Dreier used investors’ money to subsidize the money-losing firm, to pay off some of the victims of the scam and to buy luxuries for himself, including a 121- foot yacht, vacation homes in the Hamptons on New York’s Long Island and a $39 million contemporary-art collection. The judge said he was surprised that Dreier’s letter showed an “understanding” of his crimes. Letters that victims wrote to the judge depicted Dreier as “arrogant, condescending and cruel” – Bloomberg

If he had taken the zeroriskHR profile, I wonder what his scores would have been on empathy towards others and adherence to rules.

We know that statistically, a good fit to a benchmark score, will contribute to peak performance.

I’m not sure these were the boots Warren was wearing (they are gorgeous huh?) when he got busted at the border, but  “Court documents alleged they defrauded investors and mortgage companies of $100 million since 2006. The fraudulent deals involved 500 homes and condominiums in California, Florida, Nevada, Illinois, Colorado and Arizona”   ——-

News today that Venezuela seized Stanford Bank , reminded me that Allen Stanford is missing after allegedly scheming 8 Billion out of  50,000 customers. Huffington Post reports that Stanford’s damage could match the Madoff ponzi scandal, and lists the “most shocking” allegations…

1. Stanford posted identical returns two years in a row, in 1995 and 1996, indicating the fraud has been going on for at least 13 years.
2. Stanford and CFO James Davis have “wholly failed” to cooperate with the SEC investigation.
3. There was no army of analysts combing through Stanford’s multi-billion-dollar portfolio. Rather, the only research conducted on companies in which he was investing came from Stanford himself, and CFO James Davis.
4. Stanford told at least one client that the SEC was freezing CDs, a blatant impossibility.
5. Stanford lost money from the Madoff ponzi scheme, “despite the bank’s public assurances to the contrary.” One analyst puts the loss at $400,000.
6. Despite repeated calls from the SEC to Stanford’s Antigua-based accounting firm, the accountants never answered their phones.
7. And as if the SEC couldn’t put it any clearer, Stanford’s public statements about its investments “are false.”

Bloomberg reports that Michael Zarich, a senior investment officer with Antigua- based Stanford International Bank, in a sworn deposition, described how “Stanford told investors the program had positive returns for periods in which clients actually lost money. The firm claimed a return of 18.04 percent in 2000 when actual investors lost as much as 7.5 percent, according to the complaint. In 2008 client pitch books, Stanford presented hypothetical data under the heading “Historical Performance” alongside the audited 2005 through 2008 figures, the complaint said.”

- Frank Abrams is the founder of  zenPeak Inc.,  helping companies find and retain peak performers.

Lying in public

He has admitted to falsifying the financial records of SATYAM a leading Indian publicly traded company.  Ramalinga Raju, is not a slumdog millionaire but a man who took his family’s agricultural roots, and grew them into a successful conglomerate, most notably as a computer services offshore outsourcing powerhouse. Now Raju and his company are in the outsource outhouse. Ramalinga Raju was an Indian hero and has delivered The Mea Culpa – “what I did and why” to the Board of Directors.

- Frank Abrams is the founder of the zenPeak Inc. , helping companies find and retain peak performers.