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.
