OLINT ‘Water’ Boy? No Way!

Mark Wignall has come out kicking against some revelations that if  they are true could raise serious questions. Having read the article he gives no indication that any of those e-mails we have seen have been false.

Instead much time has been spent giving a history lesson of when he started writing, his growth as a writer and involvement in the  OLINT affair.

Where is the proof?

The following quotes are of interest.

“What eventually sold me on OLINT was its ability to sustain the 2006 raid, sustain a 70 per cent withdrawal of funds and still survive.”

This has long been used as a selling point that OLINT was no scam – the ‘survival’ of Olint when the FSC came raiding. This is the problem when you have no transparency. This is not the case of the SEC falling down on their job like Madoff and now Stanford. The FSC wanted information and OLINT refused. Yet, people believed OLINT’s claim about this 70% without one shred of evidence to back it. Where did that figure of 70% come from?  Could it be independently verified? 70% of what, persons or funds?.

“A pyramid-like structure could never sustain such an incursion.”

Here is the problem with that statement.  One assumption being made on the premise that the first assumption  is true. The validity of the first assumption, i.e. the 70%, is not known, therefore the building on it  to declare a truth is not the way to go. Also a Pyramid scheme is defined slightly different from a PONZI.

In the February 2007 article, that appears to be part of the questioning the following quote is found:

“I have been informed that Olint will not be taking in any new customers until a time to be announced, probably in March(2007). The question I would like to ask Rutte Ginpebn is this: If Olint was a PONZI scheme, would it not have failed long ago, with no new funds coming in from the base to feed the top?”

Again, an assumption was made that a) a PONZI can’t last a long time b) no money was coming in. Firstly there are the Madoff and Lou Pearlman examples of PONZI’s that lasted a long time. Secondly, what should also be clear to everyone now is that OLINT survived by taking money through the back door, piggy backers and feeder clubs, and by moving offshore to the TCI and accepting wires there.

I still can’t believe that people ‘in the know’ did not know that Olint had a) so many feeder clubs, (many seen as liars now) and b) that the persons who were old customers could continue to add new money therefore become ‘piggy backers’.

His Defence

Mark Wignall acknowledges;

“It is quite true that one of my main sources was the PR arm of Olint I need to pose these questions”.  (bold added)

Those questions are listed below.

  1. “How many times have journalists, columnists sat down with various PR bodies to pose questions to them”?
  2. “Second, if my general views on the subject, the person or the entity are well known to those bodies, how can it be a secret as to where I may be going with a column next week”?

(see article The OlINT Saga: I was not David Smith’s Boy!)

Good questions, and reasonable answers. However the answer to the second question serves the interest of those looking for an ally, who knows a pawn, in the media. Control the PR getting to that influential journalist, given their known sympathies, and you will be  be sure the support from the masses will grow.

Troubling

There is one e-mail that I found troubling. A certain banker  appears to send an e-mail to Mark Wignall with comments about ‘Literary Genius’ with references to another outspoken anti-UFO banker. That banker it is rumored, had jumbled his name to come up with a pseudonym used in a letter sent to the Observer. What does Mark Wignall do,  he appears to forward the ‘Literary Genius’ e-mail to ‘PR arm of Olint’.

The issue of seemingly sending an article to the group of persons now known as the ‘PR arm of Olint’  raises certain journalistic ethics and integrity questions. Should the subject of every article  therefore be given the right to review the article before publication?  From my research and common sense, such a practice should simply be avoided as it puts the journalist under undue pressure as the subject/representative might want the information toned up or down to suit their purposes.

My Question to Wignall are:

  1. Did he send and receive those emails, including forwarding the one from the Managing Director of a leading bank in Jamaica?
  2. Given what has come to light, does he still believe that OLINT, is not questionable operation much like Cash Plus?

I will add in his defence, sometimes you get used and you don’t even know you have been used. When King David got Joab, his army chief, to send Uriah to heat of the battle, Uriah had no clue that he was been set up.

OLINT vs Cash Plus
The truth is Wignall was a writer whose articles I read regularly. But even before these e-mails came to light and the subsequent innuendoes, I was very disappointed with his handling of the OLINT affair from early 2007. I was very displeased when he attempted to make a distinction between OLINT and Cash Plus, knowingly or unknowingly, effectively ‘unofficially’ declaring one legitimate and the other not.

Indeed ‘Water Boy’ or not, I thought it an irresponsible peice of Journalism. THis is the problem people with influence face. You have to be careful not just with what you endorse, but what you appear to endorse.

So far the main distinction is that one claimed to be dealing in Forex Trading and the other was claim to be conglomerate of companies in everything from real estate, cambio services, telcommuncations, hospitality and more.

THen, neither was  licensed by the FSC, both beleived that the FSC had no right to regulate them, but offered no transparency and no accountability. Then both offered fascinating rate of returns 10% per month in one case and in the other returns that averaged about 10% per month.

Today, they are still not registered or regulated by the FSC in Jamaica.  One is a declared Ponzi and in the hand of a receiver/liquidator and the other probably a ponzi too , and both have had their principals charged for fraud. Today, investors of both clubs are still left holding the empty bag.

BTW: If there are any  laws that this blog is flouting, please let us know by emailing us at hyipmyths [at] yahoo.com. Also the title is not a direct quote but an interpretation.

Reference:

Related:

Advertisements

Sir Allan Stanford Charged with Fraud

Reports are surfacing that Robert Allan Stanford has been charged with fraud. Here is a quote from the BBC

Texan billionaire and cricket promoter Sir Allen Stanford has been charged over a $8bn (£5.6bn) investment fraud, US financial regulators say.

It goes further to say that other persons have also been arrested.

The SEC said the fraud was “based on false promises and fabricated historical return data”.

Three of Sir Allen’s companies have been charged as well as several executives of the companies.

A US judge has also frozen the assets of Sir Allen and the other defendants as well as those of the Antigua-based Stanford International Bank (SIB), the Texas-based investment firm Stanford Group and investment advisor Stanford Capital Management.

Allen Stanford recently hosted a 20/20 cricket competition that paid each member of the winning team US $1 Million dollars. Now we appears that what we had was a No Ball ie. an illigetimate ball. 

Here is some information from the SEC press release

According to the SEC’s complaint, the defendants have misrepresented to CD purchasers that their deposits are safe, falsely claiming that the bank re-invests client funds primarily in “liquid” financial instruments (the portfolio); monitors the portfolio through a team of 20-plus analysts; and is subject to yearly audits by Antiguan regulators.

Source:

Wireless Expressions available again.

Many woke up this morning(February 15,2009) to discover that the Wireless Expressions Olint Blog was not up. Initially, some thought it was a blip but as at 5:00 p.m. the site remained down.

Wireless Expressions has been become a source of torment to some, an eye opener to others and to others, brought a wealth of information.

If 90% of what was posted on that blog turns out to be true, it would support the belief of some, that many Jamaicans, home and abroad, and Caribbean nationals would have fallen victim, possibly to a Forex Trader turn Ponzi Operator or an Ponzi Operator from the get go. A classic case of Affinity Fraud.

What other scams would have been perpetuated no one knows, but charges of uttering false documents and false accounting are serious in and of themselves.

 We hope that the brave souls who have been providing these  telling pieces of information on the wireless Expressions blogs are safe and sound.

While the means of doing somethings might be questionable, the message and the truth delivered must never be ignored.  We encourage people to use the proper means.

Well by the time, I was done writing and editing this, Wireless Expressions was once again available,

By the way(BTW): Investforlife is accepting information. You can slip an email to hyipmyths at yahoo.com. Oh remember to secure or delete it after you have sent it. Keep yourself safe.

This is a public service announcement and this post is likely to be removed.

Related:

Olint, $400,000, Jazz Festival and ….

Investforlife has now seen some most revealing screenshots of emails that now show that what the Bushmaster has been posting is very accurate to anyone who doubted.

Daryl Vaz all but  confirmed that the email was true based on reports carried by TVJ last night

n.b. We know images can be faked and screenshot but note that Daryl confirmation what we already believe lead us to be convinced that the images show are genuine

Higgins Warner announces new payment dates

Max Higgins Warner has announce “new” payment dates on his website.

I suppose by now all Max investors would have recongnized that this man is either really stupid  or just does not know when he has won.

This is what he wrote to his ” investors”.

As of Tuesday, March 10, 2009 loan payments will be paid by bank wire. Bank wire details we don’t have, we will ask for. Please don’t submit your bank wire details unless we ask for it. Also the order of payment will be controled only by Higgins Warner. Do not send us any request for they will not be honoured. Creditors and Lenders will have to wait until they recieve their bank wire. These are hard times through the world, however Higgins Warner will pull through for 2009.

Sign. Emile Maxim St. Patrick Higgins, President/CEO/Chairman
Higgins Warner Group International

I guess he will be the next one in jail, guess we will have to wait and see.

Olint’s David Smith arrested and charged for fraud

Investforlife has received word that embattled CEO of Olint, Mr David Smith was arrested at 3pm this afternoon and charged with 5 counts of fraud. He is currently on bail which was set at US$1M.

According to the  Welcome to Turks and Caicos Net News, the charges are outlined in the quote below     

According to TCI police press officer, Sgt Chase, Smith was arrested on two counts of uttering false documents, four counts of forgery, and two counts of theft; he was subsequently released on $1 million bail and will appear in the magistrate court at a later date. 

Related:

SEC ignored Red Flags

The SEC is being questioned for its failure to take the warnings of Harry Markopolos seriously. In this hearing he raises questions on why the SEC failed to respond to the concerns raised by him and the other three members of his team. In this video clip, Markopolos allegations raise serious questions of the credibility of the SEC.

Questions and Answers

Related:

  • Red Flags Ignoredon Madoff’s Ponzi Scheme
  • Can you all post useful related articles, I will add them here. Please listen and post your responses.