_________::::___#452 - July 26, 2007________________
FRAUDBARON.com
The Anti-Fraud Professionals'
Source for Fraud News
#452 Updated: 7/26/07 9:59 a.m.

Mediobanca Chairman Geronzi Charged in Parmalat Case
Truppa also issued indictments for Parmalat founder Calisto Tanzi and the
company's former chief financial officer, Fausto Tonna, along with more than 60
other former executives and consultants. The judge accepted 16 guilty pleas. The
hearing in Parma involved charges against nearly 90 people.   Full story,
bloomberg.com

Hedge Fund Trader Lenowitz Pleads Guilty in UBS Case
Mark Lenowitz of Norwood, New Jersey, admitted he used inside information
about planned ratings changes when he traded securities at hedge funds Chelsey
Capital and Q Capital Investment Partners LP, both in New York, earning more
than $337,500.  Full story, bloomberg.com

ERC Study Shows Most Employees Give Publicly Traded Companies High Marks
for Ethics
However, the survey found that roughly one in seven give their employers a
below-average grade or failing grade, with the lowest marks most likely at
companies with fewer than 100 employees.   Businesswire.com press release.

Fix or Fraud?
The CFO says he was making a good-faith effort to straighten out a serious ERP
problem. The SEC says he committed financial fraud. And right in the middle of the
whole mess, Sarbanes-Oxley passed.   Full story, CFO.com

GAO Finds Weak Controls on U.S. Financials
The report is nothing new, though. For the past 10 years, the GAO has said that
material weaknesses in internal controls have kept it from expressing an opinion
on the government's consolidated financial statements. The GAO has consistently
reported that the government does not have adequate systems, controls and
procedures in place.    Full story, webcpa.com

PCAOB Proposes New Ethics and Independence Rule
The proposed rule would require a registered public accounting firm to
communicate to an issuer's audit committee about any relationships between the
firm and the issuer that may reasonably be thought to bear on the firm's
independence.   Full story, PCAOB.org.