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	<title>Observer &#187; Peregrine Financial Group Regulator Kicks in Fine Paid By Iowa Broker to Bankruptcy Trustee (Update)</title>
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		<title>Observer &#187; Peregrine Financial Group Regulator Kicks in Fine Paid By Iowa Broker to Bankruptcy Trustee (Update)</title>
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		<title>Peregrine Financial Group Regulator Kicks in Fine Paid By Iowa Broker to Bankruptcy Trustee (Update)</title>

		<comments>http://observer.com/2012/09/peregrine-financial-group-regulator-kicks-in-fine-paid-by-thieving-broker-to-bankruptcy-trustee/#comments</comments>
		<pubDate>Tue, 11 Sep 2012 17:04:58 -0400</pubDate>
					<link>http://observer.com/2012/09/peregrine-financial-group-regulator-kicks-in-fine-paid-by-thieving-broker-to-bankruptcy-trustee/</link>
			<dc:creator>Patrick Clark</dc:creator>
				
		<guid isPermaLink="false">http://observer.com/?p=262354</guid>
		<description><![CDATA[<p><div id="attachment_262385" class="wp-caption alignleft" style="width: 160px"><a href="http://observer.com/2012/09/peregrine-financial-group-regulator-kicks-in-fine-paid-by-thieving-broker-to-bankruptcy-trustee/wasendorf-8/" rel="attachment wp-att-262385"><img class="size-full wp-image-262385" title="Wasendorf" src="http://nyoobserver.files.wordpress.com/2012/09/wasendorf.jpg" alt="" width="150" height="186" /></a><p class="wp-caption-text">Russell Wasendorf Sr.</p></div></p>
<p>There are <a href="http://observer.com/2012/09/spongebob-silver-coins-missing-johnny-bench-glove-in-hand/">lost assets and found assets</a> in the bankruptcy of Peregrine Financial Group, the Iowa-based futures dealer than folded in July after the firm's founder said in a note left before his attempted suicide that he'd used a color printer to hide that his company's bank account was missing some $200 million in client funds.</p>
<p>Lost assets included 304 silver coins depicting characters from the children's TV show <em>SpongeBob SquarePants</em>, valued at about $20,000; Found assets included a baseball glove signed by former New York Yankees manager Joe Torre and baseball hall-of-famer Johnny Bench, all of which may sounds strange if you haven't been following the saga, which has included tales of Peregrine founder Russell Wasendorf's <a href="http://online.wsj.com/article/SB10001424052702304373804577521191579035590.html">shotgun wedding</a>, <a href="http://blogs.wsj.com/deals/2012/07/17/excerpts-from-russell-wasenforf-sr-s-confession/">wizardry with Adobe Photoshop</a> and catastrophic experience in <a href="http://www.reuters.com/article/2012/07/13/us-pfgbest-wasendorf-romania-idUSBRE86C03Y20120713">Romanian real estate</a>. <!--more-->Still, you take what you can get, and today the Peregrine trustee got $700,000 from the National Futures Association, an amount equal to the fine paid by Peregrine to the self-regulating organization in February. According to <a href="http://online.wsj.com/article/SB10000872396390444017504577645750763125344.html?mod=googlenews_wsj"><em>The Wall Street Journal:</em></a></p>
<blockquote><p><em>The fine was part of a settlement of charges related to an alleged Ponzi scheme run by a customer of the brokerage. The agency charged that Peregrine didn't properly monitor and report suspicious activity, and the firm agreed to the fine without admitting or denying the allegations.</em></p></blockquote>
<p>Now, if we could only track down that crafty real estate agent.</p>
<p><strong>Update: </strong>Mr. Wasendorf has reached a plea deal in which "he <a href="http://www.bloomberg.com/news/2012-09-11/peregrine-s-wasendorf-signs-plea-deal-fbi-agent-tells-court.html">admits to mail fraud</a>, embezzlement and making false statements," according to Bloomberg.</p>
]]></description>
		<content:encoded><![CDATA[<p><div id="attachment_262385" class="wp-caption alignleft" style="width: 160px"><a href="http://observer.com/2012/09/peregrine-financial-group-regulator-kicks-in-fine-paid-by-thieving-broker-to-bankruptcy-trustee/wasendorf-8/" rel="attachment wp-att-262385"><img class="size-full wp-image-262385" title="Wasendorf" src="http://nyoobserver.files.wordpress.com/2012/09/wasendorf.jpg" alt="" width="150" height="186" /></a><p class="wp-caption-text">Russell Wasendorf Sr.</p></div></p>
<p>There are <a href="http://observer.com/2012/09/spongebob-silver-coins-missing-johnny-bench-glove-in-hand/">lost assets and found assets</a> in the bankruptcy of Peregrine Financial Group, the Iowa-based futures dealer than folded in July after the firm's founder said in a note left before his attempted suicide that he'd used a color printer to hide that his company's bank account was missing some $200 million in client funds.</p>
<p>Lost assets included 304 silver coins depicting characters from the children's TV show <em>SpongeBob SquarePants</em>, valued at about $20,000; Found assets included a baseball glove signed by former New York Yankees manager Joe Torre and baseball hall-of-famer Johnny Bench, all of which may sounds strange if you haven't been following the saga, which has included tales of Peregrine founder Russell Wasendorf's <a href="http://online.wsj.com/article/SB10001424052702304373804577521191579035590.html">shotgun wedding</a>, <a href="http://blogs.wsj.com/deals/2012/07/17/excerpts-from-russell-wasenforf-sr-s-confession/">wizardry with Adobe Photoshop</a> and catastrophic experience in <a href="http://www.reuters.com/article/2012/07/13/us-pfgbest-wasendorf-romania-idUSBRE86C03Y20120713">Romanian real estate</a>. <!--more-->Still, you take what you can get, and today the Peregrine trustee got $700,000 from the National Futures Association, an amount equal to the fine paid by Peregrine to the self-regulating organization in February. According to <a href="http://online.wsj.com/article/SB10000872396390444017504577645750763125344.html?mod=googlenews_wsj"><em>The Wall Street Journal:</em></a></p>
<blockquote><p><em>The fine was part of a settlement of charges related to an alleged Ponzi scheme run by a customer of the brokerage. The agency charged that Peregrine didn't properly monitor and report suspicious activity, and the firm agreed to the fine without admitting or denying the allegations.</em></p></blockquote>
<p>Now, if we could only track down that crafty real estate agent.</p>
<p><strong>Update: </strong>Mr. Wasendorf has reached a plea deal in which "he <a href="http://www.bloomberg.com/news/2012-09-11/peregrine-s-wasendorf-signs-plea-deal-fbi-agent-tells-court.html">admits to mail fraud</a>, embezzlement and making false statements," according to Bloomberg.</p>
]]></content:encoded>
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