Going deep on the MyPayrollHR fraud with Wendy Slavkin of Cachet Financial Services

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Show Notes

• 01:41 – General Counsel Slavkin describes Cachet Financial Services as a sort of third-party vendor for payroll processing companies.  
• 05:59 – Every ACH provider has their own patented process for payroll 
• 06:45 – How MyPayrollHR’s owner, Michael Mann, did the deed, in technical detail  
• 09:03 – Slavkin claims the  assorted employee banks are to blame for the whole payment reversal fiasco 
• 10:32 – According to Slavkin, banks have 60 days to either accept or reject reversal files 
• 11:29 – Cachet eventually decided to return all funds to the affected employees, using their own funds 
• 12:10 – Though Cachet covered the payroll, some employees have yet to receive their funds back 
• 13:32 – Slavkin notes that employee banks are waiving overdraft and other fees related to this incident 
• 14:18 – NACHA’s statement re payroll-deposit reversals | Personnel Today  
• 14:38 – Slavkin doesn't agree with NACHA's claim about reversing payroll deposits.  
• 16:21 – Lesson learned: ABC - Always Be Cautious ... Before the MyPayrollHR event, Cachet never had controls in place to detect fraudulent activity from the client side. Now, after the fact, they do.  
• 18:56 – According to Slavkin, Pioneer Bank is holding at least some of their money "in trust" ... They just have to find a way to get it. 
• 23:18 – Timeline of the aftermath – from discovery through contacting FBI and more 
• 24:38 – Wall Street Journal reports that Mann is cooperating with the U.S. Attorney and FBI ... | The Wall Street Journal  
• 25:02 – Where in the world is Michael Mann? Either nobody knows, or they're not saying
• 26:30 – Blood and turnips - Slavkin was unable to accomplish much of anything when she contacted the FBI for help 
• 31:50 – Pioneer Bank – another victim? | Times Union  
• 33:30 – Was this a crime of desperation, or a crime of greed? 

Connect with Cachet Financial Services

• The Cachet Crisis Hotline number is 877-579-8557

Connect with Our Guest, Wendy Slavkin, General Counsel for Cachet Financial Services

• http://slavkinlaw.com
• https://twitter.com/slavkinLaw

Get in Touch

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