Tim Durham, the Madoff of the Midwest – BusinessWeek
This spring, the U.S. Attorney’s Office for the southern district of Indiana indicted Durham and two of his associates, Rick D. Snow and James F. Cochran, on 12 charges: one count of conspiracy to commit wire and securities fraud, 10 counts of wire fraud, and one count of securities fraud. The indictment charges that from 2005 to 2009, Durham masterminded a Ponzi scheme that defrauded 5,000 investors in Fair Finance out of some $207,246,329, of which only a fraction may be reclaimed. If convicted, Durham and his alleged conspirators could each face 45 years in prison and $3 million in fines. The case is due to go to trial next year, and the court has registered not-guilty pleas for the three defendants, all of whom declined or did not respond to interview requests. But from interviews with numerous associates, a profile of Durham, who Indianapolis has taken to calling the “Midwest Madoff,” has emerged. In retrospect, Durham’s alleged fraud is almost as impressive for its size as for how obvious it should have been.
Strange Random Fraud Quote:
“Power corrupts. Knowledge is power. Study hard. Be evil.” – Unknown
- Judge blocks Madoff bankruptcy trustee’s suit against banks (jta.org)
- Madoff victims get another $1bn (bbc.co.uk)
- SEC charges longtime Madoff employee with fraud (marketwatch.com)
- Madoff Trustee Cites New Standard in the Mets’ Case (nytimes.com)
- Ex-Madoff Employee Eric Lipkin Pleads Guilty in Ponzi Scheme (businessweek.com)
- Actions of Madoff Victims’ Trustee Will Be Reviewed (nytimes.com)
Posted on July 30, 2011, in Article and tagged Bernard Madoff, Fraud, Indiana, Indianapolis, Law, Ponzi scheme, U.S. Securities and Exchange Commission, United States Attorney. Bookmark the permalink. Leave a comment.