embezzlement
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Microsoft executive allegedly attempted to embezzle $1.5 million
Jeff Tran, Microsoft's former director of sports marketing and alliances, was charged with five counts of wire fraud this week for allegedly trying to embezzle $1.5 million from his former employer. He's also accused of stealing and selling more than 60 Super Bowl tickets belonging to Microsoft, pocketing over $200,000 in the process.
Mt. Gox chief claims innocence ahead of Bitcoin trial
At one point, the Mt. Gox exchange facilitated 80 percent of the world's Bitcoin transactions. That was, at least, until 2014 when someone absconded with hundreds of millions of dollars worth of the digital currency -- as well as an additional $28 million in cash -- from the exchange's accounts. Authorities in Japan have since fingered the site's chief executive, Mark Karpeles, as the caper's culprit. However, as his trial got underway on Thursday, the 32-year old French national declared his innocence, per Reuters.
Samsung leader will be indicted for bribery and embezzlement
Following his arrest, Samsung Vice-Chairman Lee Jae-yong will be indicted on charges of bribery, embezzlement and two other crimes, according to Bloomberg and The Wall Street Journal. It's the start of legal proceedings that could put Lee in jail for years, stalling a planned succession due to his father's heart attack and hospitalization. Four other executives were charged, including Corporate Strategy Office Vice Chairman Choi Gee-sung and President Chang Choong-ki.
Former Mt. Gox CEO officially charged with embezzlement
Mt. Gox is a sordid story seemingly refuses to die. Last we heard, the bitcoin exchange's CEO Mark Karpeles had been arrested by Tokyo police, and some six weeks later he's been charged with pilfering 321 million yen (around $2.7 million) of former clients' money according to Reuters. Apparently he spent it on a custom-built bed and buying the rights for computer software development. Why the gap between arrest and now? Well, Japan grants that sort of holding even without formal charges. As the AFP Newswire tells it, Karpeles is still being held by Japanese authorities, but he can petition the court for "release pending trial." We'll have to wait and see if he exercises that right. [Image credit: Bloomberg via Getty Images]
Call of Duty-free: PR managers sentenced for siphoning thousands
Everything in moderation, dear. The Daily Mail reports Activision UK public relations executive Kathryn Kirton has admitted to stealing £18,963 ($29,000). Her co-defendant, Jamie Kaye, who worked for third-party firm Frank PR, admitted to taking £5,000 ($7,600). The thefts occurred back in 2011 using money intended for promoting the Call of Duty franchise.For her part, Kirton used the money for a romantic £2,000 two-night stay at a luxury countryside estate, a £1,500 engagement party and spent £9,437 in "one of three shopping sprees." It appears things started falling apart when Kirton, using the Frank PR corporate card for one of the sprees, had Kaye bill Activision for it as Modern Warfare 2 launch expense. Kaye admitted using the money to send his family on a £3,500 family vacation to Florida. He also stole six iPads.Both pleaded guilty to one count of fraud. The judge sentenced Kirton to 18 months, but suspended it due to the "devastating effect" it would have on her young son. Kirton's marriage is reportedly on the rocks and the stress of the past two years caused her two-year-old son to be born prematurely because of the strain of the investigation. Kaye was sentenced to nine months, but that was suspended for 12 months. He's been ordered to 80 hours of community service.Earlier this year, former Gamestop VP of Corporate Communications and Public Affairs Chris Olivera was sentenced to 51 months in US federal prison after he plead guilty to embezzling over $1.7 million.Seriously, folks, the accountants will catch up with you eventually. Well, you know, unless they're in on it.
Former GameStop VP pleads guilty to embezzling almost $2 million
Frank Christopher Olivera, former GameStop VP of corporate communications and public affairs plead guilty Thursday to one count of mail fraud for embezzling $1,965,900 from the company.According to the federal indictment, Olivera sent payments from July 2009 through April 2011 to Cloud Communications LLC. The Nevada company was fictitious, was "created and controlled by Olivera," and was used to funnel the transferred funds into Olivera's personal account."The company does not comment on matters pending in court, however, we will say that Mr. Olivera was terminated last year and GameStop has fully and completely cooperated with the government's investigation," a representative for GameStop informed Joystiq.According to the Dallas Observer, up to 20 years in prison and a $250,000 fine are the maximum penalties for the mail fraud charge Olivera plead guilty to.
Former Baltimore mayor's telltale Xbox 360 now on eBay
Here's a bit of backstory for those of you who don't follow the hot Baltimore news scoops: Sheila Dixon, once mayor of Baltimore, became the former mayor Baltimore after being indicted for embezzlement earlier this year. One of the main pieces of evidence in her trial was an Xbox 360 prosecutors claimed she purchased with gift cards given to her by local developers, which were supposed to be given to various charities. The telltale 360 recently appeared in an eBay listing, attracting a number of prospective buyers hoping to get their hands on the game console/slice of Baltimore history. If you're interested in owning a device which is capable of single-handedly ending someone's mayoral career, the auction is still running. Its price is significantly higher than a standard console, but you've got to pay a premium for all that history. [Via Baltimore Sun]
EVE Online's largest player-run bank freezes accounts due to massive deficit
Stick with us, because this could get confusing: EVE Online has a long and storied history of in-game corruption, chock-full of enough political and social drama to make Ron Moore's head spin. The latest -- and actually, ongoing since June -- problem comes in the form of financial woes. On August 26, EBANK -- EVE Online's largest player-run financial entity -- revealed it currently has a (roughly) 1.2 trillion InterStellar Kredits (ISK) deficit and would freeze all player and organization accounts that were investing with the bank. As with other MMOs, EVE Online's economy is completely player-driven. Users can adopt various play styles which affect the world's economic machine, allowing players to create and topple empires within the fictional world of New Eden. Where EVE Online differs is how users have expanded the tools given to them by developer CCP Games. Using the game's developer-provided API to create tools that can monitor various pieces of data, players have developed their own financial organizations, complete with standards and rules, like real world banks. Sadly, EVE Online's largest player-operated bank mimicked real world financial institutions too closely.
New perspective on EVE Online's latest bank embezzlement part two
We read about these things happening periodically, an EVE player pulls a runner with some huge amount of ISK and all sorts of drama ensues. It makes me wonder, what has the real life impact of this theft been on those of you involved with EBANK?If you are to trust the forum trolls, EVE is JUST a game. But having spent 2 years on this project, real-life money and a lot of sweat and tears, it hurts to see EBANK's name being dragged through the mud, and putting up with the drama. It of course causes a huge amount of real-life stress, and makes you wonder about a few things. I even almost managed to miss 2 exams, due to having to deal with this. But it also gave us the opportunity to realize just how many people EBANK have helped.2% of EVE's playerbase has an EBANK account, and we came to be the biggest investment venture in EVE, peaking at 2.5 TRILLION ISK. That, to me, is a pretty big thing, which I'm proud to take part in. But I can't answer this question on my own, hence here's my new CEO's take on it:
New perspective on EVE Online's latest bank embezzlement
EVE Online is a deep sandbox game with the most complex player-driven economy found in any massively multiplayer title. There's enough depth, in fact, that players can establish their own financial ventures in-game, in the forms of bonds and IPOs, and even institutions like banks. However, EVE Online is a game where some players create while others undermine or outright destroy. Trust is a valuable and rare commodity in EVE's setting of New Eden; there are always risks of deception and betrayal. But those willing to take risks are generally the ones who are most successful. Of the player-run banks presently operating in the game, EBANK has billed itself as "the largest financial entity ever seen in EVE."The secrets of its success? A solid Board of Directors and knowledgeable staff, various safeguards preventing any one individual from accessing all bank assets and, yes, some of that rare commodity called trust.That trust was damaged recently though, when EBANK's (now-former) CEO Ricdic, well-known to the game's playerbase, embezzled the virtual funds he was entrusted with. Although this is permissible by EVE's developers CCP Games, selling in-game currency for real-world cash is not. Ricdic has been banned from the game but his actions triggered a run on the virtual bank, and have shaken the faith many players have in EBANK. Massively spoke about the incident with LaVista Vista, a former member of the game's Council of Stellar Management who sits on the Board of Directors of this virtual bank in EVE; he also provides commentary and analysis of virtual worlds and EVE on the Eveconomics blog. LaVista told us about the parallels that can be drawn between a banking crisis in the virtual galaxy of New Eden and that of the real world, and how what happens in a game can impact real lives.
EVE Online's largest player-run bank rocked by embezzlement
We've just gotten word that EBANK, a player-run bank in EVE Online self-described as "the largest financial entity ever seen in EVE" has been rocked by embezzlement from its own CEO, Ricdic. The former CEO stole roughly 200 billion ISK from EBANK, which is roughly 8.6% of the entire 2.3 trillion ISK that EVE's playerbase has deposited. EBANK chairman Hexxx has issued a statement on the game's official forums, stating that Ricdic has been banned by CCP Games for engaging in RMT, also adding that the former CEO "has scammed." The loss of nearly 9% of EBANK's deposits is a serious blow to the player-run institution, perhaps as much to investor confidence in the bank as it is to their funds, but Hexxx says their liquidity is still between 400 billion and 500 billion ISK. A June 6th news item on the EBANK site written by bank auditor LaVista Vista states, "We are currently experiencing some technical problems. Therefore, we ask that people do not deposit any ISK, until we have solved the problem." EBANK's director and head teller Athre has now assumed the role of interim CEO, as the EBANK staff determines the best way forward from here.
EVE Online developer Noah Ward on player drama in the sandbox
There's been no shortage of player-driven drama in EVE Online over the past few months. The things players can do within the game is a testament to EVE's sandbox design, but also to the developers who allow the players accomplish whatever their devious little hearts desire. It's true that most who play the game don't embezzle virtual currency from player-run banks, engage in spycraft or turn double agent, much less publicly assassinate another player during a PvP tournament, but all players in the game benefit from the risk these activities inject into the game. It all becomes part of the game's setting and ultimately makes New Eden a gritter place. This is a topic of discussion over at MTV Multiplayer this week. EVE Online's lead game designer Noah Ward (aka CCP Hammerhead) sat down with MTV Multiplayer's Tracey John, to discuss some of the potential within the EVE sandbox. The interview focuses on CCP Games' hands-off approach to what the players are doing in the game. As long as players aren't spouting racial epithets or making real-life threats against one another, EVE's gamers can basically do whatever they choose on an individual or collective level.
Over 80 billion ISK embezzled from player-run bank in EVE Online
The player-driven economy of EVE Online is a major draw for gamers interested in virtual finance, although for very different reasons; some players enjoy managing vast funds in the game, others are primarily in it for a shot at a major heist. Sometimes, even those who start out with the best intentions succumb to temptation. Regardless of the motivations one has to build up (or tear down) something in the game, left up to their own devices, some EVE players aren't simply content with the existing game mechanics when it comes to financial instruments. As such, they've established their own banks, IPOs, and other types of investments. The more reputable banks and funds have built-in safeguards that limit any one employee's access to the deposited ISK, as -- let's face it -- this is EVE and such contingencies are necessary. More than a few players eye that cache of billions of raw ISK, Blueprint Originals, and other assets, and simply want to pull a runner. This has been the case just this week, with the player-run Dynasty Banking, which was apparently taken for billions of ISK by Xabier, the former Dynasty Investments Manager who had access to funds invested by EVE's playerbase.
Establishing trust in EVE's player-run financial institutions
The player-driven economy of EVE Online is very much a playground for those interested in being financiers, traders, or whatever variant of corporate tycoon their greedy little hearts desire in the virtual space. EVE is a far cry from most MMOs in that its market isn't manned by NPC vendors, it's almost entirely player driven and remains dynamic due to the fact that EVE is a single-world game, where all player interactions can conceivably affect the game's economy. For some players, EVE's economics is where they immerse themselves. Indeed, in some cases it's even where they PvP with their rivals in price wars and market manipulations. To them, the market is where they live and breathe, just as much as lowsec is the ideal environment for many pirates, and lawless 0.0 space is where players interested in large-scale alliance warfare feel at home. While EVE doesn't officially support a stock market or banking institutions, the sandbox approach CCP Games took to the game has allowed players to establish their own financial ventures in-game. However, without safeguards put in place by CCP Games, and with New Eden being a place where players can act as they wish, there's always the risk of embezzlement in any large-scale, player-driven financial institution. While it doesn't happen as often as most assume, there have been incidents like the EVE Intergalactic Bank (EIB) scam that have eroded investor confidence in such ventures. Fortunately, not all players are daunted by this, both in terms of those with a vision to establish a financial venture and the investors they rely upon. One such visionary in New Eden is "Ricdic", Founder and Managing Director of EBANK.
IBM's Moscow offices raided in embezzlement investigation
On Wednesday, a team of Russian investigators and a squad of masked, rifle-toting police raided IBM's Moscow offices. Big Blue is currently under investigation in the Russian Federation for allegedly having stolen money from the country's $57 billion pension fund. The Russian Interior Ministry accused IBM and two local software companies of committing conspiracy "to rig auctions and embezzle some of the 1 billion rubles ($38 million) of budget money allocated to the funds for new computers," reports Bloomberg. The spokeswoman of one of the other companies under investigation, R-Style Softlab, said that riot police were deployed at the company's offices for 10 hours yesterday, and "made copies of some documents, took the list of our contacts and copied some electronic mail." This reminds us an awful lot of that Siemens raid that took place last month -- is there some crazy European embezzlement epidemic going on that we should know about?[Via The Register]Read - BloombergRead - IDG News ServiceRead - The Associated Press
GameStop employees allegedly fake PS3 theft
We're not ones to judge individuals who get carried away during the launch of a new console, be they politicians, hopeful campers, or even newbie eBayers. However, we draw the line at the law being broken in order to bag what is essentially a plastic box stuffed full of more plastic. In the latest of a rash of PS3-related crimes, two 19-year old GameStop employees have been accused of stealing four PlayStation 3s and then telling police that armed gunmen had robbed the store and taken the consoles instead. The charges include suspected embezzlement, burglary, and conspiracy, all of which carry hefty jail sentences if the suspects are proven guilty. Still, we all know what the ultimate sentence-based deterrent to this sort of crime is: a lifetime of living under the label of being the bad kind of PS3 fanboy.[Via Joystiq]
GameStop employees fake PS3 theft, face charges
Two GameStop employees were arrested earlier this week in connection with the theft of four PlayStation 3 units. Tauryn Robert Hodge and Gerald Anthony Keys, both 19, face charges of suspected embezzlement, burglary, and conspiracy. Hodge has also been slapped with a charge for filing a false police report.Last Thursday, on the eve of the PlayStation 3 launch, Hodge told police that two armed gunmen robbed his GameStop and made off with four of the coveted consoles. Despite not yet recovering the stolen PS3s, detectives have determined that Hodge and at least one other accomplice were actually the ones responsible for the theft. Both Hodge and Keys have posted bail and are no longer in police custody.[Thanks, Esteban]
Siemens HQ raided by cops over alleged embezzlement
Oh Siemens employees, have you been naughty this year? German prosecutors and law enforcement seem to think so, given that police searched company buildings and employees' residences as part of an investigation alleging that workers embezzled somewhere around €20 million ($25.6 million), and that there was possible fraud, bribery and/or corruption within the company. More than 200 officers, prosecutors and tax inspectors checked nearly 30 business locations in Munich and other sites around the country. To be fair, Andreas Schwab, a company spokesperson, acknowledged that although "certain Siemens employees have engaged in fraud," the company was "cooperating fully" with the investigation. If authorities ever do manage to recover the money, they may have to just accept that the first million was already spent on lifetime supplies of Krombacher and bierwurst -- well, that's what we'd spend it on if we were in Germany, anyway.[Via The Inquirer, image courtesy German Press Agency]Read - Der SpiegelRead - BBCRead - The Associated PressRead - Bloomberg
Eriksson was driver in stolen car crash, says detective
Detective Zack Conner testified that ex-Gizmondo exec Bo Stefan Eriksson was indeed the (intoxicated) driver during the now infamous Ferrari crash this past February in Malibu, ruling out claims that "Dietrich" — Eriksson's imaginary friend — was behind the wheel. In addition to the DUI charge, Eriksson has been pegged with embezzlement, grand theft, and possession of a gun by a felon.The gaming industry's bad boy is no stranger to the criminal lifestyle. He served 5 & 1/2 years in Swedish prison for assaults, threats, and extortion.See also: Ex-Gizmondo exec's bail set at $7.5M, considered flight risk Ex-Gizmondo exec arrested, faces grand theft charges Gizmondo exec's life continues to spiral into infamy [Thanks, elvisizer]
Stefan Eriksson charged with multiple counts
Guess whose favorite scandal-ridden carousing ex-gangster party animal Los Angelean Swede just got charged with felony counts of embezzlement, grand theft auto, driving under the influence, and illegal possession of a firearm by felon? You got it, Stefan Eriksson. who supposedly faces 14 years in prison, if found guilty. What, you didn't think someone this shady was going to go about his business forever more without further question after that fateful evening last February, did you? Oh, and FYI, the handsome, mysterious Dietrich -- the man accused by Eriksson of driving the $1m Enzo into the pole at 160mph -- continues to evade capture, despite prosecuters' claims he does not exist. We have just received word, however, that he was spotted late last week attempting to cross the Canadian border in a Groucho Marx disguise and Ferrari PowerWheels.[Thanks, Alex B]Update: Apparentl Eriksson pleaded not guilty and was held on $5.5m bail. Yo, dudes at Xero Mobile, you wanna help a brother out? Thanks, Freddy.
