DEVELOPING STORY: Feds Make Major Arrest In Tax Case Linked To Offshore Forex Fraud Scheme Known As Tradex; Arthur A. Ferdig, Who Claimed To Be ‘Taught By Angels,’ Detained On Felony Warrant
Arthur A. Ferdig
DEVELOPING STORY: Arthur A. Ferdig, who purported to be “taught by Angels and other wonderful beings of light, including the Christ Energy, Holy Spirit and more,” has been arrested and is listed as “in transit” to an unspecified federal detention facility.
Ferdig, 70, was indicted under seal in April 2009 for evading taxes on income of more than $6.4 million tied to a failed Forex scheme known as Tradex, which operated in the Caribbean and allegedly gathered more than $100 million before collapsing.
At the time of the indictment, federal prosecutors in California asked that the charges be filed under seal because Ferdig, a U.S. citizen, was known to spend long periods “overseas,” was believed to be living in California “under a false name” and was considered a “serious” flight risk.
Ferdig fancied himself “The Bridge” between angels and earthlings. His non-Forex product lineup included “Angel Tears,” defined on his website as “an all-natural, bio-trace mineral tincture developed to enhance human health and vitality.”
A federal magistrate judge has ruled Ferdig indigent, and a public defender has been appointed.
The case against Ferdig, who called his online followers “Truth-Seekers,” remained sealed for more than a year as investigators sought his arrest. That arrest occurred at an unspecified location on June 27, 2010. Ferdig was arraigned in West Palm Beach, Fla., according to records.
He is listed as “in transit” to an unnamed federal detention facility, according to the Federal Bureau of Prisons. Prosecutors said he had not filed a tax return for at least 15 years and owed nearly $2.5 million in taxes for the 2002 calendar year.
Wire transfers to “shell companies” were used to evade the taxes, according to the indictment.
Ferdig claimed to have met his first angel, Metatron, on Sept. 22, 2002, while Ferdig was peering over rocky sea cliffs in Negril, Jamaica. He later met Gabriel, Michael, Uriel, Ezrael, Ariel, Raphael, Muriel, Bethany “and other wonderful and loving angels and spirits of light,” according to his website.
NOTE: Make sure you read this story from September 2009 in Wired UK. (It very well may blow your mind.)
Visit the Tradex liquidator’s site. (You’ll find case documents there. They, too, may blow your mind. Although Tradex purported to have millions of dollars under management, missives to investors were signed “The TRADEX Management and Staff” or “The Tradex Management.” Here is the first report by the liquidator, a serious document that shows just how bizarre Ponzi investigations can become.)
For anyone interested in this story.. you can read it on the news outlet that first broke the story back in Decemember of 2007. http://www.TheEnterpriseReport.com
We also broke the story of his arrest this August in Florida.
Nick Ryan’s piece is a good one, do read it. It came two years after The Enterprise Report first broke the story of Tradex, Ferdig and the Federal investigation of all the above.
The Art Ferdig story is indeed a fascinating one — as is the tale of his downfall.
As mentioned above, I covered the case via the team who helped bring him down and wrote about it for WIRED magazine.
http://www.wired.co.uk/wired-magazine/archive/2009/10/features/follow-the-money-the-world%27s-sharpest-fraudbusters?page=all
Also, original piece (longer) put up here:
http://www.nickryan.net/articles/followthemoney.html
Nick Ryan
Welcome to the PP Blog, Nick. Very much enjoyed your article.
Patrick
An update… Ferdig sits in SoCal jail awaiting trial start next month.
UPDATE: ARTHUR FERDIG: THE GURU OF PONZI – I AM NOT GUILTY: SLATED FOR SEPTEMBER 2010 TAX TRIAL
http://theenterprisereport.typepad.com/news/2010/08/update-arthur-ferdig-the-guru-of-ponzi-pleaded-not-guilty-slated-for-september-2010-trial-.html#tp
Why are some human’s patting themselves on their back’s for exploiting and demoralizing their fellow brothers and sisters of this beautiful earth reality? We are all created equal, we all have the ability to do what we accuse others of doing, as we all have the ability to forgive, be compassionate, and love our neighbors. It is not our place to judge lest you be judged as well. Arthur is a kind, compassionate, loving spirit did you care to investigate that and write about him in this light? A good report is one which shows all angles and possibilities not a one sided “story”. It’s heart wrenching to read something someone writes about someone else when they get great joy in the suffering of others. God bless you I hope that you find your way to your heart and always follow it’s guidance. Peace, forgiveness, and love
How sad.
I hope you have your denial and delusional skills sharpened, you’re gonna need ’em.
And people wonder why posters speak out against crooks like Ferdig and his cohorts.
Curious that someone posts a “support” message on an old story?
Arthur, the “kind, compassionate, loving spirit” was guilty of tax evasion. There is no doubt, he admitted to it in September 2010.
http://theenterprisereport.typepad.com/news/2010/09/exclusive-the-guru-of-ponzi-arthur-ferdig-agrees-to-plead-guilty-to-tax-evasion.html
Take note of the link at the bottom “Arthur A. Ferdig Federal Tax Evasion Plea Agreement”.
Ferdig was a lying fraud, so please don’t shed a tear for him. He was a friend of my parents who had know him for decades, and he induced them to invest $70,000 of their money in his Tradex ponzi. Even though he passed a lot of the stolen money to his family, he never was interested in the restitution of his ill-begotten gains. Sweet old Art, may he rot with the worst of them.
Its funny to see this. As he is related to me.
He scammed my grandfather and he tried to scam my parents.
Shame.
I am also related to him and am aware of at least 30,000 that he’s been able to get from my grandmother. I am so sorry for all the people he’s hurt.
First of all, I know Art personally. Yes he was warned by Metatron ahead of time about what would happen with the business. Crooks, let the Creator decide who are the real Crooks. Look at your history. You break agreements with the Native Americans. Steal Florida from a broken agreement with the Seminoles. Steal millions of People from Africa and enslave them. Constantly create chaos in all other countries to destroy their way of life. You make up false codes called the Internal Revenue look at the UCC. Ok.,this false system you make the rules. But do not judge when you have judgements against yourselves. Tax evasion. At the end of all of this do not make money your GOD. Art…He has a true connection to the Angels. He has been forgiven. You may not like what I say but it is the truth. One day called judgement day. You will know. Watch and see the time… This system ends….like all the rest of them in the past. Only the truth stands.