_________::::___#459 - August 21, 2007________________
FRAUDBARON.com
The Anti-Fraud Professionals'
Source for Fraud News
#459 Updated: 8/21/07 11:27 a.m.

Md. Man Sentenced in Bank Fraud
An Aberdeen man was sentenced to 27 months in prison in a plot that cost the Export-
Import Bank of the United States more than $7 million, the U.S. Attorney's Office
announced.  Full story, chron.com

Ex-Bassett worker pleads guilty to 25 counts of embezzlement
One of the eight former employees of Bassett Furniture Industries Inc. charged in a scheme
to steal more than $2 million in furniture has pleaded guilty.   Full story, journalnow.com

PwC Settles $2.3M Kickback Charge
The Justice Department alleged that PwC and IBM — which has also settled similar charges
for $2.97 million — either solicited or made payments using money or other so-called
"alliance benefits" to a number of companies with which they had relationships.   Full story,
CFO.com

Lenexa man pleads guilty to fraud
James A. Freese, former owner of AFG Capital Management Inc. in Overland Park, pleaded
guilty Wednesday in Johnson County District Court to 10 felonies.   Full story, bizjournals.
com

BDO Ordered to Pay $170M in Fraud Case
BDO Seidman is on the hook for at least $170 million after a jury ruled on Friday that the
accounting firm was negligent in failing to detect a massive fraud that cost a Portuguese
bank $170 million, according to the Associated Press.   Full story, CFO.com

Woman sentenced in embezzlement
"She was given the authority to write all the checks," said Carlos Jimenez, assistant
Middlesex County prosecutor. Burke cut checks to herself totaling $390,052 between April
2005 June 2006, he said.  Full story, thnt.com

Ex-school official charged with fraud
On Thursday, the 59-year-old Oakland County resident was accused by the U.S. Justice
Department of fraud, charged with buying school furniture and supplies at inflated costs
from a company with which he had personal involvement.   Full story, macombdaily.com

American Express fined $65mln over money laundering
The Justice Department found specific instances of suspicious or illicit activity in drug-related
money laundering transactions, moved through “Black Market Peso Exchange” wire
transfers which were part of an undercover law enforcement operation, according to the
Fed's order.   Full story, signonsandiego.com

Management consultant indicted in $32M fraud scheme
The 23-count indictment charges that two companies Fabian formed participated in an
equipment leasing scheme from 2001 to 2004. The two companies, both with variations on
the name Strategic Partners International, allegedly entered into sale-leaseback deals to
purchase $32 million in computer equipment. But the indictment alleges that the companies
either never bought any equipment or bought much cheaper equipment.   Full story,
bizjournals.com

Secretary gets up to 14 years for embezzlement
A former secretary for an Adrian law firm was slapped Wednesday with maximum prison
terms of up to 14 years. Harriet Laura Northrup was also ordered to repay $161,353 she is
accused of embezzling from the firm and from a mentally impaired client.   Full story,
lenconnnect.com

Former bank official pleads guilty to embezzlement
Jenny Gentile admitted she took $104,924 in 2005 and 2006. The scheme involved creating
false documents and initiating unauthorized disbursements.  Full story, bizjournals.com

Chilling Thoughts
A new study compares companies here and abroad, and concludes that Sarbanes-Oxley
appears to have put a damper on risk-taking by U.S. firms.  Full story, CFO.com