Madoff to plead guilty, could face up to 150yrs

In a courtroom surprise, it was revealed Tuesday that Bernard Madoff will plead guilty Thursday to securities fraud, perjury and other crimes, knowing that he could face up to 150 years in prison for one of the largest frauds in history.

Considering what is likely to happen in the largest ponzi case in history, people like David Smith, Carlos Hill  and Noel Strachan have so far gotten away scotch free due mainly to the reluctance of “wronged” investors to pursue the case in court, and also due to  rampant corruption in Jamaica.

The speed of this case is really amazing considering the scale of the fraud that has taken place, and really shows the USA is very serious when it comes unto these so called “white collar” crimes.

It’s a pity that Jamaica has failed to take a page out the USA book as it relates to these types of cases.

Noel is living large in the USA,David Smith is using investors money to pay his legal fees, and Carlos Hill still gets to drive around in his car which was “siezed” by the Jamaica police.

Full Madoff story here:


47 Responses

  1. Members of the Jamaican judiciary and associated persons are well known to be investors in the UFO/AIS scams in Jamaica. Members of the FSC in Jamaica are also known “investors.” Lawyers, doctors Indian cheifs are “vested” in the scams as well. All remain still at best human beings. So when one speaks of “cases” do not forget these important truths.

    If Lawyers brave enough to take people’s money that David Smith or the other scammers use then that is a choice that is theirs. They are adults and have their own free will.

  2. jayjaybrown97

    You are oversimplifying and it can be misleading. The Madoff case only started when he made a confession.

    The intriguing question is why did he confess? The answer is by no means obvious.

  3. Bob, the Madoff investigation did not start at his confession. The affidavit by the anonymous expert (the link to which appeared on the internet was dated 1996.) In the case of Smith they have essentially confessed and more recently been defrocked before their most doting fans.

    The difference might be differences in the legal representation of both defendants. In the case of Madoff there is not a change of Lawyers popping in and out giving the accused ill advice (as opposed to explaining reality) and stripping him of money that to spend might be risky at best.

    In the Madoff case any of the Smith representatives might be tempted to advise Madeoff to enter a plea of innocent thereby prolonging the case and by extention provide more in legal fees.

    Madoff’s team are obviously not attempting any such folly.

    But there are broader issues in cases such as these and although the Lawyers scope is the Law itself such additional issues are not null and void in the larger scheme of things.

    Media reports on the Smith arrest have his Lawyer Green claiming that the charges are unfounded. Since that utterance new information has been revealed showing Smith’s chances are less than slim.

    A new book on Madoff is to be released in the US this week and he has not yet been convicted so no doubt there shall be more.

    Will there be a book on Smith?

  4. Defendants are not the only people in the World who are ill advised. Take the case of a famous facilitator who purchased a motoryacht recently and was seen clear as day in Trinidad aboard HMS “Kindergarten.”

    Those who travel privately or commercial should understand that clearing customs in one jurisdiction does not exempt one from security checks elsewhere. The travel industry is already reeling and expected to slow dramatically in the coming years.

    Bon Voyage!

    These days we are truly in a global village and unless we never turn on compuetrs and phones and revert to smoke signals and conch shells no one ought to feel immune on our crowded planet.

  5. @Bob
    You are right, Madoff confessed. There has been no Confession from David Smith, Carlos Hill, Max Warner, Noel Strachan and the leaders of the feeder clubs. Cash Plus was eventually labeled a PONZI by the Courts via the liquidator. Until this day none of the above have confessed.

    n.b. Even in David Smith’s alleged leaked letter he denies OLINT is a PONZI.

  6. John Doe, Maybe your point highlights a difference of cultures. Madoff is an American. The other three are Jamaican. Carlos Hill has an existing record and is a parole condition violator. Is it that Jamaicans feel that they can walk away scotch free in light of such overwhelming evidence?

    Smith’s sister has propeties in Weston Fl. purchased using Olint funds. His brother in law is a medical practitioner there.

    Jamaicans are known to be a proud people often not hesitating to speak of themselves in terms of “best and brightest” and other glowing ways. To “smart” for their own good?

    Is a reckoning in the making? Back down to Earth? Is this the end of the porch scholars?

  7. neveranidiot

    Don’t underestimate Smith’s lawyers or how disfunctional the legal system is. I have said it before many months ago: DS will get off scot free. I’ll go further. He will likely end up as a candidate for one of the parties in the 2012 or 2017 elections. Mark my words.

  8. As for the Madoff case, the problem at the SEC was that despite the evidence provided to them they failed to investigate. That is the scandal. The case against Madoff as a Ponzi (ie fraud) began only with Madoff’s confession.

    In any event, we have to make up our minds when we are slamming the Jamaican system in comparison. Is it that the SEC acted swiftly to get Madoff before the courts (ie the investigation only began with the confession) or that they were investigating him for years and years and years with no action (if the investigation began well before the confession back in 1996)?

    An objective rating of the Jamaican system would give it half marks: FSC acted swiftly to kick out Olint but there was no follow through wtih criminal charges. Did the FSC refer its file to the DPP? If so, why was there no action taken? If not, why not?

  9. Your points are well taken Bob. With one glaring exception. In order to be a candidate in General Elections in Jamaica (as you suggest) he would have to physically be in the country (to the best of my understanding). The havoc Smith has unleashed on the Jamaican people and others Worldwide in the past year far outweighs any percieved benefits of the past.

    His arrival in Jamaica is anxiously awaited I’m sure, but not his nomination. There is a concept called the time value of money.

  10. Further blatant use of Smith as a candidate or otherwise by any political party in Jamaica would cause a massive Capital flight from the Island and probably affect Jamaica’s frail credit rating on many fronts not least of which would include more runnaway brain drain.

  11. The newly appointed Secretary of State of the United States might well find favour on many a Jamaican porch for superficial reasons. But the extended recession/depression in the US means Americans out of work. Contrary to what many believe the President is not a big backer of immigration. All politicians must heed constituents in a well established democracy.

    Hatians have been and continue to be sent “home” in droves daily. With Jamaican con men and women stealing from such an astonishing number of First World citizens the spotlight shines on Jamaicans around the World.


    Laura Pendergest-Holt chose to stick her head in the sand.

  13. Faced with the [collapse] of the unregistered investment schemes, which cost them billions of dollars, Jamaicans last year encashed nearly $9 billion in life insurance policies
    , a top industry official, Earl Moore, has reported.

    The Smith’s have hidden money and assets for themselves. Collapse?

  14. What was curious about Mr Wehby’s piece, however, was that he approached the subject as if oblivious to recent global events, which, if unchecked, could end Jamaica’s prospects to be an IFS jurisdiction before it starts. For that matter, the threat expands beyond Jamaica to all Caribbean
    offshore banking centres, including some very well-off jurisdictions.

    “In time, the global economy will recover and investors will return,” Wehby wrote. “Proceeding with development now, therefore, will ensure that Jamaica is positioned to take full advantage of the inevitable upswing in the global economy.”

    Seemingly, the minister missed the speeches in Washington last week by the British premier, Gordon Brown – and the underlying threats thereof – about which we warned in these columns.

    Mr Wehby, it seems, is content that Jamaica has an appropriate regulation environment and skilled people to operate an effective international financial centre.

    With the burgeoining scandal surrounding Sir Allen Stanford – whose Stanford International Bank was based in Antigua – providing a frame of reference, it is almost a sure bet that financial services jurisdictions in the Caribbean – present and future – are in Gordon Brown’s scope.

  15. Was Smith considered for First Global?

  16. Does anyone know if there is a revised and complete list of Olint investors floating around on the web?

  17. was courts to me with david this week

  18. World richest men have lost a staggering US$68B in 2008.

    Microsoft’s Bill Gates lost $18 billion but regained his title as the world’s richest person. Warren Buffett, last year’s No. 1, saw his fortune decline $25 billion as shares of Berkshire Hathaway (BRK.A, news, msgs) fell 40% in 12 months, but he still managed to slip just one spot, to No. 2. Mexican telecom titan Carlos Slim Helú, No. 2 a year ago, also lost $25 billion and dropped to No. 3.

  19. Madoff has formally pleaded GUILTY to all charges!

  20. I cannot seem to access blog uncensored. Is it still active?

  21. regret,

    Mayde the Macromedia program that runs so queitly in the background of this site can answer your questions for far less cost. Human expertise can be prohibitively expensive.

  22. Madoff sent straight to jail….didn’t get to pass go…didn’t get to collect $200 (that we know of…maybe his wife got it)

  23. like i said, everyone in jamaica is closet gay. love it up the ass, from the government, from thieves, from murderers, and of course his lord and savior david smith.

  24. junkunno

    don’t forget from ourselves who pay money to wire off our hard earn cash to thieves. this is toooooo funny for words

  25. I read this blog regularly. Notice no mention of worldwise. Has the “investors ” got pay or are they afraid to talk. Does anyone know if they were invested with olint (even though they say they were not.)
    I wonder if what happened to Madoff is a precedent for things to come for David, Noel and many others

  26. Does anybody thing david smith will confess or is he just another hope less case

  27. Grange on Tuesday said a junior employee had mistakenly emailed the document to the media.

    She asked The Gleaner not to publish the information, stressing that the email was sent to the media in error.

    Seems all and sundry can dictate to the Jamaican papers what to print and what not to print.


  28. does anyone know if david smith even has his trial last week. Or are they going to drag this shit out for 6 more months before they tell us there’s no money.

  29. Breaking News !!!

    The British has suspended the TCI constitution for a period of 2 years.
    So what next for the TCI and their case against David Smith.?


    The Smith family’s Belongership looks to be shortlived. the welcome party in Jamaica waits patiently.

  31. At the root of the problem, executives say, is the erosion of disposable income due to inflation, the collapse of the alternative investment schemes, and other financial pressures in the weakening economy.

    Fidel Thomas, a supervisor at Christelle’s Gaming Lounge in Manor Park, said revenue in-take is down “between 20 to 30 per cent” over the past six months. Thomas said that he first noticed the fall-off after the failure of the alternative investment schemes which held billions of dollars in funds under management.

    “Alot of people who invested in Olint and Cash Plus had already started to cut back in the event that these schemes would not have recovered,” Thomas told Sunday Finance.

  32. On the commencement of the order, the offices of the premier and ministers of Cabinet, as well the House of Assembly – including the positions of speaker and deputy speaker, the leader of the opposition and Cabinet secretary – will become vacant.

    Misick was speaking following Monday’s announcement by British Governor Gordon Wetherall of a plan that will put him in charge of the day-to-day running of the territory for the next two years and effectively puts the brakes on the Misick-led Progressive National Party (PNP) administration.

    “Brakes” coming for David Smith?

  33. If you live in TCI has DAVID SMITH WENT TO COURT YET? It was supposed to be last week.

  34. PipUNIT

    Think. Since Smith’s court case in January some things have happened. For instance, he was arrested for fraudulent documents and theft. So, the case about unfreezing the very small relative amounts of assets in TCI must have come to an end at least abated pending the criminal charges that will not be back in court until August 2009.

    The Smith’s also face criminal charges in the U.S.A where assets including those they hid with family are frozen. This is ongoing.

    The British are taking ovre direct administrative control of TCI. The Belongerships of David and Tracey Smith that also allow their children to live in TCI was attained through bribery.

    By now PipUNIT you should have realised that although many feel David and Tracey Smith are some kind of leaders whose dictates mean anything that in fact they are in charge of nothing.

    They are trying to get away with the people’s money. They and the people who help them are going to prison in the United States. Benificiaries of the Smith’s crimes are also going to prison.

    Madoff’s wife, his children, cousins, other relatives and friends will be stripped of ALL their assets including cash and what they try to “give” away.

    PipUNIT I have seen you ask about the court date more than once and I hope your question has been answered.

    BTW PipUNIT….the nine months to payback is over. You should all realise by now that the Smith’s are a bunch of uncaring liars who use among other common tactics for such crimes the guise of being “Christian.”

  35. BTW PipUNIT the famous Gag Order no longer exists so ask the Smith’s about getting your money. There is nothing to stop them telling you.

    Unless it is something in your own mind that prevents you?

  36. Faith International Investment, which is operated offshore by the famed pastor Phillip Phinn, announced a schedule for the payments beginning this March and ending in December 2009

    Phinn March is here longtime. Start paying.

  37. Our legal counsel is confident the monies will be returned to our trader.

    He has been in much prayer that a way be found to repay the many people who had put in their hard-earned savings and appeared to have lost it. He is a good man and a true man of God

    all of this money had to be earned back

    Olint TCI operated by David Smith. But the fall of that outfit dragged down many agents who had been collecting money from members and investing it with Olint.

    It advised members that the claims of all investors were equally important and “none can be ranked, either morally or legally, above another”, a suggestion apparently aimed at heading off special claims.

  38. The announced schedule is:

    5% – March 31/April 30
    (Cumulative payout of 10% of net principal)
    7.5% – May 31/June 30
    (25% of net)
    10% – July 31/August 31/September 30 (55% of net)
    15% – October 31/November 30/December 31 (100% of net)

    “We have been deliberately conservative in our projections in spite of the pressure and temptation to satisfy our clients’ expectations of a quick payout. There is no quick solution!” Faith International said.

    “We are now confident that the foundation has been laid to achieve the payment schedule outlined above. We will work tirelessly to make it a reality for all our investors,” the investor assured its members.

    Any update on the tireless work Prophet? LOL LOL LOL

  39. Olint TCI, owned by Jamaican David Smith, has had its assets frozen pending an investigation into its operations and a letter from SGL Holdings informs customers that TCI plans to resume payments within nine months. Jamaican investors in Olint have also been given a nine-month time frame for receiving their monies.

    SGL has neither disclosed the exact number of Grenadians affected nor the amount of money involved but, in its letter to customers, the company also blamed the lapse in payments on “some questionable accounting errors”

  40. An independent regulatory organisation in the United States has filed complaints of “suspicious activity” against Olint and TCI FX Traders, two investment clubs operated by Jamaican David Smith.

  41. Issa’s assets, along with those of his investment companies Wisdom Investments Holdings Jamaica Limited, Wisdom Investments Holdings Limited and Sasha Harjani, secretary of Wisdom Investments Holdings Jamaica Limited, were frozen on December 15 by order of Justice Roy Anderson


  42. DAVID Smith and his troubled foreign exchange outfit, Olint Investment Limited and Olint TCI, have been named as defendants in a US$11-million lawsuit filed by Yvonne Coke, who heads the not-for-profit group Hands Across Jamaica for Righteousness.

    Kingston-based trader Gareth Harris and his company, Keen Exchange Limited, are named as first and second defendants in the suit, which is claiming fraudulent misrepresentation, breach of contract and “unjust enrichment” against the defendants.

    In the suit filed in the Supreme Court Thursday, Coke and her Panama-based Christian group, Visions Increase SA Corporation, are seeking damages and compensation totalling $11,535,000 plus interest.

  43. Rev Dr Phillip Phinn is denying allegations that he is associated with an unregistered investment entity, following a public service announcement by the Financial Services Commission (FSC) that listed “Phillip Phinn Ministries International Limited” as one of 15 unregistered schemes operating on the island.

    The unregistered entities listed were: Higgins Warner Music and Entertainment Limited; May Daisy; Image Consultants & Services; Wealth Builder and Associates; Kingdom Investments Unlimited International; Vacation Makers & Consulting Group Inc; Caribbean Real Estate Investment Fund; Phillip Phinn Ministries International Limited; SGL Holdings; Partners Financials and Investment Limited; Ricardo Azan; Capital Blu; PFG Best; FXCM; and Keen Exchange

  44. neveranidiot

    Thanks for the many News paper articles. We have learnt from Wignal that what is printed is something we have to assess critically and investigate independently………

    I think you are trying to buy DS time becuase you know that a lot of misleading info is in those neswspaper articles

    YOU FOLKS CANNOT TRICK US WITH RUMOURS and hype up newspaper article ANYMORE !!!!!!

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