_________::::___#430 - June 12, 2007________________
FRAUDBARON.com
The Anti-Fraud Professionals'
Source for Fraud News
#430 Updated: 6/12/07 6:34 a.m.

Conrad Black Charges Are Contradicted by Disclosures
"I found significant evidence of disclosure that would be inconsistent with fraud,''
Alan V. Funk, a former U.S. Federal Bureau of Investigation special agent and
certified public accountant, told jurors at Black's federal trial in Chicago today.  Full
story, Bloomberg.com

Man Charged in $16 Million Real Estate Ponzi Scheme
According to company promotional brochures, investments in Will James Equity
Partners, Inc., started at $25,000 and could be held for “as little as 14 days or as
long as 18 months.” The brochure promised rates of return ranging from 10% to
30%, based on the equity in the property being acquired, a "classic ponzi
scheme". FBI press release.

Creating A Culture Of Values
It has been said that ethics are what guide our actions when no one else is
watching. My hope for business leaders, however, is that we pay particular
attention to how our actions influence the behavior of those who do watch us
closely every day--the people that our organizations have entrusted us to lead.
Full article, Forbes.com

Embezzling cases are on the rise
People in all corporate ranks — even longtime, trusted employees — are now
being charged with embezzlement, police and prosecutors say — after simply
slipping cash from the till or creating an elaborate cover-up that allows them to
steal from their employers for years. Full story, register-herald.com

$5.4 MILLION EMBEZZLEMENT SENDS WOMAN TO PRISON
Carole Griffith admitted she defrauded her employers out of approximately $5.4
million over several years by fraudulently using her employers checks. She
obtained her employers signatures on checks made payable to entities with which
her employers did business and changed the payee on these checks. She also
filled in blank checks that had been pre-signed by her employers and used checks
on which she forged her employers signatures. Finally, she admitted she also
fraudulently issued extra payroll checks to herself. Media-Newswire press release.

Ex-cafe chain secretary given six months for embezzlement
Prosecutors said she actually stole close to $600,000 over 10 years from Stars
Restaurants and founder Jim L. Barrett to pay for an extravagant lifestyle.   Full
story, CushingDaily.com

Fraud Examiners Report More Corporate Deception
Despite the Sarbanes-Oxley Act and a heightened push for institutional integrity
and fraud prevention, 76 percent of certified fraud examiners feel corporate
deception has increased since 2002, and 56 percent of respondents said they
have personally observed financial misconduct in the past year. Full story,
Smartpros.com

U.N. official seeks purchasing overhaul
The head of the U.N.'s internal watchdog called for a major overhaul of U.N.
purchasing operations, shortly after a former U.N. official was convicted on bribery
and fraud charges for helping a friend obtain $100 million in U.N. contracts.  Full
story, KanasCity.com