RBS Ct Executive Gets Jail Time for Embezzlement Scheme
The Connecticut U.S. Attorney’s office has succeeded in convincing a federal judge to thrown former bank executive James Glover in the slammer.On June 1st, Glover plead guilty to stealing more than $600,000 from Royal Bank Of Scotland’s Greenwich Capital trading division. This week, U.S. District Judge Robert Chatingny in Hartford gave Glover, 54, a year and a day prison sentence followed by two years of supervised probation.
According to court documents and statements made in court, Glover was the Managing Director-Settlements and Reconciliations of a Stamford-based Royal Bank of Scotland.
Glover’s responsibilities included transferring funds from the bank to customers to settle or reconcile the customers’ securities transactions. From approximately January 2009 to January 2010, Glover caused nine separate transfers of funds, which totaled approximately $625,000, to be sent from RBS to a bank account in New Jersey in the name of “CPS Funding.”
In transferring the funds, Glover caused fraudulent instructions to be placed into the Company’s operating system to make it appear that the New Jersey bank account was held by an actual customer that was entitled to receive company funds to settle securities transactions.
However, the interstate transfers were not authorized and were not part of any legitimate securities transaction of RBS or its customers. Glover then accessed the CPS Funding account and used some of the funds for his own use. CPS Funding is a similar name of an information systems consulting business that is owned by a member of his extended family.
I reported at Greenwich Time last year Glover executed the embezzlement scheme because he was over leveraged in a commercial real estate project at his favorite upstate New York ski resort.
With RBS turning cash bonuses into a lack luster stock payout in 2009, Glover didn’t have the money to make a $3 million balloon payment on Wyndam project that was secured by his primary Westchester County home. The over build mega million spec home that Glover couldn’t sell, was funded by failed USA Bank. CTWatchdog reported this spring USA Bank executives are currently under investigation by the Feds for allegations of criminal fraud and securities violations.
After RBS caught Glover stealing in late January 2010, it immediately fired him. Although the bank executive returned the stolen funds within two months, the DOJ still demanded jail time.
U.S. Attorney Richard Schechter told the court “Glover reported in excess of $400,000 on his joint tax returns in 2007 and 2008, the years before the thefts began, so there is no compelling economic justification for Glover to abuse his position to steal from the company.”
A spokesperson for the DOJ confirmed Glover doesn’t have to pay monetary fines but will serve 120 hours of community service once he’s out of jail.
http://www.teribuhl.com/2011/09/08/doj-ask-judge-to-thrown-rbs-embezzler-james-glover-in-jail/
PLEASE SEE:
03/21/10 Hearst Newspaper Cover Up: Thin skinned Faux news reporter gets Greenwich Time Investigative Reporter Teri Buhl fired?
03/21/10 Hearst Newspaper Vice President Lincoln Millstein Has Blood On His Hands
03/21/10 Fox News Boy Charlie Gasparino Has No Comment About Teri Buhl's Firing At The Greenwich Time When Greenwich Roundup Called Him Up
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