Peregrine Financial Group Inc. CEO Russ Wasendorf Sr. could face up to 155 years in prison if convicted on all counts, prosecutors said. His attorney didn’t immediately return a phone message Monday, and the date for an arraignment, where Wasendorf will enter a plea, has not been set. Peregrine operated as PFGBest.
Wasendorf, 64, a major player in Chicago’s futures industry, was arrested last month while hospitalized in Iowa City following a failed suicide attempt outside Peregrine’s office in Cedar Falls. Authorities said Wasendorf left a detailed suicide note in which he confessed to a 20-year scheme to commit fraud and embezzle customer funds.
For any PFG Best Customer, in case you have not seen this:
Important Message for Customers of Peregrine Financial Group and Peregrine Asset Management - Updated on August 3, 2012
As you aware, PFG filed for liquidation in a U.S. bankruptcy court in Chicago and the U.S. Trustee appointed Ira Bodenstein to act as trustee for PFG and its assets, including customer property. On July 13, the bankruptcy court authorized the trustee to continue to operate PFG's business for a limited time in order to (among other things) prepare and distribute final customer statements, and record transactions related to customer accounts. At this time, it is not clear how long it will take to complete these processes or when the trustee will be authorized to release any funds to customers.
The trustee has established a website, www.PFGChapter7.com, that contains information about the PFG case. The website was created to assist the trustee in providing information to customers and to receive comments or questions from customers. According to the website, the Trustee has not yet determined whether PFG customers will need to prepare a claim form. Customers are encouraged to visit the site regularly for updates from the Trustee regarding customer claims.
