 |
|
|
|
|
 |
|---|
|
National Century FraudWhen we say national century fraud , it involves an entity that settles charges to its subsidiaries with the assistance from any financial enterprises in executing fraudulent deals that caused the investors to lose money. However, in settling the charges, admitting or denying the charges will never happened between the different parties involved. Also, providing any details about the national century fraud will never be discussed. A national century fraud can be a caused by a company that had collapsed due to some financial issues though they had served their indenture trustees. One of the recorded national century frauds in the history is the case of JP Morgan Chase Bank. In this national century fraud JP Morgan had assist the National Security in carrying out important transfers in several program accounts that have resulted to collateral shortfalls resulting to the downfall of the company. For the settlement, JP Morgan has to pay about seven hundred thousand dollars as pre-judgment interest and a value of one million three hundred thousand dollars as disgorgement. Due to this national century fraud, the former CEO of the National Century named Lance Poulsen had been convicted by the Ohio federal jury with criminal fraud case linking to two billion dollars. However in 2008, Lance Poulsen will be tried on fraud charges according to the justice department in the United States. Some indictments causing to national century fraud involve the use of schemes of using company money in paying off debts as well as using high-risk unsecured loans that were not told to or discussed with the investors.
|
