Report says Parish kept $7.7 million
SEC papers reveal what former investment leader allegedly spent
The Post and Courier
Al Parish
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During good times and bad, failed investment leader Al Parish lined his own pockets with more than $7.7 million until his overly ambitious world of investment pools collapsed, court documents filed Wednesday contend.
A new report tallies the amount that the former Charleston Southern University professor allegedly spent on himself, his family and his businesses from those who gave him money to invest.
Parish began recruiting investors as early as 1997 and reportedly squandered, mismanaged or stole $80 million in total.
"Based upon information currently available to us, it appears that not less than $7,702,837 in investor proceeds were used for the benefit of Defendant Parish," documents filed by the Securities and Exchange Commission say.
The figure was identified as part of the government's civil request to claim all of what essentially is considered ill-gotten gains from Parish's collapsed empire.
The money likely will never be collected, since most, if not all of Parish's assets, possessions and investment have already been identified, sold or marked for sale, with the proceeds earmarked for his almost 500 aggrieved investors.
"Declaring the amount owed and collecting the amount owed are two different things," Parish's attorney Andy Savage said Wednesday.
Savage said the figure is favorable to Parish because the accounting shows there are no hidden assets or overseas accounts, which some had suspected when Parish was indicted more than a year ago. "The initial impression was that he absconded with all these monies," Savage said.
Parish, 50, is expected to be sentenced for his criminal violations June 26 in Charleston. In October, he pleaded guilty in a massive case of investor fraud that registered hundreds of victims in what authorities called a Ponzi scheme. Many were lured by promises of stellar returns from his four self-created investment "pools," that later became worthless. Recent estimates put the total loss figure at about $79 million, which is down from the $90 million used earlier.
Under a plea deal, the number of criminal fraud charges against Parish was reduced from 11 to three, which carry a maximum of 45 years total behind bars. Prosecutors are expected to recommend at least three decades in prison for Parish.
Government investigators pieced together Parish's spending by tracing some 15,000 transactions. In addition to withdrawing those funds to bankroll his lifestyle, Parish used "pool" proceeds to buy goods for his investors and even pay some of their utility bills.
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Comments
southerngirl45 (anonymous) says...
stand828 I totaly agree. I'm speechless in this one!!!
June 12, 2008 at 8:19 a.m. ( permalink | suggest removal )
number1volsfan1 (anonymous) says...
This slimy piece of crap deserves everything the jurors have in store for him.
June 12, 2008 at 8:23 a.m. ( permalink | suggest removal )
Tulane75 (anonymous) says...
The jurors don't have anything in store for him. It is my understanding that he has already entered a guilty plea. At this point, it is a matter of sentencing in which the amount of loss will play a part.
June 12, 2008 at 8:31 a.m. ( permalink | suggest removal )
JC (anonymous) says...
His wife should be going to jail with him. She new what he was doing and helping to spend that money..why else would she have been trying to transfer funds when it was all coming down? The court is (or at least was)giving her more money a month to live on than a lot of people make by ACTUALLY WORKING! Isn't that something, letting her continue to live off of what they stole!
June 12, 2008 at 9:33 a.m. ( permalink | suggest removal )
sbs920 (anonymous) says...
G R E E D. . .
Plain and simple folks, both investor and investee played parts is whole debacle. Investees looking to make huge profits without checking egghead's credentials, buncha of greedy sheep. Egghead exploits are unforgivable. Hope Fat Al-bert makes some new friends in the slammer. . .
June 12, 2008 at 9:36 a.m. ( permalink | suggest removal )
hhjames50 (anonymous) says...
You guys do not seem to know a thing about managing money. If Parish managed 79 million for 10 years, and only kept 7.7 million which is under 1% a year, he charged a bunch less than a normal manager. That amount included business expenses. He should have charged double that and maybe he would have had enough help to manage the money better. And if he was paying utility bills for his investors, he should have been charging a whole lot more than that. Prison time for this guy will just cost the taxpayers a ton of money taking care of him and get no chance of restitution for the investors.
June 12, 2008 at 10:50 a.m. ( permalink | suggest removal )
SuzieQJones (anonymous) says...
There are no jurors, he plead guilty, Judge Norton will sentence Mr. Parish. Of course the wife must have had some idea of what was happening; they couldn't have lived the way they did (multiple homes, private schools, fancy cars, private jets) on a Charleston Southern professor's salary. She received one payment of $11,000 only (bet that didn't last very long). The majority of investors were told they would make around 9%, that is not so stupid or greedy. He did not charge the investors to manage (steal) their money. I believe the reason he paid utility bills for investors is that it came out of their individual accounts and he handled it because it was easier for the investor. Investors requested that the U.S. Attorney's office address the issue of restitution. From what I have read in the Post & Courier, Charleston Business Journal, and the receiver's website the above is all true.
June 12, 2008 at 11:26 a.m. ( permalink | suggest removal )
hhjames50 (anonymous) says...
raregar67..For your information, I have never met Parish or anyone in his family. If he had 79 million to invest and kept 7.7 million for himself and running the business, then the other 70+ million had to be used to return to investors or to invest in the things he bought for them; there is no other possibility based on simple logic. The receiver is expected to return at least 20% to investors so the investments must not have done so well or the receiver is not doing so well selling them. Again, no other possibility. If investors want any hope of restitution, they better hope Parish gets a really short sentence. From what the paper has reported, his health is not going to give him much time repay anything. So is it justice people want or vengeance?
June 12, 2008 at 11:47 a.m. ( permalink | suggest removal )
Girleygirl (anonymous) says...
Style???
Yeah stylish mind to take what's not his. Looking like a big over grown rainbow with CoC pot of gold!
Tp- LOl Stylish huh....I hope you don't follow his path and follow the advice of what a rich keebler elf would like like..
I agree with your post except for the style part... :>)
June 12, 2008 at 1:18 p.m. ( permalink | suggest removal )
Girleygirl (anonymous) says...
LMAO @ TP
No Jabba was the internet child porn guy with 3 necks AL is actually the father from Family Guy
June 12, 2008 at 1:53 p.m. ( permalink | suggest removal )
simon_birch (anonymous) says...
WE SHOULD MAKE HIM RIDE A BICYCLE AROUND CHARLESTON EVERYDAY FOR A YEAR AS PARK OF HIS COMMUNITY SERVICE!IF HE SURVIVES..MAKE HIM GO AGAIN...
June 12, 2008 at 2:38 p.m. ( permalink | suggest removal )
Weeeee (anonymous) says...
"Don't ask why preacher gotta nice house or why preacher gotta nice car. Don't askkkkkk. I said. Don't asssskkkkkk no questionnnnsssssssss!"
June 12, 2008 at 4:09 p.m. ( permalink | suggest removal )
redman1959 (anonymous) says...
Girleygirl....does Al have b.lls on his chin?
June 12, 2008 at 4:30 p.m. ( permalink | suggest removal )
Reader (anonymous) says...
HHJames asked, "So is it justice people want or vengeance?"
Sometimes vengeance IS justice.
June 12, 2008 at 4:31 p.m. ( permalink | suggest removal )
Girleygirl (anonymous) says...
He got something on his chin....looks more like soccer balls
June 12, 2008 at 4:32 p.m. ( permalink | suggest removal )
whome (anonymous) says...
hhjames. sure, the amount he collected was less than what a normal money manager would receive. the problem is that he kept fraudulent books, which allowed him to keep receiving funds.
June 12, 2008 at 5:10 p.m. ( permalink | suggest removal )
hhjames50 (anonymous) says...
whome... right you are and Parish should be punished for fraudulent books. But the reporting on this case and this paper appears very biased if not incompetant to me. The paper suggest he stole almost 80 million and has suggested that for over a year. That has now been shown to be false. If Parish used only 7.7 million, way less than a legitimate management fee would have been, then he could not have been operating out of greed since most of that money had to be used for running the business. The rest had to be invested or returned to investors so why are the investors not getting more money back.
June 13, 2008 at 12:02 p.m. ( permalink | suggest removal )
thamesttp (anonymous) says...
Now that Parish is about to be sentenced and sent to prison this world class con man, and his lawyer, are trying to con the judge by feigning heart problems. This guy should be in prison the rest of his life and if he has heart problems and dies in prison, so be it.
June 21, 2008 at 7:24 a.m. ( permalink | suggest removal )
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