As one of the precipitating factors for the Great Recession of 2008, federal, state and local authorities have attempted to slam the door shut on the reckless mortgage application and closing practices of the past decade. Unfortunately, some innocent homeowners have been pinched in the process as authorities have swept them up in stings attempting… Read more »

Most people do not think much about whether what their employers tell them to do is legal. But to protect themselves, employees sometimes do need to independently question the legitimacy of their work. A case in point is a recent criminal action in Florida federal court against two business executives. Problems at Stanford Financial Texas… Read more »

The current willingness in Washington to give out millions of dollars to help spend the US out of recession may end up pushing the country further into debt. Many of the programs aimed at jump-starting the economy and infusing cash into dying market sectors come with little to no government oversight, which may result in… Read more »

A federal statute was recently enacted which expands the government’s ability to prosecute fraud. A Florida statute regulating money services businesses was also recently amended. On May 20, 2009, President Obama signed into law the Fraud Enforcement and Recovery Act of 2009. FERA provides government agencies with increased funding and better tools with which to… Read more »

If you are operating a loan modification business, it is imperative that you are informed about the laws that apply to your company. Each state has different statutes and regulations describing who may modify mortgages for homeowners and how the process must proceed. Some states are fraught with oversight and regulations, such as the requirement… Read more »

Congress rolled out a bi-partisan criminal reform bill that is cited as being the most comprehensive set of reform proposals in recent years. Among other things, it does away with the previous “three strikes” rule wherein a defendant convicted of a third non-violent drug charge may face a mandatory life sentence. It expands the safety… Read more »

In U.S. v. Newman, the 2nd Court of appeals overturned convictions of two hedge fund traders finding that the Government had failed to show the information received by the defendants was received in exchange for a personal benefit. The Defendants received non-public information second-hand from a group of personal friends. This ruling requires the Government… Read more »

In an attempt to crack down on cashing fraudulent tax returns, the U.S. Treasury is requiring check cashing businesses in Miami-Dade and Broward to take additional steps before cashing tax returns over $1,000. South Florida was described by a special agent in charge of IRS Criminal Investigation in the Miami Field Office as a “hotbed… Read more »

FinCEN or Financial Crimes Enforcement Network is charged with the task of implementing and regulating Anti-Money Laundering (AML) and Counter-terrorist financing (CTF) laws. FinCEN has made it clear that simply having a compliance plan in place is insufficient without an accompanying “culture of compliance.” In a recent speech delivered by FinCen Director Jennifer Shasky Calvery… Read more »

In a particularly disheartening decision, the Supreme Court denied certiorari in Jones v. United States last week, which would have forced the Court to address whether an individual can be penalized for conduct for which the defendant was acquitted of by a jury under Relevant Conduct, §1B1.3 of the Sentencing Guidelines. Jones and his co-defendants… Read more »