PatrickPretty.com

Day: October 23, 2012

  • TIMES OF INDIA: Accused Ponzi Schemer Allegedly Became Target Of Kidnapping Plot And Was Held By ‘Armed Men’

    The Times of India is reporting that accused Ponzi schemer Imtiyaz Hussain Saiyad allegedly was kidnapped by three people who wanted their money back and “held for over a week” by “armed men” before being rescued by police.

    Such schemes are not unprecedented in scam land. The PP Blog reported in February 2010 that three Americans implicated in a bid to shake down the operators of a hedge fund associated with the alleged Equity Investment Management and Training Inc. (EIMT) Ponzi scheme pleaded guilty to criminal charges.

    In the U.S. case, the shakedown bid “occurred after a fake meeting was arranged in March 2009 under the guise that a wealthy investor wanted to meet figures associated with EIMT,” the PP Blog reported.

    Similar allegations are unfolding in the alleged kidnapping attempt in India.

    From the Times (italics added):

    The [accused] trio, Asif Hussain Siddique, Ayub Siddique, residents of Machipith and Iqbal Sheikh of Ajwa Road, told Saiyad that they had found a Lucknow-based investor who was ready to invest Rs 10 crore in his firm. The trio told him that he would have to meet the investor in Lucknow.

    Read the story in the Times Of India.

  • Ohio Man Who Swindled Investors In High-Yield T-Bill Scam Found Guilty Of 11 Felonies; Sentencing For Isaac J. Castile III Set For Nov. 19

    UPDATED 3:15 P.M. EDT (U.S.A.) Isaac J. Castile III of Reynoldsburg, Ohio, has been found guilty of 11 felonies in a securities swindle that promised annual returns of 100 percent, the Ohio Department of Commerce Division of Securities announced today.

    A Franklin County jury returned the verdicts after a four-day trial, the agency said.

    Castile, chairman and CEO of Columbus-based Metropolitan Enhancement Corp., was taken into custody immediately after the verdicts were returned, the agency said.

    The prosecution was handled by the office of Franklin County Prosecuting Attorney Ron O’Brien, the agency said.

    From the agency (italics added):

    Castile told investors that he would invest their funds in U.S. Treasury bills and promised annual
    returns of 50 percent and 100 percent. The Treasury bills were not purchased. Castile was found
    guilty on the following charges:

    • 3 counts of securities fraud
    • 3 counts of false representations in the sale of securities
    • 3 counts of sales of unregistered securities
    • 2 counts of theft

    Of the 11 counts, six are first-degree felonies and five are third-degree felonies.

    Castile “stole approximately $255,000 in funds from two central Ohio investors,” the agency said.

    Sentencing before Judge Michael Holbrook is set for Nov. 19.

    Upon Castile’s 2011 indictment, the agency said, “Castile ignored earlier subpoenas and court orders to testify before the Division of
    Securities.”