Monday 24 September 2018

The ‘red flags’ Appian money minders missed

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THERE were a number of warning signs from the fraudster who successfully swindled €650,000 from Appian Asset Management that were missed.

These “red flags” included the fact that the investor had clearly indicated that his strategy was to hold his investments for the long term.

Within two months of him making the investment Appian was supposedly receiving emails from him seeking to liquidate a large portion of the funds.

The English used in the emails was poor, with spelling mistakes and bad grammar.

Appian was asked to sent out the money in small amounts to a third-party. The fake client’s British bank returned one tranche of funds on three occasions to Appian because incorrect account names and bank identifier codes were used.

Appian was “baited” into believing the fake client would invest €2m with it after selling a Swiss property.

Online Editors

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