Danny Porush

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Daniel Porush (born February 1957, Lawrence, New York, U.S.) is an American businessman who has worked in investment banking and mail order. In 1999, he was convicted of securities fraud and money laundering, for which he served 39 months in prison.[1]

Personal life[edit]

Danny Porush was raised in a Jewish family[2][3] and a childhood friend of Steve Madden, founder of Steve Madden Shoes.[2] Porush married his first wife Nancy in 1986 and they had three children together.[4] Following a divorce, in 2000 Porush married his second wife Lisa, they have one child together, and eight between them.[4] They live in Boca Raton, Florida.[5]

Career[edit]

Stratton Oakmont[edit]

Porush helped Jordan Belfort found Stratton Oakmont, a Long Island, New York "over-the-counter" (OTC) brokerage house. Stratton Oakmont developed into one of the largest OTC firms in the country during the late 1980s and 1990s. It sponsored initial public offering for 35 companies, including Steve Madden Ltd., Hemesphere Biopharma, Dualstar Technologies, D.V.I. Financial, Paramount Financial, M. H Meyerson & Co., Czech Industries, M.V.S.I. Technology, Questron Technologies, and Etel Communications. Porush bought out Belfort in 1993 and was C.E.O. and Chairman of Stratton Oakmont.

After receiving numerous complaints regarding Stratton Oakmont, Alabama Securities Commissioner Joseph Borg helped form a multi-state task force which eventually led to the prosecution of the brokerage.[6] It was determined that Stratton Oakmont was involved in pump and dump stock fraud that involved artificially inflating the price of stocks through false and misleading positive statements, in order to sell cheaply purchased stock at a higher price. Once the operators of the scheme "dumped" their overvalued shares, the price fell and investors lost their money.[7]

In September 1999, Porush and Belfort pleaded guilty to 10 counts of securities fraud and money laundering.[8] Porush was sentenced to four years in prison, and was released on probation in 2004 after serving 39 months.[1][9]

In 2013, the story of Stratton Oakmont was made into Martin Scorsese's The Wolf of Wall Street based upon Jordan Belfort's 2007 memoir of the same title. In the film Jonah Hill portrays a character named Donnie Azoff, loosely based on Porush as described in Belfort's book. Porush has stated that many of the book's incidents are fictional.[10] The character's name was changed during movie development after Porush threatened to sue Paramount Pictures if he was depicted.[11]

Medical supplies[edit]

Following his release from prison, Porush became involved with a Boca Raton, Florida-based medical supply and medical equipment company which, according to Forbes magazine, has operated under the names Med-Care Diabetic & Medical Supplies, Christian Diabetics and the Christian Healthcare Network.[12][13] The Med-Care company was the subject of a congressional hearing on Medicare fraud in April 2013.[14][15] In May 2014, Porush's involvement with Med-Care was cited as reason for a portion of the federal "Stop Scams Act of 2014" which would require Medicare providers to disclose their ownership interests.[16][15] In 2014, Porush and five other personnel of the Med-Care company were named in a whistleblower lawsuit alleging fraudulent Medicare claims,[14] but the case was dismissed in federal court for lack of any specific proof.[17]

See also[edit]

References[edit]

  1. ^ a b "From a prison cell to driving Rolls-Royces and hanging out with movie stars: How the REAL Wolves of Wall Street are on top of the world after being released from prison over $200 million fraud". Daily Mail. 2013-04-15. 
  2. ^ a b Pfefferman, Naomi (January 6, 2014). "Jonah Hill’s not-so-nice Jewish guy". Jewish Journal. Retrieved 1 March 2014. 
  3. ^ Goldberg, Jennifer (February 2014). "Oscars are light on Jewish nominees". Jewish News. Retrieved 15 April 2014. 
  4. ^ a b Lewak, Doree (Decmeber 9, 2013). "I was the wife of a Wall Street ‘Wolf’". New York Post. Retrieved 18 July 2014. 
  5. ^ Thompson, Paul (January 18, 2014). "A new $7.5m Miami home and a $250,000 Rolls Royce: The luxurious life of real-life Wolf of Wall Street's partner in crime - and there's nothing his victims owed $200m can do about it". Georgia Newsday. Retrieved 18 July 2014. 
  6. ^ Hubbard, Russell (21 March 2010). "Joe Borg, Alabama Securities Commission boss, has reputation of being tough on crooks". The Birmingham News. Retrieved 25 January 2011. 
  7. ^ "Pump and Dump Schemes". U.S. Securities and Exchange Commission. March 12, 2001. 
  8. ^ "Stratton Oakmont Executives Admit Stock Manipulation". New York Times. 1999-09-24. 
  9. ^ Baynes, Terry; Michael Pell (February 21, 2014). "Health fraud lawsuit echoes 'Wolf of Wall Street'". New York: Reuters. Retrieved 21 July 2014. 
  10. ^ Suebsaeng, Asawin (December 10, 2013). "Dwarf-Tossing, 3-Way With Teen Employee Never Happened, Says Real "Wolf of Wall Street" Exec". Mother Jones. Retrieved 17 January 2014. 
  11. ^ Nehme, Farran Smith (December 21, 2013). "Good Film, Extremely Bad Wolf". Barron's. 
  12. ^ Maiello, Michael; Stewart, Emily (2008-08-21). "Blood Money". Forbes. Retrieved 2014-01-18. 
  13. ^ Crowley, Kieran (2013-04-15). "With film release approaching, 'Wolves of Wall Street' scammers are back on top". New York Post. Retrieved 2014-01-18. 
  14. ^ a b Baynes, Terry (February 21, 2014). "Health fraud lawsuit echoes 'Wolf of Wall Street'". Reuters. Retrieved 2 September 2014. 
  15. ^ a b Green, Laura (May 25, 2014). "Legislation aims to curb Medicare scams". West Palm Beach Post (Washington). Retrieved 8 September 2014. 
  16. ^ "All-out press to combat Medicare fraud". Media Release. United States Senator Bill Nelson. May 13, 2014. Retrieved 8 September 2014. 
  17. ^ Green, Laura (June 26, 2014). "Judge throws out fraud claim against Med-care". West Palm Beach Post. Retrieved 8 September 2014. 

External links[edit]