Federal prosecutors have announced that a 39-year-old man has admitted to running a Ponzi scheme that bilked investors in 12 states out of more than $70 million. The man entered guilty pleas to felony counts of mail fraud, conspiracy to commit mail fraud and conspiracy to commit money laundering on Oct. 9 in the U.S. District Court for the Western District of New York. He is scheduled to return to court in March 2020 to be sentenced.
Is it illegal to send a chain letter in New York? In many cases, though not all, the answer is yes. To a certain extent, it depends on what you want the recipients of the chain letter to do upon receipt. If you ask the recipients to send items of minimal value, such as recipes or postcards, that is not a violation of the law, and you can send the letter without fear of legal repercussions.
When New York residents go to the doctor, they usually do not worry about their medical information. However, people sometimes steal important healthcare information. When this happens, it is called healthcare fraud.
It may be easy for people in New York to think of fraud as a type of offense that is well-defined and fits neatly into a proverbial box, yet in reality, alleged fraud schemes can be incredibly complex and involve elements that many people might not even be aware of. For all of the different types of fraud, however, at the heart of each case is an apparent degree of deception. Any example of a person using questionable means to secure money (either from an individual or an organization) might be viewed as meeting the definition of fraud.
No one ever wants to be accused of fraud, and like most in New York, you likely do not believe that you ever will be. Yet there are potential pitfalls in almost any line of work where disputes can often lead to such allegations. Many have come to us here at Sapone & Petrillo LLP having been accused of a specific kind of fraud: a pyramid scheme. These are often closely associated with multi-level marketing. If you happen to work in a field that incorporates the latter, you should know what distinguishes them.
Insurance fraud is a big deal. Because this type of white-collar crime happens so often, insurance companies take very specific steps to identify fraud in all its forms to ensure the person responsible is caught and brought to justice. HowStuffWorks.com explains some of the ways insurance adjusters look for fraud.
Residents in New York know how essential the public transit system is to make things work in and around New York City. Keeping on top of maintenance, repair and modernization needs certainly is no small task. This task, in fact, is exactly why union officials and some others are asserting that the Metropolitan Transportation Authority saw a major spike in the amount of money paid out in overtime to employees in 2018.
Cases of wire fraud are common in New York and throughout the country. It is important to understand what constitutes wire fraud and some warning signs to be able to identify when it occurs.
When discussing fraudulent schemes to illegally obtain money from unsuspecting citizens, people in New York may mistakenly use the terms "Ponzi scheme" and "pyramid scheme" interchangeably. The confusion is understandable because both types of schemes function in a basically similar way. Each requires many investors to opt into it, each involves moving ill-gotten money around from person to person, and each inevitably collapses when it becomes too large to sustain itself, leaving only the original instigator with a profit. However, there are some fundamental differences that distinguish the two.
In New York, mail fraud is one of the most common federal charges that the average citizen will face. However, many people may not even be aware that mail-related crimes fall under the federal government’s jurisdiction. However, mail fraud is in fact a very serious deed that can result in you facing harsher penalties than you initially expected.