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New Jersey Accountant Pleads Guilty in $670 Million Fraud

November 22, 2011
Total Loss: $670 Million

A former auditor for Provident Capital Indemnity Ltd. admitted to assisting a $670 million fraud conspiracy in the life settlement bonding market, federal prosecutors said.

Jorge Castillo, of Hackettstown, New Jersey, pleaded guilty today to one count of conspiracy to commit mail and wire fraud, U.S. Attorney Neil MacBride in Alexandria, Virginia, said in a call with reporters. The charge carries a maximum sentence of 20 years in prison and prosecutors are also seeking as much as $40 million in forfeiture, MacBride said.

Source: Business Week
Posted in: Internal Fraud ACH and Wire Fraud