Affinity Fraud IV

     From what we have seen, it is clear that the main emphasis of affinity fraud is for the fraudster to find the group leader and exploit the leader's hold over the group to move the fraud forward.  

     It goes without saying that once the fraudster has his "hooks" into the community via the leader, the fraud can begin.  In many instances, these frauds are the usual run-of-the mill pyramid schemes or Ponzi schemes.  The only real difference is that their is an added "element" to the fraud; the fraud is perpetuated through a third party (the community leader, whether willingly or unwittingly).  But, this element adds some surprises to this entire scheme.

   This thread is based on an article in the March/April 2013 edition of Fraud magazine by Franklin Perry and Richard Brody.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

                                             

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Affinity Fraud III

So - to continue our discussion of affinity fraud.

After the fraudster has convinced the leader of the group that the fraudster is legitimate, the fraudster then uses the leader as a pawn to convince the group to go along with the scheme of the fraudster. 

     Unfortunately, in many groups, the leader of the group has the trust of his followers to the point where they often will listen to the leader without doing any independent research.  Keep in mind that I am not talking about a cult.  As stated in previous posts, a group relies on the strength of the group to protect its members, especially in a new society.  It is not therefore unusual for members of an affinity group to lose some of their ability for critical thought in these situations.

NOTE - this thread is based on information from the article "Affinity is Only Skin Deep" by Frank S. Perry and Richard Brody in the March/April 2013 issue of Fraud magazine.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

                                             

http://www.tauskvega.com

 

----------à>>>>>>>>>>>>>>>gene tausk

Affinity Fraud II

     As stated in the last post, affinity refers to a kinship or a shared group characteristic.  A good example is an ethnic group.  America is a nation of immigrants and as members of one ethnic group come to America, it is only natural that (usually) the members of this group will look up other members of their community that have already been here. 

   Offenders who commit affinity fraud are usually members of the group or people who pretend to be members of the group.  This is a common way to gain entrance into the group.  Usually, the next step is for these fraudsters to enlist a respected member of this community.  The leaders of the community often have no idea that they are being set up.

NOTE - this thread is based on information from the article "Affinity is Only Skin Deep" by Frank S. Perry and Richard Brody in the March/April 2013 issue of Fraud magazine.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

                                             

http://www.tauskvega.com

 

----------à>>>>>>>>>>>>>>>gene tausk

 

Affinity Fraud

For some reason this post did not seem to go through, so I am reposting it.

     We will spend the next thread talking about affinity fraud.  Affinity fraud is a type of fraud where fraudsters use their similar characteristic to gain trust, whether with a religious organization, a cultural group, a linguistic group, a group of friends or any other type of group where the group members know each other and/or share a common shared characteristic(s).

      All frauds involve a breach of trust, but this type of fraud is insidious in the extreme.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

                                             

http://www.tauskvega.com

 

----------à>>>>>>>>>>>>>>>gene tausk

 

Bribery indictments in the Western District

Bribery indictments in the Western District of Texas

http://www.justice.gov/usao/txw/news/2013/UTSA_Council_etal_indictment.html

Tomorrow we will start on a new thread.

I notice I now have readers of this blog in Iceland: Velkomin!

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

                                             

http://www.tauskvega.com

 

----------à>>>>>>>>>>>>>>>gene tausk

 

Sad case involving Planned Parenthood

For my international readers - Planned Parenthood is an organization in the United States that provides family planning services as well as abortions.  It is a controversial organization.  However one feels about the organization, however, it is said that Planned Parenthood found itself in this situation.

http://www.justice.gov/usao/txe/News/2013/edtx-settlement-plan-081613.html

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

                                             

http://www.tauskvega.com

 

----------à>>>>>>>>>>>>>>>gene tausk

 

Bank fraud and money laundering in the Eastern District

Interesting case of bank fraud and money laundering in the Eastern District of Texas

http://www.justice.gov/usao/txe/News/2013/edtx-wcc-prince-081513.html

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

                                             

http://www.tauskvega.com

 

----------à>>>>>>>>>>>>>>>gene tausk