_________::::___#449 - July 23, 2007________________
FRAUDBARON.com
The Anti-Fraud Professionals'
Source for Fraud News
#449 Updated: 7/23/07 2:44 p.m.

A Lexicon of Accounting Misdeeds
Among the SEC's allegations in a settled complaint against three former finance
executives of OM Group: overcapitalizing overhead costs and inflating
inventory-recovery yields.   Full article, CFO.com

FBI wary of new mortgage scams
Federal investigators are probing a renewed rash of potential mortgage fraud in
the Twin Cities area in response to reports of a large number of unusual real
estate transactions in north Minneapolis and elsewhere.  Full article,
startribune.com

SEC lawsuit may not reach courtroom until 2009
The various parties to the case have identified 201 witnesses to depose, and that
alone is expected to take until near the end of 2008, court filings suggest.   Full
article, bizjournals.com

Fashion designer draws 17 1/2 years
The rise and fall of former Grosse Pointe fashion designer Ilene Moses ended in a
Detroit courtroom Friday when a federal judge sentenced her to 17 1/2 years in
prison for defrauding two banks of $26 million in an international textile scam.   
Full article, freep.com

Lawmakers ask for money laundering study
The lawmakers asked GAO to study why the number of suspicious activity reports
from banks has spiked in recent years. More than one million such reports were
filed in 2006, the lawmakers said, citing the Treasury's enforcement network.  Full
article, marketwatch.com

Ex-manager pleads no contest in credit union embezzlement
Police say Jason Stewart Dodge embezzled more than $100,000 and tried to
cover the losses with false loans taken out in the names of credit union members.  
Full article, mlive.com

Worker gets 5 years for embezzlement
The 54-year-old West Long Branch woman, convicted in 1995 of embezzling
$400,000 from an Edison employer, must now make $235,903 in restitution to a
second employer, Ritmo Latino, a Tinton Falls-based Hispanic music company that
sells CDs, DVDs and books.  Full article, thnt.com