_________::::___#433 - June 18, 2007________________
FRAUDBARON.com
The Anti-Fraud Professionals'
Source for Fraud News
#433 Updated: 6/18/07 8:24 a.m.

OWNER OF NUMERO UNO MARKETS ARRESTED ON FEDERAL RACKETEERING
INDICTMENT
The indictment alleges that Torres was using his business, Numero Uno Markets,
as a corrupt organization, and that he used the assistance of public officials—
including former Los Angeles Area Planning Commissioner Carmona and current
Los Angeles Convention and Exhibition Center Authority Commissioner Luk - to
obtain valuable licenses and permits for Torres' businesses in return for monetary
kickbacks and lavish gifts. FBI press release.

The Internet Crime Complaint Center Hits 1 Million!
The Internet Crime Complaint Center (IC3) has logged its 1 millionth consumer
complaint about alleged online fraud or cyber crime. The 1 millionth complaint hit
the IC3 system on June 11th, 2007.  Full story, IC3.gov

SoCal lawyer convicted of embezzling from Walt Disney's secretary
A Palos Verdes attorney was convicted of embezzling $150,000 from the trust
fund he set up for an elderly woman who once worked as Walt Disney's secretary.
Full story, SignOnSanDiego.com

Jury: Accounting Firm BDO Seidman LLP Negligent in Fraud Case
Accounting firm BDO Seidman LLP was negligent in failing to uncover fraud that
cost a Portuguese bank $170 million, a jury found. Full story, Smartpros.com

Man Sentenced for Embezzlement from Nestle
One of two Pennsylvania men accused of embezzling $6.4 million from food and
beverage giant Nestle USA was sentenced to 50 months in prison after pleading
guilty to mail fraud and filing a false income tax return. Full story, abclocal.go.com

Ex-Ernst & Young worker admits to tax fraud
Woman admits to being part of a group that submitted fraudulent documents to
IRS to cut wealthy clients' tax bills. Full story, Money.cnn.com

More Indictments in Investment Scandal
The indictment of the head of a money management firm that lost $215 million in
state investment funds brings the total number of people indicted or convicted in
the state investment scandal to 19, and investigators aren't done yet.
Full story, Houston Chronicle.

Fraud draining Valley small businesses
Wind Drift Board HOA President Larry Rice said that he wishes that his community
had learned earlier about the simple controls that might have protected it from
losing at least $200,000 to fraud and theft, allegedly committed by the owner, Tim
Reedy, of their HOA management company Man sentenced in $2M.  Full story,
AZCentral.com

SureWest fraud case
Larry Wells and Henry Kaiser controlled Quivira Ventures, an Sacramento
investment fund that Jeffrey Wells diverted $25 million of SureWest money into in
his role as treasury analyst.   Full story, Bizjournals.com

Former NFL star Sean Jones indicted on fraud charges
Former NFL defensive lineman Sean Jones pleaded not guilty Thursday to bank
fraud charges alleging he and four others ran a scheme to pocket portions of
more than $42 million in mortgage loans.  Full story, Houston Chronicle.