A $450 million Department of Justice lawsuit against the Academy of Art University alleges the University defrauded the government out of millions in student loans and grants through an illegal recruitment incentives scheme is heading for trial after the U.S. Supreme Court denied an appeal by the school. The Federal Prosecutors say...
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Category: Fraud
Commodities trading companies Blackbox Pulse and White Cloud Mountain to pay $2.7 Million to U.S. to settle commodity pool fraud scheme
Thomas Lanzana (dba Unique Forex), and his company Blackbox Pulse, LLC of New Jersey, along with Nikolay Masanko and his company, White Cloud Mountain, LLC of Florida, have been permanently enjoined from engaging in conduct that violates the Commodity Exchange Act (CEA)and they have been ordered to pay $762,807.24 in restitution, as well as a...
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Goldman Sachs and Credit Suisse raises in Samsung Biologics Co. uplisting investigation in Seoul
In an effort to gain information regarding a scheme to uplist a Samsung BioLogics Co. subsidiary on the NASDAQ in 2015, prosecutors raided the Seoul offices of Goldman Sachs and Credit Suisse earlier this month. Samsung BioLogics Co. is Korea-based company that specializes in the development and manufacturing of biological products. Samsung Bioepis Co....
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General Electric pays $1.5 Billion for misrepresentations on subprime loans including residential mortgage backed securities
General Electric (GE) will pay a civil penalty of $1.5 billion under the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) settling claims involving subprime residential mortgage loans originated by WMC Mortgage (WMC), a GE subsidiary. The government said that WMC, GE, and their affiliates misrepresented the quality of WMC's...
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FISH FRAUD: Study Finds 21% of Hundreds of Fish Samples are Mislabeled in The United States and Most were Cheaper kinds of Fish
According to a new study by Oceana, a large portion of the fish consumers purchase are mislabeled. In fact, during their study, Ocean found that 21% of the species they tested were mislabeled, and were often substituted by a cheaper or endangered species to the desired fish. Surprisingly, large grocery store chains...
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Amazon Sues Four Website Review Companies to Crack Down on Phony Reviews of Amazon Products
Amazon, the globally renowned e-commerce company with a net worth that reaches into a trillion, has decided to file a lawsuit against four websites that are accused of publishing fabricated and fraudulent reviews on Amazon products. These reviews would end up misleading buyers, and in turn, harm the strong representation of quality...
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Boston Restaurant Owner Accused of Insider Trading of Vistaprint Stock Resulting in Profits of Over $850,000
Charlie Jinan Chen, a Boston restaurant owner, is accused of insider trading of Vistaprint stock after illegally receiving confidential information from a former Vistaprint employee. His wife, Shui Foon Mak, is also being charged for her part in reaping the illegal profits, which are believed to be in excess of $850,000. But,...
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European Union’s $1.7 Billion Fine of Google, an Antitrust Penalty for Over-controlling the Ads Market, Will Not Reduce Google’s Dominance at all
In its third largest European Union antitrust penalty in the last two years, Google was fined 1.49 billion euros or $1.7 billion USD. This penalty, in particular, involves Google using its power to control the flow and pricing of search adverts from 2006 to 2016. This also marks 10 years of regulatory...
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Task Force Report Concludes Cayman Islands Unable to Spot Money Laundering and Terrorism Financing
The Cayman Islands, three islands located in the western Caribbean, lack the capacity to spot money laundering and terrorism financing. This is a major fault considering the Cayman’s role as an international financial center.
The Caribbean Financial Action Task Force (CFATF) took control over the evaluation of this region...
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Corporate Whistleblower filed documented SEC claim against Domino’s Pizza Involving alleged Fraudulent Marketing Investment Scheme to Pay for $1.85 Billion Securitization
While everyone enjoys a nice slice of the pie, Domino’s Pizza has had a corporate insider file a detailed whistleblower report with the SEC against top-level officers and various staff members. This case involves general misconduct and an alleged scheme involving misleading franchisors and fraudulent investments.
On February 19,...
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