Michael G. Kessler
Encyclopedia
Michael G. Kessler is the founding President and CEO of Kessler International, a United States headquartered forensic accounting
, computer forensics
and corporate investigations firm.
Michael G. Kessler is cited as being the first “Forensic Auditor”, a term originally coined by Kessler, and now widely used within the industry. Forensic accounting is one of the fastest growing professions in the nation.
Michael Kessler has been Chief of Investigations for N.Y.S. Tax and Finance, Director for the N.Y.S. Revenue Crimes Bureau, Deputy Inspector General for the N.Y. Metropolitan Transportation Authority, and Assistant Chief Auditor/Investigator for the N.Y.S. Special Prosecutor.
Kessler has supervised intergovernmental task forces and some of the largest undercover operations ever conducted in New York State.
Kessler’s credentials include Cr.FA (Certified Forensic Accountant), CFE (Certified Fraud Examiner), CICA (Certified Internal Controls Auditor), DABFA (Diplomate with the American Board of Forensic Accountants), FABFE (Fellow status with the American Board of Forensic Examiners)
In 1984 Kessler received the Outstanding Citizenship Award from the City of New York for his exemplary service to the city.
In September 2003 Michael Kessler was elected to the American College of Forensic Examiners (ACFE) Executive Board of Accounting
In January 2006 Michael Kessler was elected the Chairman of the American Board of Forensic Accounting, an advisory board of the American College of Forensic Examiners.
In early 2008, Kessler began investigating fraudulent loan operations and discovered that almost 98 percent of the loan operations paying high rates of return were either a Ponzi scheme
or a pyramid scheme
.
Kessler investigated an alleged Long Island-based Ponzi scheme masquerading as a legitimate bridge loan
company, called Agape World.
Further investigation revealed numerous red flags, leading Kessler to believe that Agape World was in fact a Ponzi scheme, and he alerted the FBI and other law enforcement agencies as to his findings.
Shortly thereafter, the FBI and the USPIS launched their own investigation. Agape World continued to operate, but after the collapse of the Bernard Madoff
Ponzi scheme, Agape World came under increased scrutiny and suspicion by investors, as can be seen on the forums Fatwallet
and ScamVictimsUnited.com, websites in which alleged scams are discussed and scam victims can tell their stories or seek advice.
In December 2008 and January 2009, Michael Kessler received numerous reports from investors in Agape World that the payout dates for various bridge loans were being extended or not paid at all, signs that are usually indicative of a collapsing Ponzi scheme.
In January 2009, Nicholas Cosmo, founder of Agape World, was arrested by authorities and is alleged to have defrauded investors of an approximate total of $370 million.
January 25, 2010, Kessler was hired by the city of Fort Pierce, Florida to audit the city’s Community Services Department and as a result of their work, Kessler recommended the city turn over its findings to the U.S. Attorney’s Office to determine whether criminal charges should be filed.
In March, 2009, the City of Deerfield Beach, Florida hired Kessler International to audit the town's Community Grant department.
Forensic accounting
Forensic accounting is the specialty practice area of accountancy that describes engagements that result from actual or anticipated disputes or litigation. "Forensic" means "suitable for use in a court of law", and it is to that standard and potential outcome that forensic accountants generally...
, computer forensics
Computer forensics
Computer forensics is a branch of digital forensic science pertaining to legal evidence found in computers and digital storage media...
and corporate investigations firm.
Michael G. Kessler is cited as being the first “Forensic Auditor”, a term originally coined by Kessler, and now widely used within the industry. Forensic accounting is one of the fastest growing professions in the nation.
Michael Kessler has been Chief of Investigations for N.Y.S. Tax and Finance, Director for the N.Y.S. Revenue Crimes Bureau, Deputy Inspector General for the N.Y. Metropolitan Transportation Authority, and Assistant Chief Auditor/Investigator for the N.Y.S. Special Prosecutor.
Kessler has supervised intergovernmental task forces and some of the largest undercover operations ever conducted in New York State.
Kessler’s credentials include Cr.FA (Certified Forensic Accountant), CFE (Certified Fraud Examiner), CICA (Certified Internal Controls Auditor), DABFA (Diplomate with the American Board of Forensic Accountants), FABFE (Fellow status with the American Board of Forensic Examiners)
In 1984 Kessler received the Outstanding Citizenship Award from the City of New York for his exemplary service to the city.
In September 2003 Michael Kessler was elected to the American College of Forensic Examiners (ACFE) Executive Board of Accounting
In January 2006 Michael Kessler was elected the Chairman of the American Board of Forensic Accounting, an advisory board of the American College of Forensic Examiners.
Notable Investigations
Agape WorldIn early 2008, Kessler began investigating fraudulent loan operations and discovered that almost 98 percent of the loan operations paying high rates of return were either a Ponzi scheme
Ponzi scheme
A Ponzi scheme is a fraudulent investment operation that pays returns to its investors from their own money or the money paid by subsequent investors, rather than from any actual profit earned by the individual or organization running the operation...
or a pyramid scheme
Pyramid scheme
A pyramid scheme is a non-sustainable business model that involves promising participants payment or services, primarily for enrolling other people into the scheme, rather than supplying any real investment or sale of products or services to the public...
.
Kessler investigated an alleged Long Island-based Ponzi scheme masquerading as a legitimate bridge loan
Bridge loan
A bridge loan is a type of short-term loan, typically taken out for a period of 2 weeks to 3 years pending the arrangement of larger or longer-term financing.-Description:A bridge loan is interim financing for an individual or business until...
company, called Agape World.
Further investigation revealed numerous red flags, leading Kessler to believe that Agape World was in fact a Ponzi scheme, and he alerted the FBI and other law enforcement agencies as to his findings.
Shortly thereafter, the FBI and the USPIS launched their own investigation. Agape World continued to operate, but after the collapse of the Bernard Madoff
Bernard Madoff
Bernard Lawrence "Bernie" Madoff is a former American businessman, stockbroker, investment advisor, and financier. He is the former non-executive chairman of the NASDAQ stock market, and the admitted operator of a Ponzi scheme that is considered to be the largest financial fraud in U.S...
Ponzi scheme, Agape World came under increased scrutiny and suspicion by investors, as can be seen on the forums Fatwallet
FatWallet
FatWallet is a bargain hunting website, centering around a set of forums that allow users to publish deals and rebate offers on a comprehensive range of products and services, though computer-related products and electronics are most prominent in the listings...
and ScamVictimsUnited.com, websites in which alleged scams are discussed and scam victims can tell their stories or seek advice.
In December 2008 and January 2009, Michael Kessler received numerous reports from investors in Agape World that the payout dates for various bridge loans were being extended or not paid at all, signs that are usually indicative of a collapsing Ponzi scheme.
In January 2009, Nicholas Cosmo, founder of Agape World, was arrested by authorities and is alleged to have defrauded investors of an approximate total of $370 million.
January 25, 2010, Kessler was hired by the city of Fort Pierce, Florida to audit the city’s Community Services Department and as a result of their work, Kessler recommended the city turn over its findings to the U.S. Attorney’s Office to determine whether criminal charges should be filed.
In March, 2009, the City of Deerfield Beach, Florida hired Kessler International to audit the town's Community Grant department.
External links
Press Coverage
- Another Ponzi Scheme? Money Manager Cosmo Busted Time, Jan. 27, 2009
- Security Wire Weekly: Security threat landscape SearchSecurity, Dec. 11, 2007
- Sophisticated spam, employee errors continue unabated SearchSecurity, Dec. 06, 2007
- Forensic Accounting: CPA Gumshoes WebCPA, May 7, 2007
- Investors Lose Billions in Stock Scam; Victims Worldwide PR Newswire, Oct. 22, 2003
- Cheap technology fuels rise in counterfeiting USA Today, June 4, 2002