Russell Wasendorf Sr. Fraud

Peregrine Financial CEO Russell Wasendorf Sr. confessed to massive fraud in a letter to his son and business partner Russell Wasendorf Jr., Peregrine's president and chief operating officer, in July. Shortly thereafter, police found Wasendorf Sr. unconscious in his car outside of the Peregrine offices in Cedar Falls, Iowa, in an apparent suicide attempt. He was taken to the hospital and later arrested. In September, he ... more 

Russell Wasendorf Sr. Fraud

Peregrine Financial CEO Russell Wasendorf Sr. confessed to massive fraud in a letter to his son and business partner Russell Wasendorf Jr., Peregrine's president and chief operating officer, in July. Shortly thereafter, police found Wasendorf Sr. unconscious in his car outside of the Peregrine offices in Cedar Falls, Iowa, in an apparent suicide attempt. He was taken to the hospital and later arrested. In September, he pleaded guilty to mail fraud and embezzlement.

What follows is an excerpt of Wasendorf's statement, according to the complaint: "I have committed fraud ... I am very remorseful that my greatest transgressions have been to my fellow man. Through a scheme of using false bank statements I have been able to embezzle millions of dollars from customer accounts at Peregrine Financial Group, Inc. The forgeries started nearly twenty years ago and have gone undetected until now."

He is currently in jail awaiting sentencing. less