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“It’s Greed”–Nigerian-Americans Big In $500 Million TX Health-Care Fraud

Hundreds of North Texas Nigerian-Americans are caught up in the biggest home health care frauds ever uncovered, reports the Dallas Morning News. Federal indictments were issued in 2012 against those who allegedly profited the most from half a billion dollars in fraudulent local Medicare billings. Many other Nigerian-Americans living in the area and operating small health care businesses were also involved. Law enforcement officials and leaders in the Nigerian-American community describe Dallas home health care fraud as rampant and say […]

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Amid Confusion Over Affordable Care Act, Con Men Move In With Frauds

With millions of Americans frustrated and bewildered by the trouble-prone federal health insurance website, con men and unscrupulous marketers are seizing their chance, says the New York Times. State and federal authorities report a rising number of consumer complaints, ranging from deceptive sales practices to identity theft linked to the Affordable Care Act. Only a tiny fraction of Americans have been affected so far, but state authorities and the Federal Trade Commission are reviewing the issue aggressively. Interviews with authorities […]

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‘Taking Action’ Against Financial Fraud

More than 30 million Americans who are victims of financial fraud every year, according to a guide for consumer advocates, lawyers, counselors and other victim service providers, released today by the National Center for Victims of Crime and the FINRA Investor Education Foundation. “Taking Action: An Advocate's Guide to Assisting Victims of Financial Fraud,” provides strategies for addressing the major types of financial crime, including investment fraud, identity theft, mortgage and lending fraud and mass-marketing scams. Steps include helping victims […]

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DOJ Defends “Tough but Fair” Fraud Sentences, Opposes Guideline Changes

The U.S. Justice Department opposes a wholesale revamping of white-collar criminal sentences that defense lawyers and some judges have urged, Reuters reports. Melinda Haag, the U.S. attorney in San Francisco, said the department was open to limited changes in white-collar sentencing that could reduce sentences in some fraud cases. The U.S. Sentencing Commission is weighing revisions to advisory sentencing guidelines used by judges for securities, healthcare, mortgage and other fraud offenses. Defense lawyers, the American Bar Association, and some judges […]

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Justice Department Admits it Vastly Overstated Mortage-Fraud Initiative

The U.S. Justice Department vastly overstated the number of defendants it charged in a 2012 mortgage-fraud crackdown, reports MainJustice.com. Attorney General Eric Holder said last October that 530 people had been charged in the Distressed Homeowner Initiative. The department now has revised that number to 107, and it corrected the number of victims from 73,000 to 17,185. DOJ said frauds prosecuted in the initiative amounted to $95 million, not $1 billion as originally claimed. The department said the original claim […]

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Visa Issues Alert on Organized Crime Rings’ Fraudulent ATM Withdrawals

U.S. financial institutions have been put on alert for more sophisticated, and more dire, ATM cash-out fraud schemes, reports the Minneapolis Star Tribune. Both credit card juggernaut Visa Inc. and Fair Isaac Corp., a leading payments fraud analytics company, issued alerts to clients in the past two weeks. The Visa alert warns of cases in which organized criminal groups in various parts of the world have been plundering cards and accounts by penetrating internal networks at financial institutions. “In a […]

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IRS Found 173,000 Fraudulent Tax Returns from Prison Inmates Last Year

Tax fraud appears to be a popular pastime in prisons, but the Internal Revenue Service is catching on, the Associated Press reports. The IRS detected more than 173,000 fraudulent tax returns from prison inmates last year, many of them using stolen identities and other false information in an attempt to get tax refunds. That’s more than twice the number of fraudulent returns detected from inmates in 2010, says a new report from the Treasury Department’s inspector general for tax administration. […]

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Duped by Love

More than 5,600 Americans were duped last year by online romance scams, in which criminals target people who are searching for love online. In most cases, “scammers search chat rooms, dating sites and social networking sites,” according to the Internet Crime Complaint Center (IC3), a Virginia-based federal agency that logs and analyzes Internet fraud reports. The figures were released this week in the center's “2011 Internet Crime Report.” According to the report, Americans' continued reliance on email is exposing them […]

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Billion Ponzi Conviction Completes a Long Fall for Miami’s Stanford

Allen Stanford, the flamboyant billionaire banker who concocted one of the country's most spectacular frauds from an Antiguan bank and a posh Miami office, was found guilty Tuesday by a federal jury in Houston of bilking thousands of investors of more than $7 billion, reports the Miami Herald. The once powerful businessman whose extravagant lifestyle included a $10 mansion near Coral Gables and a $6 million yacht on Biscayne Bay, was convicted on nearly every charge in what prosecutors called […]

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$375 Million Medicare Fraud Case–Dallas Doctor–Largest in U.S. History

Federal officials filed charges in the largest health care fraud scam in the nation’s history, indicting a Dallas-area physician for purportedly bilking Medicare of $375 million after he reportedly sent out “recruiters” to round up patients and get them to sign for treatments he never provided. The Medicare billings piled up by Dr. Jacques Roy grew so large over five years that experts wondered why it took prosecutors so long to notice. “To get that kind of money, you’d need […]