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alor 30-10-2011 05:32 PM

Scams and stuff

By AVNI PATEL and BRIAN ROSS (@brianross)
Oct. 27, 2011

A federal judge next month will sentence the man who authorities say took advantage of the booming gold market, by scamming more than 1,400 people out of tens of millions of dollars.

But before he goes to prison, the mastermind of the scheme, Jamie Campany, sat down with ABC News' Chief Investigative Correspondent Brian Ross to reveal how he tricked his hundreds of victims out of nearly $30 million.

The most promising victims of the gold scam, Campany said, were spotted through Google earth satellite images. Campany and his team matched phone leads to addresses to find victims with the biggest homes, and therefore the most money to invest in gold and silver.

But in reality, there was no gold despite the legitimate-looking transaction papers from the Global Bullion Exchange -- a company that Campany said was "completely bogus."

Click Here to Sign Up for Breaking News and Investigation Alerts From The Brian Ross Investigative Unit

The Global Bullion Exchange was an invention of Campany's, who took ABC News back to the now-empty telephone boiler room in Florida where his telemarketers worked their victims, mostly upper middle class business people who Campany said let their egos get the best of them.
PHOTO: Before Jamie Campany goes to prison for his role in a massive gold scam, he shared the tricks of his illegal trade with ABC News' Brian Ross.
ABC News
Before Jamie Campany goes to prison for his... View Full Size

"Quite frankly, little old ladies are a lot more astute and a lot more skeptical about making investments with people they don't know," he said.

The pitch worked off the falling stock market and the rising price of gold as Campany recalled his lines for ABC News.

"Come on. Everybody knows what's going on in the markets today. Are you living in a cave?" he would say.

There was an answer for everything -- even if victim's protested by saying they didn't have any money.

"Sure you do," Campany or one of his telemarketers would say. "You've got a 401k, you have a stock portfolio... You have dead dogs that are not performing."

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Dave Blomberg of Hialeah, Fla., said he was caught up in the scam after he received those calls.

"I did end up giving them a considerable amount of money, cause I thought if I invested more, I would get the money back," Blomberg said.

He never will, losing $75,000, and nor will the other investors. By the time the scheme collapsed and this place was shut down, all the money was long gone.

"I think about it every day. These people have to live with the pain that I caused them," Campany said. "It's going to hurt them for the rest of their lives. Hopefully this is one way I can stop it from happening to anybody else."

Campany faces up to 25 years in prison and told ABC News he's hoping his public confession will show the judge that he's truly sorry for his crimes.

alor 12-11-2011 12:36 AM

Fake Silver and Gold Flood Global Markets; 100,000 Coins From A Single Counterfeiter!
Fake Silver and Gold Flood Global Markets; 100,000 Coins From A Single Counterfeiter!
by Mac Slavo - SHTFPlan
Published : November 11th, 2011
1094 words - Reading time : 2 - 4 minutes

Whether it’s pirated software, poison-infused baby formula, cancer-causing drywall, luxury purses, or fake medicines, if you need a knock-off, China has traditionally been the go-to country, with a counterfeiter always willing to oblige.

Now, with precious metals prices on the cusp of possibly the biggest price explosion in centuries, fake gold and silver products are becoming a booming industry say Global Piracy & Counterfeiting Consultants:

We have read about one Chinese counterfeiter openly bragging about producing 100,000 fake U.S. Silver Dollars per year, and that’s just one counterfeiter. At this point, we are telling all investors of gold, or silver coins, and or any type of precious metal bar to only buy from a reputable U.S. dealer, that has an established track record, and a money back guarantee. We fear this Chinese counterfeit gold, or silver coins, or bars, could be a multi billion dollar a year business, and we greatly fear many innocent investors could be taken to the cleaners.

Based on our research some of the Chinese counterfeit coins, are of such high quality, it is not uncommon for even experts to be deceived. We think its smart for every investor to have gold, or silver, our big worry is pretty simple, what if they invest 10%, or 20% of their net worth in what are counterfeit precious metal coins, that are basically worthless? We would call this a disaster for the investor, and out big fear is there are probably tens of thousands of investors in the United States, who have been duped. Even worse, once again for all intents, and purposes the U.S. Federal Government is a no show-once again.”

“The world needs to come to grips with the largest counterfeiter in the world, the fact that 10% of China’s GDP is a direct result of counterfeiting. If it’s not knock off pharmaceuticals, that can kill people, it’s high tech smart phones, or electronics. Our new worry is pretty obvious related to Chinese counterfeiters bankrupting innocent precious metal, or coin investors, with what could be their life savings. At what point do consumers in the United States, Europe, Japan, or the rest of the world say no thanks to any more Chinese products, given its uncaring attitude about flooding the global markets with counterfeits, or fakes?”

Gold and silver remain one of the few alternative investment methods to preserve wealth during crisis scenarios like inflation or government instability, but taking extra precautions now is absolutely essential to ensuring your wealth is protected when it comes time to sell.

Don’t assume that the dealer you are working with is legitimate, and even if they are, it is possible that they themselves have been duped by a counterfeit.

Those of our readers investing in gold and silver assets, especially if you are committing a large percentage of your net worth, should consider some safeguards.

Work with multiple dealers who have been in business for several years.

Like any investment strategy, diversifying your eggs into multiple baskets will protect you if one of them happens to fall. In this case, buying different products from multiple dealers, all with solid reputations, will prevent you from losing your entire investment in the event one of the dealers was duped by counterfeiters. While not exactly ideal, it’s better to lose just a portion of your investment than all of it.

Trust but verify.

Buy from one dealer and get your investment appraised by another. If you’ve invested $5000.00 into precious metals, paying an additional $100 to have another dealer (most will take a look for free) verify the quality of the assets you purchased is not a bad idea. If you were sold a fake, you can then take immediate action against the offending dealer (as opposed to waiting five years only to find out you’re holding a worthless metal).

Understand dimensions and weight.

One of the best ways to determine if your asset is legitimate is to know what dimensions it should have (circumference, thickness, weight). Every government issued coin, and even privately issued rounds or bars, should have manufacturer dimensions available either online or by simply giving them a call (otherwise go with a different product). Get a digital scale and a caliper and take measurements. Even though fakes can come close to the real thing, the density of gold and silver are unique, so if a particular bar or coin shows an inaccurate weight or dimension, you’re likely looking at a fake. It may cost you a couple hundred dollars to acquire the appropriate tools, but if you’re investing multiple thousands of dollars into these investment then we’d consider the cost of doing business. Take the time to learn about your investments (it won’t take long) and you can save headache and heartache down the road.

Gold and Silver Acid Tests.

Gold and silver have unique properties when mixed with certain chemicals. While not exactly ideal, because you’ll have to ‘damage’ a tiny portion of a particular bar or coin, an acid test can be one of the best tests to perform in order to ensure you have a legitimate precious metals product. You don’t necessarily have to go through and test every single one of your one ounce silver eagles, but testing a few coins out of each batch wouldn’t hurt.

Try pre-1965 silver products. They call it junk silver. Chris Duane of Don’t Tread On Me refers to it as Constitutional Silver. Half dollars, quarters and dimes minted prior to 1965 contain 90% silver and are worth well more than their face value. While Chinese counterfeiters may be producing silver eagles, bars and other mints in mass quantities, they will likely shy away from US coin products for a couple of reasons: 1) why mint a fake quarter when you can mint a fake silver eagles worth significantly more? 2) minting fake US coins is a Federal crime, and while the Chinese may not be worried to much about being investigated by Secret Service, pressure from the US may force China to act against counterfeiting, something the Chinese knock-off artists would like to avoid. Pre-1965 silver coins, in our opinion, are the only option for those making purchases on auction sites.

Counterfeits will always be a concern when you’re dealing with assets worth as much as $2000 an ounce, but you can take steps to protect yourself. Don’t let the fact that counterfeits are out there dissuade you from making a good investment decision. Just do your due diligence and don’t let emotion overcome logic.

Thanks to Mac Slavo from

alor 13-11-2011 10:49 AM

Gerald Celente: My MF Global Gold Positions Have Been Confiscated by the CME

Gerald Celente: My MF Global Gold Positions Have Been Confiscated by the CME

Perhaps Celente's scarf has been wrapped a little too tight all these years. Celente admitted in an interview Friday that he has been caught up in the MF Global client fund scandal.
Apparently Celente, a major gold proponent, did not own phyzz, but rather COMEX gold futures contracts (paper), and would continually roll profits back into more futures paper!
Are you beginning to understand why The Doc so strongly urges ownership of PHYSICAL gold and silver held in your own possession!?!

You heard this MF Global thing with Corzine? I was caught up in that. I trade commodities, and I have an account with Lind Waldock. I didn't know Lind Waldock except by looking at the fine print was owned by MF Global. I got a call Monday by my broker, that I needed to meet a margin call for my gold positions. I said what are you talking about? I've been playing this thing for a long time. All I do is I keep my profits in my account. Well the profits aren't there anymore, and neither is the account. They took all my money and they put it in the hands of a trustee. I said are you kidding me or what? They're not trading for me, this is my own money in my own account! It's my money! No, it's not. Who decided this? Oh, the CME group.

Fast forward to 9:35 for Celente's discussion of MF Global funds

alor 19-11-2011 11:16 PM

Florida huckster jailed for behaving like bullion banks, which aren't jailed
Florida huckster jailed for behaving like bullion banks, which aren't jailed

Submitted by cpowell on 06:50AM ET Saturday, November 19, 2011. Section: Daily Dispatches

Gold Firm Owner Sentenced in $29.5 Million Ponzi Scheme

By Jon Burnstein
South Florida Sun-Sentinel
Fort Lauderdale, Florida
Friday, November 18, 2011,3291746.story

alor 10-12-2011 05:15 PM

The Gold "Rehypothecation" Unwind Begins: HSBC Sues MF Global Over Disputed Ownership
The Gold "Rehypothecation" Unwind Begins: HSBC Sues MF Global Over Disputed Ownership Of Physical Gold

Published on ZeroHedge (

Home > The Gold "Rehypothecation" Unwind Begins: HSBC Sues MF Global Over Disputed Ownership Of Physical Gold
The Gold "Rehypothecation" Unwind Begins: HSBC Sues MF Global Over Disputed Ownership Of Physical Gold
By Tyler Durden
Created 12/09/2011 - 15:05
Tyler Durden's picture [1]
Submitted by Tyler Durden [1] on 12/09/2011 15:05 -0500

Counterparties [2]
default [3]
Fail [4]
Gold Bugs [5]
MF Global [6]
None [7]
United Kingdom [8]

That paper gold, in the form of electronic ones and zeros, typically used by various gold ETFs, or anything really that is a stock certificate owned by the ubiquitous Cede & Co (read about the DTCC here [9]), is in a worst case scenario immediately null and void as it is, as noted, nothing but ones and zeros on some hard disk that can be formatted with a keystroke, has long been known, and has been the reason why the so called gold bugs have always advocated keeping ultimate wealth safeguards away from any form of counterparty risk. Which in our day and age of infinite monetary interconnections, means virtually every financial entity. After all, just ask Gerald Celente what happened to his so-called gold held at MF Global, or as it is better known now: "General Unsecured Claim", which may or may not receive a pennies on the dollar equitable treatment post liquidation. What, however, was less known is that physical gold in the hands of the very same insolvent financial syndicate of daisy-chained underfunded organizations, where the premature (or overdue) end of one now means the end of all, is also just as unsafe, if not more. Which is why we read with great distress a just broken story by Bloomberg [10]according to which HSBC, that other great gold "depository" after JP Morgan (and the custodian of none other than GLD [11]) is suing MG Global "to establish whether he or another person is the rightful owner of gold worth about $850,000 and silver bars underlying contracts between the brokerage and a client." The notional amount is irrelevant: it could have been $0.01 or $1 trillion: what is very much relevant however, is whether or not MF Global was rehypothecating (there is that word again), or lending, or repoing, or whatever you want to call it, that one physical asset that it should not have been transferring ownership rights to under any circumstances. Essentially, this is at the heart of the whole commingling situation: was MF Global using rehypothecated client gold to satisfy liabilities? The thought alone should send shivers up the spine of all those gold "bugs" who have been warning about precisely this for years. Because the implications could be staggering.

Probably the core primary consequence of this discovery, which obviously has a factual basis, or else it would not lead to an actual lawsuit between two "reputable" firms (aka ponzi participants), is whether gold in the GLD warehouse, supervised by HSBC, is truly theirs, or has it all been hypothecated from some other broker who never really had the asset or the liquidity, and so on in what effectively can be an infinite chain of repledging one asset to countless counterparties. Because if there is on cockroach...

Suffice to say, expect either a prompt settlement in this lawsuit, or a fervent denial by all parties involved that any gold was misplaced. Because here is the punchline: each physical gold or silver bar has a unique deisgnator that should never be replicated, yet this is precisely what happened to lead to the lawsuit! In a non-banana world, there should never be any debate over who owns a given physical asset, as replicated ownership (note - not liens) effectively means someone stole the gold (or there was counterfeiting involved) and was never caught... until MF Global finally expired of course.

So in other words, is this the eureka moment when everyone realizes that any gold, be it paper or physical, is either a irrelevant electronic binary claim held in some semiconductor, or at best an asset in some vault, that the brokerage next door suddenly also has claims over?

The end result is that the biggest loser is Joe Sixpack who bought the gold, and decided to keep it in a bank warehouse for "safekeeping" only to realize said gold will never be seen or heard of again.

From Bloomberg [10]:

Five gold bars and 15 silver bars underlie eight Comex contracts between the brokerage and client Jason Fane of Ithaca, New York, London-based HSBC said in a court filing yesterday. Both parties have asserted claims to the bars, creating difficulties for HSBC, which is storing them, the bank said, asking a judge to decide who the rightful owner is.

“HSBC has received conflicting instructions regarding ownership and disposition of the property,” it said. “Accordingly, HSBC is exposed to multiple liabilities with respect to the disposition of the properties.”

According to Fane’s letter, the five Comex gold contracts are for an average of 99 ounces of gold each.

Giddens, who is liquidating the brokerage, has transferred about 38,000 commodity accounts to other firms. Three transfers of collateral made and pending will give commodity customers more than $4 billion of their assets, according to court filings.

The punchline:

The judge handling the bankruptcy said today he would deal in January with issues about distributing physical goods, such as gold and silver bars, after lawyers for some customers said they couldn’t get their share of the payouts because bars can’t be broken into pieces.

...indeed there is a reason why people say gold can not be diluted.

As for our advice: move any gold out of the LBMA [12]or CME warehouse [13]system immediately. And only treat any GLD investment as a day trading vehicle that can and will be lost the second there is a global liquidity or solvency freeze, because that particular asset will be wiped out as easily as "C:\format C:"

The brokerage case is Securities Investor Protection Corp. v. MF Global Inc., 11-02790, U.S. District Court, Southern District of New York (Manhattan [14]). The parent’s bankruptcy case is MF Global Holdings Ltd., 11-bk-15059, U.S. Bankruptcy Court [15], Southern District of New York (Manhattan).


GoldBull5000 04-04-2012 08:02 PM

Genneva Gold and other variants
The biggest scams in gold is probably all sorts of buy gold at discount and sell back to scammer for 2% profit/quarter.

The scam is just using gold as a bait. yes their gold is genuine. What they are after is the price difference between normal bullion price and "retail gold" price.

I am actually surprised that they are still coming out with more and more of this type of scams. And people fall for it!

Google Genneva Gold....

alor 13-06-2012 05:52 PM

Driven by gold and silver prices, thieves target coin collections
Driven by gold and silver prices, thieves target coin collections

Koala 22-06-2012 01:08 PM

"I think about it every day. These people have to live with the pain that I caused them," Campany said. "It's going to hurt them for the rest of their lives. Hopefully this is one way I can stop it from happening to anybody else."

This Jamie Campany is just like a China woman whom snatched another woman's hubby then said:"Its going to hurt her. But I am doing her good by exposing her hubby's true colour." Atrocious!

Jamie Campany kena jailed fr 25 years. Serve Jamie Campany right for cheating so much $ out of trusting people.

alor 28-08-2012 12:04 PM

just see this spam in email

I got your contact from your email domain, My name is Miss Ludice Nali (24) single, tall and fair in complexion, Good looking girl but very sharing, giving, caring and loving, above all God fearing. I am from Ivory Coast in West Africa.

Presently, I am residing in the refugee camp here in Accra Ghana as a result of the civil war that was fought in my country. My late father Dr Martins Nali chairman managing director Nalis Alluvial Gold Dust, in Ivory Coast before the rebels attacked our house one early morning killing my mother and my father.

It was only me that is alive now and i managed to make my way to Accra Ghana where I am living now as a refugee. I would like to know more about you. Your likes and dislikes, your hobbies and what you are doing presently. In this camp we are only allowed to go out only on Mondays and Fridays of the weeks. It's just like one staying in the prison and i hope by Gods grace i will come out here soon. I don't have any brother, sister or relatives now whom i can go to all my relatives ran away in the middle of the war the only person i have now is Rev father John Peters who is the pastor of the ( Christian Bible Church) here in the camp he has been very nice to me since i came here but i am not living with him rather i am living in the women's hostel because the camp has two hostels one for men the other for women.

As soon as i got your positive respond I will send the Pastors Tel number to you if you call tell him that you want to speak with me he will send for me in the hostel b/cos i can not call you and i don't have money to call you. As a refugee here i don't have any right or privilege to any thing be it money or whatever because it is against the law of this country. I want to go back to my studies because i only attended my first year before the tragic incident that lead me being in this situation now.

Please listen to this, I have my late father's statement of account and deposit certificate here with me which I will send to you later, because when he was alive he deposited 200 kilos of Gold with a box containing $7.5M (Seven Million five Hundred Thousand Dollars) in a leading finance house in France which he used my name as the next of kin, I will like you to help me to contact the finance house in France for delivery of the box to your door step. From the money you will send some money for me to get my traveling documents and air ticket to come over to meet you.

I kept this secret to people in the camp here the only person that knows about it is the Reverend because he is like a father to me in the light of above i will like you to keep it to yourself .

Remember I am giving you all this information due to the trust i deposed on you. I like honest and understanding people, truthful and a man or a woman of vision, and hardworking. My favorite language is English but very fluently. Meanwhile i will like you to call me or email me, I hoping to hear from you soonest.

Yours Faithful
Ludice Nali
please do not quote here, I have not the time to read yet.

alor 07-12-2012 12:41 PM

CFTC alleges that defendants conducted illegal, off-exchange commodity transactions,

CFTC alleges that defendants conducted illegal, off-exchange commodity transactions, and deceived customers in connection with financed transactions in precious metals

December 5, 2012
CFTC Charges Hunter Wise Commodities, Lloyds Commodities, C.D. Hopkins Financial, United States Capital Trust, Newbridge Alliance, Blackstone Metals Group, and their Principals in Multi-Million Dollar Fraudulent Precious Metals Scheme

Washington, DC - The U.S. Commodity Futures Trading Commission (CFTC) today announced that on December 5, 2012, it filed a civil injunctive enforcement action in the U.S. District Court for the Southern District of Florida against Hunter Wise Commodities, LLC; Hunter Wise Services, LLC; Hunter Wise Credit, LLC; Hunter Wise Trading, LLC; Lloyds Commodities, LLC; Lloyds Commodities Credit Company, LLC; Lloyds Services, LLC; C.D. Hopkins Financial, LLC; Hard Asset Lending Group, LLC; Blackstone Metals Group, LLC; Newbridge Alliance, Inc.; United States Capital Trust, LLC; Harold Edward Martin, Jr.; Fred Jager; James Burbage; Frank Gaudino; Baris Keser; Chadewick Hopkins; John King; and David A. Moore. The complaint charges these entities and individuals with fraudulently marketing illegal, off-exchange retail commodity contracts. The complaint alleges that Hunter Wise Commodities, the orchestrator of the fraud, has taken in at least $46 million in customer funds since July 2011.

According to the CFTC complaint, the defendants claim to sell physical metals, including gold, silver, platinum, palladium, and copper, to retail customers in retail commodity transactions. Under the defendants’ retail commodity transactions investment contract, customers allegedly make a down payment on certain quantities of physical metals, usually 25 percent of the total purchase price. Defendants allegedly claim to arrange loans for the balance of the purchase price, and advise customers that their physical metals will be stored in a secure depository.

The complaint further alleges that these statements were false, and that the defendants do not purchase any physical metals, arrange loans for their customers to purchase physical metals, or arrange for storage of physical metals for any customers participating in their retail commodity transactions. Instead, all the transactions are just paper transactions, according to the complaint. Defendants allegedly do not own or sell metals to customers; customers are charged storage and insurance fees on metals that do not exist; and are charged interest on loans, which are never made by the defendants.

The Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) of 2010 expanded the CFTC’s jurisdiction over transactions like these, and requires that such transactions be executed on or subject to the rules of a board of trade, exchange or commodity market, according to the complaint. This new requirement took effect on July 16, 2011. The complaint alleges that all of the defendants’ financed commodity transactions after July 16, 2011, were illegal. The complaint also alleges that the defendants defrauded customers in all of these financed commodity transactions.

David Meister, the CFTC’s Director of Enforcement stated: “Here is a prime example of how the Dodd-Frank Act provided the Commission with additional strong authority to go after wrong-doers, such as, as alleged in the complaint, individuals who prey on people looking to make retail investments in commodities like gold and silver. We will use this new authority to the fullest extent possible.”

In January 2012 the CFTC issued a Consumer Fraud Advisory (see Advisory under Related Links) regarding precious metals fraud, saying that it had seen an increase in the number of companies offering customers the opportunity to buy or invest in precious metals. The CFTC’s Consumer Fraud Advisory specifically warned that frequently companies do not purchase any physical metals for the customer, instead simply keeping the customer’s funds. The Consumer Fraud Advisory further cautioned consumers that leveraged commodity transactions are unlawful unless executed on a regulated exchange.

In its continuing litigation against the defendants, the CFTC is seeking preliminary and permanent civil injunctions in addition to other remedial relief, including restitution to customers.

The CFTC thanks the Florida Office of Financial Regulation, the Florida Department of Agriculture and Consumer Services, and the United Kingdom Financial Services Authority for their assistance.

The CFTC Division of Enforcement staff responsible for this action are Carlin Metzger, Joseph Konizeski, Heather Johnson, Stephanie Reinhart, Jennifer Smiley, Judith McCorkle, Jeff LeRiche, Peter Riggs, Jennifer Chapin, Steven Turley, Brigitte Weyls, Joseph Patrick, Susan Gradman, Theodore Glotfelty, William Janulis, Scott Williamson, Rosemary Hollinger, and Richard Wagner.

Media Contacts
Dennis Holden

Last Updated: December 5, 2012

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