Accounting Firm Sanctioned For Holding Ponzi Schemer Docs

Law360, New York (April 8, 2013, 6:13 PM EDT) -- A bankruptcy judge in Washington state on Friday sanctioned public accounting firm Moss Adams LLP, saying it had failed to take reasonable steps to comply with a subpoena seeking records of convicted Ponzi schemer Frederick Darren Berg, the imprisoned founder of defunct investment company Meridian Mortgage Investors.

U.S. Bankruptcy Judge Karen A. Overstreet held that after Moss Adams was served with a subpoena from the Chapter 11 trustee for seeking all documents concerning Berg and several Meridian funds, it issued no document retention policy or litigation...
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