_________::::___#403 - April 26, 2007________________
FRAUDBARON.com
The Anti-Fraud Professionals'
Source for Fraud News
#403 Updated: 4/26/07 7:20 a.m.

State's case against Pearlman shrinks
The state's case against Trans Continental Airlines and its alleged $317-million
Ponzi scheme just got a little smaller and eventually could be dropped now that
federal authorities are leading the investigation.

MAN ARRESTED FOR FRAUDULENT SALE OF GUCCI STOCK OPTIONS
MICHAEL J. GARCIA, the United States Attorney for the Southern District of New
York, announced the arrest of TIMOTHY KHAN on charges involving the fraudulent
sale of $7 million in options on the stock of designer retailer Gucci Group NV.

EMPLOYEE ARRESTED FOR MISAPPROPRIATING HUNDREDS OF THOUSANDS OF
DOLLARS OF CLIENT DIVIDEND PAYMENTS
BERNARD SANTOS was arrested yesterday on charges that he embezzled more
than $500,000 in client dividends while employed at ING Financial Services LLC.

Waiters Arrested In $3M Credit Card Fraud
Workers In 40 Restaurants In Five States Engaged In Identity Theft Of Diners

Subprime `Liar Loans' Fuel Bust With $1 Billion Fraud
Cheating on mortgage applications is so widespread and so seldom punished that
it's fueling an increase in foreclosures that will prolong the housing slump, said
Robert W. Russell, counsel to the director of the Office of Thrift Supervision, which
oversees savings and loans.