Yet ANOTHER ‘Goodfellas’ scam operation comes to light! As with all the previous scams, the guys ginning it up are very friendly and have great reports so long as money is flowing in, not out. But when the money flows out, suddenly, they have none at all since they do no trades, have no investments and have eaten the entire sums entrusted to them! Time to visit Paul Greenwood and Seve Walsh, to con artists who should be strung up.
Pension, college funds mull damage from WG Trading fraud
Public pension plans and universities are trying to track down their money after the arrests of two highflying fund managers for allegedly stealing up to $550 million from clients, the latest big fraud case to rock the investment world.
New York money managers Paul Greenwood and Stephen Walsh, whose fund operation catered to large investors, are accused of looting client accounts to buy expensive homes, horses, rare books and collectibles including an $80,000 teddy bear, according to court documents.
The two were arrested in New York on Wednesday and charged with criminal conspiracy and fraud. They have not yet formally responded to the charges in court, and are free on bail…
Authorities say that in a scheme that lasted more than a decade, the men misused the bulk of the $667 million that clients had thought was invested in an “enhanced equity index” strategy.
I think we see a pattern! HAHAHA. A bunch of glad-handing guys exploit their identity-relations [I have no idea about this crew but we can guess, they have connections of some kind] to tap into retirement funds, charities, bequests, inheritances and savings of trusting individuals.
‘He is our friend! He wouldn’t steal my money,’ is what the victims say. As I visit the web sites or view the data of the two fake funds set up by these robbers, it strikes me that not only are these like so many previous scam operations, one begins to think, maybe ALL the operations that are similar ARE similar! In all areas!
One of these scam fronts is Westridge Capital. Of course, the website is down but not out of the internet. I was able to dig it up from its cyber-grave:
- Stable cash flows relatively immune to rapid technology change or cyclical fluctuation
- Strong, defensible market position
- Good industry growth characteristics and disproportionate growth opportunities for the firm
- Significant assets, particularly machinery and equipment
Westridge is also interested in select distressed assets, including bankruptcies, underperforming corporate divisions, and overleveraged entities.
Westridge and its limited partners have interests and expertise in a broad set of industries. Given a particular interest in companies with significant asset bases, particularly machinery and equipment, Westridge is particularly focused on the following industries:
- Aerospace and defense
- Commercial manufacturing and distribution
- Consumer durable goods
- Consumer products, including both branded and private label
- Industrial and agricultural equipment
- Transportation equipment
Sounds great! They have ‘cash flow’….into their pockets! This cash flow was all the chumps running retirement funds, etc, pouring wealth into the maws of these monsters. And they are buying ‘equipment and machinery’. Sounds like something solid! Of course, these wacks never expected some desk-bound paper pusher to go look for these machines and ask questions about the equipment these guys were supposedly investing in.
This company profile is for the private company Westridge Capital Management , located in Santa Barbara, CA. Westridge Capital Management’s line of business is investment management service.
Company Name: Westridge Capital Management Address: 222 E Carrillo St Ste 300, Santa Barbara, CA 93101-7149 (Map)
Look at the information here! Santa Barbara is an artist/rich person community like Palm Beach, not the locus for investment dealing. It is pretty distant from locations where ‘machines and equipment’ usually are. Which happens to be China, at this point!
And look at the employees! Just like Madoff and Stanford’s operations: virtually empty of all employees! I bet the bank robbers who built the fake chimney had more people involved! Goes to show: the real crooks like to keep maximum loot for themselves! Now, let’s visit the other side of the country where the other half of this scam operated:
This company profile is for the private company Wg Trading Company Limited Partnership headquarters, located in Greenwich, CT. Wg Trading Company Limited Partnership’s line of business is stock brokers and investment advisors.
Company Name: Wg Trading Company Limited Partnership Address: 1 E Putnam Ave Fl 4, Greenwich, CT 06830-5429 (Map)
6 employees at headquarters! Double the number in the California half of the scam! Bet they are all related. Just like with Madoff, these criminals prefer to keep it Mafios-like: all in the family.
The pension fund said it recovered about $5 million of its Westridge investment following news on February 12 that Greenwood and Walsh had been suspended by the self-regulating National Futures Association for not cooperating with an audit.
Why on earth are these crooks ‘self-regulated’? Eh? It is like having ‘self-regulated’ highway robbers or muggers. A mugger’s union, for example? This is one of the several ‘self-regulated’ entities that should be terminated or run by cops.
NFA’s responsibility to safeguard market integrity and protect the public interest begins with the screening and registration of all firms and individuals who want to conduct futures-related business with the public.
One of the first things any investor should do before trading futures is conduct a background check on the firms and individuals offering these products. Using NFA’s Background Affiliation Status Information Center (BASIC), investors can quickly and easily check the registration status and disciplinary history of every firm and individual conducting futures business with the retail public.
NFA is a not-for-profit membership corporation formed in 1976 to become a futures industry’s self-regulatory organization under Section 17 of the Commodity Exchange Act. Section 17 was added to the Commodity Exchange Act by Title III of the Commodity Futures Trading Commission (“CFTC”) Act of 1974 and provides for the registration and CFTC oversight of self-regulatory associations of futures professionals. NFA’s formal designation as a “registered futures association” was granted by the CFTC on September 22, 1981 and the first of NFA’s regulatory operations began on October 1, 1982.
Obama just installed a new Commodity and Futures Trading official. I suggest giving the guy a gun and a badge and tell him to clean up Dodge City. Here is a sampling of lesser evils doing the Ponzi scheme dance just this week alone, none of them were half a billion like the duo at the top of the story and none are $50 billion bastards, but they are all destroying the economic system:
The U.S. Commodity Futures Trading Commission (CFTC) announced that a federal district court has ordered Anthony Ramunno, Jr. formerly of Alpharetta, Georgia, to pay a $5.8 million civil monetary penalty for operating an illegal commodity pool Ponzi scheme in which over 90 public investors lost over $21 million. The district court also issued a similar order against Renaissance Asset Management LLC(Renaissance), the company through which Ramunno operated his scheme. That order requires the company to repay investors $21.2 million of the funds they had lost, imposes a civil monetary penalty of $5.8 million, and bans the company from trading commodity futures.
Both orders were entered by U.S. District Court Judge Jack T. Camp in the Northern District of Georgia on February 13, 2009. Judge Camp had previously entered an order of permanent injunction against Ramunno on January 23, 2008, in which the court permanently banned Ramunno from trading commodity futures and banned him from registration with the CFTC.
The U.S. Commodity Futures Trading Commission (CFTC) announced today that it charged Daren L. Palmer of Idaho Falls, Idaho, with operating a Ponzi scheme involving approximately $40 million in connection with the unregisteredTrigon Group, Inc. commodity futures pool.
The CFTC’s complaint, filed on February 26, 2009, charges Palmer with solicitation fraud and misappropriation of pool funds for personal use and for use in running a Ponzi scheme. In addition, Palmer is charged with sending customers false account statements and failing to register with the CFTC as a commodity pool operator. In conjunction with the CFTC’s filing, the Honorable Edward J. Lodge of the United States District Court for the District of Idaho issued a restraining order freezing defendants’ assets and preserving records. Judge Lodge set a hearing on the CFTC’s motion for preliminary injunction on April 23rd at 9:30 a.m.
With the new head of the CFTC, we shall finally get some government rules. Letting the ‘market’ decide is OBVIOUSLY STUPID. Governments have a role in life: they restrict, control and tax commerce. Otherwise, it is ‘buyer beware’ and who wants that? How about remembering all the poisoned food of this last year, just for example?
Here are the proposed rules:
The Commodity Futures Trading Commission (CFTC) has proposed to amend its regulations regarding periodic and annual reporting requirements applicable to commodity pool operators (CPOs). The proposed changes would:
• specify detailed information that must be included in the periodic account statements and annual reports for commodity pools with more than one series or class of ownership interest;
• clarify that the periodic account statements must disclose either the net asset value per outstanding participation unit in the pool, or the total value of a participant’s interest or share in the pool;
• extend the time period for filing and distributing annual reports of commodity pools that invest in other funds;
• codify existing Commission staff interpretations regarding the proper accounting treatment and financial statement presentation of certain income and expense items in the periodic account statements and annual reports; codify exemptions staff has provided to CPOs that operate offshore funds that elected to use non-United States GAAP in the preparation of pool financial statements;
• streamline annual reporting requirements for pools ceasing operation; and
• clarify and update several other requirements for periodic and annual reports prepared and distributed by CPOs.
Paper reports are a necessary evil! We need this to track things! Look at how these unregulated idiots simply used money they were supposed to invest, to buy the illusion of wealth for themselves! I suspect this massive financial collapse is very much due to the House of Wealth being eaten by these termites!
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