Monday, February 7, 2011

Pyramid scheme hits Cape Dec 23 2009 07:23

Dec 23 2009 07:23
Adri van Zyl
Print this article | Email article

Medici owner involved in scam?
Edwafin: FSB 'knew in 2006'
Madoff trustee sues fund manager
SA's Madoff hits super-rich
Ponzi masterminds to be arrested


Zuma fires conman
Feb 06 2011 12:14
A serial fraudster has emerged as a key figure in an R800m Chinese development project in President Jacob Zuma’s hometown of Nkandla.

Bank takes estate agent to court
Feb 07 2011 15:58
Standard Bank is to apply for the provisional liquidation of Wendy Machanik Properties in the high court.

Home Affairs sued over backlog
Feb 06 2011 17:18
Home Affairs Minister Nkosazana Dlamini-Zuma is facing a class action lawsuit over the delay in processing hundreds of temporary residence permits.

Johannesburg - Investors in a pyramid scheme being operated in the southern Cape are running the risk of losing a large portion of their money.

An investigation commissioned by the Registrar of Banks into the activities of Minne Opleiding/Trading has found that almost 700 investors invested at least R200m in the entity.

The money was ostensibly raised for training and dealing in foreign exchange. It now appears to be nothing more than a pyramid scheme with money being raised in contravention of the Banks Act.

In November the Registrar of Banks ordered Minne Opleiding/Trading and Graeme Minne, who was operating the scheme, to refund investors and cease taking deposits from them.

From the initial investigation it appears that Minne had raised R200m, but the investigation is continuing and the amount could be larger.

Investors were enlisted for Minne Opleiding/Trading with promises of 48% and 65% interest. This interest was indeed paid to investors, but the investigating team found that the entities' activities were not nearly profitable enough to justify the payments.

According to the inspectors, Minne said that money from "Investor B" was used to repay "nvestor A".

The inspectors are currently drawing up an inventory of all available assets, and it appears unlikely that investors will receive their full investment back. At most, they can hope for a percentage of the original capital amount, but at this stage how much is unknown.


Comments by Sonny

Why does it take so long to catch a "Fraudster?"

Is it because of the fast cars he drives?

1 comment:

  1. Some property sundication arrangements are as stable as desert sand