[ by Melanie Gretchen ]

Peregrine Financial Group's former CEO should be sentenced to the maximum 50 years in jail for his crimes, U.S. prosecutors said.  At issue is whether the amount of money Russell Wasendorf Sr. stole from customers of his now-defunct futures brokerage was more or less than $200 million.

Federal Findings and Allegations. Prosecutors say that that amount totals more than $215 million, which, with the sophisticated nature of the crime, and the sheer number of victims – more than 10,000 – justify him spending the rest of his life behind bars.

"While some of defendant's individual acts might be characterized as simple in isolation, they were part of an exceedingly complex scheme whereby defendant's entire business was used as a mechanism to gather and purloin investor funds." -- prosecutors, in their sentencing memorandum, promising to fight any attempt by Wasendorf to receive a sentence of less than 50 years.

Wasendorf, 64, pled guilty to embezzlement.  He has requested a lighter sentence, having used "very basic, simple means" to carry out his fraud, according to documents filed by U.S. prosecutors.  He will be sentenced on 1/31/13, before which Brenda Cuypers, the firm's CFO, will testify on behalf of the prosecutors.

For further details, go to [Reuters, 1/22/13].