New York residents and others may remember that Bernie Madoff was taken into custody in December 2008. He was sentenced to 150 years in prison after being convicted of perjury and other felony charges. Madoff ran a Ponzi Scheme, in which investors put money into a project or some other entity that doesn't exist. The original investors are paid with cash that is collected from those who enter into the deal later on.
Former sports radio co-host Craig Carton was convicted of fraud in a New York court on Nov. 7. Carton told reporters after leaving the Manhattan federal court that while he was disappointed in the verdict, he respected it. Carton's lawyers are planning to appeal the verdict.
New York officials have announced that former TV star Shannade Clermont from the reality show "Bad Girls Club" has pleaded guilty to charges of felony wire fraud. The U.S. Attorney's Office for the Southern District of New York said that Clermont attempted to make over $20,000 in fraudulent charges on a stolen debit card number. After the man who owned the card passed away from an overdose, the former TV star used the card number for several large transactions.
A fraud risk management summit featuring officials from the Federal Bureau of Investigation, the Securities and Exchange Commission and the Department of Justice took place in New York. The event was staged by the Association of Certified Fraud Examiners. According to the chief of the Financial Crimes Section of the FBI, a big priority for his unit is stemming the flow of prescription narcotics and drugs by means of opioid diversion.
A New York man is facing charges that he embezzled $3.5 million from a real estate firm where he was chief financial officer. Allegedly, the theft began in December 2015.
New York football fans may know Mychal Kendricks of the Cleveland Browns for his performance on the field. However, the linebacker may longer play in the NFL as he was charged with insider trading on Aug. 29. Federal prosecutors allege that the football player made almost $1.2 million in profits on four investments in 2012 on the basis of illegal insider information. After the indictment, Kendricks was released by the team, which had signed him to a one-year contract in June.
White collar crime prosecutions are turning toward trade and import issues in New York and across the country. Criminal cases linked to importers have grown by 900 percent over the past 16 years, and researchers say that trade fraud is costing millions of dollars of lost taxes, fees and other revenues. The authors of one study noted that the volume of imports is so massive that it is difficult for customs inspectors to serve as a strong bulwark.
The president and CEO of a credit union in New York has been charged in relation to embezzlement from that company. The embezzling went on from at least 2013 to 2018 and involved millions of dollars.
A former employee of the Centers for Medicare and Medicaid Services is on trial in Manhattan for allegedly engaging in insider trading. After leaving public service, the man subsequently consulted for hedge funds.
On Jan. 12, a 36-year-old man was sentenced to five years in a New York prison for his role in a text message scheme. The scheme worked by signing up customers for paid text messaging services without their knowledge. The charges had included wire fraud, money laundering, conspiracy and identity theft. The defendant was the former senior vice president of Mobile Messenger.