International Law

Swindled Businessman Fights Back

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Barry Minkow is championing Joe Palermo as a fraud fighter.

"Joe Palermo understands the good and bad of business.

Beginning his career in the financial offices of organizations as considerable as Viacom, United Cable, and the Hearst Corporation, he has gone on to successfully launch or acquire several other companies.

So why didn't Palermo know a bad investment opportunity when it presented itself?

In 2006, after performing what he thought were thorough background checks, Palermo invested a reasonable amount of funds in a private company that was generating three percent interest per month for its investors--36 percent annually.

The "opportunity" indeed turned out to be too good to be true. Palermo worked in concert with the FBI to recover his money and bring the fraudulent company to justice.

I don't know whether Palermo's background checks are worth the money, but they seem a reasonable price.

But, I do know that it will not matter - people who conduct background checks can be swindled.  Joe apparently is one of them.

What Joe could do would be is to investigate why despite being pretty bright, he fell for an investor scam.

Full post as published by Misleading Advertising Law on July 31, 2008 (boomark / email).