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$100 million fraud (local)

Just saw this on CBC

The securities commission found Rashida Samji, a notary republic, committed fraud of 100 million dollars

$100-million Ponzi scheme snared 200 victims, many in Surrey - Surrey Leader (this article gets into a little more detail than the following one)

British Columbia Securities Commission | BCSC panel finds that former notary public committed $100 million fraud

Quote:

BCSC panel finds that former notary public committed $100 million fraud
VANCOUVER, July 22, 2014 /CNW/ - A British Columbia Securities Commission panel has found that a Vancouver woman and two companies she controlled committed a $100 million fraud.

The panel found that between approximately 2003 and January 2012, Rashida Samji, a former notary public, perpetrated a fraud when she traded securities to 200 or more investors for proceeds of at least $100 million.

The panel found that Samji ran a Ponzi scheme. She told investors that she would hold their money in trust and that it would be used only to secure letters of comfort for the financing of a British Columbia winery. Investors were to earn fees for securing the letters of credit.

Instead, the panel found, the so-called investment was "one big lie" and "a monumental deceit". There was no winery involved, no letters of comfort, nor any fees. Samji did not hold investors' money in trust, but used it to pay returns to other investors, and for her own use.

The panel dismissed fraud allegations relating to falsified mortgages.

The panel directed the parties to make submissions on sanctions according to the schedule set out in the findings.

You may view the findings decision on our website BC Securities Commission - Home by typing Rashida Samji, Rashida Samji Notary Corporation, Samji & Assoc. Holdings Inc., or 2014 BCSECCOM 286 in the search box. Information regarding disciplinary proceedings can be found in the Enforcement section of the BCSC website.

Please visit the Canadian Securities Administrators' Disciplined Persons List for information relating to persons disciplined by provincial securities regulators, the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association (MFDA).

http://i.cbc.ca/1.2425991.1384394818...-samji-jpg.jpg

never trust a woman that looks like an evil villain

quite a bit of information in this article, too.

Surrey investors protest credit union over Ponzi losses - Surrey Leader

Quote:

Dozens of people protested in front of a Coast Capital Savings branch in Surrey on Saturday, blaming the credit union for an alleged Ponzi scheme that threatens to cost some their life's savings.

They carried signs outside the Newton office reading, "Coast return our money" and "Coast gave us bad financial advice."

The dispute, which is the subject of lawsuits before the courts, involves Arvindbhai (Arvin) Patel, a former investment advisor at Coast Capital, who has already been banned from trading securities.

He admitted to the B.C. Securities Commission (BCSC) in April that he encouraged his Coast Capital clients, as well as friends and family, to invest in what he called a secure investment guaranteed to pay them 12 per cent a year.

The money went to Vancouver notary public Rashida Samji, who was to keep it in a trust account that would act as borrowing security to the Mark Anthony wine group to expand their winery operations internationally.

The claims were untrue – the Mark Anthony group was never involved – and the now-suspended Samji is accused by BCSC regulators of defrauding investors of $83 million after using money from new investors to pay earlier ones between 2003 and January 2012.

Nearly $29 million was invested in the Samji-led investment by the mainly Surrey residents Patel referred since 2006, according to a BCSC ruling.

Coast Capital claims Patel – who was only authorized to deal in mutual funds – was essentially a rogue employee, acting outside his scope of employment.

"We were actually the ones who uncovered Ms. Samji's scheme and reported it to the B.C. Securities Commission," said Karen McDonald, senior manager of corporate communications at Coast Capital Savings.

She said Patel was relieved of his duties within days of a client complaint that uncovered his activities.

McDonald said Coast Capital is cooperating fully in an ongoing investigation by securities regulators and the RCMP.

Customers who invested through Patel hold the credit union responsible.

Scott Nicholl, a Surrey lawyer representing 90 affected clients, says some invested more than $1 million and have lost much of their net worth.

Some borrowed money through Coast Capital to invest via Patel and may be forced to sell their homes to pay back credit lines.

Nicholl alleges the credit union and its affiliated mutual fund arm failed in their duty to properly supervise Patel when he was providing financial advice.

"There are retired couples who Arvin Patel recommended refinance their clear title houses to invest in this thing," Nicholl said.

He said those affected have asked the credit union for interest relief on the outstanding loans.

"So far Coast Capital has done nothing," he said. "We were hoping they would do the right thing."

McDonald said the credit union is working to respond to the claims against it and recognizes the situation is causing hardship to members.

"We have reached out to each of them and offered them short-term financial aid," McDonald said, adding she could not go into specific details.

The securities commission said in an April ruling that Patel – who put $600,000 of his own money in the scheme – should have known Samji's claims were false and that high returns with no risk are impossible.

Other warning signs included the fact the investment wasn't approved by the credit union, had no disclosure documentation, and was described as an "exclusive" opportunity not available to the general public.

Most of Patel's assets have been seized and Samji's accounts are frozen but it's not clear how much investors may recoup.

The BCSC said a multi-million-dollar fine against the now-unemployed Patel would be appropriate, but pointless, as there is no reasonable prospect of it being paid.

A separate class action lawsuit has been filed against Samji, Patel and Coast Capital, with Delta couple Lawrence and June Jer and Surrey resident Janette Scott acting as lead plaintiffs.

According to the filing, the Jers invested $350,000 in the scheme and received $156,000 in interest payments over four years, paid out in bank drafts that hid the identity of the remitting account.

The cases are not expected to go to trial until early 2014.

I have no sympathy for investors who lost money. If you are stupid enough to not google the winery or ask your grandson to google the winery...then I have no words.

I'm sorry but everyone selling an investment has an agenda and if you are not smart enough to figure it out, you are better off putting your money under a mattress.

This is no different than investing in KungShoes.com..

Quote:

Originally Posted by tiger_handheld (Post 8506886)

Its sad that the typical ma and pops lose their money for not doing their due diligence but fraud is not considered a legal agenda

I wonder why it's so easy to dupe someone. But then greed tends to overcome logic. I would've ran away as soon as I heard GUARANTEED return.

Wtf. 100 million over 200 people is an average of 500k each.

Where the fuck are these naive people willing to fork up $500k to some clown with a "Guaranteed" investment?

I feel bad for them, but damn you gotta be pretty stupid to not do some research. No different than giving a few thousand bucks to that noob John Chow.

If it sounds too good to be true...

Seriously, when will people learn.

Humans are by nature greedy. That, combined with lack of education and ability to make a sound decision will get you in deep shit.

whoops my bad thought i put this in off topic :/

yeah it boggles the mind that so many people were willing to fork over so much money
to a notary at that

Quote:

Originally Posted by dhillon09 (Post 8506869)

http://i.cbc.ca/1.2425991.1384394818...-samji-jpg.jpg

never trust a woman that looks like an evil villain

http://wpc.556e.edgecastcdn.net/8055...y6Rxsp_1_3.jpg

Quote:

Originally Posted by tiger_handheld (Post 8506886)

Alot of older people, especially immigrants, in their 50's and 60's have no idea how markets work, how lending works, how returns work... they didn't grow up with the sophisticated lending practices we have today nor was it as big a factor to the general public. Back then only bankers dealt with investments and were under much stricter regulations. Finance really evolved through the 1980's and these guys never really caught on.

Not to mention they were investing through their own bank, not some internet ad or "kungshoes.com". They expected the banks policies would protect them, but clearly for some reason that didn't happen this time.

Quote:

Originally Posted by tiger_handheld (Post 8506886)

This is no different than investing in KungShoes.com..

Wait, what? I just sent him $5,000

Quote:

The cases are not expected to go to trial until early 2014.

Sounds like this is an old story? Or is that a typo in the article?

I think she was first being investigated in 2012. This has been going on for some time.

As I always tell my parents or relatives, when there is such a GOOD investment out there, how come it's your money that gets first priority to invest? What make your money so special? If it's such a good investment, wouldn't plenty of rich guys out there jump in on it?

Then I see them go...:suspicious:......:concentrate:.....:heckno:. ..

Quote:

Originally Posted by meme405 (Post 8506942)

i have family members that gave another one of their family members a $300k "loan" to help start up a restaurant. they literally gave the guy $300k without any kind of legal paperwork. nothing. just handed the fuck $300k lol. fucking idiots. i think they spent another $100k or so on lawyer fees trying to get it back but no luck. these people live in california and the house they live in isnt even worth as much as the money they still owe.

so fucked up. i dont even hand over $20 to anyone if they ask for it because i know i may not get it back...

Quote:

Originally Posted by xpl0sive (Post 8507255)

Sounds like this is an old story? Or is that a typo in the article?

she was originally brought up on charges a couple years ago but the Securities Commission just issued a ruling

you can read it here http://do.bcsc.bc.ca/comdoc.nsf/0/33...CCOM%20286.pdf

which provides more detail

what do you know

another scheme in vancouver
MLM, pyramid, direct sales, ponzi we love you all