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Koss fraud. Wow, not good.


Hopstretch

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For a bit of irony I figured I'd post this example of how financial institutions treat different levels of customers. I went to my bank at lunch and deposited a relatively sizable sum of cash, as in a wad of $100 bills. I just logged into my account to check on the status of a paypal xfer and saw that they had only credited my account with $1000 and that the remainder of the deposit was "under review". WTF is there to review about actual currency?!?

There's actually a reason for that. The banks are hoping that you'll make a big withdrawal or debit from the account soon after the deposit, so they'll hold part or all of it so they can re-arrange the order of your transactions and hopefully ding you with a shitload of overdraft fees. They do that with regular checks, direct deposit paychecks and wire transfers all the fucking time, and in the last year & half or so they've started doing it with cash deposits.

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There's actually a reason for that. The banks are hoping that you'll make a big withdrawal or debit from the account soon after the deposit, so they'll hold part or all of it so they can re-arrange the order of your transactions and hopefully ding you with a shitload of overdraft fees. They do that with regular checks, direct deposit paychecks and wire transfers all the fucking time, and in the last year & half or so they've started doing it with cash deposits.

I've always had it happen with checks and felt it was perfectly reasonable to do so since it's not like they should be at risk for the check I just deposited. But with fracken cash, I mean come on. And you'd think they'd see I have 10x the deposit amount in other, linked accounts... :palm:

I mean, I'm not a rich man by any stretch but I've never cost this bank a dime.

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too bad the market it isn't really free, because then we customers could shoot bank execs until they stopped doing crap like that. i bet it would take three shootings. the first death would probably be chalked up as a fluke, and then the second as a coincidence, but it's hard to ignore a third. congress sure isn't going to do anything about it.

Unfortunately, other bankers would start aggregating these shootings based on level of violence, location, risk to perp, etc. and would then package them as MBSes for sale on the Street. That's right: Murder Backed Securities, bitches!

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Unfortunately, other bankers would start aggregating these shootings based on level of violence, location, risk to perp, etc. and would then package them as MBSes for sale on the Street. That's right: Murder Backed Securities, bitches!

We'll just have to adapt the wisdom of Shakespeare to the problem at hand.

The solution is simple; kill all the bankers.

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  • 4 weeks later...
So let me get this straight. She had $4.5 MILLION in credit card debt, she found a way to blow $1.4 million on clothing AT ONE SHOP and another $1.3 million worth of clothing at two other shops. Incredible, deviant, I'll have to look this up in the DSM-IV.

So let me get this straight, you thought this was a good first post?

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that wasn't wisdom, the line "the first thing we do, let's kill all the lawyers" was spoken by Dick when Cade was trying to figure out how to overthrow the rule of law and subject the people of England to a hideous proto-communistic state. people would miss lawyers. nobody would miss bankers.

I.... don't like where this is going...

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I read this while visiting the in-laws in Wisconsin this weekend: Theft at Koss blamed on relaxed attitude, lax oversight - JSOnline

'the board of directors barely changed in 20-plus years. And where the company's vice president of finance could move around millions of dollars without approval from above.' and

'Until recently, Michael Koss, who studied anthropology at Beloit College, held five corporate titles: vice chairman, chief executive officer, chief operating officer, president and chief financial officer - a combination that makes corporate governance experts cringe. "Having a CEO/CFO that majored in anthropology attesting to the financial statements - that is troubling for obvious reasons," said Daugherty, who is using the Koss case in seeking funding to conduct a case study of corporate oversight.'

Interesting how the business is run - very family run business with little oversight. It's too bad someone had to take advantage of them and cheat in this way! But also amazing that no one noticed!

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Interesting how the business is run - very family run business with little oversight. It's too bad someone had to take advantage of them and cheat in this way! But also amazing that no one noticed!

Since Koss is known sometimes send out KSC75's in warranty replacement/repair of KSC35's direct to customers, perhaps they presumed no one would notice the happenings behind closed doors.

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That seems completely unrelated. It is entirely normal for companies to replace older products with newer "equivalents" during warranty replacements, and to Koss at least, the KSC75 is probably better than the 35.

Maybe. Nonetheless, I came to understand from Koss that the replacement of the 35's with 75's occurred when Koss had no 35's for replacement. And that was the reasoning for the swap. However, when I spoke to Koss in a later conversation, I was advised that they always had secure levels of stock of the 35's but that they were not sold for a time period for reasons not disclosed.

I was one such person that had a pair of 75's sent to me to replace 35's years ago. (I also prefer the 35's to the 75's for their sound and scaleability with amplification) When Koss again started shipping 35's, they were kind of enough to ship me a pair of 35's for my 75's when I shipped them back at my behest.

I hope it works out for Koss in the long run.

I should have posted a smiley along with my post, as it was also in humor as a post.. : )

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  • 8 months later...

Agreed with both Al and Alex. 11 (federal) years is an incredibly long sentence.

The problem is proportionality. We lock people up for that long for relatively minor stuff. That's how we can have a breathtaking incarceration rate, totally skewed government budgets and a high rate of white collar crime all at the same time. Most societies could only manage one or two of those.

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