Former Securities Broker Accused of Stealing Millions from Company Pension Fund

A former Tennessee broker is accused of stealing from the Snow Shoe Refractories Employee Pension fund. He was indicated on four counts of wire fraud, three counts of embezzlement and five counts of false statements and concealment of facts relating to a pension plan.

Reports have stated that the former broker and business owner used the funds he stole to capitalize other businesses he owned as well as to pay off some personal debts that he had. In April 2018 he was charged in the US District Court for the Middle District of Pennsylvania.

Read the full story here for more detail.

Prevent This From Happening to YOU!

Protect yourself from Pension Fraud! Here are a few tips to help protect you from fraud.

Internal Controls are business processes designed to prevent and detect mistakes and fraud in the operation of a pension plan. A couple tips we can suggest to help protect your company are:

• Assign an additional employee to review work when only one employee is in charge of the plan operations
• Track deposits and payments to original documents
• Reconcile bank, investment and account statements regularly
• Require two original signatures on any forms or checks that involve the plan’s assets
• Have outside professionals verify transactions

Make Sure Your Clients Take a Proactive Approach To Protecting Their Business Should a Loss Occur

Make sure your clients have crime insurance. Take the steps to ensure that your clients are covered by calling one of the Berkley Crime team members listed below.