DOJ Lowers The Boom On COVID-19 Healthcare Scams, Again
Hey, fraudsters, did you hear? There was a global pandemic, so the government pumped trillions of dollars into the economy. Probably a good time to get a piece of the cut, you ask? They’ll never find out, right? So many ways to grift!
Well, not so much. From the start, the cops on the beat, led by the United States Department of Justice, have screamed from the rooftops: “Don’t do it. We WILL...
COVID Fraud a Year on from the Onset of the Pandemic
The COVID-19 pandemic has raged across the world over the last year, causing widespread harm both to humanity and the economy. Even in these trying times, fraudsters have not let up and have found ways to exploit the pandemic for personal gain. As we move into the one-year anniversary of the pandemic starting with the United States we look back on the ways programs intended for relief have been exploited, and a few of...
COVID Frauds of the Week: PPP, Puppies, and Securities Fraud
As COVID-19 cases continue to rise across the country, the government has remained vigilant in rooting out fraudsters who seek to capitalize on the crisis to line their own pockets. Over the past week, federal prosecutors have advanced cases against multiple individuals who fraudulently obtained government funds that were supposed to help struggling small businesses. And in another colorful case, DOJ busted a...
Catch of the Week: SCANA to pay $137.5 Million in Fines & Disgorgement Following Failure of Nuclear Plant Construction; Executives Face Jail Time
In 2017, the publicly-traded company SCANA Corp. (now Dominion Energy) announced that it was abandoning its plans to expand South Carolina’s Virgil C. Summer Nuclear Station. A settlement reached this week resolves claims of fraud by SCANA in the project. For years, SCANA had publicly claimed it was making progress on the construction and would complete it in time to qualify for $1.4 billion in federal...
COVID Frauds of the Week: Fraudulently Claiming PPP Loans
This week, DOJ took action against two large alleged frauds on the Paycheck Protection Program. In Hawaii and North Carolina, individuals were charged with fraudulently claiming loans from the critical relief program.
In North Carolina, Tristan Pan found himself charged with wire and bank fraud, plus unlawful monetary transactions, for an alleged scheme to get bogus PPP loans. He allegedly cooked up a series of...
COVID-19 Frauds of the Week: Fake Employees and Fake Treatments
Taxpayers, rightfully upset about large companies such as Shake Shack and Ruth’s Chris Steakhouse claiming large sums of Paycheck Protection Program money from the Small Business Administration, should consider shifting some of their ire to applicants posing as the original intended recipients—small businesses—who are getting in on the grift. And for fraudsters who prefer to market unproven products rather than...
DOJ Charges Healthcare CEO with Criminal Securities and Healthcare Fraud
In 2008, Rahm Emanuel, then-President Obama’s chief of staff, famously said, “You never want a serious crisis to go to waste. I mean, it’s an opportunity to do things that you think you could not do before.” However poorly phrased, generations of political and business leaders have understood the kernel of truth in his admonition.
So have scammers and rip-off artists.
We have been following the...
Catch of the Week — Yukom Communications and Others Face CFTC Claims of Binary Options Fraud
The Commodity Futures Trading Commissionfiled suit against five entities and four individuals on August 12, 2019, in the Northern District of Illinois for running a $103 million fraudulent binary options scheme. The defendants, led by Israeli company Yukom Communications Ltd.,which marketed binary options using two websites known as BinaryBook and BigOption.
In recent years, the CFTC has targeted fraudulent binary...
Top Ten Federal Financial Fraud Recoveries of 2018
While 2018 has been a banner year for FCPA, Tax, and SEC & CFTC recoveries, in the bottomless pit of financial frauds that hurt taxpayers, the government, consumers, investors, and the American economy, 2018 brought us additional stunning recoveries for violations related to residential-mortgage backed securities, international economic sanctions, consumer protection, anti-money-laundering, EB-5 investment fraud, and...