Corona del Mar man charged in fraud

Alicia Robinson

A Corona del Mar accountant was charged Friday for his alleged

involvement in an investment scheme that siphoned more than $45

million from hundreds of investors.

Richard Glenn Dunham, 56, was charged with mail fraud and aiding

and assisting in preparation of a false tax return. He has agreed to

plead guilty to those charges, Assistant U.S Atty. Michael C.

Zweiback said. Arraignment has not been scheduled but is expected to

be within the next month, he said.

RDA Financial Corp did not return calls and Dunham’s attorney,

Marc Tow, declined to comment on Monday.

Dunham, an accountant and financial planner who operated RDA

Financial Corp. in Irvine, allegedly agreed to provide accounting

services and tax preparation to clients and employees of DFJ Italia,

a company that promised investors 24% annual returns on mutual funds

and claimed to be linked to an Italian royal family, according to

charges filed by the U.S. Attorney’s office.

U.S. attorneys believe Dunham was approached by operators of DFJ

Italia in January of 1998 and agreed to offer accounting services and

evaluations of businesses that were prospects for investment or

purchase by DFJ Italia. Dunham also allegedly allowed the company to

identify him as a professional reference and certified public

accountant for DFJ Italia, according to the documents.

“[Dunham] basically allowed [DFJ operators] to generate a document

that they used to sell investments in DFJ,” U.S. Attorney’s office

spokesman Thom Mrozek said of DFJ Italia.

Dunham’s role did not stop there, however, Mrozek said.

“He generated a document on his letterhead, which essentially

vouched for DFJ ... which they circulated as part of their

promotional material,” Mrozek added.

The investors were located principally in Southern California, New

Jersey and Texas, but they were scattered throughout the country,

said Thomas H. Casey, the bankruptcy attorney for DFJ Italia.

Dunham is not a certified public accountant and had not made a

financial review of DFJ Italia’s investment quality, the U.S.

Attorney’s office said.

The maximum penalty for the two charges against Dunham is eight

years in federal prison.

A New York certified public accountant, Stephen A. Ceparano,

already pleaded guilty to conspiracy, mail fraud and wire fraud for

providing false financial documents to operators of DFJ Italia and

has not yet been sentenced, Zweiback said.