Re: guaranteed 10%/month with little risk?

[Paul Altman <paulha@xxxxxxxxxxxxx>]

>  Their purported
>income streams are from an MLM selling the offshore concept to others at
>around $1500 and the opportunity to make 10%+++ a month.

What's does "MLM" mean, please?

>The MLM side of it is the ONLY legal part. Having got you into the MLM 
>side (and there's
>absolutely nothing illegal about offshore accounts - if you declare the
>income), they offer you the ability to make millions from your investments.
>This is the highly illegal part. It's basically a ponzi scheme. Early
>entrants are paid from the proceeds of those that follow.

Yes, that's exactly what I figured.  So some of the reps must be naive, 
because they wouldn't put their established lives on the line if they 
realized what was coming later for them and their friends.

>  They'll use terms
>like Bank Debentures and explain to you that it's only the super rich that
>have access to these programs. The whole sales pitch is very convincing.
>They'll even show you that your investment is guaranteed by someone like
>IDIC (International Deposit Insurance Corporation - another scam).

I didn't find the sales pitch very convincing, but the one I rec'd was full 
of holes.  For example, when I asked why the bank would lend margin for 
such hi-risk purposes, or why the bank wouldn't do it themselves if it was 
risk-free, I was told "You'll have to put aside all of your preconceptions 
about trading and investing.   The world of international banking plays by 
completely different rules, which are secret."    This sounded a lot like 
an offer to buy the Brooklyn Bridge.

 >>I could go on, but you might want to check a great site that has all sorts
>of information on this and other schemes.
>http://www.quatloos.com/newsltr/qnew0101.htm
>The FBI site, of course, also has details.

Thanks, I'll look at both.

>As for your acquaintance, all that I can say is that many otherwise
>intelligent people have fallen for these schemes. When late entrants to the
>ponzi scheme start to sue him

So that's what happens to the US reps?   They end up in financial ruin 
after being sued by their friends and neighbors, while sitting in Federal 
prison?

 >>I did my due diligence - you should too.<<

I'm not intending to do much due diligence, since the original presentation 
made no sense in the first place.  In fact, I told my contact that I'd 
prefer to speak of other things until a story was presented to me whose 
internal logic at least made sense.

      Paul