I-Trade and Martinez Response Delayed

The NFA is reporting that I- Trade FX and Isaac Martinez’s response, to the June 30, 2008 complaint, should be available on August 15, 2008. According to the NFA information desk, an extension was given and as soon as the response is available it will be posted on their web-site. They further stated that there was nothing to be read into the delay as it is a usual occurrence.

Serious Penalties if found guilty
According to the complaint document, at the conclusion of the proceedings, the NFA may impose one or more of the following penalties:

1. expulsion or suspension for a specified period from NFA membership;
2. bar or suspension for a specified period from association with an NFA Member;
3. censure or reprimand;
4. a monetary fine not to exceed $250,000 for each violation found; and
5. order to cease and desist or any other fitting penalty or remedial action not inconsistent with these penalties.

History
On June 30,2008, the NFA filed a complaint against I-Trade FX after investigations found that I-trade FX failed to file Suspicuous activity Report(SARs) on some transcactions carried out by OLINT, TCI FX, David Smith, Ingrid Loiten of May Daisy and Gareth Harris.

I-Trade FX response to the complaint is of interest to many persons especillya OLINT and May Daisy investors. What I-Trade says might not have a bearing on how quickly persons get back their money but it might just give further highlights into what happened to the money.

The Department of Justice in the United States in a letter dated July 11,2008, later froze all the assets of the said persons/organisations named above in that NFA complaint against I-trade FX. Whether this was conincidence or related no one is sure but reasonable conclusions could be drawn.

MTI on the Defensive?
On Sunday July 27, 2008, Market Trader’s Insitute(MTI) a sister organisation of I-Trade FX, published an AD. That AD it could be said stopped just short of calling David Smith’s OLINT and Ingrid Loiten’s May Dasiy and other Forex Clubs scams and guilty of taken advantage of Jamaican people.

Related:

• I-Trade and the NFA
• MTI says – Scams,Schemes, Scandals! 
• What Happens to the Money in a Ponzi Scheme? 
• Possible Money Laundering Claims hit OLINT

HCU Collapse in Trinidad

The Hindu Credit Union which collasped in Trinidad recently is being compared to the O(Zero) and Cash Minus collapse in Jamaica.

The overnight disappearance of the HCU empire is certainly reminiscent of Jamaica’s severe problems with OLINT Financial Corp and the March 2008 decision of the High Court of Jamaica to place Jamaica’s Cash Plus into receivership on the application of an employee.

HCU and Cash Plus also created subsidiaries in quick time without much attention being paid to the connection between the return on these investments and the returns promised to depositors and the liquidity required to meet depositors’ demands.

It appears that the entire caribbean region is suffering from various financial schemes which intially seemed to be “Godsend” only to fail and bring misery on its depositors/investors.

Full story

http://www.newsday.co.tt/businessday/0,83578.html

Bail conditions relaxed

The Cash Plus three, Carlos Hill, Bertram Hill and Peter Wilson, returned to court yesterday, July 30, 2008 to answer various charges. The case was again put off but news of the day was the decision of Judge to relax the bail conditions. The defence lawyers had argued that the bail conditions was onerous. 

Today the judge agreed and the bail conditions of Carlos Hill and Bertram hill have been relaxed. Bertram Hill is free to travel overseas must be return by the next mention date.

As for Carlos Hill, his attorney is quoted as saying, “Those conditions on our applications have been removed, so he is no longer required to report to the police station, the additional condition that he be at home at six o’clock has also been removed”.

According to Chuchill Neita, Carlos Hill is still making efforts to have investors paid and their the efforts have born some fruit.

After failing to pay investors interest and refund them their principals, Cash Plus went in to receivership in April 2008. The the Cash Plus Group was placed into liquidation at the end of June 2008.

They are to return to court on October 7, 2008

Source: 

• Bail changes for Cash Plus boss (Go-Jamaica)
• Bail restrictions eased for Cash Plus boss(RJR)

MTI says – Scams,Schemes, Scandals!

“There is nothing crueler than a violation of one’s personal trust or an abuse of someone’s loyalty.” That is how an advertistment in the Sunday Gleaner in Jamaica starts. This AD raises more than just a few eyebrows it warrants serious reflections.

Background

To put everything in perperspective let us set the framework. Market Traders Institute(MTI) founded in 1994 is a sister company to I-Trade FX run by the Maritnezs, Jared, Issac, and Jacob. The MTI claims to be oldest FOREX Trading institution around led by President and Founder, Jared F. Martinez who is widely known as “FXChief”.

When David Smith launched the Olint Foundation in November 2007 according to an observer report, Martinez described the founders of the OLINT Foundation as “ordinary people doing extraordinary things ” and he himself contributed Jamaican 10 million dollars.

I-Trade FX even partnered with David Smith in the GotradeJamaica.com project.

NFA revelations

In addition, I-Trade FX is the subject of a NFA June 30, 2008 complaint that named transactions carried out by David Smith, Ingrid Loiten, Gareth Harris, OLINT TCI and TCI FX as suspicious and cited I-Trade FX for its failure to report the suspicious transactions. It further cites David Smith as a one time principal of I-Trade FX, something David Smith does not deny. (see I-Trade FX and the NFA)

I-Trade Fx is named as a defendant in the F1 investment lawsuit of June 26, 2008 against May Daisy. Ingrid Loiten of May Daisy, as mentioned before, is also named in that NFA complaint.

Later in July 2008, a United States Department of Justice letter, dated July 11, 2008, surfaces allegedly freezing the accounts of, once again, David Smith, Ingrid Loiten, Gareth Harris, OLINT TCI and TCI FX. 

Schemes, Scams and Scandals

Now it would be good if the FX chief and the MTI Team would be a little clearer. The major FOREX schemes we know in to be trouble are OLINT, May Daisy and World Wise. There are other little clubs but most are basically affliates and feeders with no traders for themselves.

This AD therefore, coming at a time when many faithful OLINT investors’ faith is indeed being tried is very curious. With the secretly fearing ‘Olinters’ openly positive, and with rumours swirling that OLINT is fake and analysts pointing to scam and PONZI, this is certainly not what anyone would want to hear.

“Given the recent rash of FOREX Trading schemes, scams and scandals”, ….  “while Jamaicans take greater steps to educate themselves and avoid becoming victims of any more scams.“

Those are very harsh words coming from MTI, given that it could be argued that in many ways they gave legitimacy to many of these FOREX clubs. So what is MTI doing now?

MTI Distancing Itself

MTI sorrowfully opines:

“Many Jamaicans have joined various FOREX Investment Clubs to help them take advantage of the money than can be made trading currencies. Unfortunately, It has been many Jamaicans that have been taken advantage of.”

Is MTI now distancing itself from from the ‘star’? What would possess MTI traders to place such an AD in the papers? Is it that they were tricked? Is it that they were part of the situation and are now trying to separate and say, “It wasn’t me”?

• Where was MTI when the FSC was saying, be careful who you give your money?
• Where was MTI when the others were saying, how do you know that these FX companies are not scams?
• Where was MTI when people were saying, ensure the company you are invested with is regulated?
• Where was MTI when the FSC were saying ensure that the principals of companies are “Fit and Proper” and licensed?

Another point of Interest is this statement

“At Market Traders Institute, we are not in the business of taking people’s money to trade on FOREX.”

Listen again to David Smith’s Friday July 4, 2008 interview on Nationwide.(David Smith – Interview)

“There is nothing crueler than a violation of one’s personal trust or an abuse of someone’s loyalty”.  We will add, “With Friends Like These, Who Needs Enemies?”

Click here for the  full text of the MTI AD that appeared in the Sunday Gleaner July 27, 2008

Sources:

• OLINT starts foundation with US$1m to help needy Jamaicans
• High-risk investors have no legal backing

Related

• David Smith – Interview
• I-Trade and the NFA

MTI AD

Here is the Full Text of the MTI AD that appeared in the Sunday Gleaner July 27, 2008

Full Advertisement

There is nothing crueler than a violation of one’s personal trust or an abuse of someone’s loyalty. Many Jamaicans have joined various FOREX Investment Clubs to help them take advantage of the money than can be made trading currencies. Unfortunately, It has been many Jamaicans that have been taken advantage of.

Given the recent rash of FOREX Trading schemes, scams and scandals, MTI is working to help educate the people of Jamaica on the FOREX while Jamaicans take greater steps to educate themselves and avoid becoming victims of any more scams. The FOREX itself is not a scam or a scheme. Without a true education about the FOREX, People can be taken advantage of by some questionable FOREX clubs. At Market Traders Institute, we are not in the business of taking people’s money to trade on FOREX. We are in the business of educating people to trade on the FOREX for themselves.

Market Traders institute is not a club. We are an institution and we are committed to helping the citizens of Jamaica take control of, and improve their personal finances. MTI is trying to correct the misperceptions that many Jamaicans have about the FOREX. While there is tremendous opportunity for profit trading currencies, without a proper education the potential for losses is just as great

Meet Bassilios Hado

As the managing director for Chez Maria Limited, Bassilios Hado works hard for his money, but still see the potential for profits on the FOREX, When first I heard about FOREX Clubs, people trading other people’s money on the FOREX, instead of putting my money with a friend or stranger, I decide to educate myself on the FOREX, After investigation the options from other educational organizations in Jamaica. I discovered that MTI had the greatest integrity. I also learned that MTI was an international organization, teaching people all over the world how to trade currencies on the FOREX

No one cares how much you know. Until they know how much you care.

We are MTI are very sad and sorry that many innocent Jamaicans have been taken advantage of by certain individuals using the legitimate FOREX Market to meet their rouge needs. In an effort to help the citizens of Jamaica recover from FOREX Investments that may have failed, MTI is discounting our educational products and services. We want to restore the legitimate of currency trading in Jamaica. Jamaicans need to educate themselves about the FOREX before investing. Market Traders Institute can help you separate the fore facts from the fiction for yourself. We can help you avoid being taken advantage of. With the right education, you can take advantage of the FOREX.

For comments and discussion visit
MTI says – Scams,Schemes, Scandals!

Sage One: In Vision

And it came to pass that after buning a chalice full of calli weed The Sage One fell into deep meditation and a vision was revealed.

And beheld a small group of denizens who with gnashing of teeth called for brimstones and fire to rain down on he who used to be the Worshipped of The Day. For by now many months had passed since the great consolidation and manna (lint) still had not fallen from “O”enven.

And I speak unto them say “why art thou angry and not of good cheer?”

And they replied as one saying “yu no si di man tek wi moni and gawn?” I enquire of them why their numbers were so small to which they replied “Bwai a nuf piipl get rab but dem shame fi come public, dem no waan piipl si se dem fool fool”.

I enquired of their well being and was “bwai yu waan si di bank tek back di kyaar and wi affi a hide fram di bailiff”.

I the ask them “why did you not heed the warning of the Sage One who prophesied pain and suffering?”

To which they answered: “Yu waan si di money did yuu sweet when it did a run”.

Related

• Reflections by ‘Leminotep Jr’
• Sage One: Troubled Times

OLINT starts to Fight back

Radio Jamaica is reporting that OLINT’s legal team, led by Lord Anthony Gifford, was in the judge’s chambers in the Turks and Caicos on Monday, July 28, 2008. It is understood from the report that they have started presenting arguments why the assets of OLINT should not be frozen.

The assets were frozen on July 14, 2008, two weeks ago, when raids were carried out on OLINT TCI’s office and David Smith’s home. Subsequently their have been reports of the Department of Justice in the USA, in a letter dated July 11, 2008, freezing the assets of David Smith, OLINT TCI, TCI FX, Ingrid Loiten, May Daisy and Gareth Harris held in that country. 

OLINT direct and in-direct clients in Jamaica, the Caribbean, North America will be waiting anxiously for more news. OLINT and it related affiliates and ‘feeder’ clubs have failed to pay clients interest or honour withdrawal request for many months.

Source: OLINT starts battle in TCI

Related

• Olint Raid, Assets Frozen
• Possible Money Laundering Claims hit OLINT

Court Tells NCB NO!

The National Commercial Bank’s  application for leave to go to the Privy Council was this morning turned down by the Court of Appeal. NCB wanted to challenge the Court’s ruling that OLINT accounts should remain open.

Instead, the court has directed NCB to return to the Supreme Court and seek to have a speedy trial. The Court also said that the accounts should remain open until the civil case is dealt with. 

This is another blow for NCB in their quest to close OLINT three(3) accounts, while this is some good news for OLINT and its investors.

Source: NCB application denied – Olint accounts stay open

Related: