Stuff Up
Posted in Fraud, Money LaunderingThe press release from the Northern District of Georgia announcing the guilty plea by novelist Mitchell Gross to wire fraud and money laundering charges has a great line: “Much like the novels this defendant wrote, the stories he told to his victims to entice them to entrust him with their money or their legal business… Continue Reading
Canadian Defense Attorney Acquitted on Money Laundering Charges
Posted in Money LaunderingCanadian defense attorney Jeffrey Root received the greatest Christmas gift ever when a judge acquitted him on the 21st of charges of conspiracy to launder money and to possess illegal proceeds, and attempting to launder money, according to the Niagara Review. Mr. Root had met with an undercover Royal Canadian Mounted Police officer and discussed ways… Continue Reading
Former Home Depot Employee Ian Jay Evans Acquitted on Conspiracy and Money Laundering Charges for Alleged Kickback Scheme
Posted in Money LaunderingIan Jay Evans of Mableton, Georgia, a former Home Depot employee, admitted to splittting $1.4 million in commissions with a product buyer for Home Depot, first to purchase rugs and other products from a vendor, and later to select Evans as a consolidator for rugs when Home Depot reset its rug department. He was charged in the U.S. District Court… Continue Reading
Wachovia Enters $160 Million Settlement with DOJ Over Alleged Money Laundering Through Mexican Currency Exchange Houses
Posted in Money LaunderingAs reported by the Wall Street Journal, the U.S. Department of Justice and Wachovia Bank have entered into a $160 million settlement and deferred prosecution agreement to settle the DOJ’s allegations that Wachovia enabled drug traffickers to launder drug money through transfers of money from Mexican currency exchange houses to the bank. The bank has agreed… Continue Reading
TARP Inspector General Investigations January 2010
Posted in Bank Fraud, Money Laundering, Securities Fraud, Troubled Asset Relief Program TARP Stimulus TALF Investigations and CrimeThe TARP Inspector General highlights in his report to Congress, the continued efforts to investigate waste, fraud and abuse in the financial institution rescue program
Boston Lawyer Indicted for Money Laundering
Posted in Money LaunderingBoston attorney, Lawrence M. Perlmutter, was arrested yesterday on charges of laundering drug monies and failure to file appropriate IRS forms.
Florida Executive Sentenced in $10.5 Million Embezzlement Scheme
Posted in Corporate Crimes, False Claims, Fraud, Money Laundering, Securities FraudAlthough it may be considered small change when compared with the fraud of fellow Floridian Scott Rothstein, according to an FBI press release, Gary Ernest Williams, former Chief Financial Officer for Marian Gardens Tree Farm (MGTF) in Groveland, Florida, was sentenced to eight years imprisonment on Monday in the U.S. District Corut for the Middle District of… Continue Reading
Fort Lauderdale Attorney Scott Rothstein Pleads Not Guilty to Information Alleging $1.2 Billion Dollar Ponzi Scheme
Posted in False Claims, Forfeiture, Fraud, High Profile Cases, Money Laundering, Securities FraudIn response to allegations uncomfortably similar to those against former New York celebrity lawyer and arch Ponzi-schemer Marc Dreier, Fort Lauderdale attorney Scott Rothstein, head of Rothstein, Rosenfeldt and Adler, P.A., appeared in response to a criminal information in the U.S. District Court for the Southern District of Florida on Tuesday. The information charges… Continue Reading
Government Drops Prosecution of Miami Attorney Ben Kuehne for Receipt of Legal Fees from Drug Kingpin
Posted in False Claims, Money LaunderingLast Wednesday, the Government, through Deputy Assistant Attorney General Kenneth A. Blanco, filed a brief Motion to Dismiss Third Superseding Indictment with Prejudice seeking to dismiss its indictment against Miami, Florida, attorney Benedict P. Kuehne, and also Colombian attorney Oscar Saldarriaga Ochoa, in the criminal action of U.S. v. Velez, 1:05-cr-20770-MGC, in the U.S…. Continue Reading
Trial of Bear Stearns Hedge Fund Managers Cioffi and Tannin Gets Underway
Posted in False Claims, High Profile Cases, Money LaunderingThe trial of Bear Stearns hedge fund managers Ralph Cioffi and Matthew Tannin got underway last week. As reported by attorney Jacob Zamansky in Forbes and the New York Daily News, the parties gave opening statements on Thursday. Assistant U.S. Attorney Patrick Sinclair argued that Bear Stearns financial officer Matthew Tannin allegedly told investors on… Continue Reading
Bear Stearns Hedge Fund Managers’ Trial Begins Today
Posted in False Claims, High Profile Cases, Money LaunderingThe trial of former Bear Stearns hedge fund managers Ralph Cioffi and Matthew Tannin begins today in Brooklyn, as reported by Bloomberg. A jury will be selected today. Cioffi and Tannin are charged with allegedly causing losses of $1.4 billion to investors by misleading investors regarding the health of two Bear Stearns hedge funds, the… Continue Reading
Bear Stearns Hedge Fund Managers Gear Up for Trial; Google Releases Manager’s Private E-mails
Posted in False Claims, High Profile Cases, Money LaunderingAs reported by Chris Herring over at the Wall Street Journal Law Blog, the trial of former Bear Stearns hedge fund managers Matthew Tannin and Ralph Cioffi is scheduled to commence next Monday. And now the government has obtained Tannin’s e-mails from his private Google account. Tannin had closed the Google account on the advice of his… Continue Reading
SEC Eyes Sir Robert Allen Stanford’s Upaid Gambling Debt
Posted in False Claims, High Profile Cases, Money LaunderingAs we check back with Sir Robert Allen Standford, the most noteworthy development is perhaps that the Bellagio, a Las Vegas casino and luxury resort, filed suit against Stanford last week in a Clark County Nevada district court for an alleged $258,480 in unpaid gambling debts.The lawsuit alleges that Stanford signed for 14 markers… Continue Reading
Bear Stearns Execs Head for Trial on Wire and Securities Fraud Charges
Posted in False Claims, High Profile Cases, Money LaunderingAs is well known, Bear Stearns, one of the largest investment banks in the world, was sold to JP Morgan Chase and effectively ceased to exist in March of 2008, after two Bear Stearns hedge funds invested in collateralized debt obligations—mainly subprime home loans—and once worth approximately $1.6 billion, lost nearly all of their value…. Continue Reading
Pfizer Enters Largest Healthcare Fraud Settlement in U.S. History
Posted in False Claims, Fraud, Health Care Fraud, Money LaunderingPharmaceutical giant Pfizer, inc., will pay $2.3 billion to the Federal government and 49 States to settle allegations that it violated federal regulations in promoting several drugs, as reported by the Atlanta Journal-Constitution. The settlement is the largest in U.S. history to date in a healthcare fraud case. Georgia will receive $21.7 million as part of… Continue Reading
Sister Testifies on Behalf of Alleged Atlanta Terrorist Ehsanul Islam Sadequee; Closing Arguments and Deliberations Today
Posted in False Claims, Money Laundering, TerrorismAs reported in the Atlanta Journal-Constitution and the Associated Press, closing arguments have started in the terrorism trial of Atlanta area native and former Georgia Tech student Ehsanul Islam Sadequee. Sadequee is representing himself and will present his own closing argument. Sadequee called only two witnesses in his defense before resting his case, including his older… Continue Reading
Representative William Jefferson Convicted on 11 of 16 Counts
Posted in False Claims, High Profile Cases, Money LaunderingWe did not weigh in yesterday, but the biggest federal criminal defense news was clearly the conviction of U.S. Representative William Jefferson of Louisiana in his criminal trial in the U.S. District Court for the Eastern District of Virginia, as reported by the New Orleans Times-Picayune. The jury of eight women and four men returned a verdict… Continue Reading
Alleged Terrorist Ehsanul Sadequee Delivers Prayer and Opening Statement; Alleged Co-Conspirator Testifies
Posted in False Claims, Money Laundering, TerrorismEhsanul Islam Sadequee, 23, nicknamed "Shifa," which means "Cure," is representing himself in his trial in the U.S. District Court for the Northern District of Georgia on four counts of allegedly conspiring to provide material support to terrorism. As reported by the Atlanta Journal-Constitution and the Associated Press, Sadequee began his 14 minute opening statement… Continue Reading
Second Alleged Atlanta Terrorist Ehsanul Islam Sadequee Begins Trial; Representing Self
Posted in False Claims, Money Laundering, TerrorismWe closely followed the trial of Syed Haris Ahmed, who was convicted for providing material support to terrorism in early June–all of our posts may be found here. The trial of Ahmed’s alleged co-conspirator, Ehsanul Islam Sadequee on terrorism charges began yesterday in the U.S. District Court for the Northern District of Georgia. Sadequee has… Continue Reading
Congress Considers Over-Criminalization and Over-Federalization of Criminal Law
Posted in False Claims, Legislation, Money LaunderingAs noted at White Collar Criminal Prof Blog and The Justice Fellowship, the U.S. House of Representatives Subcommittee on Crime, Terrorism and Homeland Security held a hearing last week on "Over-criminalization of Conduct and Over-federalization of Criminal Law." Organizations which addressed the Subcommittee on issues of over-criminalization and over-federalization included the American Bar Association, the… Continue Reading
Jury Begins Deliberating Rep. William Jefferson’s Fate Following Over 2 & 1/2 Hours of Jury Instructions
Posted in False Claims, Fraud, High Profile Cases, Money LaunderingAs reported by the New Orleans Times-Picayune, Judge T.S. Ellis, III, of the U.S. District Court for the Eastern District of Virginia read instructions to the jury yesterday which lasted over 2 & 1/2 hours, and the jury retired for its deliberations in the case against former U.S. Representative William Jefferson. The jury deliberated for… Continue Reading
Trial Ends in Case of Former Representative William Jefferson; Jury Deliberations to Begin Today
Posted in False Claims, Fraud, High Profile Cases, Money LaunderingThe trial of former Representative William Jefferson, which has gone on for six weeks in the U.S. District Court for the Eastern District of Virginia, will come to an end today. As reported by Ashby Jones at the Wall Street Journal Law Blog and UPI, both sides gave their closing arguments yesterday. Judge T.S. Ellis… Continue Reading