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DDC Investigations™ identifies violent gang member connected to job applicant for billionaire’s household staff

A billionaire’s family office recently engaged DDC Investigations™ (“DDC”) to vet a household staff job applicant. The candidate applied to work in one of the billionaire’s residences, and the position would have allowed her to have direct contact with the billionaire, his family and other staff.

While research indicated the applicant had minimal experience, it also indicated she had no criminal record, no civil litigation, no debt and no obvious red flags.

DDC uses a proprietary research method that routinely produces differentiated research results for clients. Research of the candidate’s social media presence indicated she had been in a 4-year relationship with a young man. DDC dug deeper. Research into the boyfriend revealed various photos of him on social media and included evidence that indicated he was involved with a criminal gang that is noted for its extreme violence.

While DDC is the worldwide leader in detailed executive background checks, mergers and acquisitions research, and other investment due diligence, DDC handles each assignment with thoroughness and care, including the background check of household and family office staff.

DDC specializes in detailed research and business investigations and executive background checks on behalf of family offices, hedge funds and private equity firms, law firms and public and private companies worldwide.

DDC Investigations™ is a Florida licensed private investigation agency (License # A1300198) affiliated with Due Diligence Consulting LLC.

The cost of inadequate background checks is higher than doing it right

An estimated 7 million felony conviction records — nearly 25 percent of all felony convictions — are missing from a key federal database that’s used to conduct background checks prior to gun sales, according to a recent Wall Street Journal report.

Due Diligence Consulting (DDC) executive background checks use proprietary research methods
Millions in missing felony records in key database shows importance of DDC’s proprietary background check methods.

Millions of missing records from the National Instant Criminal Background Check System (NICS) used by the FBI and gun retailers have resulted in thousands of firearm sales that should have been blocked, based on statistics compiled by the WSJ. Gaps in the database have occurred for a variety of reasons, including data matching problems and state and local jurisdictions that don’t share their data.

The WSJ story underscores what Due Diligence Consulting (DDC) has long known: criminal and other databases relied on by law enforcement, law firms and private investigators have gaps in coverage. DDC’s proprietary research process starts where our competitors finish. DDC uses multiple databases in its background investigations and researches a person or entity everywhere they have had a contact or connection, collecting data to the most original source level possible.

Recently, DDC discovered domestic violence charges at a local court house that were absent from commercial databases and used by law firms and private investigators. A research service used by law firms missed the information that DDC found for its client.

We call. We check in person. We submit written records requests. Our proprietary research methodology is based on decades of experience that generate differentiated results missed by others. We provide our clients with the critical information that they need to make decisions on investments and key executives.

DDC assists public company in $750 million strategic acquisition

Due Diligence Consulting, LLC (DDC) provided research support and due diligence as part of a U.S. public company’s approximately $750 million acquisition of a private company.

Although the cost was much smaller than its typical transaction, DDC’s client felt the private company was a strategic target of opportunity and that time was of the essence in negotiating and closing the deal. DDC worked quickly with the acquirer to set research parameters and delivered its research, including background checks on key executives, in less than 2 weeks and under the client’s budget. DDC’s research enabled its client to quickly close the deal before other parties could possibly raise the cost of the acquisition.

“Our clients rely on DDC to provide them with critical qualitative information when they are making investments or acquisitions, as well as deliver research on executives when they are evaluating the risks associated with any transaction,” said Peter Barakett, President of DDC. “What we uncover may impact the deal as well as which executives are retained and which are let go.”

About Due Diligence Consulting, LLC — DDC’s clients include Fortune 500 companies, private companies, family offices, law firms, hedge funds, private equity funds, venture capital funds, foundations, and accounting firms. Founded by Peter Barakett, formerly General Counsel and COO for Atticus Capital LLC, DDC focuses on executive background checks and investment related research and provides due diligence for mergers and acquisitions, proxy contests, litigation and special situations. DDC has a global reach, with clients around the world and decades of experience in sophisticated, detailed research in the USA as well as in foreign jurisdictions. DDC has consistently discovered information that others have missed, including numerous instances of corporate and supply chain fraud, as well as CEOs, investment managers and public company board members misrepresenting their education or work experience. In addition, DDC has assisted its clients in avoiding Ponzi schemes and other fraudulent schemes. DDC Investigations LLC is a full service private investigation firm (License #A1300198) and an affiliate of Due Diligence Consulting, LLC.

Contact: Peter Barakett, President, (239) 434-8393 Email: info@DueDiligenceConsulting.com

The Harvard Lie

It’s only March and already DDC has discovered a public company CEO who has lied about having a Harvard degree.

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To most people, it seems absurd that someone would lie about having a Harvard degree and presume to get away with it. But every year for the past 10 years running, DDC has discovered at least one Harvard bluff during the course of a detailed executive background check. What’s more extraordinary is that these public company executives have invariably already been vetted by other background check firms, executive search firms, law firms and journalists. Repetition of the misrepresented Harvard degree adds to the credibility of the lie over time. Certainly, others have checked this out, the thinking goes.

At DDC, we check everything — every time. Public companies, investors and law firms hire DDC to conduct thorough executive background checks to mitigate reputational risks and protect credibility. A misrepresentation by a public company CEO or board member could leave a company vulnerable to an attack by an activist shareholder, market-moving adverse publicity and loss of investor confidence.

Our clients rely on our detailed, thorough checks to spot omissions and misrepresentations like a Harvard lie. And that’s the truth.

 

DDC identifies more than $50 million in assets missed by PIs and forensic accountants

An international law firm recently engaged DDC on behalf of a client to conduct a large-scale search of assets owned by a large, closely-held, private company. Regrettably, the client had already engaged several law firms, two forensic accountants and multiple investigation firms before turning to DDC for assistance at the recommendation of its new counsel. The client had little to show in terms of concrete results from those other firms despite spending more than $1 million in fees.

Corn field close-up against stormy sky

After reviewing approximately 30 percent of past material, the client’s new counsel suggested that DDC and the law firm could best serve the client by starting from scratch, due to the unreliable data produced by other professionals. DDC and the client’s new counsel both determined that the data was improperly sourced and poorly analyzed, which led to incorrect results.

Using advanced data analysis techniques, DDC obtained large-scale data sets and created a proprietary in-house database to utilize in its asset search for the client. With advanced mapping and proprietary techniques, DDC was able to identify more than $50 million in assets missed by other professionals and identify more than a dozen potential joint ventures and related entities for additional research. In less than 10 weeks’ time, and under budget, DDC was able to locate almost triple the dollar amount of assets previously identified, all with proper sourcing appropriate for litigation, as needed.

DDC lights up Times Square

DDC’s news made Times Square. Now others know what sophisticated clients of Due Diligence Consulting, LLC (DDC) already know: DDC is the worldwide leader in detailed executive background checks, mergers and acquisitions research, and other investment due diligence. DDC recently provided research support and due diligence as part of a foreign corporation’s $1.2 billion acquisition by one of the largest conglomerates in the United States. #DDCResults

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DDC lights up Times Square on January 11, 2018: News of DDC’s M&A research for $1.2 billion acquisition made Times Square. #DDCResults

Due Diligence Consulting LLC (DDC) provides research support for $1.2 billion acquisition

Naples, FL — Due Diligence Consulting, LLC (DDC) provided research support and due diligence as part of a foreign corporation’s $1.2 billion acquisition by one of the largest conglomerates in the United States.

DDC-Logo-Trademark-Square-300pxThe cross-border transaction was subject to approval by various government agencies, and a final order approving the previously announced plan of arrangement was issued in September. The deal closed in the fourth quarter.

“We were pleased to provide the target corporation and its legal team with research on the acquisition to assist them in preparing for review by various government agencies of this cross-border transaction,” said Peter Barakett, president of Due Diligence Consulting, LLC. “Our goal is to provide deep-dive, detailed research to assist our clients and help them navigate legal and business risks. In this instance, DDC’s research enabled the target and its counsel to proactively address any concerns that may be brought up in government review of this transaction.”

About Due Diligence Consulting, LLC — DDC’s clients include Fortune 500 companies, private companies, family offices, law firms, hedge funds, private equity funds, venture capital funds, foundations, and accounting firms. Founded by Peter Barakett, formerly General Counsel and COO for Atticus Capital LLC, DDC focuses on executive background checks and investment related research and provides due diligence for mergers and acquisitions, proxy contests, litigation and special situations. DDC has a global reach, with clients around the world and decades of experience in sophisticated, detailed research in the USA as well as in foreign jurisdictions. DDC has consistently discovered information that others have missed, including numerous instances of corporate and supply chain fraud, as well as CEOs, investment managers and public company board members misrepresenting their education or work experience. In addition, DDC has assisted its clients in avoiding Ponzi schemes and other fraudulent schemes. DDC Investigations LLC is a full service private investigation firm (License #A1300198) and an affiliate of Due Diligence Consulting, LLC.

Contact: Peter Barakett, President, (239) 434-8393 Email: info@DueDiligenceConsulting.com

Due Diligence Consulting (DDC) announces promotion and new hire at firm specializing in executive background checks and investment due diligence

Naples, FL, June 20, 2017 (Globe Newswire) – Due Diligence Consulting (DDC), the national leader in executive background research for public companies, family offices, law firms, hedge funds and other investor groups, announces the promotion of Eric Strachan to Director of Research and welcomes national award-winning investigative reporter Gina Edwards to the firm.

Strachan, a former national award-winning journalist and the former Senior Managing Editor of the Naples Daily News, joined DDC in 2014 as a Managing Director.

“Eric’s research, editing and managerial skills are first rate,” said Peter Barakett, President of DDC. “As Director of Research, Eric is well positioned to help DDC continue to consistently deliver background checks and other research reports with a level of detail that exceeds industry standards.”

Strachan brings his background working in a fast-paced media environment to DDC where he understands the time-sensitive requirements of DDC clients who rely on fast and accurate research to meet their decision-making and risk management needs, without sacrificing research depth and accuracy. As an editor at the Naples Daily News, Strachan led the efforts of large teams and coordinated the research of diverse journalists on in-depth projects and breaking news, at times across media properties and platforms in the chain. He brings that logistical know-how to DDC where he is often called on to coordinate DDC background checks, due diligence and research efforts spanning multiple continents on a given assignment.

Edwards, a former national award-winning investigative reporter, specializes in securities fraud, public corruption and corporate crime. During her career, Edwards has uncovered fraud involving hundreds of millions of dollars related to securities, pump-and-dump market manipulation, mortgage fraud, land trusts, insurance, hedge funds, mortgage backed securities and Ponzi schemes.

“Gina’s reputation for research and investigatory excellence was well known to us,” said Peter Barakett, President of DDC. “Her experience and skills are a tremendous asset to DDC and ultimately, to our clients. We are excited to have Gina join the DDC team as a Managing Director.”

While working as a private investigator, Edwards developed key securities fraud evidence on behalf of investors involving Charles Schwab’s $1.3 billion bond mutual fund that ultimately resulted in a $119 million SEC fine and restitution order. Edwards located investor victims around the country and published key investigative stories ahead of indictments in Manhattan in a $100 million mob-on-Wall Street market manipulation case.

A public corruption investigation by Edwards at the Naples Daily News ultimately led to the appointment of a special prosecutor and the arrests of 10 local elected officials and developers. She has received more than three-dozen reporting awards including from Investigative Reporters & Editors, Scripps Howard Foundation, the Society of Professional Journalists and Florida state press organizations. The Florida Press Club honored her with a First Place Freedom of Information Award in 2015 for her reporting and litigation that challenged public records fees.

About Due Diligence Consulting, LLC

DDC’s clients include Fortune 500 companies, private companies, family offices, law firms, hedge funds, private equity funds, venture capital funds, foundations, and accounting firms. Founded by Peter Barakett, formerly General Counsel and COO for Atticus Capital LLC, DDC focuses on executive background checks and investment related research and provides due diligence for mergers and acquisitions, proxy contests, litigation and special situations. DDC has a global reach, with clients around the world and decades of experience in sophisticated, detailed research in the USA as well as in foreign jurisdictions. DDC has consistently discovered information that others have missed, including numerous instances of CEO’s, investment managers and public company board members misrepresenting their education or work experience. In addition, DDC has assisted its clients in avoiding Ponzi schemes and other fraudulent schemes. DDC Investigations LLC is a full service private investigation firm (License #A1300198) and an affiliate of Due Diligence Consulting, LLC.

DueDiligenceConsulting.com

Contact:  Peter Barakett, President, (239) 434-8393
Email:  info@DueDiligenceConsulting.com

CEO who served time for wire fraud had launched a hedge fund from prison

DDC specializes is detailed executive background checks, and often finds information others do not.

DDC was recently engaged by a private equity firm to conduct a detailed background check on the founder and CEO of a privately held technology company.  DDC found that about 10 years ago the CEO was indicted for wire fraud and bank fraud while employed as a trader, and had pled guilty. He was sentenced to approximately 2 years and restitution of over $1mm.  DDC’s research also found that after 2 months in federal prison he formed an entity that he claimed in various bios to be either a hedge fund or a diversified financial services company, and the applicable dates of employment covered his entire sentence plus several other years, less those 2 initial months in prison.  In addition, he later provided our client with a written statement expressing remorse and regret while mischaracterizing the charges, claiming it was “a regulatory matter” and that it was settled without “admitting guilt”.

DDC’s client passed on this potential investment and later provided DDC with a background check done by an investigation firm that was engaged by a potential co-invest partner. That report did not find the indictment, the guilty plea or the prison sentence.

Ex-con fools investment bankers

DDC was recently engaged by a private equity focused family office to conduct investment due diligence on a person and business that claimed to be in the midst of a geographically focused “roll up” of smaller companies in a very fragmented industry in the eastern USA.

DDC found that the founder had been using a similar name to his actual name, was previously incarcerated for fraud, had been banned from the securities industry, had negligible assets while running large expenses (lease luxury vehicle, luxury rental home, etc.), and misrepresented his employment and education history.

During the course of this assignment DDC found that this person had raised almost $50 million from individuals and family offices who were shown the “opportunity” by two different investment bankers. Both investment bankers claimed to have done due diligence on this person and business.

The best way to avoid scenarios like this one is to (1) do a thorough check on a person or entity everywhere there is a contact or connection to the most original source level possible, and (2) do your own due diligence rather than rely on what someone else says they have done (especially if you are not given a copy of the written report).

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Peter Barakett

President

DDC – Due Diligence Consulting LLC

DDC Investigations LLC