Fraud

Bernie Madoff Arrested for $65 Billion Ponzi Scheme After SEC Ignored Warnings for 16 Years

| Importance: 10/10

On December 11, 2008, FBI agents arrested Bernard L. Madoff for orchestrating the largest Ponzi scheme in history, worth approximately $65 billion and affecting 37,000 victims across 136 countries. Madoff, former chairman of the Nasdaq Stock Market, confessed to his sons on December 9 that his …

Bernie Madoff Federal Bureau of Investigation Securities and Exchange Commission (SEC) Harry Markopolos fraud regulatory-capture sec ponzi-scheme financial-crime +3 more
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Jack Abramoff Sentenced to 48 Months Prison and $23 Million Restitution

| Importance: 7/10

Former lobbyist Jack Abramoff was sentenced to 48 months in federal prison and ordered to pay $23,134,695 in restitution for his role in the massive congressional corruption scandal. This Washington D.C. sentencing was for conspiracy to commit honest services fraud, honest services fraud involving …

Jack Abramoff Michael Scanlon Native American Tribes U.S. District Court Department of Justice +4 more corruption lobbying abramoff sentencing restitution +2 more
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General Dynamics Pays $4 Million to Settle Fraud Charges for Defective Submarine and Aircraft Parts

| Importance: 8/10

General Dynamics Armament and Technical Products agreed to pay $4,058,750 to settle federal fraud charges that it defectively manufactured or failed to properly test components for Navy aircraft and submarines, then fraudulently billed the government despite knowing the equipment did not meet …

General Dynamics Benton J. Campbell Defense Criminal Investigative Service Navy defense-contractors fraud general-dynamics submarines department-of-justice
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Bank of America Completes $4 Billion Acquisition of Countrywide Financial After Predatory Lending and Fraud Schemes Targeting Minorities Caused $50 Billion in Losses, with CEO Angelo Mozilo Paying Only $67.5 Million SEC Settlement and Facing Zero Criminal Charges

| Importance: 9/10

Bank of America completed its acquisition of Countrywide Financial on July 1, 2008, purchasing the nation’s largest mortgage lender for approximately $4 billion in a Federal Reserve-approved transaction that would ultimately cost Bank of America and its shareholders at least $50 billion in …

Angelo Mozilo Countrywide Financial Bank of America Securities and Exchange Commission (SEC) Department of Justice +1 more financial-crisis regulatory-capture predatory-lending fraud accountability-crisis +1 more
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Jack Abramoff Pleads Guilty in 5M Corruption Scandal

| Importance: 8/10

Lobbyist Jack Abramoff pleaded guilty to federal corruption charges, exposing one of the largest congressional corruption scandals in modern U.S. history. Abramoff and partner Michael Scanlon defrauded Native American tribes of 5 million through inflated lobbying fees and secret kickbacks. The …

Jack Abramoff Michael Scanlon Bob Ney Tom DeLay Steven Griles +2 more corruption lobbying abramoff congress bribery +1 more
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Harry Markopolos Submits 'The World's Largest Hedge Fund Is a Fraud' to SEC, Agency Ignores Detailed Evidence for Third Time

| Importance: 10/10

On November 7, 2005, financial analyst Harry Markopolos submitted his third and most detailed complaint to the SEC, a report entitled ‘The World’s Largest Hedge Fund is a Fraud,’ outlining approximately 30 red flags indicating that Bernie Madoff was operating a Ponzi scheme, which …

Harry Markopolos Securities and Exchange Commission (SEC) Bernie Madoff fraud regulatory-capture sec ponzi-scheme financial-crime +3 more
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Trump Launches "Trump University" Real Estate Seminars Without Academic License or Accreditation

| Importance: 8/10

Donald Trump formally launched “Trump University” on May 23, 2005, a real estate training program that operated without proper academic licensing or accreditation. The enterprise, incorporated in 2004 with Trump owning 93% of the company, conducted three- and five-day seminars marketed …

Donald Trump Michael Sexton trump university fraud consumer protection education fraud business ethics
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Tigua Casino Closes After Abramoff Double-Dealing Scheme Success

| Importance: 8/10

Jack Abramoff orchestrated a complex lobbying scheme involving the Tigua tribe’s Speaking Rock Casino, first helping to lobby for its closure through Texas legislation, and then charging the tribe $4.2 million to allegedly reopen the casino. The case exemplifies Abramoff’s fraudulent …

Jack Abramoff Michael Scanlon Tigua Tribe Ralph Reed Texas Legislature abramoff tigua-tribe texas-gambling double-dealing fraud +1 more
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Lincoln Savings Seized: $2.3 Billion Loss Exposes Keating Fraud Network

| Importance: 9/10

Federal regulators seize Lincoln Savings and Loan, ending Charles Keating’s systematic fraud scheme that ultimately costs taxpayers $2.3 billion—one of the costliest S&L failures in American history. The seizure comes after years of regulatory delays caused by political interference from …

Charles Keating Federal Home Loan Bank Board Resolution Trust Corporation Lincoln Savings and Loan Keating Five Senators charles-keating lincoln-savings s&l-crisis fraud seizure +1 more
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Silverado S&L Collapses: Neil Bush Conflict of Interest Costs Taxpayers $1 Billion

| Importance: 8/10

Silverado Savings and Loan collapses with losses exceeding $1 billion to taxpayers, exposing serious conflicts of interest involving Neil Bush, son of Vice President-elect George H.W. Bush. Neil Bush served on Silverado’s board of directors from 1985-1988, during which he approved over $130 …

Neil Bush George H.W. Bush Silverado Savings and Loan Federal Deposit Insurance Corporation Good International +1 more neil-bush silverado s&l-crisis conflict-of-interest fraud +1 more
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Charles Keating Purchases Lincoln S&L: Systematic Fraud Network

| Importance: 8/10

Charles Keating, through American Continental Corporation, purchases Lincoln Savings and Loan for $51 million. Exploiting the deregulated environment created by Garn-St Germain, Keating rapidly expands Lincoln’s assets from $1.1 billion to $5.5 billion over four years through high-risk real …

Charles Keating American Continental Corporation Lincoln Savings and Loan Keating Five Senators Federal Home Loan Bank Board charles-keating lincoln-savings fraud keating-five regulatory-capture +1 more
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Charles Forbes Resigns Veterans Bureau Amid Massive Corruption Scandal

| Importance: 8/10

Veterans Bureau Director Charles Forbes resigned from Paris after President Harding confronted him at the White House, allegedly grabbing him by the throat and shouting “You double-crossing bastard!” Forbes had embezzled money, accepted bribes, and sold nearly 7 million dollars of …

Charles Forbes Warren G. Harding Charles F. Cramer executive-corruption institutional-capture fraud systematic-corruption
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