02 OctMasdar And The Khalifa Fund For Enterprise Development Join Forces To Boost …

Yesterday, Masdar signed a framework agreement with the Khalifa Fund for Enterprise Development with the goal of enhancing opportunities for Emirati-led clean technology entrepreneurship.

The agreement was signed by Dr. Ahmad Belhoul, CEO of Masdar, and Abdullah Al Darmaki, CEO of the Khalifa Fund for Enterprise Development, at Masdar. Together, the two organizations will explore areas of collaboration in the growing clean tech sector in Abu Dhabi and will work towards fostering greater business development expertise.

With a clear focus on enabling Emirati entrepreneurs, the agreement capitalizes on the synergies to be realised through closer collaboration, innovation and business development. It spans all relevant areas of clean tech enterprise activity encompassing different projects across Masdar, Masdar Institute and the Khalifa Fund.

Masdar will support the Khalifa Fund in developing its most promising clean tech ventures. It will also refer Emirati entrepreneurs to the Khalifa Fund and will explore joint funding of pertinent proposals. Both parties intend to help Emirati entrepreneurs expand their networks in an effort to foster greater business enterprise across the UAE.

The agreement also makes provision for Khalifa Fund related enterprises to enjoy significant benefits when choosing to locate in Masdar City. Qualifying companies are to be exempt from registration fees and first year licensing fees. This builds on an already compelling business case for choosing Masdar City, where entrepreneurs enjoy exemptions from custom duty and corporate tax, and full repatriation of both capital and profits. This comes atop quick and easy business set-up with a lsquo;One-Stop Shop for registration, government relations, and visa processing.

Dr. Ahmad Abdullah Belhoul, CEO of Masdar, said: The clean tech sector holds significant opportunities for the UAE and for Emirati entrepreneurs. Our partnership with the Khalifa Fund will help further develop talent and add to a growing list of UAE clean tech success stories, many of which have started at Masdar.

The combination of expertise and resources between Masdar and the Khalifa Fund means together they can further strengthen the spirit of Emirati entrepreneurship and innovation.

Abdullah Al Darmaki, CEO of the Abu Dhabi Khalifa Fund, said: Building on the strong track record of both Masdar and the Khalifa Fund, there is much we can do to unlock opportunities for tomorrows business leaders. Working together, we will encourage Emirati clean tech entrepreneurs to establish and grow their businesses and contribute to the diversification of the nations economy.

Opportunities for cross-collaboration with Masdar Institutes Innovation Center are also included in the agreement. The Center supports innovation and entrepreneurship within the Masdar Institute, as well as facilitating the translation of academic research into commercially viable offerings. Specific emphasis in the agreement has been placed on developing entrepreneurial know-how through training, coaching, and follow-up courses in disciplines such as management and operations.

Companies that opt to base themselves in Masdar City join an already thriving business community. Leading technology and energy companies such as Siemens, GE, Schneider, Mitsubishi Heavy Industries and Gurndfos are already part of the city, alongside a range of clean tech small to medium enterprises and start-ups.

In celebrating success and raising awareness of Emirati clean tech enterprise, the agreement also includes a focus on encouraging entrepreneurs across the Khalifa Funds clean tech network to enter to the Zayed Future Energy Prize. Since its launch in 2008, the Prize has gained international recognition as a catalyst for innovation in renewable energy and sustainability. It has recognized more than 30 innovators and reached the lives of millions of people worldwide.

02 OctWendy Davis receives endorsements from two area Democrats

Gubernatorial candidate Sen. Wendy Davis picked up the support of two area Democrats today.

Smith County Commissioner JoAnn Hampton and Longview City Councilwoman Kasha Williams endorsed Sen. Davis in her bid for governor because of the senators work on behalf of middle-class Texans, teachers, women and the poor.

The endorsements and ground game by Sen. Davis campaign are part of an ongoing effort to spread the candidates message to potential voters and motivate them to visit polls Nov. 4.

Smith County Democratic Party Chairman David Henderson said Sen. Davis is poised to make a strong showing in East Texas where Democrats havent broken the 30 percent mark in the previous four elections.

There hasnt been a statewide Democrat elected in Texas in two decades.

Mrs. Hampton, Justice of the Peace Precinct 1 Quincy Beavers and Constable Henry Jackson represent the bastions of the Democratic Party in Smith County.

Candidates havent fared well in East Texas, but Henderson believes Sen. Davis is different.

The campaign has staff and volunteers making 1,000s of phone calls and walking neighborhoods daily to engage prospective voters. Henderson said the campaign hopes to translate the blitz into Democrat gains.

The field team is a world apart (from candidates in the past), Henderson said. Sen. Davis is a fighter and shes gutsy and her campaign reflects that.

Mrs. Hampton talked about Sen. Davis public education initiatives, including pre-Kindergarten opportunities for children and low interest loans for college students.

She chided Republican gubernatorial candidate Greg Abbotts continued courtroom fight to maintain more than $4.5 billion in public education cuts.

Henderson said Sen. Davis would end the crony corruption of the old regime. Henderson said Abbott represents an extension of Gov. Rick Perrys insider networks that produce sweetheart deals for donors and political allies.

He noted Abbotts receipt of more than $1.4 million in campaign contributions from donors who accepted millions of dollars from Perrys Texas Enterprise Fund. Abbotts office is in charge of monitoring state accounts and recovering misappropriated money.

02 OctAds in Peters-DeMaio race stretch the facts

SAN DIEGO Two new ads in San Diego’s 52nd Congressional District clash between Democrat Scott Peters and Republican Carl DeMaio portray the candidates in alarming ways while stretching the truth.

The anti-Peters ad says the freshman lawmaker made more than $500,000 by selling stock in defense companies after voting on a Pentagon authorization bill.

The anti-DeMaio ad says he is out to smash public schools and make it more difficult for students to obtain loans for college.

The spots produced by the Republican and Democratic congressional campaign committees on behalf of their respective standard bearers each contain falsehoods.

The ad against Peters

The National Republican Congressional Committee spot against Peters says he made the more than a half-million dollars by voting in favor of House passage of the National Defense Authorization in 2013. The ad says the bill was “introduced for billions in defense industry contracts.” It notes that Peters’ family owns “millions in stock in companies who get those contracts.”

Screen grab of an anti- Scott Peters ad, by the NRCC (National Republican Congressional Committee)

01 OctPeace enterprise

In 1905, a German social scientist and politician wrote The Protestant Ethic and the Spirit of Capitalism. Max Weber argued that capitalism in his part of Europe bloomed when Protestant, particularly the Calvinist, ethic of thrift and hard work influenced many. They engaged in work in the secular world. They developed their own enterprises, went into trade and the accumulation of wealth for investment. This Protestant work ethic, he said, drove the unplanned and uncoordinated and thus influenced the development of capitalism.

As in Europe of the Middle Ages, religions have dominated life in India. The work ethic for capital accumulation and developing enterprise was confined to specified castes in communities. Thus the Bohris and Khojas among Muslims, Baniyas, Marwaris, Chettiars and others among Hindus, were known for their enterprise and success in business and commerce in India and in other countries. Some provinces like Sindh and Kutch also seemed to produce more enterprising people who took to business. The immigrant Parsis took to business and prospered.

Independence changed this. In the 1950s and 1960s, when industrial-licensing and development-finance institutions controlled by the government were the rule, the established communities and castes did well. But many others also entered business. Among them were Brahmins, as in the South Indian groups such as TVS, Amalgamations and so on. This happened in other metropolitan areas as well. Many started workshops for repairs and soon, for original manufacture. The engineering shops in Ludhiana and other parts of Punjab are prime examples. The Apollo tyres group, Mahindra and Mahindra, are examples. Further expansion of enterprise occurred as engineering and technical education took root. The easier availability of investment finance and the spread of the equity cult led to many new entrepreneurs. Preferences for Dalits and Muslims led to their founding manufacturing and trading businesses that grew big.

Business enterprise is fundamental to economic growth and development. Industrial licensing led to many government hurdles in starting new enterprises and their expansion. (The present difficulties in starting enterprises are a legacy.) But many new enterprises did start, based on connections and contacts. After 1991, and stimulants such as lower taxation, many new private enterprises came in. The role of the state-owned enterprises declined though they still dominated crucial areas — minerals, infrastructure and heavy industry. With the technological revolution led by information technology, telecommunications, internet, computers and social media, new businesses came into being. Many were founded by professional managers and technicians. Their religion and caste were not relevant.

Enterprise needs peace, harmony and law and order. Government procedures and inspections must be minimized and clearances made speedy. These minimize corruption. Natural and other resources must be sold in free markets to avoid unsavoury deals. Enterprises must be free to expand production and employment, and to reduce them when times are difficult. What is worst for enterprise functioning and growth is communal disharmony, violence and hatred.

Narendra Modi’s victory was helped by the incompetence and blatant corruption in the United Progressive Alliance-II government, but the untiring efforts of thousands of volunteers of the Rashtriya Swayamsevak Sangh were essential. The Bharatiya Janata Party government’s dilemma is to deliver development while keeping the RSS happy and cooperative.

The RSS is communal, pro-Hindu and anti-Muslim, with many antediluvian ideas, including preference for “swadeshi” to “videshi” and cultural influences. In an increasingly integrated world due to communication and free trade, these ideas are not viable. For faster and consistent growth, India needs investment from all sources and access to technology and markets. We must be open to goods, services, people and ideas.

The RSS and its associates have increased Hindu propaganda; witness Dina Nath Batra’s books extolling the Hindu discoveries in science hundreds of years ago, the pernicious propaganda that Muslims are entrapping Hindu girls and converting them to Islam (‘love jihad’), inflammatory speeches by swamijis and others campaigning for the BJP in the state by-elections, anti-Muslim rhetoric, especially in Uttar Pradesh, and attempts to reinterpret Hindu philosophy that is said to incorporate all beliefs by propagating that other religions are also Hindu.

The government must distance itself from this rhetoric if its development agenda is not to be swamped. The absence of any counter by the Central government could have many negative consequences for economic development. It could revive the Western obloquy of Prime Minister Modi now disparaging India. After he became prime minister, the British and the Americans sent many top ministers to smoothen the relationship. A revived hate campaign against the prime minister in the media in these countries could affect investments into India.

The Modi government has already changed direction in foreign relations, with a strong tilt towards Asia, particularly Japan and China, both of whom have huge foreign exchange reserves and low interest rates. The creation of a development bank with $100 billion to start with is another sign of moving towards Asia. Japan and China were not bothered by the earlier accusations against Modi and, indeed, reached out to him.

In the domestic arena, the rabid Hindutva rhetoric will have the most negative impact. It could result in Hindu-Muslim tensions, even riots, as young Muslims and Hindus move from rhetoric to street actions. Communal violence, especially in our cities, will disrupt normal life, transport, manufacturing, especially the services sector, and the investment climate. It will hit trade. It will distract much top government attention from development issues to dealing with law and order. It will slow down consumption and hence living standards will not rise as desired. Exports will be adversely affected. Tourism will be hit. If oil prices again become volatile, that will add another serious hurdle. Almost certainly, the Pakistan border will become more active. Terrorism, internally, will rise. The development agenda will be adversely affected.

The Opposition parties will mount agitations against the BJP government. As the BJP did to the UPA-II, the minor Opposition parties can paralyze the Lok Sabha despite their small numbers. They will prevent legislative progress in the Upper House. They can prevent reforms of direct and indirect taxation, particularly the introduction of the goods and services tax.

Yet, a BJP government must keep the RSS in a good mood. It needs the RSS to provide it with the foot soldiers during elections. Also, many in the BJP, including the prime minister, grew up in the RSS and will have much sympathy for its ideology and rhetoric.

The challenge for Modi is to reconcile these two conflicting demands — of development and the tilt towards aggressive Hinduism. What it will probably do is walk a tightrope and accept the tilt wherever it will not affect the development agenda and actions. For example, it might introduce Hindu prayers in a bigger way than what is there at present in schools and public functions. It could encourage Ayurveda and yoga and other popular Hindu remedies for better health. It could place restrictions on cow slaughter, which might hit exports but not significantly in overall terms. It might go slow on the special schemes for Muslims introduced in the UPA regime, on the argument that development will uplift all, and there is no need for helping specific groups. It could continue the ‘targeting’ of Muslims whenever there is an incident of terrorism.

It will be sad if the government resorts to practices that do not accept and encourage the pluralism that is India’s special feature. A large majority in Parliament, control of most state legislatures and being feted by many foreign countries vying for a share of the Indian markets will allow the government to do so. But it will harm the desired economic development of India.

The author is former director-general, National Council of Applied Economic Research

01 OctSizzling news – National Bank of Greece (ADR) (NYSE:NBG), America Movil …

Manhattan, NY- 1st Octocber, 2014 (Techsonian) — National Bank of Greece (ADR) (NYSE:NBG) together with its subsidiaries, offers diversified financial services primarily in Greece. The company is involved in retail and commercial banking, investment management, investment banking, insurance, investment activities, and securities trading activities. It offers demand deposits, savings deposits, and time deposits, and current accounts; investment products; consumer loans, personal loans, mortgage loans, automobile loans, overdraft facilities, and foreign currency loans, as well as letters of credit and guarantees; credit cards; currency swaps and options; and ATMs.

National Bank of Greece (ADR) (NYSE:NBG) reported the gain of 2.03% and closed at $3.01 with the total traded volume of 4.09 million shares. Its market capitalization is $10.22 billion. The stock has a 52-week high price of $6.48 and its 52-week low was recorded at $2.90.

To receive alerts before the crowd, text the word PICKS to 33733

America Movil SAB de CV (ADR) (NYSE:AMX) offers telecommunications services in the United States, Latin America, and the Caribbean. It offers mobile and fixed voice services, including airtime, local, long-distance services, public telephony services, and network interconnection services.

America Movil SAB de CV (ADR) (NYSE:AMX) gained 1.78% and ended at $25.20. The total traded volume was 4.43 million shares and market capitalization arrived at $85.56 billion. The stock has a 52-week high price of $26.95 and its 52-week low was recorded at $19.02, while during last trade its minimum price was $24.77 and it gained the highest price of $25.28.

Has AMX Found The Bottom And Ready To Gain Momentum? Find Out Here

Accenture Plc (NYSE:ACN) has completed its acquisition of Hytracc Consulting, expanding Accenture’s hydrocarbon and revenue accounting services that help oil and gas companies more effectively track, manage and deliver hydrocarbons from the wellhead to the sales meter.

Accenture Plc (NYSE:ACN) reported the increase of 1.75% to close at $81.32with the overall traded volume of 5.45 million shares. Its market capitalization on last close reached to $53.63 billion. The company has the total of 631.37 million outstanding shares. Its intraday-low price was $78.84 and its hit its days highest price at $81.77.

For How Long ACN Gloss will Attract Investors? Find out via this report

Royal Bank of Scotland Group plc (ADR) (NYSE:RBS) along with its subsidiaries, provides banking and financial products and services to personal, commercial, corporate, and institutional customers worldwide. Its UK Retail division offers a range of banking products and related financial services to the personal market serving customers through a variety of channels, including a network of branches and ATMs in the United Kingdom, telephony, online, and mobile.

Royal Bank of Scotland Group plc (ADR) (NYSE:RBS) increased 1.71% settle at $11.93. Its total traded volume during last trading session was 842,358 shares. The overall market worth of this company is about $67.05billion. The 52 week range of the stock remained $9.80- $12.47, while its days lowest price was $11.84 and its hit its days highest price at $12.01.

Can RBS Show a Strong Recovery? Find out in This Research Report

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01 OctMinn. families rethink college borrowing

ST. PAUL – With its grassy quad and buildings of golden Kasota stone, the University of St. Thomas in St. Paul seems an idyllic place for college. But it doesn’t come cheap.

It costs $48,000 a year if students pay the full sticker price and live on the

St. Paul campus. More than half take out federal or private loans to pay for it.

For years, loans were the answer to the “How do we pay for college?” question at St. Thomas and universities across the country. But with national student loan debt approaching a record $1.2 trillion, families are rethinking college finance – and starting to avoid borrowing to pay for school.

“Loans have very much a bad reputation,” said Dan Meyer, vice president for enrollment services at St. Thomas.

A recent report from the student lender Sallie Mae suggests the aversion to debt may be broad-based. It found the share of families who borrow to pay for college has been dropping. This year, 35 percent of families took out loans for college, down from a peak of 46 percent four years ago.

Young people are doing lots of rational things to cut tuition or living expenses and avoid debt, said Sarah Ducich, co-author of the Sallie Mae report, which focuses on students ages 18 to 24.

“Seven out of 10 students chose to go to school in-state, they live closer to home or they live at home,” she said. “Half of the students that we interviewed either live at home or with relatives to save on their college expenses.”

The report doesn’t explain why families are so allergic to student loans. But student debt has been getting a lot of negative publicity. Some analysts say the squeeze on young adult finances is dragging down the housing market and broader economy.

Skeptics say the concerns are overblown and counter that the median or middle-of-the-road student loan debt is only $14,000, not a crippling amount.

“Many of the balances are very small – a large proportion of them,” said Eric Best, co-author of “The Student Loan Mess: How Good Intentions Created a Trillion-Dollar Problem.” The heaviest debts are run up by people pursuing law, medical or graduate degrees, he said.

Families clearly want to avoid borrowing, according to Tom Crady, vice president of enrollment at Gustavus Adolphus College in St. Peter, Minn.

It’s not just loans that families are skittish about, Crady said. Families are generally reluctant to spend money on their kids’ education, even if it’s clear they can afford to.

“After the stock market dropped, parents are really careful about spending money right now. They don’t think it’s worth it,” Crady said.

The Sallie Mae report found that when schools are just too expensive many students will simply take a pass and won’t pay with loans or any other means. This year, two-thirds eliminated a college from consideration based on price alone.

Freshman Leah Seibel didn’t have to make that choice. The St. Thomas student is borrowing money but not from a banker. Her parents are lending her money and she’ll pay them back.

Her parents don’t want her to get stuck paying interest on student loans, so they’ll help cover tuition until she can repay them.

“It’s like, ‘Let’s see how much scholarship money you can bring in, and we’ll figure it out as we go,'” she said.

higher education,updates

01 OctHome » Bank reaches $37.5M settlement

A Michigan bank with a large regional presence has reached a $37.5-million settlement with the federal Consumer Financial Protection Bureau.

Troy-based Flagstar Bancorp., the holding company of Flagstar Bank, said yesterday that it has agreed to pay $27.5 million to the agency for borrower remediation and $10 million in civil monetary penalties.

The settlement is related to the banks alleged violations of federal consumer financial lawsshy;, stemming from the banks loss-mitigation practices and default servicing operations, dating to 2011.

The settlement does not include any admission of wrongdoing.

This resolution is in the banks best interest and allows us to continue building a great company that is poised for sustainable, long-term growth and value creation, benefitting our shareholders, customers and the communities we serve, said Sandro DiNello, president and CEO, Flagstar Bank.

The dedicated employees of Flagstar Bank have completed thousands of successful loan modifications and work incredibly hard to meet and exceed the needs of our customers. With this matter now behind us, everyone at Flagstar Bank is committed to building on the significant progress we have achieved, while continuing to operate with integrity, responsiveness and a commitment to our core values.

Flagstar operates in 106 banks in Michigan and 32 home-lending centers in 18 states. It had $9.9 billion in assets as of June 30.

01 OctUnemployment insurance changes hurt families

There are two ways to look at this, from a financial viewpoint or from a compassionate one.

From a strictly financial perspective, this is a no-brainer. Financial advisers and managers will typically advise reducing or even eliminating debt. This saves on interest payments while improving the balance sheet.

From the viewpoint of those losing their jobs through no fault of their own, things look a little different. For a middle class family going from a monthly income of $5,000 ($60,000 annual salary) to $1,400 per month, the question becomes how to pay the mortgage, utilities, food and job-search expenses. How does this affect the rest of us?

When asked what was the next most important commandment after “Love thy God,” Jesus Christ answered “Love thy neighbor as thyself.” He explained this with the parable of the Good Samaritan, showing that everyone, even the most despised and lowly, is our neighbor. In other words, Christians especially are called on to show compassion and practical help for those in need. And yes, compassion usually does cost money. The Samaritan pledged his personal credit for the injured man’s recovery. Would we do the same?

It all boils down to following Christ or following financial advisers. The GOP legislators choose to follow the money, as they seem to do so often. None of that Good Samaritan stuff for them.

This Nov. 4, I hope voters will look at candidates and check how they really behave, and who they follow — God or Mammon.

— Jack Burke


Common sense needed

So sad, the responses of Aug. 19 to my “common sense suggestions” (Letters, Sept. 14). Some espouse absolutely ridiculous suggestions, diverting and avoiding my suggestions of dropping from 170 state representatives in North Carolina to one per county or 100 — stopping them from getting elected simply because they were the only ones running — having one US senator and one US House rep per state and, finally, common sense term limits for all elected officers, federal, state and county.

Alas, it is their type of nonsensical diversion tactics/ideas that will keep “common sense” reform from happening and being brought to the forefront and enacted.

The forefathers never envisioned a few dozen billionaires being able to advertise and try and sway/buy an election and buy candidates and favors. So an amendment to the Constitution to put in place a one-term limit on all elected offices is a must. Don’t be flippant; stick to the issues at hand. You’re not elected by the people and for the people when you have no one running against you and you win by default.

— Ed Miller

China Grove

Beware of balloons

Along with Whitey Harwood’s excellent suggestions for alternatives to balloons, I’d recommend the website www.balloonsblow.org. There are numerous alternatives to balloons, which pollute the environment and harm wildlife.

— Joanne Bryla

China Grove

01 OctHomeowners are borrowing again, as HELOC lending increased 27 percent in …

Is the home refinancing boom over?
Home lending had an incredible two-year period from Q2 2011 to Q2 2013, with $4 trillion in mortgage origination volume; 71 percent of that, or $2.9 trillion, came from home refinancing, said Linda Haran, senior director of product management and strategy for Experian Decision Analytics. A look behind those numbers tells us that the total dollars originated over the past four quarters are about $1.3 trillion versus $1.8 trillion, showing a 30 percent decrease in annual origination volumes from the refinancing boom.

However, those last four quarters show us that the mix of purchase-to-refinance volume has shifted to a fifty-fifty split between refinance and purchase volume activity. This equates to new purchase activity increasing by 22 percent in Q2 2014 from last year, signaling that consumers are getting back into the market. In the long term, this appears to set up the market for continued purchases into spring and summer of 2015.

$35 billion in new HELOC lending from Q2 2014
Home-equity lending increased 25 percent in Q2 2014 totaling $35 billion in new HELOC originations compared with Q2 2013. Looking at the past 12 months, HELOCs totaled $120 billion in new originations, representing a 27 percent increase compared with the previous 12 months.

HELOC lending growth seen across all regions
Double digit growth was seen in all regions compared to the numbers reported one year ago.  The two regions that led the trend in increasing HELOC origination volumes were the West Coast and the Northeast — with 27 percent and 15 percent year-over-year growth, respectively. California accounted for the highest volume of HELOC dollars originated in Q2 with $5.9 billion, followed by New York with $2.2 billion and Pennsylvania with $2.0 billion.

Make sure to join us for the Q3 2014 Experian-Oliver Wyman Market Intelligence Report webinar.

About the data
The data for this insight and analysis was provided by Experians IntelliViewSM product. IntelliView data is sourced from the information that supports the Experian-Oliver Wyman Market Intelligence Reports and is accessed easily through an intuitive, online graphical user interface, which enables financial professionals to extract key findings from the data and integrate them into their business strategies. This unique data asset does this by delivering market intelligence on consumer credit behavior within specific lending categories and geographic regions.

About Experian
Experian® is the leading global information services company, providing data and analytical tools to clients around the world. The Group helps businesses to manage credit risk, prevent fraud, target marketing offers and automate decision making. Experian also helps individuals to check their credit report and credit score, and protect against identity theft.

Experian plc is listed on the London Stock Exchange (EXPN) and is a constituent of the FTSE 100 index. Total revenue for the year ended March 31, 2014, was US$4.8 billion. Experian employs approximately 16,000 people in 39 countries and has its corporate headquarters in Dublin, Ireland, with operational headquarters in Nottingham, UK; California, US; and Sao Paulo, Brazil.

For more information, visit http://www.experianplc.com.

Experian and the Experian marks used herein are trademarks or registered trademarks of Experian Information Solutions, Inc. Other product and company names mentioned herein are the property of their respective owners.


30 SepCalifornia man charged in Erie bank fraud

A San Francisco-area businessman has been charged with running a $1 million nationwide bank fraud scheme that stretched to two Erie-based credit unions.

Alex K. Philip, 30, is accused of using falsified information, such as earnings statements, to successfully apply for more than $1 million in automobile loans, consumer loans and lines of credit from January 2010 to January 2013, according to charging documents filed in US District Court in Erie on Tuesday.

Philip and others ran the scheme through Philip Investments Inc., with bank accounts in San Francisco and San Jose, Calif., the US Attorneys Office said in the documents.

The office is alleging Philip and his company defrauded 21 financial institutions, including the Erie Federal Credit Union and the Erie Community Credit Union.

Philip is accused of the felonies of bank fraud and conspiracy to commit bank fraud. He is not in custody but is scheduled for a plea hearing on Oct. 3 in Pittsburgh.

Philip waived an indictment and agreed to be charged through the filing of what is known as a criminal information. A waiver of a federal indictment often signals the defense intends to resolve the case without a trial.

Philip, according to the charging documents, engaged in a loan program whereby a hierarchy of brokers, managers, processors and straw borrowers falsified bank loan documents to get the loans. The documents included falsified earnings statements, tax returns and employment information, according to the charging documents.

Philip and others involved in the scheme — who were not identified in the charging documents — purchased no vehicles with the phony auto loans, but divided the loan proceeds among themselves, the government alleges.

Assistant US Attorney Marshall Piccinini is prosecuting. Philips lawyer, Daniel L. Barton, of Palo Alto, Calif., did not immediately respond to an e-mail.

ED PALATTELLA can be reached at 870-1813 or by e-mail. Follow him on Twitter at twitter.com/ETNpalattella.