According to the Internal Revenue Service's Criminal Investigation Division, bank accounts may have aided and abetted govt fraud and other criminal enterprises.
The "Bank Secrecy Act" was passed to protect the public from harm by identifying and detecting criminal enterprises, money laundering, tax evasion or other unlawful activities.
Under the Bank Secrecy Act, banks are required to establish, implement and maintain programs designed to detect and report suspicious activity that might be indicative of fraud, money laundering, embezzlement, and other financial crimes.
MODUS OPERANDI Joint bank accounts might be used to facilitate the transfer funds....may pay for personal and private expenses, credit cards, real estate sunsidies and vehicle purchases.
To cover their tracks, fake invoices might be created to show that money deposited into accounts was being used for legitimate govt purposes. The scheme might be advanced by issuing statements of payments from other sources that actually covered the transfer of funds for their own use.
L/E is directed to get ahold of: (1) copies of checks, (2) wire transfers, (3) account statements, (4) invoices, (5) bills, (6) delivery tickets, (7) correspondence including e-mail, contracts, loan agreements, and, (8) any other books or records.
L/E should also explore (a) monies paid to brokers, sub-brokers, (b) family members, (c) mortgage brokers, (d) financial managers, and, (e) real estate agents, brokers, and developers.
L/E should scrutinize bank accounts for suspicious activites: (A) large deposits, (B) funds transferred from one account into another, (C) request for withdrawals.
Bank records might also show diversions to secret LLC other accounts, to operate personal businesses. Fraud can also be facilitated by withdrawals, gift cards purchases, credit card purchases and intrabank transfers from business accounts into personal accounts.
A huge tipoff is whether bank withdrawals support luxurious lifestyle including payments for real estate, investment and stock holdings, jewelry, luxury vehicles, resort travel and gifts from luxury outlets for wives and mistresses.
“THANKS FOR THE HEADSUP. As the CIA says-—the crooks always leave a paper trail. When they steal they have to stash the money somewhere.”
Sometimes, they spend the money faster than they can schill current and new clients/idiots/. There is often no money to stash or hide, as it was spent faster than it came in.
Recently, we had one of these schillers running a ponzi game in this area and in certain parts of the Midwest.
4 plus years later, various state, federal, private investigators, and current LEOs with conned relatives have not been unable to find any of the millions stashed away.
His formerly multi million $ estate in an exclusive locked gate community, large scale and expensive galas for family members, cruise and elaborate vacations with no expenses, luxury cars, trips to London, Monte Carlo and other expensive places apparently ate up the money minus the few so called dividends given to some clients to keep them quiet and happy.
The only paper trail, this high class crook left were his massive unpaid credit card debts, seconds/thirds and lines of credit on his former multi million dollar estate in a locked community. That paper trail amounted to over 500K.
"It is believed that based on current cost cuts and projections for increases in income in particular from international business ... that PFGBEST will be able to run at break even," wrote President and Chief Operating Officer Russell Wasendorf, Jr., in the July 6 email obtained by CNBC and verified by multiple PFG employees. ..... < snip >
..... PFG filed for bankruptcy on Tuesday, and regulators say some $200 million in customer funds are unaccounted for.
One day earlier, Wasendorf's father, PFG founder and CEO Russell Wasendorf, Sr. - a 40-year futures industry veteran - attempted suicide in his car outside PFG's Cedar Falls, Iowa headquarters.
An apparent suicide note found in the vehicle indicated possible accounting discrepancies at the firm, according to a police report. ..... < snip >
..... On June 5, employees received an invitation to Wasendorf's wedding to his fiancee Nancy Palladino, planned for Aug. 4, according to another email obtained by CNBC.
But public records in Clark County, Nevada show Wasendorf and Palladino were married in Las Vegas three weeks later, on June 30. Three days after the wedding, Wasendorf signed over power-of-attorney to his son, Russell Wasendorf, Jr.
Three days later, on July 6, the younger Wasendorf sent the email to employees saying the firm was now poised to break even. ..... < snip>
To call it "bizarre" sounds appropriate, if not an understatement. Wonder how much more is in those emails.
Apparently, the NFA filed a civil complaint against Peregrine Financial Group in February 2012, specifically for alleged misappropriation of funds from the segregated customers' accounts... so this wasn't really unexpected news.
” A huge tipoff is whether bank withdrawals support luxurious lifestyle including payments for real estate, investment and stock holdings, jewelry, luxury vehicles, resort travel and gifts from luxury outlets for wives and mistresses. “
It’s there somewhere............it always is. Takes a modicum of effort though.