December 15, 2004 |
A U.S. District Court judge in Los Angeles approved a $26.5-million settlement of an investors' lawsuit that accused Reed Slatkin's former bankers of lending an aura of legitimacy to the Santa Barbara money manager while he ran a huge fraud. Judge Margaret Morrow, who sentenced Slatkin last year to 14 years in prison, said the settlement was reasonable. It was reached in September with Union Bank of California, Bank of Orange County, Imperial Management Inc.
November 17, 2004 |
Federal prosecutors announced tax-evasion charges Tuesday against former Grateful Dead road manager Ronald L. Rakow and his girlfriend in connection with a scheme to conceal Rakow's income, much of which he earned working for convicted Ponzi scheme operator Reed Slatkin. Assistant U.S. Atty. Michael R. Wilner said Rakow diverted $5.2 million that he received from Slatkin and other sources to his girlfriend, Denise Del Bianco, from 1998 through 2001.
September 14, 2004 |
Reed Slatkin's former bankers have agreed to pay $26.5 million to settle a lawsuit contending that they helped him appear to be a legitimate investment advisor while he ran a $593-million Ponzi scheme, attorneys in the case said Monday. The recovery would be by far the largest yet for investors in what Slatkin, a co-founder of EarthLink Inc., has admitted was a fraud that began in the mid-1980s and was unmasked in 2001.
December 9, 2003 |
The trustee in the Reed Slatkin bankruptcy doubled his estimate Monday of what victims of Slatkin's Ponzi scheme might recover, saying it could reach 40 cents for every dollar lost -- and more if investors who came out ahead in the scam would "find it in their hearts" to return some of their profits.
December 5, 2003 |
A former bookkeeper for Santa Barbara con man Reed Slatkin has agreed to plead guilty to obstructing a Securities and Exchange Commission investigation by creating fake documents that showed Slatkin held more than $500 million in Swiss accounts. Jean Janu of Santa Fe, N.M., also agreed to plead guilty to failing to alert authorities to Slatkin's crimes. The two charges could result in a sentence of up to two years in prison, said Assistant U.S. Atty. Steve Olson in Los Angeles.
December 2, 2003 |
A former associate of Santa Barbara investment scam artist Reed Slatkin was sentenced to five months in federal custody and five months of home detention for obstructing a federal probe and lying to investigators. Richard D. McMullin, 39, worked as an assistant in Slatkin's office from the mid-1980s until 1999, handling phone calls from investors, helping to create account statements and researching stocks. U.S. District Judge Margaret Morrow ordered McMullin to pay a $4,000 fine. Assistant U.S.