Iowa company CEO indicted

Russell Wasendorf Sr

The CEO of Peregrine Financial Group faces 31 counts of making false statements to regulators.

Russell Wasendorf Sr., 64, was indicted on the charges August 13, 2012 in United States District Court in Cedar Rapids, Iowa. 

Wasendorf was arrested Friday, July 13, 2012 after he was released from a hospital following a suicide attempt.

Just before that attempt, federal regulators reportedly froze all customer accounts at Peregrine Financial after a report showed the company had $220 million less than it claimed in customer accounts.  The company then filed for chapter seven bankruptcy protection. 

The August 13 indictment alleges that Wasendorf caused false reports to be submitted to the Commodity Futures Trading Commission 31 times between February 2010 and June 2012.  If convicted, Wasendorf could face a maximum 155 years in prison and fines of up to $7,750,000. 

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