Royalty scam involving Continental Resources Inc. (CLR)

Excerpt: The conspiracy charge accuses the three men of using their knowledge and access at Continental to identify specific mineral interest accounts that had significant suspended balances and could be fraudulently transferred to them with little chance of being discovered, given that the rightful owners either had died or could not be located.

That charge accuses the men of forging 15 fraudulent deeds that conveyed the mineral interests to various entities they controlled, of filing those deeds in counties where producing properties were located, and then of submitting those fraudulent deeds to Continental, causing it to wire royalty payments of $1.7 million to companies they created.

Once that money had been transferred, the charge accuses the three men of dividing up the proceeds among themselves by moving it into other accounts they controlled.

Great article, glad they got caught. It would have been nice if the article stated how they were uncovered.

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