Tracy talks with Miles Mason, JD, CPA about some of the common financial lies told by spouses during divorce.
Yesterday Teresa Giudice and Guiseppi (Joe) Giudice were indicted by a federal grand jury in Newark, New Jersey on the following charges:
- Conspiracy to Commit Mail Fraud and Wire Fraud
- Bankruptcy Fraud
- Bankruptcy Fraud – Concealment
- Bankruptcy Fraud – False Oaths
- Bankruptcy Fraud – False Declarations
- Failure to Make Tax Return
The mail fraud and wire fraud counts are related to false statements and documents that the Giudices allegedly submitted in order to get loans. Banks which loaned the Giudices money included Park Avenue Bank, Wachovia (now Wells Fargo), Sterling Bank, and Community Bank of Bergen County. Non-bank lenders include HomeComings Financial Network, Eastern American Mortgage, and Alterna Mortgage.
Several months ago I wrote an article on the Xyngular weight loss program being pimped by Jennifer McKinney (aka mommy blogger MckMama). The bottom line for me was that these programs do not work because:
- They create short-term weight loss through a dizzying cycle of starvation, unhealthy meal replacement shakes, and questionable drug-like “supplements” that are supposed to get you high and suppress your appetite
- The representatives make repeated health claims are strictly prohibited by the federal government. The distributors claim that the products cure anything and everything from joint pain, to autism, to diabetes, and more.
- Xyngular (and Herbalife, Medifast, Take Shape For Life, Visalus, Isagenix, and the rest of them) have poor long-term results because they are fad diets that rely on starvation and potentially unsafe substances. The vast majority who lose weight with these programs gain it all back.
Why might an accountant providing traditional tax or auditing services want to branch out into litigation work? There are lots of opportunities for expert witnesses, and the work is interesting. Watch the video below for Tracy Coenen’s commentary on this topic.
Allegations of cheating in China are nothing new for Usana Health Sciences (NYSE: USNA). In 2007, the Fraud Discovery Institute accused Usana of doing business illegally in China. The country has very strict laws against multi-level marketing (MLM). It is strictly forbidden. Yet for years Usana has been getting around this rule by having distributors from mainland China do business through Hong Kong, where MLM is legal. When asked about the activity in Hong Kong versus China, the company has been deliberately vague.
In November 2012, Citron Research published a report on Usana’s activities in China. The report discussed law enforcement activity related to illegal MLM operations. Usana was criticized for not disclosing these material events (arrests and fines for distributors) in its SEC filings.
Earlier this year I wrote about being a part of the Timothy Sykes Millionaire Trading Challenge. I signed up in March, and have been learning Tim’s core strategy (shorting penny stock pump and dumps) as well as other strategies (he and his instructors also teach other ways to trade, so students don’t have to rely solely on trading penny stocks).
There is a lot of material to get through, and it can be overwhelming at first. Where do students start? Here are my recommendations:
When a spouse knows that divorce is in his or her future, there are obvious steps to be taken. Securing a competent divorce attorney is one, and thinking about the division of assets and income is another. Yet when it comes to the financial details, clients often do not know what to do.
An uncertain financial future may scare the client, but the fear of the unknown makes it more important than ever to focus on protecting the client’s financial interests. The divorce attorney can provide this list of simple (but sometimes overlooked) tips to the client to help aggressively fight the financial case in divorce court:
Yesterday, Barry Ritholtz posted an amazing and eye-opening piece on just how much the United States government is spying on Americans. It is shocking, and demonstrates that almost nothing we do is private anymore.
Here it is in a nutshell:
The American government is in fact collecting and storing virtually every phone call, purchases, email, text message, internet searches, social media communications, health information, employment history, travel and student records, and virtually all other information of every American.
Many Americans wrongly believe that the government is only spying on the “bad guys.” Nothing could be further from the truth. The government is collecting loads of data on all of us, regardless of whether we are suspected of crimes or not. (And of course, the data is all collected in violation of the laws that are supposed to protect us from unreasonable search and seizure and other such acts by the government.) This data is not just collected, it is retained (for all eternity, I’m afraid), and who knows when and how it could be used against any of us.
Today I’m appearing on Blog Talk Radio with Steve Peskind of Peskind Family Law. We are talking about what happens when money goes missing in a divorce. I will be telling listeners about the value of a fraud examiner in a divorce case, some techniques I use to track down money that has been hidden, red flags of hidden income or assets, and a few of the more interesting divorce cases I have worked on. We will wrap up the show with a discussion of what a Lifestyle Analysis is, and how it can be used in a divorce to bring clarity to some of the financial issues.
The show will go live at 4:00pm central today, July 11, 2013, and then will be available later for those who weren’t able to listen live. If you are listening live, you will be able to call in and ask questions!
What documents must be obtained in a divorce proceeding when your forensic accountant needs to evaluate and investigate the income of the parties? In the below video, Tracy Coenen lists some of the basic documents that are needed to analyze wages, self-employment income, and investment income.