_________::::___#415 - May 15, 2007________________
FRAUDBARON.com
The Anti-Fraud Professionals'
Source for Fraud News
#415 Updated: 5/15/07 9:15 a.m.

Ex-Hollinger Exec Takes Witness Stand
Media mogul Conrad Black's defense attorney accused the government's star
witness Monday of deceiving Black by hiding shares in a newspaper holding
company that they jointly owned.  Full story, Houston Chronicle.

Tyco to Pay $2.98 Billion to Settle Accounting Suits
As part of today's settlement, shareholders are handing over to Tyco their claims
against Kozlowski and Swartz in exchange for 50 percent of whatever the
company recovers from the former executives.  Full article, Bloomberg.com

MAN POSING AS FORECLOSURE SPECIALIST TAKES ADVANTAGE OF
HOMEOWNERS TO RIP OFF BANK FOR ALMOST $1 MILLION
According to Assistant United States Attorney Anne Pings, who prosecuted the
case, the defendant admitted to a scheme in which he approached homeowners
who were on the verge of having their homes foreclosed on by their mortgage
lenders. CRAIG promised to loan them money. Instead, he created documents
deeding away their residential properties to co-defendants who acted as "straws"
and applied for home equity loans from Washington Mutual Bank claiming falsely
that they were the true owners of the properties and that there were no pending
mortgages on the properties.  Press release, FBI

KC BUSINESSMAN SENTENCED FOR $17.5 MILLION MORTGAGE FRAUD
Victim-investors were told that Sunrise Equities would provide the down payment
and closing costs for the sale, secure renters for the property and manage the
properties for the first year after purchase, including all maintenance costs and
tenant contracts. Victim-investors were also told that Sunrise Equities would
ensure that mortgage payments were paid even if the properties were not
rented, and that a positive cash flow from the properties was guaranteed.  Press
release, FBI

Genesis mistrial declared
A mistrial was declared Monday after only 11 of 12 jurors voted to convict Genesis
CEO Elaine Bernard and Carol Dela Torre, the nonprofit's clinical director of a
16-count felony indictment. To reach a verdict, jurors must vote unanimously.  Full
story, Fresno Bee