Fewer than nine months after uncovering the $215 million Peregrine Financial Group fraud, Confirmation.com's electronic audit confirmation service was used to uncover the financial fraud committed by hedge fund owner and operator James A. Shepherd.
Shepherd recently pled guilty to stealing millions of dollars from more than 100 investors over a seven-year period. Read more here.
"The Shepherd fraud is almost identical to the Russell Wasendorf PFGBest fraud," Chris Schellhorn (pictured), Confirmation.com CEO said in a release (read more here). "Just like Wasendorf's 20-year fraud, for over seven years Shepherd used readily available software tools to create fake bank statements, he directed the auditors to send bank confirmation letters to a PO Box he had rented, forged a fictitious bank employee's signature, and he sent the fraudulent audit confirmations back to the auditor."
Confirmation.com is based in Brentwood.