investment fraud

Citi is sued for unsavory dealings with Bernard Madoff with the lawsuit seeking $425 million from the bank. According to the Madoff trustee Citigroup Inc tried to pass on its exposure to Bernard Madoff to other banks just months before his fraud was revealed.

Citi saw obvious signs of fraud about Bernard L. Madoff investment Securities LLC as early as 2005 but decided to hold back on it, said Trustee Irving Picard in a court document.

In light of the latest media reports along with users’ complaints and website inaccessibility HYIP monitors decided to downgrade the online investment project Genius Funds to “Problem” status.

Now on the websites of main monitors you can see the following picture:

GoldPoll.com

 The Monday document prolonged the term for the eight people charged in a coast-to-coast U.S. hedge fund insider trading investigation to provide them with an opportunity for possible resolution of their criminal cases. The document involves eight people who were among 14 defendants charged with fraud on November 5 in the widening of an insider-trading scandal that initially shook hedge funds in mid-October with the arrest of Galleon Management LP's billionaire founder Raj Rajaratnam.

 The Securities and Exchange Commission reported that it had charged Detroit-area stock broker Frank Bluestein with fraud, alleging that he lured elderly investors into a $250 million Ponzi scheme after convincing many of them to refinance their home mortgages.

The SEC alleges that Bluestein acted as the single largest salesperson in the Ponzi scheme operated by Edward May and his company, E-M Management Company LLC (E-M). The SEC previously filed charges against May and E-M in connection with the fraudulent scheme.