Wednesday, July 26, 2006
Tuesday, July 25, 2006
Two former executives of a failed Southern Baptist foundation were convicted here Monday in what prosecutors said was the nation's largest fraud ever targeting members of a religious group.
William Pierre Crotts, who was president of the Baptist Foundation of Arizona, and Thomas Dale Grabinski, the group's former chief legal counsel, were each convicted of three counts of fraud and one count of conducting an illegal enterprise in a scheme that lasted decades and cheated 11,000 investors across the country of about $585 million.
Monday, July 24, 2006
The Food and Drug Administration is expected to announce Monday an effort to write guidelines detailing the kind of industry ties that are permitted for those who serve on its powerful advisory boards.
The agency is hoping the move will appease some of its critics who have complained for years that those who sit on its boards often have such deep financial ties to drug makers that their advice is tainted. Advisory boards recommend drugs for approval, and their votes can have enormous influence on drug company stock prices.
"I think you should investigate mutual funds," said a clearly nervous female voice.
The anonymous phone message, left with a staff lawyer for New York Attorney General Eliot L. Spitzer, touched off an intense investigation of the mutual fund industry in the summer of 2003. Spitzer, the ambitious prosecutor who had just nailed Wall Street investment banks for sending out biased stock research to investors, was looking for a new target. The $7 trillion mutual fund industry, which had been largely scandal-free for decades, was ripe for exploration, especially given the fees they charge investors for handling their money.