USA v. Phillip Bennett and Robert Trosten: Criminal Indictment
Indictment in USA v. Phillip Bennett and Robert Trosten at the U. S. District Court for the Southern District of New York.
Goldman Sachs says it is ‘blameless’ in Stirling Cooke collapse, describes its governance as ‘textbook’
Despite taking Bermuda-based broker AlphaStar Insurance Group public in a $50 million IPO and being its biggest shareholder during an astonishing crime spree that caused losses estimated at more than $1 billion to the world insurance markets, Goldman Sachs is not accepting any responsibility for what happened.In fact, the actions of its two directors on AlphaStar's board, Reuben Jeffery III and Jean de Pourtales, were “a textbook illustration” of how to govern a company, according to Goldman's motion to dismiss the action on September 15, 2006.
Germany: Josef Muller
Application for the appointment of a Commissioner to collect evidence from Turnberry Bank - pursuant to a request for judicial assistance from Germany - for a criminal investigation into Josef Muller, a.k.a. Leon Deane, for suspected investment fraud.
SEGOES liquidators obtain US$3.9 m judgment against director
The liquidators of offshore stockbroker SEGOES Services Ltd. have obtained a court judgment for US$3.9 million against the firm's principal director, John Kaweske, Jr. “This decision brings the total amount of judgments against Mr. Kaweske and related parties, including his
SFO requests U. S. bank records for Imperial Consolidated prosecution
The Serious Fraud Office in the United Kingdom has asked for records from a United States bank that was allegedly used to launder the proceeds of investment fraud by insiders at a now defunct offshore banking and mutual fund group.
Liongate SPC: Company Announcement
Company Announcement by Liongate SPC regarding a questionable $254 million related-party arrangement and resignation of the Fund's administrator.
United Kingdom: Jared Brook et al
Application for the appointment of a Commissioner to collect evidence for a criminal investigation into Jared Brook, Lincoln Fraser and others for alleged investment fraud involving the Imperial Consolidated Group.
Timothy von Kaay says he is ‘retiring’ from financial services after OffshoreAlert asks him about his criminal record
The head of an offshore financial services group said he is selling his group and “retiring” from the business after being asked about his criminal record by OffshoreAlert.Timothy von Kaay, a 40 year old Canadian national and resident of Ontario,
KPMG (Bermuda) receives $1.7 m settlement from U. S. intelligence firm
A U. S. based intelligence firm agreed to pay $1.7 million in damages to settle an allegation that it corrupted a Bermuda government investigation into a local mutual fund, OffshoreAlert can reveal.Two sources have confirmed the size of the payment
Norway requests information about Arizona and Nevada companies for fraud investigation
Norway has requested information about an Arizona corporation for use in a criminal investigation into alleged fraud and breach of trust. Details are contained in an application for the appointment of a Commisioner to collect evidence - pursuant to a
Pacific World Fund Manager Limited
Revocation of the Securities Investment Business License of Pacific World Fund Manager Limited by the Cayman Islands Monetary Authority.
U. S. Judge incarcerates one ex-offshore banker for contempt, issues arrest warrant for another
A former offshore banker was taken into custody in the United States yesterday and an arrest warrant was issued for his Caribbean based former business partner after they were held in contempt of court. In addition, an order has been
Kevin Hamilton v. KYC News, Inc. et al: Statement of Claim
Libel complaint filed by Kevin Hamilton against KYC News, Inc. and David Marchant at Ontario Superior Court of Justice, Canada.
Offshore bankers told to pay-up or go to prison
Two former offshore bankers have been ordered to appear before a United States federal court in Illinois on August 31, 2006 to explain how they intend to pay a financial penalty of $7.2 million.If David Pollock and Paul Jones fail to show up, warrants for their arrest will be issued for contempt of court, stated U. S. District Judge Ronald A. Guzman in a judgment on August 3. Both are U. S. citizens, with Pollock currently residing in St. Lucia and Jones, a former bank examiner for the state of Ohio, living in Cape Coral, Florida, according to court records.
Cobalt Multifamily Investors I, LLC et al v. Lisa Arden et al: Complaint
Complaint in Cobalt Multifamily Investors I, LLC, Cobalt Multifamily Co. I, LLC, Cobalt Capital Funding, LLC, and Vail Mountain Trust v. Lisa Arden, Jason Block, Ryan Bellina, Wyman Bethea, Jeff Broome, Brandon Cohen, Steven Cohen, Comvest Financial Corp., Brigham Coombs, Susan DeSienna, DTA Holdings Ltd., John Dundon, Thomas Dzwilewski, Michael Eisemann, Equitrade Holdings Inc., David Farhi, Ruben Forte, Terrence Gray, Maureen Heffernan, Kris Howard, John Jefferson, Susan Kagan, Fareah Khan, H. Stephen Kirschner, David Kirschner, Alex Korick, Michael J. Kwon, Arthur Landsman, Jason Miller, Alexander Mitzner, Sam Nakhleh, Ralph Rodriguez, Diane Santulli, Devorah Shalev, Adam J. Stein, Brett Stitsky, Jared Stitsky, Adam Swickle, The Wiser Now Corp., Anthony Torricelli, Greg Weinstein, Jennifer Wilkov, and Nathan Youngs at the U. S. District Court for the Southern District of New York.
Hong Kong: Mike Chiang Kwee Seng
Application for the appointment of a Commissioner to collect evidence for a criminal investigation in Hong Kong into Mike Chiang Kwee Seng and others for alleged fraud regarding 'The Landinvestor Society'.
USA v. Charles Nolon Bush: Criminal Indictment
Criminal Indictment in USA v. Charles Nolon Bush at the U. S. District Court for the Western District of Washington.
Offshore providers hammered by U. S. investigators
An offshore insurer whose directors include former Chairman of the Cayman Islands Monetary Authority Michael Austin may have been used to help an American family worth billions of dollars break U. S. tax, securities and money laundering laws.The allegations were
Class action lawsuit filed against Scottish Re
A class action lawsuit alleging securities violations has been filed in the United States against an offshore reinsurer whose directors include former Chairman of the Cayman Islands Monetary Authority Michael AustinIt was brought at the U. S. District Court for the Southern District of New York on August 2, 2006 - just two days after the share price of Bermuda-based life reinsurer Scottish Re Group Ltd. fell by 75% from $16 to $3.99 on the New York Stock Exchange in one trading day.
RenRe makes $15 m settlement offer to SEC
RenaissanceRe has offered to pay $15 million to settle an investigation by the United States Securities and Exchange Commission into the firm's restatement of its financial results for 2001, 2002 and 2003.“Pursuant to the offer of settlement, which the SEC staff has indicated that it will recommend to the SEC Commissioners, the Company will consent, without admitting or denying any wrongdoing, to entry of a final judgment enjoining future violations of certain provisions of the federal securities laws and ordering the Company to pay disgorgement of $1 and a civil penalty of $15 million,” RenRe announced in a news release on July 31, 2006.
Bahamas attorney plays key role in group accused of securities fraud
Bahamas-based attorney Anthony Thompson has emerged as a key player in another securities scheme by a group whose allegedly fraudulent activities were exposed in the previous edition of OffshoreAlert.
Thompson is the sole officer and director of two offshore companies that beneficially own 43.8% of the common stock of Reliant Home Warranty Corporation, a Florida-registered, Canada-based “mortgage banking” firm whose shares are currently trading for six cents each on the Over-The-Counter Bulletin Board in the United States.
PILL resurfaces in Panama under new name
An offshore financial services group that wound down its Bahamas-based business following legal action by the United States Government has resurfaced in Panama and England under a new name.Prosper International League Limited, widely known as PILL, has dismantled its web-site at www.pill.net and morphed into Alliance Asset Management, which has a site at www.allianceasset.com.
Bank of Bermuda asked ‘few questions’ in dubious offshore scheme, claim US Senate investigators
The Bank of Bermuda was a “key financial institution” in a scheme that allowed the billionaire founders of Bermuda-based life reinsurer Scottish Re Group Ltd. to avoid tens of millions of dollars in taxes and possibly break securities and anti-money laundering laws in the United States, it has been claimed.
Class action lawsuit filed against Scottish Re after share price plummets
A class action lawsuit alleging securities violations has been filed in the United States against Bermuda-based life annuity reinsurer Scottish Re Group Ltd.It was brought at the U. S. District Court for the Southern District of New York on August 2, 2006 - just two days after Scottish Re's share price fell by 75% from $16 to $3.99 on the New York Stock Exchange in one trading day.
IBP, Inc. et al v. Andrew J. Zahn et al: Joint Motion for Stipulated Dismissal
Joint Motion for Stipulated Dismissal in IBP, Inc. and Foodbrands America, Inc. v. Andrew Joseph Zahn and Philip Sexauer at the U. S. District Court for the Northern District of Illinois.
Barclays Bank held liable for Architects of Wine losses
Barclays Bank Plc in the United Kingdom has been held liable for damages suffered by investors in a wine-based, offshore investment scam for which the bank provided services.Summary judgment against the bank and in favor of claimant Cayman Islands-registered Architects of Wine Ltd. (in liquidation) was entered at the U. K. High Court on June 16, 2006.
Skirving and Regale plead guilty to conspiring to launder FIBG fraud proceeds
Two defendants face lengthy prison sentences after admitting their involvement in an investment fraud perpetrated by the First International Bank of Grenada.Robert Skirving and Rita Regale each pleaded guilty to one count of conspiracy to commit money laundering regarding FIBG's fraudulent proceeds at the U. S. District Court for the District of Oregon on July 19, 2006.
Trading Avenue LLC: Warning
Trading Avenue LLC - Warning by Nevis Financial Services
U. S. judge rejects discovery requests by ex-RenRe officers fighting SEC lawsuit
Former officers of Bermuda-based RenaissanceRe recently suffered two discovery setbacks in their defense of a securities fraud lawsuit brought by the United States Securities and Exchange Commission.On June 25, U. S. District Judge Gerard E. Lynch, sitting at the U. S. District Court for the Southern District of New York, denied an application by Bermudian national Michael Cash to delay Cash's deposition until after he has deposed co-defendant and fellow former RenRe officer Martin Merritt and non-party Jonathan Reiss.
Bermuda insurance license reject goes to Barbados, teams up with dubious group
A wannabe Bermuda insurer whose license application was turned down in 2004 has resurfaced in Barbados, where it has teamed up with a group whose principals include a convicted criminal.
The Barbados Supervisor of Insurance issued an insurance license to River Reinsurance Limited on December 16, 2005.
Lancer Offshore Receiver seeks $5.2 m in new lawsuit
The Receiver for the Lancer Offshore group has filed another complaint in the United States in his attempt to recover assets for creditors/investors who are collectively owed more than $400 million.Marty Steinberg, representing the U. S. Securities & Exchange Commission, filed his latest action against Off the Map Productions LLC, a.k.a. OTM Productions, at the U. S. District Court for the Southern District of Florida on June 29, 2006.
Parent of offshore insurer accused of $50 m securities fraud
A publicly-listed company in the United States whose subsidiaries include an offshore insurer is being sued in New York by investors who claim they were victims of a $50 million securities fraud.
Strategy International Insurance Group Inc., whose shares are currently trading on the Over-The-Counter Bulletin Board at just six cents per share, misrepresented its assets and concealed “material negative facts” about some of its “principal executives and directors” in a private placement memorandum, according to the plaintiffs, who include investment funds in the British Virgin Islands and Cayman Islands.
Offshore trust promoter sentenced to seven years in prison
A trust promoter with a history of involvement in fraudulent offshore investment schemes has been sentenced to seven years in prison in the United States.Dennis Poseley, a former resident of Phoenix, Arizona, was also fined $175,000 at his sentencing at the U. S. District Court for the District of Arizona on June 29, 2006.
KPMG drops bribery lawsuit against US PI firm, but Bermuda Fund files similar complaint
A civil lawsuit in the United States that was notable for the unusual level of secrecy afforded to the parties by the judge has been dismissed.Bermuda-based KPMG Financial Advisory Services Limited and its two managing directors, Malcolm Butterfield and Michael Morrison, had been seeking $11 million in compensatory and punitive damages against Diligence LLC, a Washington, D.C.-based private investigative agency/risk management firm whose employees and advisers include former high-ranking officials within the CIA, FBI, US Government, UK Government and UK special forces.
Fraud charges brought against five former Imperial Consolidated Group insiders
Five former insiders in the Imperial Consolidated Group were today each charged with conspiracy to defraud in the United Kingdom.
The defendants are Jared Bentley Brook, 36, of Manchester, England; Lincoln Julian Fraser, 35, of Brookenby, Lincolnshire, England; his brother, Nicholas Grant Fraser, 33, of Kirton Lindsey, Lincolnshire, England; William Godley, 58, of Almancil, Portugal; and Robert Statham Raven, 46, of Usk, Gwent, Wales.
SEC seeks return of ill-gotten gains from Cayman hedge fund
A Cayman Islands hedge fund received some of the proceeds of a securities fraud scheme that brought in $1.3 million, it has been claimed.
Wynnefield Small Cap Value Offshore Fund Ltd., which was incorporated in Cayman in 1997 in the Cayman Islands, is a relief defendant in a complaint that was filed by the SEC at the U. S. District Court for the Southern District of New York on April 25, 2006.
Shady forex dealer behind sham ‘Bermuda’ investment firm
An unlicensed Canada-based forex dealer with a checkered past appears to be behind a purported offshore investment provider that was the target of a warning by the Bermuda Monetary Authority earlier this year, OffshoreAlert can disclose.
Dominic Longpré, of Montreal, Canada, was fined CDN$90,000 at the Court of Quebec, Criminal and Penal Division, on September 7, 2004 after he pleaded guilty to 42 counts of illegal acts, stated a press release issued a day later by the Autorité des marches financiers, which brought the charges.
New York court dismisses $1.4 m action by BVI investment fund
A civil complaint brought by a British Virgin Islands investment fund and an affiliate against a United States-based, Over-the-Counter Bulletin Board-listed real estate and investment company was dismissed on May 25, 2006 “for lack of subject matter jurisdiction”.
Class Action lawsuits filed against PXRE Group
Three shareholder class action lawsuits were filed against PXRE Group Ltd., one former officer, and one current one from May 3-10 at the U. S. District Court for the Southern District of New York.
The plaintiffs have accused PXRE, Jeffrey L. Radke, the firm's President and CEO, and John M. Modin, who was its CFO until he resigned on January 6, 2006, of violating the Securities Exchange Act.
Failed offshore fund manager sues insurer over litigation costs
An offshore hedge fund manager accused of securities fraud in multiple civil and criminal actions in the United States and the British Virgin Islands is suing his insurer for allegedly failing to pay defense costs.Conrad P. Seghers, 38, is seeking $122 million in compensatory damages, and at least $306 million in punitive damages against Executive Risk Indemnity Inc., which is incorporated in Delaware and based in Warren, New Jersey.
Second application for evidence made in Dieter Behring investigation
Articled based on an application to collect evidence for a criminal investigation into alleged investment fraud - pursuant to a request for judicial assistance from Switzerland - that was filed at federal court in the USA on May 16, 2006. Individuals and businesses mentioned in the request for assistance include Dieter Behring, Walter Mader, Arthur Buck, Beat Bangerter, Jean Kampf, Peter Josef Weibel, Willy Wuthrich, Raymond Pousaz, Anita Zweifel-Reidy, Dr. Stefan Suter, Daniel Borter, Markus Raess, Jorg Honegger, Carmen Rosat-Wyss, Dumartheray, Susanne Hasse, Almesa Fund Two Ltd., Almyx Fund, Alpine Fund, Alto Fund, Cedux International, Cedux Fund, Excolatur, HNI Cap Fund,HNI Growth Fund, MC Premier Return Fund, Moore Park Preferred Return Fund, Platinum Capital Invest, Realto Invest Bahamas, RS Fixed Fund, Secu Value Classic Fund, Solo Fund, Moore Park Investments, Moore Park International, Moore Park Asset Management, Moore Park Fund Services, Moore Park Funding, Swisspulse Holding, Swisspulse Real Estate, Redswiss Holding, RICIR AG, Redsafe Immobilien AG, Swisspulse Systems, Redsafe Systems, Rewswiss Systems, Swisspule Marketing, Redsafe Consulting, Swisspulse Corporate Investment, Schonkind Holding, QED Consulting, Redsafe Holding, Schonkind Asset Management, Redsafe Asset Management, Redsafe Investment Services, Hornblower Fischer Zurich, KB&P Consulting, Hansabank, Moore Consulting, Moore Park Companies, Global Forex Trading, JP Morgan Chase, Bank One Corporation, and Cortal Consors SA.
SPhinX Strategy Fund Ltd.: Chapter 15 Petition (Cayman Islands)
Chapter 15 Petition for Recognition of a Foreign Main Proceeding in the Cayman Islands by Geoffrey Varga, as the Foreign Representative of SPhinX Strategy Fund Ltd., at the U. S. Bankruptcy Court for the Southern District of New York.
U.S. Bank NA v. Sendjer Shefket et al: $21M Default Judgment
Default Judgment for $21 million in U.S. Bank N.A. v. Sendjer Shefket and Target International Funds Ltd., both of England, at the U. S. District Court for the Western District of Washington.
Ex-Grenada banker Richard Hinkle admits fraud, faces up to 5 years in prison
The operator of a now defunct offshore bank faces up to five years in prison in the United States and a $250,000 fine after he admitted defrauding investors of up to $7 million in a high yield investment scam.Richard Henry
Switzerland: Dieter Behring et al (May 2006)
Application for the appointment of a Commissioner to collect evidence for a criminal investigation in Switzerland into Dieter Behring, Arthur Buck, Beat Bengerter, Jean Kampf, Peter Josef Weibel, Willy Wuthrich, Raymond Pousaz and Anita Zweifel-Reidy for alleged investment fraud, theft, forgery and money laundering involving Moore Park Funding and related companies.
Switzerland: Francois Davoine
Application for the appointment of a Commissioner to collect evidence for a criminal investigation in Switzerland into Francois Davoine for suspected embezzlement.
Insider Talking: May 5, 2006
A United States court has ordered former insiders of British Virgin Islands incorporated Evergreen Security Ltd. to repay $10.4 million that they received in fraudulent transfers from the unregistered offshore mutual fund before it collapsed in 2001. In a judgment
Dobbins Offshore receiver seeks to recover $7 m in four lawsuits
The Receiver for a British Virgin Islands domiciled firm that operated as an unlicensed hedge fund filed four civil complaint in the United States during March in an attempt to recover nearly $7 million for victims.The complaints were all filed
BVI hedge fund sued for $3.76 m in Minnesota
A British Virgin Islands incorporated company that operates a hedge fund is being sued for $3.76 million in the United States.A complaint was filed against Spurways Ltd., trading as Trinity Multi Manager Currency Hedge Fund, at the U. S. District
Luxembourg fund accuses U. S. publicly-traded firm of fraud
An investment fund organized in Luxembourg claims it has been defrauded by a publicly listed firm in the United States.Verus Global Fund filed a complaint against eXair Communications Corporation at the U. S. District Court for the Southern District of