David Smith withdraws $20m from local accounts

The Sunday herald of November 22, 2009 reported that David Smith had removed $20m from a local financial institutions, while not taking the institutions involved.

There has been no freeze on his local accounts despite the fact that he ran and ponzi and stole millions of dollars, as local Olint investors have failed to take any action to ensure that the fleecing does not continue.
We wait to see if more funds held locally would be moved as the receiver tries to close in on all the loot that may have been stashed away.

http://www.sunheraldja.com/2009/11/fsc-alert-about-olint/

Stunning new development in the Capital Blu Forex Case !!!

The prominent forensic accounting and consultancy firm Lewis B Freeman has been placed into receivership. So who is Lewis B Freeman.
This was the firm which was appointed receiver for Capital Blu Management, which is the Donavon Davis Jr. led forex trading outfit which ripped off its clients almost US$17M dollars.
The receiver in his last report in May 2009 had then indicated that it had only found approx. $500k and that a significant amount funds were spent on sleaze, booze, vacation and rental.

Lewis B freeman itself has now been placed into receivership as the authorities recently raided the firm trying to trace us$3.6m which is said to be held by the firm.
This is a stunning new development, and the question is can Capital Blu clients now throw in the towel at this stage.

Read more here.

http://www.law.com/jsp/article.jsp?id=1202434695199&pos=ataglance

CashPlus Loot located !!

The liquidator Hugh Wildman is reporting that his team  has located just about US$25M ($J 2.2B) in a overseas account owned by Carlos Hill and his brother Brethram Hill, and that the funds have been frozen.

In a gleaner article published today, Mr Wildman is reported to have said that investors could indeed have a merry Christmas if all goes well. This is indeed a big breakthrough by Mr Wildman and his team.

Recall Carlos Hill had reported(declared) that he had assets of only $111m, but with this find plus the fact that the liquidator is looking at Panama and DR for more funds, investors sure seems to have something to smile about.

Mr Wilman is reporting that he has claim of $J5B, so this find of US$25 of $J2.2B could see those investors getting back something in the order of  44 cents on the dollar. This could be less as with lawyers fees and other related cost this figure may really by 30 -35 cents on the dollar

No doubt there seems to be some hope for CashPlus investors.

For more details see reports.

http://www.jamaica-gleaner.com/gleaner/20091007/lead/lead1.html

Cash Plus Liquidator Finds Possible Hidden Loot

Cash Plus Liquidator yesterday announced, that he had found possible hidden loot of about US $25 million in a Swiss Bank account held in Dubai. According to reports, action has already been initiated to have these funds frozen has the liquidator believes they are rightly belonging to the Cash Plus Investors.

http://www.jamaica-gleaner.com/gleaner/20091007/lead/lead1.html

http://jamaicaobserver.com/news/html/20091006T190000-0500_161288_OBS__CASH_PLUS_MILLION__FOUND_IN_DUBAI_.asp

David Smith Granted Bail

David Smith was granted bail on October 1, 2009 . He and his wife was arrested again on September 28,2009. His wife was granted bail while he was initially remanded on until the Oct 26,2009 court date.

http://www.jamaica-gleaner.com/gleaner/20091003/lead/lead3.html

n.b.

Olint’s David Smith in Jail

There is news that David Smith is now in a TCI jail following being arrested again. It is understood that his wife was also arrested but release on bail.  It is understood that she is pregnant.

According to reports available the additional charges are in relation to the Management of OLINT TCI but no details were forthcoming from the Police.

This the latest twist in the David Smith and OLINT saga which sees OLINT having failed to pay Investors from at  least January 2008.  His offices and home was raided in the TCI in July 2008 and  funds held buy OLINT and  David Smith and Wife in the USA frozen that same month. He as then arrested and charged in February 2009 for fraud, uttering false documents and again in June 2009 on similar related charges.

The OLINT liquidator has effectively declared OLINT to have been a PONZI and have been asking the victims to come forward make state their claims.

The report is this time carried in on Radio Jamaica and  in the Jamaica Gleaner

• David Smith behind bars
• OLINT boss arrested

OLINT Feeder Club Members: File your claim against the respective Club

The Liquidator of OLINT TCI as issued an update in regard to feeder club members. In essence it is directing to investors who invested in investment/feeder clubs, that in turn invested in OLINT, to  file a claim againts that club and not against OLINT TCI.

If you are a member of a feeder club or investment club that invested in Olint TCI Corporation Limited (“Olint TCI”) between the period April 2006 to July 2008, please note that your claim is against the feeder club or investment club and not Olint TCI.

The feeder club or investment club would in turn have a claim against Olint TCI and is required to submit its claim to the Official Liquidator of Olint TCI in accordance with the requirement shown in the Update section of the website.

Source:  Feeder Clubs

That letter

Sometime in June/July 2009 before the August 5, 2009 court case, a statement attributed to Lewfam was issued and can be seen below. The reason for our questioning the authenticy of the statement will become clearer soon

Dear Member,

At this time our situation has not changed. We still await realization of one of the options that we have been pursuing.

As you may have noted, the media has been issuing releases stating that OLINT TCI was audited and is being wound up as per order of the Turks and Caicos courts.  OLINT TCI is a separate organization started by Mr. David Smith in the Turks and Caicos Islands and does not concern us in any way.

Our funds are in OLINT and located on the trading platforms NOT in the Turks and Caicos Islands.

We trust that at some time our funds will be released and Mr. Smith will have an avenue to make payouts.

Please be reminded that the next court date will be August 5th, 2009. Through the Caribbean Currency Traders Association (CCTA) a lawyer has been appointed to watch proceedings on our behalf.

As always we ask you to please continue to pray for the following:

1. Relief for many members who are undergoing hardships at this time;

2. The successful completion of the negotiations;

3. The early resolution to the situation involving our trader’s funds and for him and his family’s well being.

The Management and Staff

LewFam Club

Note: (Emphasis(bold) added)

The lines in bold are very strange and seem to indicate the confusion or denial.

It is almost difficult to believe that such a statement could be attributed to Lewfam.  Lewfam and OLINT were in court together on matters relating to the FSC Cease and Desist order. They lost the appeal in December 2007, and shortly thereafter OLINT payment problems developed.

Lewfam should have been aware the OLINT Jamaica had become the “customer care” arm as mentioned in the Court Documents in the OLINT vs NCB mattter. Therefore to  to say that the issue surrounding OLINT TCI does not concern Lewfam is simply unbelievable and  leaves one to wonder if this is nothing more that a mischievous hand at work.

Here is a statement from another document in the public domain attributed to the OLINT boss.

…after the FSC raid in Jamaica I formed Olint TCI, and the club members of Overseas Lockett International, were transferred to Olint TCI and the Claimant remained the customer service arm of Olint Corp TCI and Overseas Lockett….

If that statement is true, then something in that letter does not add up.

However one thing is clear and seems beyond question is that Lewfam had funds invested in OLINT and therefore investors should have from long looked at their options to recover their funds.

Head the Advice of the Liquidator

The bottom line  is ivestors in investment clubs/Feeder clubs such as SGI Holdings, Lewfam, Wealthbuilders, UWIN, F1 Investments etc if they have not done so should heed the advice of the liquidator.   It has been long argued that these feeder clubs were responsible for allowing to OLINT to flourish by a conduit of funds ,  ‘bypassing’ the cease and desist order put in place by the FSC.  Apart from the clubs there were individual investors who acted as what is now term “Pigs” and the allowed sub investors, “piggybackers”, to invest through them. They also should file claims against their pigs.

Interestingly such advice has already in given to many investors but the question remains how many have actually initiated action or can afford to do so.

The option of filing a simple complaint with the particulars with the fraud squad in Jamaica, the FBI in the USA or local security forces in the respective territory is still an option.

Related

• How OLINT survived
• OLINT NCB the PDF (external site)
• Feeder Clubs (external site)
• OLINT/Lewfam lose to FSC (external site)
• Further Affidavit of David Smith (external site)

Will the former DPP respond to the Deputy Director of FSC challenge ?

Former DPP, Kent Pantry in a speech that was covered by CVM seemed to indicate that the FSC had some responsibility for the collapse of Olint. See his speech at the following link:
http://docs.google.com/www.utech.edu.jm/News_Events/51stAnniversaryLecture.pdf

In response the deputy director of the FSC, George Roper, wrote a letter to the Gleaner: See letter at the following link

http://www.jamaica-gleaner.com/gleaner/20090417/letters/letters2.html

In one section of the letter Mr. Roper said “In light of the foregoing, we think it would be appropriate for Pantry to declare openly whether he has any vested interest in, or relationship with any, of the unregulated investment schemes. Such a declaration would assist members of the public to put his statements in their proper context.”

It should be noted that the raid by the FSC on OLint/Lewfam would likely have revealed the then list of investors to the FSC.

The website www.olintja.com contains  what appears to be a partial list of Olint investors. While investforlife cannot vouch for the accuracy or completeness of the list, based on public responses of people on the list, it is known that the list does contain names of investors.

A look at this reveals that the following names are on the list: Kent Pantry, Carol Panty …

While investforlife cannot verify that these persons were investors or that they are the former DPP or persons related to him, we believe that the former DPP should respond to the letter from the FSC deputy director and reveal whether he did have any relationship with Olint or any other UFO.