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 released 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

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.