Russell Wassendorf Senior was arrested for stealing over $100 million from his customers through his business, Peregrine Financial Group. While it is appreciated that he confessed of his crimes, reports say that there is a chance that he wasn’t’ telling the whole truth about where he placed all of his finances, according to the Chicago Tribune. Apparently on July 10 he filed with the courts asking for bankruptcy protection and only three days later was Wassendorf arrested for lying to the court about his assets. At this time his assets are completely frozen pending the investigation. Wassendorf will appeal in criminal court this Friday with a public defender given to him by the courts. It is said that just a day before he filed for the bankruptcy protection, he attempted a suicide and wrote a letter that explained all of the details of his actions. He claims that most of the embezzled funds were spent in various forms such as using it in his business, constructing a new building, and for fines, etc.
Michael Eidelman who received the bankruptcy filing case claims that they believe there is a way to trace where the money is and what assets it is invested into. Eidelman’s goal in this search is to be able to use these funds that are tied to some of Wassendorf assets and give them back to the people that he scammed. Statements have been made by the fraud claiming that there is no money left in any of his properties, though that is a claim that is doubtful. It is said that most of the people that he stole money from have so far not received a penny back from, their losses so Michael Eidelman is hoping to fix that as much as he can in the future. From his investigations Eidelman has concluded that it is likely that the people Wassendorf embezzled money from probably adds up to close to $200 million. Various assets are being discovered that Wassendorf invested his stolen money into; time will tell whether Eidelman and his team will be able to recover the funds for the people.