Real Housewives Teresa Giudice Fraud Indicment

teresa-giudice-mckmama-indictment

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.

Read moreReal Housewives Teresa Giudice Fraud Indicment

Does Xyngular Work? (Or Isagenix, or Herbalife, or Take Shape For Life, or Visalus, or Any Multi-Level Marketing Company)

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:

Citron Research: Usana Health Sciences Operating Illegally in China

usana-health-sciences-chinaAllegations 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.

Read moreCitron Research: Usana Health Sciences Operating Illegally in China

Getting Started in the Tim Sykes Millionaire Trading Challenge

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:

  1. This “syllabus” outlines what is on each of the DVDs. It is very helpful if you are looking for specific information.
  2. One of Tim’s students put together this checklist, which summarizes Tim’s trading strategy and the most important chart patterns. Keep this handy.

    Read moreGetting Started in the Tim Sykes Millionaire Trading Challenge

Protecting a Spouse’s Financial Interest in Divorce

case-of-moneyThis article was originally printed in the ABA Section of Family Law eNewsletter, June 2013.

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:

Read moreProtecting a Spouse’s Financial Interest in Divorce

Koss Settles Claims Against Former Auditor Grant Thornton

Cary Spivak – Milwaukee Journal Sentinel

Koss Corp. collected $8.5 million from Grant Thornton, the accounting firm that audited Koss’ books during a portion of the time that Sujata “Sue” Sachdeva was stealing millions from the company.

The payment made Wednesday settles a lawsuit filed in Cook County, Ill., in which Koss charged Grant Thornton with negligence for not discovering Sachdeva’s thievery. Sachdeva’s scheme ran for about 12 years and cost Koss, a maker of headphones, about $34 million. Her embezzlement, which financed an extravagant lifestyle that included trips and shopping sprees, intensified in the final years of the scheme.

Sachdeva, who had been the company’s vice president of finance, is serving an 11-year federal prison sentence and is expected to be released in August 2020, according to the Federal Bureau of Prisons.

Read moreKoss Settles Claims Against Former Auditor Grant Thornton

All the Ways the U.S. Government Spies on Americans

us-government-spying-on-americansYesterday, 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.

Read moreAll the Ways the U.S. Government Spies on Americans

Hide and Seek: When Money Goes Missing in a Divorce

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, … Read more Hide and Seek: When Money Goes Missing in a Divorce