Bankster Crime

Exposing Fraud in the Banking System

Featured Story

By SRH,Engaging in cryptocurrency trading can yield significant profits; however, it is accompanied by various risks and challenges. Regrettably, the pursuit of rapid wealth has resulted in the emergence of numerous schemes that guarantee implausible returns.

The prospect of significant financial gains within a brief period serves as a compelling motivation for numerous individuals venturing into the cryptocurrency market. This aspiration for rapid wealth can obscure rational thinking and result in hasty choices.

Indicators of dubious get-rich-quick schemes encompass assurances of assured profits, absence of clarity, urgency in investment decisions, and dependence on recruitment for generating income.

Last year, the employees of Heartland Tri-State Bank, a federally-insured institution in Kansas, transferred over a third of the bank’s total deposits to a crypto scam. The reason? The bank’s CEO, Shan Hanes, instructed them to do so. Hanes fell victim to the enticing promise of quick riches that crypto schemes often advertise.

On Monday, Hanes received a 24-year prison sentence from the U.S. Department of Justice for embezzling $47.1 million through those wire transfers. This was money that he was supposed to safeguard as the bank’s leader. The bank collapsed last July, with the Federal Deposit Insurance Corporation (FDIC) stepping in to protect depositors, while shareholders faced total losses.

There’s a saying on Wall Street: “Bulls make money, bears make money, pigs get slaughtered.” This highlights that excessive greed can cloud judgment, leading to disastrous outcomes for those who become too greedy.

Exactly one year prior to the downfall of Heartland Tri-State Bank, Wall Street On Parade discussed the concept of being “pig butchered,” a term for falling victim to crypto scams. Sadly, the former CEO, now facing prison time, didn’t heed the warning. Prosecutors allege he was ensnared in a pig-butchering crypto scam, which ultimately led to his embezzlement activities at the bank.

In addition to the federal charges resulting in his recent sentencing, Hanes is also confronted with 29 state criminal charges, some of which involve misappropriating funds from a local church and an investment club during his spree of wiring money to the crypto fraudsters. A trial for these charges is set for October.

What stands out about this small bank’s failure is that similar schemes could be unfolding right now in much larger banks across the nation. The Office of Inspector General of the Federal Reserve has released a detailed 27-page report investigating these alarming practices.

Loading

Don't Miss

Stocks Suffer Longest-Losing Streak In Over A Year As Dollar Dump Continues

By StevieRay Hansen

Stocks are down for the 3rd week in a row – yeah we know!!! – leaving levered-call-buying RH’ers facing something they likely haven’t seen in their…

Read More

Ex-JPMorgan Trader Sentenced To 8 Months In Prison For FX Bid-Rigging

By StevieRay Hansen

Two years after former HSBC head of currency trading, Mark Johnson, became the first person to be convicted in a global crackdown of currency rigging…

Read More

Markets Will Crash within Days, Pull Out!

By StevieRay Hansen

But, but, but… The ‘very successful’ IPO of Snowflake now has everyone who bought after its release yesterday now underwater… The Nasdaq is leading the…

Read More

Peter Schiff: The Fed Set The Fiercest Wildfire

By StevieRay Hansen

Wildfires are raging out of control in western states doing millions of dollars in damage and disrupting countless lives. In a recent podcast, Peter Schiff…

Read More

A Staggering 84% Of All S&P500 Assets Are Now Intangible

By StevieRay Hansen

Last week, we brought you some of the latest musing from Bank of America’s Jared Woodard, who in the latest Research Investment Committee report discussed the reason…

Read More

StevieRay Hansen

In his riveting memoir, "A Long Journey Home", StevieRay Hansen will lead you through his incredible journey from homeless kid to multimillionaire oilman willing to give a helping hand to other throwaway kids. Available on Amazon.

LEAVE A RESPONSE

Your email address will not be published. Required fields are marked *