• August 5, 2015

WreckageAnother pyramid scheme collapses. Another accounting firm (Eide Bailly) is sued. And then sued again.

First a bankruptcy trustee sued Eide Bailly. After Eide Bailly lost its motion for summary judgment on a claim for aiding and abetting a conspiracy in that action, Eide Bailly settled the bankruptcy trustee’s claim.

Some fraud victims opted out of assigning their claims to the bankruptcy trustee. And now it is their turn…

Check out the complexity of the financial fraud (Complaint, Paragraphs 42-134)As just mentioned in a post yesterday, when you plead fraud, the law requires a little extra. The plaintiffs in the case against Eide Bailly took that obligation extremely seriously with a 76 page complaint (and without stuffing it with oddities as some voluminous complaints do)

I think I would have to get an accounting degree to understand the allegations of the complaint and form an opinion as to whether Eide Bailly was a perpetrator or is itself another victim.

Leave a Reply

Your email address will not be published.