The Misfortune of 'Government Shutdown' Once Again Looms in Washington DC. Detroit Financial Fraud Inundates Local Headlines.
Posted by HCN on Wednesday, September 18, 2013
The words 'government shutdown' is ominous and taboo. Albeit, the threat of this term becoming what will be set in if a solution is not found soon, has started to revive itself, in Washington DC.
{picture courtesy http://a2.img.talkingpointsmemo.com/image/upload/c_fill,fl_keep_iptc,g_faces,h_365,w_652/health-care-politics.jpg an AP Photo}
Meanwhile, in Detroit, more than a few crimes involving finance, have taken their toll, a drain on the city, and beyond, extending to what is connected to it.
Here are financial crime and fraud news stories coming out of Detroit recently:
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Conferences:
{picture courtesy http://a2.img.talkingpointsmemo.com/image/upload/c_fill,fl_keep_iptc,g_faces,h_365,w_652/health-care-politics.jpg an AP Photo}Meanwhile, in Detroit, more than a few crimes involving finance, have taken their toll, a drain on the city, and beyond, extending to what is connected to it.
Here are financial crime and fraud news stories coming out of Detroit recently:
Law enforcers raid nearly 17 Detroit businesses related to food stamp fraud investigation, state police say
Gratiot Central Market Bust.JPG
A USDA-led raid of nearly 17 businesses related to a food stamp fraud investigation included the closure of Gratiot Central Market at 1429 Gratiot on the south end of Eastern Market in Detroit. (Gus Burns | Mlive Detroit)
Gus Burns | fburns@mlive.com By Gus Burns | fburns@mlive.com
Follow on Twitter
on September 17, 2013 at 2:16 PM, updated September 17, 2013 at 2:49 PM
DETROIT, MI — State police Lt. Michael Shaw confirmed that the U.S. Department of Agriculture performed raids of nearly 17 Detroit-area businesses Tuesday related to a federal food stamp fraud investigation.
Shaw said his agency provided "uniformed services" during the raids that included the temporary closure of Gratiot Central Market at the south end of Detroit's Eastern Market.
Shaw said USDA officials are expected to issue a statement containing further details later Tuesday.
As of about noon, dozens of employees and customers waited outside of Gratiot Central Market entrance along the Interstate 375 service drive.
Inside the glass doors, thick cuts of red meat were visible in coolers as a state police trooper watched guard at the door.
On the west side of the building, nearly a dozen butchers waited for an OK to reenter the building and return to work.
Two uniformed troopers also guarded the south entrance, telling passing inquiring customers they could not say why the business was closed but that it was expected to reopen Tuesday afternoon.
Randy Bell, owner of Randy's Sausage and Detroit Cheese, a tenant of the market for nearly 40 years, said police asked him to leave about 7:30 a.m. Tuesday.
"We're hoping we get back in," he said nearly five hours later. "We're lost a day today."
La’Leatha Spillers. the director of marketing and communications for Eastern Market Corporation issued a statement ensuring potential customers that the public market remains open as usual from 9 a.m. to 3 p.m.
"A multi-unit law enforcement taskforce is currently conducting an operation in the Eastern Market District," the statement said. "Law enforcement officials are serving warrants and investigating EBT (food stamp) fraud at individual businesses in the district.
"The investigation does not involve the Eastern Market public market. The public is encouraged to contact district businesses individually to determine if they are open today."
MLive Detroit couldn't reach a representative from the USDA for comment as of 2 p.m. Tuesday.
IRS special agent Cindy Burnett, whom the Detroit News reached for comment, said only that agents were at the scene on "official business."
Source and full article: http://www.mlive.com/news/detroit/index.ssf/2013/09/law_enforcers_raid_nearly_17_d.html
http://www.mlive.com/news/detroit/index.ssf/2013/09/law_enforcers_raid_nearly_17_d.html
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http://www.mlive.com/news/detroit/index.ssf/2013/09/law_enforcers_raid_nearly_17_d.html
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Feds raid Detroit businesses in food stamp fraud investigation
September 17, 2013
At shortly after 7:00 a.m. Tuesday morning, the USDA and supporting uniformed agencies raided several businesses operating near the Eastern Market in Detroit. The incursions were part of an investigation into E.B.T., or food stamp, fraud.
USDA agents had the company of the IRS, Homeland Security, the Michigan State Police and the DPD in raiding approximately 17 businesses. Most of these were located in the Gratiot Central Market, at the southern edge of the Eastern Market. It is accessible from the I-375 service drive.
The Gratiot Central Market was temporarily closed. MLive reported that as of noon Tuesday, employees and customers were awaiting permission from authorities to go about their business.
According to WXYZ-7, Detroit Wholesale Produce and Ftoni Meat were two of the operations affected. Authorities also raided a home on Silent Woods Drive in Shelby Township, in connection with the investigation.
There are about 250 independent vendors in the Eastern Market area. No agency has yet commented on the effectiveness of the raids.
Source and full article: http://www.examiner.com/article/feds-raid-detroit-businesses-food-stamp-fraud-investigation
http://www.examiner.com/article/feds-raid-detroit-businesses-food-stamp-fraud-investigation
http://www.examiner.com/article/feds-raid-detroit-businesses-food-stamp-fraud-investigation
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Police seek public help in locating Pittsfield Township bank robber
September 8, 2013
Pittsfield Township police are hoping a public tip can lead to the identification of a man who held up an area Best Bank outlet Friday morning. The suspect made off with an amount of cash, only to have a dye pack the teller included blow up on him.
The criminal episode occurred at about 10:30 a.m. Friday at a Best Bank located in a Kroger store in the 3200 block of Carpenter Road.
The suspect handed a teller a note demanding cash. The teller turned over an undisclosed sum of money, slipping in the red dye pack.
The suspect fled, getting into an older white car. Then the dye pack exploded, covering the bills, the car’s interior, and the suspect. Police think the suspect’s hands may have been burned. Even so, responding officers could not find the robber.
Police did release a rough description of the suspect. He is black, has a slender build, and is between 5‘4“ and 5‘8“ tall. He was wearing a fake beard as a disguise.
Anyone with information is urged to contact the Pittsfield Township Police at (734) 822-4911, or their tip line, (734) 822-4558.
Source and full article: http://www.examiner.com/article/police-seek-public-help-locating-pittsfield-township-bank-robber
http://www.examiner.com/article/police-seek-public-help-locating-pittsfield-township-bank-robber
http://www.examiner.com/article/police-seek-public-help-locating-pittsfield-township-bank-robber
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Conferences:
The 8th International Conference «Bank Cards and Payment Technologies 2013»
С 26 сентября по 27 сентября
September 26-27,2013
Marriott Grand Hotel, Moscow, Russia
Rus
During the seven years of its existing the Сonference "Bank Cards and Payment Technologies 2013” has been approving itself as a leading event devoted to the problems of the card business and non-cash payments in Russia and CIS; the Conference is always supported by the Central Bank of Russia.
In total, the Conference has been attended by over 3000 bank representatives and payment systems from 23 countries.
The event traditionally raises the most pressing industry's problems of the Russian, CIS and worldwide markets.
The key topics of the Conference are:
• state regulation of card payment systems in Russia and CIS
• traditional and new kinds of card products, their prospects
• card products marketing: synergy of banks and non-financial institutions
• security and fraud fighting in bank cards industry
• card business economics: how to succeed
• synergy of banks and non-financial institutions in the payment market
Free participation for banks!
We are looking forward to welcoming you at the Conference!
http://www.int-bank.ru/calendar/2013/9/574/
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Sibos 2013 Dubai
Sibos 2013 will take place in the Dubai World Trade Centre from 16 to 19 September
http://www.sibos.com/sibos_2013_dubai.page?navtab=tab1
What is Sibos?
Sibos is the world’s premier financial services event
Sibos is an annual conference, exhibition and networking event organised by SWIFT for the financial industry. What started out as SWIFT’s international banking operations seminar, has grown into a premier business forum for the global financial community to debate and collaborate in the areas of payments, securities, cash management and trade.
Why attend?
In just one week, Sibos brings together some 7,000 decision makers and topic experts from financial institutions, market infrastructures, multinational corporations and technology partners. With half a dozen conference tracks, a hundred speakers and as many conference sessions, nearly 200 exhibitors, and plenty of networking events, Sibos is the place to do business and collectively shape the future of the financial industry.
http://www.sibos.com/what_is_sibos.page?navtab=tab1
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Conference title: Cyber Risk & Security for Financial Institutions
date: 17th September 2013
Central London
Taken from the website:
Infoline presents
Cyber Risk & Security
for Financial Institutions
17th September 2013
Central London, Venue TBC
20+ Speakers & Panellists Sharing Business Strategy & Solutions
Matthew Allen, British Bankers' Association
Rhys Bowen, OCSIA, Cabinet Office
Tom Robson, European Cybercrime Centre, Europol
Doug Johnson, American Bankers' Association
...and more...
Comprehensive, Practical and Solution Driven Programme
Attending Cyber Risk & Security for Financial Institutions will enable you to future-proof your systems and ensure that you make the right investments in the fight against cybercrime.
http://www.infoline.org.uk/event/Cyber-Risk-and-Security-for-Financial-Institutions-2013
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Taken from the website:
World e-ID Congress
Identity Services for Government, Mobility & Enterprise
Conference - Sept. 25-27, 2013 & Exhibition - Sept. 24-26, 2013 -- Nice, French Riviera
Since 2004, World e-ID gathers e-ID programs managers, government officials and technology experts to exchange on the most inspiring projects, the latest innovations, the dynamics of e-ID markets and policies. Very successful in 2012 with a +50% increase of attendance, World e-ID Congress 2013 will welcome over 400 delegates from 60 countries at its high level conference.
Its 50-booth exhibition, featuring e-ID solutions market leaders, will provide also knowledge sharing and networking opportunities with the participants of the co-located conferences within World Smart Week.
World e-ID Congress distinctive features include:
• All-in-one event combining high level conference, large exhibition and side events to learn, meet, experience and network on a single platform
• The best of World’s e-ID projects: a large panel from over 20 countries fostering exchanges on approaches, initiatives and results
• Focus on emerging countries: exclusive speakers, sessions and panels thanks to our partnership with the World Bank
• Influential participants: key industry and top-level government representatives join the Congress as speakers as well as delegates
• Key innovation trends: the Congress is at the forefront of next generation e-Gov and mobile/cloud/online services
• Synergies within World Smart Week thanks to 3 other global conferences for contactless, M2M and digital security industries.
• A unique mix of sun, relaxed atmosphere and innovation!
CONFERENCE: High Added-Value Contents
The Congress builds its success on high level contents aimed to guide public and private organizations towards successful, innovative e-ID implementations.
The 2013 edition extends its recipes of success:
– Call for Papers process: the Program Committee carefully selects the presentations bringing really new strategic thinking and operational contents
– 3-day packed agenda with 10+ thematic sessions, 60+ speakers, along 2 parallel tracks, to cover all relevant topics while allowing tailored attendance:
– Visionary keynotes
– Interactive Panels: industry and public key representatives debate with the audience to clarify hottest issues, anticipate emerging trends
More: visit the Conference section
EXHIBITION: a Global Showcase of Innovation
During 2.5 days, on a 1350 sqm central and convivial space, the Congress hosts an international exhibition of e-ID products, solutions and services. Held in common with NFC World Congress, M2M Innovation World Congress and Chip-to-Cloud Security Forum, the exhibition fosters value-added synergies with NFC, M2M and digital security markets:
– 50 booths displaying new products, innovative solutions and expertise
– Over 100 demos scheduled throughout 2.5 days
– Hospitality Suites for face-to-face meetings.
– Networking opportunities reinforced thanks to the multiple coffee-breaks common to all the conferences taken on the exhibition.
The added audiences form an exceptional attendance of 1700 participants coming from the spearhead companies in these complementary markets.
More: visit the Exhibition section
VENUE: Nice, French Riviera
The Congress is held in the heart of downtown Nice, in the Acropolis convention centre. Just 15 minutes from the airport, the Acropolis offers a comfortable and convenient venue.
Pioneer city in e-services, Nice offers a perfect mix of sun, charm and innovation.
More: visit the Travel & Venue section
ABOUT US
World e-ID Congress is a joint venture between Globalsmart advanced technologies media group and Strategies Telecoms & Multimedia, an ICT event organizer and ICT information services provider.
http://www.worlde-idcongress.com/event-info
original conference finding courtesy: http://www.thepaypers.com/events/
http://www.thepaypers.com/events/
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Further reading:
original conference finding courtesy: http://www.thepaypers.com/events/
http://www.thepaypers.com/events/
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Further reading:
Headline Crest News has not claimed any concurrence with the views presented in the article immediately below. The story immediately below is placed in the larger article solely as an information source. Warning: some of the comments in the content of the following article might be uncomfortable.
May 18, 2013 11:00 AM
The Newest Bank Scam That May Get You - And You Won't Know It
By Susie Madrak
...California Attorney General Kamala Harris, who filed suit against JPMorgan Chase last Thursday, says that from January 2008 to April 2011 -- just as people were reeling from the Wall Street-driven financial crisis -- the megabank unleashed over 100,000 lawsuits against consumers over uncollected credit-card debt in the state of California alone. That includes 469 lawsuits in a single day...
Now, it usually takes time and money to pursue lawsuits through the court system. So how in the world did Chase keep up this breakneck pace? The lawsuit claims that the bank took a number of little shortcuts, like robo-signing, in which bank employees produce sworn documents and other legal filings without bothering to check bank records or examine cases for accuracy.
Another nasty trick Chase is accused of deploying is what’s known, appropriately, as “sewer service.” This means that Chase failed to properly serve notice of debt collection lawsuits against consumers (it dumped the notices “in the sewer”), but then lied and said it did. This means, you, as a consumer, have no idea that a lawsuit has been launched against you.
So here’s what happens: you get a default judgment that automatically favors the debt collector. The credit card company can then garnish your wages or freeze your bank account to get the money it says you owe. And you might not even owe it!...
...Last summer, a civil court judge in Brooklyn who presides over as many as 100 credit card cases a day told the New York Times that a whopping 90 percent of the credit card lawsuits that came across his desk were flawed and could not prove that a person owed the debt. Here’s the kicker: The errors in credit card suits often go undetected because the borrowers usually don’t show up in court to defend themselves (how can they, if they don’t know the suit has been filed?). As a result, an estimated 95 percent of lawsuits result in default judgments in favor of lenders...
Full unabridged story at: http://crooksandliars.com/susie-madrak/newest-bank-scam-may-get-you-and-you-
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Mortgage Fraud Blog
Former Bank Executive Gets 17 Years for Loan and Bank Fraud
Former Bank Executive Gets 17 Years for Loan and Bank Fraud
September 18, 2013
Stephen G. Fields, 49, Chesapeake, Virginia, was sentenced to 17 years in prison, followed by five years of supervised release, for conspiracy to commit bank fraud, false entries in bank records, misapplication of bank funds, and false statement to a financial institution.
...Evidence presented at trial demonstrated that Fields, a former executive vice president and senior commercial loan officer for the former Bank of the Commonwealth, engaged in an illegal reciprocal relationship with certain troubled borrowers to mask the bank’s deteriorating financial condition.
Conspirators Thomas E. Arney, Eric H. Menden, and George P. Hranowskyj all testified at trial that, at the request of Fields, they performed favors such as buying Bank of the Currituck stock, bailing out the bank president’s son on bad investments, and purchasing bank-owned property with fully funded Bank of the Commonwealth loans. In return, Arney, Menden, and Hranowskyj all received preferential treatment such as affording large overdrafts, sometimes for hundreds of thousands of dollars, below-market interest rates, loans to make interest payments on other loans, and easy access to credit. Fields continued to lend millions of dollars to Arney, Menden, and Hranowskyj despite knowledge of their serious financial problems and even after Hranowskyj had accused Menden of embezzling money from one of the Bank’s largest construction loans.
As a further part of the scheme, Fields assisted in the removal of hundreds of past-due loans from past due loan reports prepared for the bank’s Board of Directors...
...Finally, Fields also facilitated self-dealing and preferential treatment at the bank’s expense for co-defendants Edward Woodard, Troy Brandon Woodard, and his own loan assistant...
In addition to having a substantial impact on property values in the Hampton Roads area, Fields’ crimes were a significant factor in the failure of the Bank of the Commonwealth on September 23, 2011. As a result of this failure, the Federal Deposit Insurance Corporation has sustained at least $333 million in losses.
The Investigation was conducted by the FBI’s Norfolk Field Office, IRS-CI, SIGTARP, FDIC-OIG, and FRB-CFPB OIG. Assistant United States Attorneys Katherine Lee Martin, Uzo Asonye, and Melissa E. O’Boyle prosecuted the case on behalf of the United States.
Kathleen M. Kahoe, Acting United States Attorney for the Eastern District of Virginia; Royce E. Curtin, Special Agent in Charge of the FBI’s Norfolk Field Office; Thomas J. Kelly, Special Agent in Charge of the Internal Revenue Service Criminal Investigation’s Washington, D.C., Field Office (IRS-CI); Christy L. Romero, Special Inspector General for the Troubled Asset Relief Program (SIGTARP); Jon T. Rymer, Inspector General of the Federal Deposit Insurance Corporation (FDIC-OIG); and Mark Bialek, Inspector General of the Board of Governors of the Federal Reserve System and Consumer Financial Protection Bureau (FRB-CFPB OIG), made the announcement after sentencing by United States District Judge Raymond A. Jackson.
© 2013 Mortgage Fraud Blog — Standard by 8BIT
http://mortgagefraudblog.com/former-bank-executive-gets-17-years-for-bank-fraud/#more-18179
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Man to Serve 10 Years in Prison for Making Material Misrepresentations to Lenders
September 17, 2013
Eric Ray Hernandez, 37, Bakersfield, California, was sentenced by Senior United States District Judge Anthony W. Ishii to 10 years and 10 months in prison for conspiracy to commit mail fraud, wire fraud, and bank fraud in connection with a mortgage fraud scheme.
According to court documents, between October 2005 and May 2007, Hernandez conspired with others to defraud mortgage lenders...
© 2013 Mortgage Fraud Blog — Standard by 8BIT
http://mortgagefraudblog.com/man-to-serve-10-years-in-prison-for-making-material-misrepresentations-to-lenders/#more-18173
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Nationwide Foreclosure Scam Lands 2 in Prison
September 16, 2013
Mark S. Farhood, 49, formerly of San Diego, California, and Jason S. Sant, 38, Lecanto, Florida, were sentenced for their roles in operating a nationwide online foreclosure rescue scam that went by various names, including Home Advocate Trustees and Walk Away Today, and used various websites, including walkawaytoday.org and sellfastusa.com, to deceive hundreds of vulnerable, distressed homeowners into surrendering their properties to the company...
...Each was also ordered to forfeit approximately $2.0 million in fraud proceeds to the government, along with various bank accounts and other assets...
...This case was investigated by SIGTARP and the FBI’s Washington Field Office. Assistant United States Attorney Paul J. Nathanson prosecuted the case on behalf of the United States...
© 2013 Mortgage Fraud Blog — Standard by 8BIT
http://mortgagefraudblog.com/nationwide-foreclosure-scam-lands-2-in-prison/#more-18162
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Comment: $333 million in losses, $333 million going toward bridging the gap insofar potential appropriation lapses instead
reference 'Former Bank Executive Gets 17 Years for Loan and Bank Fraud'
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Comment: $333 million in losses, $333 million going toward bridging the gap insofar potential appropriation lapses instead
reference 'Former Bank Executive Gets 17 Years for Loan and Bank Fraud'
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8 Defendants pleaded guilty in a bust that included 70 persons charged, in Los Angeles, California, regarding the Armenian Power Gang case.
The charges plead guilty to included:
- bank fraud
- aggravated identity theft
Overview of the case was released September 11, 2013, by the Department of Justice.
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No Endgame In Sight To Avert A...
http://talkingpointsmemo.com/dc/no-endgame-in-sight-to-avert-a-government-shutdown
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Comment: There is always a viable solution, it is just a matter of finding it, and getting it accomplished
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No Endgame In Sight To Avert A...
http://talkingpointsmemo.com/dc/no-endgame-in-sight-to-avert-a-government-shutdown
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Comment: There is always a viable solution, it is just a matter of finding it, and getting it accomplished
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OMB to agencies: Start making shutdown plans
By Eric Yoder, Published: September 18 at 10:03 amE-mail the writer
Federal agencies have been told to begin planning for a partial government shutdown starting Oct. 1, including taking a fresh look at which employees would stay on the job and which would be sent home, if a funding agreement isn’t reached by then.
Office of Management and Budget Director Sylvia M. Burwell on Tuesday issued a memo ordering agencies to update plans they had made in similar past situations of budgetary gridlock.
Full article and source: http://www.washingtonpost.com/blogs/federal-eye/wp/2013/09/18/omb-to-agencies-start-making-shutdown-plans/?Post+generic=%3Ftid%3Dsm_twitter_washingtonpost
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OMB issues shutdown guidance to agencies
The Office of Management and Budget issued a memo Wednesday providing guidance to prepare federal agencies for the possibility of a government shutdown.
Full article and source: http://www.federalnewsradio.com/153/3456138/OMB-issues-shutdown-guidance-to-agencies
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Editorial
The Money Behind the Shutdown Crisis
By THE EDITORIAL BOARD
Published: September 17, 2013
Representative Aaron Schock is a conservative Republican from Illinois, but not conservative enough for the hard-right activist group Club for Growth, which is seeking someone to run against him in next year’s primary.
His crime? In 2011, he voted to increase the debt ceiling, and, in 2012, he voted for a stopgap spending bill that prevented a government shutdown. In neither case did he demand the defunding of health care reform.
Club for Growth and other extremist groups consider a record like his an unforgivable failure, and they are raising and spending millions to make sure that no Republicans will take similar positions in the next few weeks when the fiscal year ends and the debt limit expires.
If you’re wondering why so many House Republicans seem to believe they can force President Obama to accept a “defunding” of the health care reform law by threatening a government shutdown or a default, it’s because these groups have promised to inflict political pain on any Republican official who doesn’t go along...
Full article and source: http://www.nytimes.com/2013/09/18/opinion/the-money-behind-the-shutdown-crisis.html?ref=congress&_r=0
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What is really going on, concerning 'government shutdown', verbatim from Washington DC, has to do with a lapse in appropriations. Essentially, as of today, in the steps of taking careful measures, just in case of the small possibility that there is a lapse appropriations, the White House wants everyone applicable to be ready; while, they work with Congress so that the referent lapse will not occur.
Tags: pittsfield detroit washington dc government robo-signing best bank fraud gratiot dhs market upcoming finance and banking security conferences california just in case of lapse
