The New Yorker has dubbed Florida “The Ponzi State” and “ground zero of the national foreclosure crisis.” Last year, Fort Myers and Cape Coral had the highest foreclosure rates of anywhere in the entire United States.

The first part of this decade saw unmatched growth in the Florida real estate market. Home values in Tampa rose 28% in 2005 alone. “Flipping” properties became so profitable and so easy that a whole new industry was born. People flocked to Florida for the sunshine, the beaches and the absence of income tax, especially as Baby Boomers began to reach retirement age. With infrastructure, schools and vital services funded by bonds based on projection for future growth (thus, the “Ponzi scheme” analogy), Florida communities were rocked hard at every level when the bottom finally fell out. (more…)

As the economy sinks lower, newspaper headlines are abuzz with reports of workplace fraud – embezzlement in the common parlance. Federal prosecutors in Tampa allege that this white collar crime occurred at the Tampa Tribune to the tune of about $1 million over ten years.

Federal investigators claim that former Tampa Tribune credit manager Charles T. Wilson and his wife Lynda used his job to steal the money from both the newspaper and its advertisers. They have been charged with mail fraud in the U.S. District Court in Tampa. (more…)

Federal regulators suspended Tampa-based WellCare Health Plans Inc. from enrolling new customers in its Medicare-backed insurance and drug plans this week. Regulators cited several faults for the suspension including the forging of enrollment documents and providing misleading data to potential customers.

A WellCare spokesperson said the suspension is not related to any government investigation nor to the raid on the company’s offices just over a year ago. Rather, she claims that it entirely related to the quality of WellCare’s business practices. Last summer, though, the company admitted that former executives overbilled government health programs by almost $50 million. A government fraud investigation is pending. (more…)

Attorney John Yanchek pleaded guilty to criminal charges relating to an $82 million mortgage fraud scheme in the Tampa federal courthouse earlier this month. The U.S. Attorney’s Office for the Middle District of Florida charged Yanchek with conspiracy, money laundering and making false statements to a federally insured bank. He faces up to 45 years in prison and fines up to $1.5 million. (more…)

Manatee County Judge Doug Henderson threw out evidence gathered at a DUI checkpoint in March, 2008 at a hearing last month. Defense attorneys argued that the Manatee County Sheriff’s Office failed to follow their own guidelines in conducting the checkpoint.  (more…)

After three years of court battles, hundreds of DUI cases in Manatee and Sarasota Counties are now free to proceed. Some cases will certainly be tried, others dismissed. The results of breath tests taken by a machine called the Intoxilyzer 5000 in those cases will not be allowed at trial or may be presented in a very limited fashion. (more…)