1. Busted

    Peregrine CEO Pleads Not Guilty

    Celebrating the success of the ABC7 Jim Gibbons 10th Annual 5K Run, 3K Walk and Survivors' Strut, June 17, are: Olympic legend Frank Shorter; sponsor Russ Wasendorf, Sr., Peregrine Financial Group; Leukemia Research Foundation President Rob Grabemann; ABC7’s Janet Davies; and The Foundation’s COO, Kevin Radelet. The race raised more than $130,000 towards the mission of the Leukemia Research Foundation: to conquer leukemia, lymphoma, and myelodysplastic syndromes by funding research into their causes and cures. www.leukemia-research.org. (PRNewsFoto/Leukemia Research Foundation)

    Leukemia Research Foundation / PRNewsFoto / AP Photo

    The CEO of failed futures brokerage firm Peregrine Financial Group pleaded not guilty on Friday to charges of lying to federal regulators. Russell Wassendorf Sr. was arrested last month after a suicide attempt put him in the hospital. His firm filed for bankruptcy protection on July 10, after Wassendorf's suicide note revealed that he had been stealing from customers for 20 years. He now stands accused of misappropriating more than $200 million of customers' money and has said that he misled auditors using "little more than a post-office box, laser printers, and Photoshop software.” The latest plea is likely part of an agreement with prosecutors.

    Read it at Reuters