http://www.reuters.com/article/2012...ource=dlvr.it&utm_medium=twitter&dlvrit=56943 I suppose if you leave a note saying " I committed fraud", you might get arrested.
Wasendorf says that the fraud goes back 20 years... Pretty much back to the year they started in 1992! Please don't tell me he has been fooling the regulators with a phony PO Box for 20 years. Should be very interesting to hear the new explanation that seems to have befuddled our intrepid regulators for the last two decades. http://www.reuters.com/article/2012/07/13/us-pfgbest-ceo-arrested-idUSBRE86C0YM20120713
NFA's non-executive chairman Chris Hehmeyer's take on the whole PFGBest debacle: "They [NFA auditors] are the ones that uncovered this whole thing," Hehmeyer said, of NFA auditors. "If they hadn't caught him, it could have gotten a lot bigger." There you have it. According to Mr. Hehmeyer, the NFA are the heros in this whole thing, after all it could have gotten a whole lot bigger (I guess 200MM+ fraud over 20 years isn't all that large after all) Hmmm this is "another" way to look at it from Mr. Hehmeyer's perspective I guess. Wow, this is who is protecting our interests, I feel sick. PFGBest regulator: New technology caught $100 mln PFGBest fraud http://www.reuters.com/article/2012/07/13/pfgbest-ceo-regulator-idUSL2E8IDF2T20120713
"Wasendorf said he had sole control over the U.S. Bank accounts and could make counterfeit statements within a few hours using a combination of Photo Shop, Excel, scanner and both laser and ink-jet printers, according to the complaint." man this sounds like ET.
yeah, really it takes someone that "sophisticated" to fool our regulators. Clearly, the regulators had to know they were not getting statements directly from the bank all along and just didn't care I guess. He couldn't have used the same PO Box for 20 years as they had only been in Iowa since 2009 and I'm sure have used different banks over the years also, each with a different address. Are we to believe he was somehow able to set up phony bank addresses all these years for different banks in different cities and did it all by himself? Not likely.
Well, as far as I know, all "law enforcement" and "regulatory enforcement" is considered to work on a "best efforts" basis, i.e. there are no "service level agreements" between the general public and the police or regulators. The cops don't show up at your house before you've been burglarized, for example, although they do publish police reports that, if you look at them, might show a string of burglaries in your neighborhood before you get burglarized. It's up to you to find and use that info, though. As sad as it is to say, your expectations kind of have to align with that legal concept, or you're going to be disappointed. That doesn't eliminate the concept of "negligence", it just means that the fact of a crime occurring isn't in itself evidence of negligence. The CFTC audit after MF Global that concluded there was nothing wrong with any FCMs does sound like negligence, though, and if the CFTC relied on the NFA, they'll probably kick any negligence accusations back over to them.
People are getting mad at the auditors. I agree, but wasn't this caught before PFG actually blew up? With mf Global, Corzine blew up the account and then things fell apart. So how did they catch PFG?
http://www.canadiancattlemen.ca/new...-pfg-founder-admits-20-year-fraud/1001539528/ "...The NFA started a new audit of PFGBest about two weeks ago, demanding for the first time that he allow its auditors an electronic, direct look at his bank accounts..." before that he was forging bank documents, electronic and paper and the regulators had no clue it was him sending all the documents they requested from the banks. on a side note, i am a canadian citizen and was wondering if there were any decent canadian futures brokers out here cause I really want that insurance now with MF Global and PFG
Wasendorf is something else. He's been using his computer to print phoney bank statements for two decades. He went to his local Post Office, told them he was from US Bank and got a POB in US Bank's name. The auditors sent papers to the POB and he sent them forgeries. He didn't allow anybody else access to the bank account. Is that not very complicated or what? Con the local Post Office once and keep making good forgeries.. It's childish almost. Regulators have egg on their face of course. They could have very easily checked that the POB belonged to the bank by talking to the bank. Over a twenty year span it never occurred to them?