To recap the altered cheque story...
1. Petar (PV) allegedly had machinery to sell to G&G Fabricating of Toronto for $143,800. PV deposited a check into your trust account for that amount.
Red flag #1: Did you wonder why PV would deposit the check himself instead of present it to you to deposit? In my experience, this is unusual and I would think for you as well. No innuendo here, just wondering.
2. PV allegedly said the cheque was certified, ostensibly so he could get paid before the fraud was uncovered. You, seeing the funds were available in your account, felt comfortable *immediately* disbursing this money on behalf of Petar. In reality, the cheque was not certified, but because you and G&G had accounts at the same bank it didn't matter since cheques from the same bank clear immediately. It took 2 days for someone at G & G to catch the fraud.
Red flag #2: How were these disbursements made? All by writing additional checks? If so, were they certified? By giving people cash? PV got a cheque for $62,000. Checks can often take 3-5 days to clear at other banks. When the fraud was uncovered 2 days later, was any attempt made to stop payment on these cheques, e.g. PV's?
3. "One of the directors in G & G had a bit of a checkered past but he did not have bank signing authority! The altered cheque (if I remember correctly) was payable to that director for expense reimbursement... The cheque (original) has been produced."
I'm a bit confused here whether there was one cheque or two. From the above it sounds like said director wrote a petty cash cheque to himself.
Red flag #3: But if this director did not have cheque writing privileges, seems to me this is a smoking gun he committed fraud regardless of PV. But it doesn't sound like the company pursued it. Right?
Scenario "A" would be that PV got a hold of this cheque (e.g. he was given it by this director or stole it) and somehow altered the payee and the amount. Did said director ever report he had a cheque stolen? Scenario "B" would be that a second cheque was created from the first, hence an original and a copy. Which is correct? Who signed each cheque?
4. PV claims the cheque was legitimate, i.e. for a piece of machinery worth $143,800 that was picked up by someone from G&G. No one has ever found this piece of machinery nor the person who PV says can vouch for the fact it was picked up. So PV claims he was the victim here. Unreal.
Thanks!
- Jeff |
