Whistleblower speaks out

We received a comment on a blog that I wrote last August that we cannot publish entirely because it violates our comment policy. But the commenter made some valid points that we think should be addressed.

In the blog I talked about how fast a Google post brought Earl Jones to the public and Quebec enforcement agencies’ attention. I also lamented that even though the word spread fast once the whistleblower put the information on the internet, it was too bad that it took so long for people to become suspicious.

This comes from the whistleblower: “Although Earl Jones himself was not registered, legitimate banks like RBC and later BMO allowed Earl Jones to perpetuate his Ponzi scheme unchecked for nearly 30 years. Registered financial advisors transferred money to Earl Jones, often without proper authorization, because he was well known in their milieu .…”

I agree that we need to train banking personnel to help detect suspicious activities when dealing with clients’ money. We need more eyes and ears in the financial system overall aware so that such frauds can be prevented.  Two years ago, we developed an online fraud awareness program for front line staff working in BC credit unions. We also met with the Canadian Bankers’ Association urging the banks to train their staff in a similar fashion. I applaud the whistleblower for making this point.

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