Friday, July 13, 2012

Fraudster CEO of Troubled Iowa Brokerage Arrested




From the AP: Federal prosecutors say the chief executive officer of an Iowa-based brokerage firm that is missing more than $200 million in customer money has been charged with lying to regulators.

A complaint filed Friday in U.S. District Court in Cedar Rapids says 64-year-old Russell Wasendorf, Sr., made false statements to the U.S. Commodity Futures Trading Commission about the value of customer funds held by his company, Peregrine Financial Group, Inc.

A press release from the U.S. Attorney's Office says Wasendorf was arrested Friday by FBI agents and is due in federal court in Cedar Rapids for an initial appearance.

Wasendorf had been hospitalized at University of Iowa Hospitals and Clinics after attempting suicide outside the company's headquarters on Monday....

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