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  • Surf’s Up Mods Have High Positions In AdViewGlobal

    Four moderators at the Pro-AdSurfDaily Surf’s Up forum hold high positions in the AdViewGlobal autosurf or have a spouse who does, according to AVG’s website.

    AVG launched in the aftermath of the seizure of tens of millions of dollars last year from ASD, a Florida company federal prosecutors said was engaged in wire fraud, money-laundering and the sale of unregistered securities while operating a Ponzi scheme.

    Larry Alford, the husband of Surf’s Up Mod Barb Alford, holds position 11; Mod Terralynn Hoy holds position 12; Mod Laura Pont holds position 14; and Mod Kathryn Milner holds position 15.

    Whether the Mods are still associated with AVG is unclear. Also unclear is whether Alford, Hoy and Pont continue to play an active role at Surf’s Up.

    Other members with high positions include David Meade (9); Mindy Bales (19); and Nate Boyd (20). Bales helped organize rallies for ASD in Iowa, and Boyd is a former ASD compliance officer, members said.

    The No. 5 position in AVG is held by unnamed “AVG Executives.” Gerald Castor, an AVG compliance officer who was sued twice last year for violations of federal labor law, is AVG member No. 59, according to the website.

    ASD gave Surf’s Up its official endorsement Nov. 27, 2008, eight days after a federal judge ruled that ASD had not demonstrated at an evidentiary hearing that it was a legal business and not a Ponzi scheme.

    AVG insisted for weeks prior to its February launch that it had no affiliation with ASD or ASD President Andy Bowdoin, whom members now say was the silent head of AVG. On Jan. 31, AVG’s graphics appeared in an ASD-controlled webroom, but AVG said the development was an “operational coincidence.”

    Former ASD executive Gary Talbert holds the No. 1 position in AVG, which purports to be headquartered in Uruguay but also filed papers in Florida.

    In March, AVG advised members its bank account had been suspended. The surf blamed members in its announcement. Regardless, AVG embarked on a 200-percent, matching-bonus program for both members and their sponsors. One email promotion after the announcement of the account suspension claimed $5,000 spent with AVG turned into $15,000 “instantly!”

    The March email bore the name of Shad Foss, a promoter associated with the CEP Ponzi scheme. ASD once advertised that it accepted CEP Trust, the failed payment processor associated with CEP, which was dismantled in 2007 by the Securities and Exchange Commission.

    By June 25, AVG announced it was suspending member cashouts and conducting an audit of itself.

    In April, federal prosecutors announced in court filings that ASD President Andy Bowdoin had signed a proffer letter in the ASD forfeiture case and acknowledged the company was operating illegally. The date Bowdoin signed the proffer letter is not publicly known. It is possible Bowdoin signed the letter weeks before the launch of AVG.

    What is known is that Bowdoin signed the letter before Jan. 13, 2009. AVG was in prelaunch at the time and launched fully in early February.

    It is not publicly known if others have signed proffer letters. Federal prosecutors say ASD is a criminal enterprise, and private attorneys have accused ASD and Bowdoin of racketeering.

    During the spring and summer, AVG authored a series of bizarre announcements to explain developments, blaming members for a decision to disable a forum and threatening them with copyright-infringement lawsuits for sharing news. The surf also threatened to contact the ISPs of members who asked questions.

    Another AVG forum run by some of the Surf’s Up Mods and members also closed in the aftermath of the surf’s decision to suspend cashouts. Surf’s Up itself deleted some AVG-related content.

    Both Surf’s Up and the AVG forum operated by some of its Mods declared Curtis Richmond a “hero” earlier this year, after Richmond accused a federal judge and the ASD prosecutors of crimes in a pro se court filing.

    Richmond is associated with a Utah “Indian” tribe a federal judge ruled a complete “sham” in a racketeering case in which it was alleged that the tribe had harassed public officials by placing enormous financial judgments against them, including one for $250 million against a county prosecutor and one for $300,000 against a family-services worker.

    Richmond signed the fraudulent award against the family-services worker, and also sought to have judges and litigation opponents jailed, according to court filings. In one case, the tribe contrived its own “Supreme Court,” using the address of a Utah doughnut shop, and issued bogus arrest warrants. The U.S. Marshals Service refused to serve the warrants, which called for the arrests of judges, bankers and attorneys representing bankers.

    An unofficial total of 57 pro se pleadings by Richmond and other ASD members followed after Richmond’s initial filing in February, including a recent spate of 41. A federal judge has rejected all of the claims. The most recent claims accused the government of “reckless action and reckless disregard of the law.”

    Pro se claims by Andy Bowdoin have not been fully addressed by the judge because Bowdoin did not follow up on his initial claims. Bowdoin’s attorney announced last month that he is negotiating with federal prosecutors. Bowdoin has been ordered by the court to show cause by Monday why his pro se motion to undo the decision he made to submit to the forfeiture in January should not be denied.

    Bowdoin submitted to the forfeiture while employing paid counsel Jan. 13. The first of his pro se pleadings to reverse his forfeiture decision was dated Feb. 25. On the previous day, Feb. 24, reports circulated that the U.S. Secret Service had seized the individual bank accounts of some ASD members, including at least one account owned by an AVG member.

    On Feb. 26, AVG announced it was switching to an “association” structure after consulting with Pro Advocate Group, a firm associated with Karl Dahlstrom, a felon convicted of securities fraud in the 1990s and sentenced to 78 months in federal prison.

    Surf’s Up also endorsed a letter-writing campaign by “Professor” Patrick Moriarty, now under indictment for federal tax fraud. In 2006, Moriarty started a nonprofit corporation for a man accused of murdering a Missouri woman in cold blood, shooting a police officer four times — and another man eight times.

  • Noobing-Connected Firm Discussed In Senate Hearing

    Jon Leibowitz, FTC chairman
    Jon Leibowitz, FTC chairman

    The head of the Federal Trade Commission told a Senate panel yesterday that a firm associated with the Noobing autosurf embarked on a scheme to sell a $59 book and then used a telemarketing company to upsell customers to an expensive program that fraudulently sold “guaranteed” government grants from economic-stimulus funds.

    “Just last week, some of the defendants allegedly responsible for the ‘Grant Writers Institute’ [GWI] grant scam agreed to a preliminary injunction halting their operation pending final resolution of the matter by the court,” FTC Chairman Jon Leibowitz told the Senate Committee on Homeland Security and Governmental Affairs.

    Noobing, which pitched itself to deaf consumers and was promoted by members of AdSurfDaily (ASD), went offline in the aftermath of the FTC lawsuit against Affiliate Strategies Inc., GWI and related companies.

    “The complaint charged that GWI falsely claimed that consumers were eligible for grants as part of the recently announced economic stimulus package,” Leibowitz told the panel. “For example, consumers who called GWI in response to a mass-mailed postcard heard a recording that said, ‘If you’ve been reading the papers you know that recently our government released $700 billion into the private sector. What you probably don’t know is that there is another $300 billion that must be given away this year to people just like you.’ The recording continued, ‘And if you’re one of the lucky few who knows how to find and apply for these grants, you will receive a check for $25,000 or more, and we guarantee it . . . If you don’t get a check for $25,000 or more, you pay nothing.”

    Sen. Joseph Leiberman, chairman,
    Sen. Joseph Lieberman, chairman, Senate Committee on Homeland Security and Governmental Affairs.

    Sen. Joe Lieberman, ID-Conn., presided over the hearing, which was titled “Follow the Money: An Update on Stimulus Spending, Transparency, and Fraud Prevention.”

    Leibowitz updated Lieberman’s panel on efforts by “[c]on artists [who] have sought to exploit the American Recovery and Reinvestment Act of 2009,” according to his testimony.

    He noted that some fraudsters had used images of “President Obama and Vice President Biden to add legitimacy to their misrepresentations.”

    In a forfeiture case against ASD, a Florida company accused of operating an international Ponzi scheme from a former flower shop in a small town, federal prosecutors said promoters of the scheme falsely claimed that ASD President Andy Bowdoin had received an award for a business achievement from President George W. Bush.

    Rather than let the wire-fraud, money-laundering and securities investigation proceed until all the facts of ASD’s business practices were known, some ASD members embarked on a letter-writing campaign to the Senate and asked members of Congress to investigate the prosecutors, not the alleged schemers.

    Others filed court motions that accused a federal judge and the prosecutors of crimes.

    See Reuters story on the Senate hearing.

  • ESSAY: Autosurfs Deserve A Hall of Fame Prosecution

    AdSurfDaily President Andy Bowdoin is entitled to his dignity. He is not, however, entitled to sustain the lies that sustained ASD during its miserable run or kept false hope alive for thousands of members after the U.S. Secret Service seized his money.

    When the ASD case ends, it should end without ambiguity.

    The prosecution of ASD’s assets in the form of money and real estate never was about an “evil government” — not even for one minute. All fair-minded people know that. If you bought into that story, you bought into a lie. If you wrote disingenuous letters to the government at Bowdoin’s urging — or if you wrote them on your own initiative, without doing appropriate research — you contributed to what amounts to an unconscionable spin campaign to sanitize a wretched enterprise that was polluting the U.S. money supply.

    And you did it at a time in which U.S. banks were failing at a pace not seen since the Great Depression and more and more people were consumed by worry and sliding into poverty.

    This is a case about domestic and international wire fraud and money-laundering. It featured an attack on the U.S. banking system and an attack on the U.S. Treasury itself. These things should make you feel utter revulsion. If they don’t, you are endorsing crime on a global scale.

    Why would you do that?

    If your answer is that surfs are fundamentally harmless, you are engaging in self-delusion of the highest order. Their danger is inarguable in any rational context. You cannot sanitize this filthy business via disclaimer or by saying things such as, “Only spend what you can afford to lose.”

    You should have to force yourself not to hurl every time you read those words or get an email from an “industry expert” who counsels you to be careful while playing these terrible games — all while providing an affiliate link so he or she can pocket a commission before the enterprise collapses or is destroyed by the government, thus potentially implicating you in a crime.

    If he or she sloughs it off with something along the lines of, “People should be free to make their own choices,” ask him or her if that theory applies to bank robbery or theft on a grand scale hidden behind a disclaimer that says “rebates aren’t guaranteed.”

    It’s not just another form of “gambling,” either. Gambling is highly regulated. So is the Ponzi scheme business, even if you want to delude yourself into thinking it’s not. In fact, the Ponzi scheme business is so tightly regulated and so universally reviled that the Congress saw fit to make it illegal under a host of laws. Taking it “offshore” is nothing but a confession to the crime.

    The Constitutional power to legislate is vested in the U.S. Congress. No private attorney is empowered to divine private legislation that makes exceptions for thieves and criminals — to say, in effect, “We get to keep the money, and there’s not a damned thing you can do about it.” No pro se litigant can turn it into a case of judicial “TREASON” when he or she is properly excluded from the legal proceedings.

    Imagine a world in which the Legislature or a judge permitted Ponzi schemes. Bernard Madoff, who devastated legions of individuals, charities and endowments, would be a free man. Compellingly, though,  not even Madoff, a man of relentless cunning and unparalleled criminal hubris, had the gall to ask his investors and the public to understand his plight or to blame it on evil prosecutors.

    No autosurf has ever succeeded — unless you define the organized theft business as genuine enterprise or a genuine form of empowerment. The autosurf lane is lined with stinking carcasses and broken dreams. It is paved with shards of glass and cannot be navigated without harm to innocents. The “free market” defense to which autosurf players default by rote is the same one that served up human bondage for profit.

    The “rebates aren’t guaranteed” disclaimer is an abomination manufactured to provide cover for promoters, so they’ll have an excuse should the government move in. It is nothing more than a license for the operators and promoters to steal — from the unknowing, from religious groups, from widows, from people from all walks of life. “Insidious” does not even begin to describe it.

    These surfs pose a clear and present danger to the security of the United States and other countries. People are using them to scrub enormous sums of money. Criminal enterprises are involved. People who seek to cause widespread harm could be involved. You could be helping a terrorist organization buy bombs or missile launchers or weapons of mass destruction. You could be helping drug dealers hide profits.

    Spin Alert: Bowdoin As Victim

    Yesterday a poster here reposted an email purportedly from a person who had communicated with ASD President Andy Bowdoin recently. Apparently the spin game already is starting, with Bowdoin being positioned by shills as a victim, as he negotiates with prosecutors.

    “The government is really playing hardball and the negotiations are very intense,” the email claims. “A handful of people have sent messages that they don’t understand why Andy hasn’t communicated to everyone and, to them, that means Andy is a crook.

    “Those people don’t realize that, when a person is involved in a legal issue, their attorneys counsel them not to discuss anything with anyone,” the email continued. “Why? Because those who want to win the case against that person will look for anything the person says, take it out of context, and use it against the person. It’s very commonly done and done effectively. Many innocent people are in jail because of that very mistake. Andy couldn’t take the chance. Please know that this has been very hard on him, not being able to talk to you directly.”

    Horse-hockey.

    Andy Bowdoin has blamed every lawyer involved in the case for ASD’s troubles, including his own. He fired his paid counsel without informing them, morphed into a pro se litigant after consulting with amateurs and filed one fantasy brief after another. For good measure, he chided the prosecutors by saying his drivel “should really get their attention.”

    “Watch for the filings,” Bowdoin instructed, in a letter published March 13 on the Pro-ASD Surf’s Up forum. “I will be speaking out on a conference call as soon as the filings are completed. We will notify you of the call. I look forward to talking to you then.”

    No conference call occurred after Bowdoin’s filings were completed. Bowdoin’s amateur advisers didn’t anticipate a ruling from the judge that corporate litigants could not proceed pro se, which forced Bowdoin to hire new paid counsel. His previous paid counsel effectively resigned from the case after being ordered by the judge to state their intentions.

    Representing intransigent Bowdoin, it seems, had become a royal chore.

    In asking for leave to withdraw, the attorneys said their representation of Bowdoin had become “unreasonably difficult.”

    “After this Court denied Claimant’s Emergency Motion for Return of Seized Funds [on Nov. 19, 2008], the client-lawyer relationship between the Firm and all three Claimants substantially deteriorated and has not improved thus rendering the representation unreasonably difficult,” the lawyers said.

    ‘Strong Up The Middle’

    Assuming that the email cited above relates an actual conversation and includes a kernel of truth, it’s good to know the government is “really playing hardball.” The government should play hardball; a metaphorical Sandy Koufax should be on the mound, Johnny Bench should be behind the plate, Ozzie Smith should be at shortstop, Joe Morgan should be at second and Willie Mays should be in center field.

    It’s important to be strong up the middle on defense.

    When it’s time for the government to bat, it should alternate between Ty Cobb and Rickey Henderson at lead-off, with Roberto Clemente in the two-hole. Ted Williams and Lou Gehrig should alternate at the third position, and Babe Ruth should bat cleanup. Hank Aaron and Willie Stargell and Willie McCovey should be ready at a moment’s notice in case the Bambino was just getting home at gametime, and Willie Mays and Kirby Puckett could alternate in the five-hole.

    The government team definitely needs an All-Star and Hall of Fame representative from the Minnesota franchise, which is why Puckett is a good selection.

    Mike Schmidt and Eddie Matthews should alternate in the sixth position, and Joe Morgan should bat seventh. Ozzie should bat eighth, with Sandy in the ninth spot. If Sandy tires — or if his elbow becomes inflamed — the call should go to Cy Young. He should be backed by Tom Seaver, Steve Carlton and the entire Hall of Fame pitching staff, including relievers.

    Lawyerly Tony LaRussa (for academics) should manage; Billy Martin (for spirit) should coach first, and Walter Alston (for the love of the game) should coach third. The All Star lineup should be so strong that LaRussa doesn’t have to worry about players playing out of position or worry about letting all members of his “strong up the middle” defensive team bat.

    If an umpire rules all defensive players have to bat and that the government can’t let people play out of position, LaRussa should field what he believes to be the best team on any given day, which means even immortals will have to ride the bench.

    For flexibility, Ozzie and Johnny could alternate with Cal Ripken Jr. and Carlton Fisk, just like Willie Mays and Kirby. In a team consisting of all Hall of Famers, Clemente could sit if his back began to ache, and Bill Mazeroski could spell Joe Morgan at second, perhaps especially late in games. Maz can pick it — and he hit perhaps the most famous 9th inning homerun in the history of the game.

    Metaphorical LaRussa must be free to bring metaphorical Bob Gibson into the game on a moment’s notice to throw strategic brushback pitches, if needed, before getting the strikeout.

    Andy Bowdoin should be defended by Johnnie Cochran, Gloria Allred, Clarence Darrow, Gerry Spence and Abraham Lincoln — five great legal minds.

    And when Bowdoin loses and the spin begins, you should feel revulsion that he is blaming his lawyers, including Abraham Lincoln — while championing the government for playing hardball in this case and sending even the reverential Mr. Lincoln back to the bench, his strikeout by Sandy Koufax duly recorded for posterity.

  • BREAKING NEWS: Judge Denies ASD Pleadings En Masse

    UPDATED 4:50 P.M. EDT (U.S.A.) A federal judge has issued an order denying 31 pro se filers standing in the ASD case.

    Judge Rosemary Collyer denied the filings in a four-page order. Three pages of the document included the names of the individual filers, and a specific order to each one denying their motions to “Intervene and Petition[s] to Return Wrongfully Confiscated Funds.”

    Denied were:

    1. Stan Ketchum
    2. Lucia M. Ruggeroni
    3. Barbara J. Bowles
    4. Robert Bowles
    5. Dawn Starling
    6. Eva Cater
    7. Sara Lehman
    8. Christopher Blake Scott
    9. Harold L. Shaffer
    10. Daniel N. Reams
    11. James Richards
    12. John Deminico
    13. Thomas M. Shearer, Jr.
    14. Earl R. Dehart, Jr.
    15. Peter McFray
    16. Stephen O’Brien
    17. Julie Ann Larson
    18. Christine Keyworth
    19. Joseph L. Dunn
    20. Caesar Nunez
    21. Laurie Ann Solliday
    22. Tucker Norton
    23. Tobias Norton
    24. Steven F. Norton
    25. Sandra Norton
    26. Richard H. Frary
    27. Linda Frary
    28. Judith Arnold
    29. Richard Moll
    30. James Wessels
    31. Maureen Wessels

    Larson filed a claim for $250,000 in ASD ad-packs, as opposed to a sum of money. The judge denied the claim without comment.

    Collyer now has denied all 41 pro se claims that began to appear at the courthouse Aug. 24. She denied the first batch of 10 Aug. 31.

    Read the judge’s mass denial of pro se pleadings today.

  • MUSINGS: It’s Possible ASD NEVER Operated Legally

    EDITOR’S NOTE: Many observers hold the view that ASD broke the law the first time it paid an “old” member with funds from a “new” member in the classic Ponzi setup. It’s hard to argue with that point of view, given the failure of hundreds and hundreds of autosurfs, all of which used a Ponzi model and were pushed by serial Ponzi promoters.

    Regardless, the Ponzi discussion is only one element of the ASD case, which was brought as a wire-fraud and money-laundering prosecution amid assertions that ASD was selling unregistered securities and operating a Ponzi scheme.

    This column seeks to promote discussion about whether ASD ever operated legally.

    As pro se motions from individual members criticizing the government’s actions in the AdSurfDaily forfeiture case continued to pile up last week, prosecutors filed a brief that says filers “must establish an interest in a property that existed before the crime occurred.”

    Can the pro se filers do it? Can they demonstrate that their investment in ASD — what they claim was a purchase of  “ad packages” to be displayed in ASD’s rotator — occurred before the company morphed into what the government calls a criminal enterprise?

    We think not.

    We’d like to applaud the filers’ participation in the judicial process, but we cannot. The filings are disingenuous. They were made from a template circulated among at least one ASD downline group. And they make claims contrary to the public record of the case — a record that has been published in multiple places.

    Among other things, the filings claim:

    • The U.S. Government has failed to produce any EVIDENCE of alleged wrongdoing.
    • The U.S. Government has failed to produce any WITNESSES of alleged wrongdoing.
    • The U.S. Government has failed to produce any VICTIMS of alleged wrongdoing.

    All of these claims are disingenuous to the extreme and can be defeated by one simple fact: A trial date has not even been set in the case. Regardless, the pro se filers are telling a federal judge that the prosecution “has failed” to do all of these things, as though the judge does not have a clue about a case over which she is presiding and scheduling in consultation with the parties.

    These filings are an insult to the judge. Moreover, they are an insult to the rank-and-file members of ASD. The members have been subjected to months and months of tall tales told by members of the Pro-ASD Surf’s Up forum. Now they’re being subjected to a litany of disingenuous filings by individual ASD promoters.

    ASD had asked last year for an opportunity to present its witnesses at an evidentiary hearing to argue against the Ponzi allegations. The prosecution did not object to the hearing, and the judge granted ASD’s request. She later ruled that ASD had not demonstrated it was a legal business and not a Ponzi scheme at the hearing, explaining that ASD’s testimony was at odds with itself and contradicted by ASD’s “come on” statements on its own website. (Emphasis added below.)

    “The lay testimony of [ASD Member] Mr. Grayson belies the expert testimony of [ASD Expert Witness] Mr. Nehra,” the judge said. “Mr. Nehra repeatedly asserted that ASD does not ‘guarantee’ rebates under the Terms of Service, see Terms of Service at 2 (Ad Packages and Credits) (“ASD does not guarantee any earnings and/or rebates”), but his testimony cannot be relied upon because (1) it is contradicted by come-on statements on the ASD website and Mr. Grayson’s testimony and (2) it relied solely on the written words contained in the Terms of Service without independent investigation or review of ASD’s business records to ascertain how ASD operates in fact before opining.”

    But let’s return to the issue as to whether filers can demonstrate that they ever were members of a legal enterprise.

    There is evidence that an ad for ASD in February 2007 — only a few months after ASD’s launch — promised “shelter” from the Federal Trade Commission and the Securities and Exchange Commission. Every dollar that flowed into ASD from that ad was polluted by fantastic lies. The people who sponsored the ad were representatives of the ASD organization.

    “Shelter” from the FTC and SEC? And “shelter” provided by an “advertising” company no less? Go to your local newspaper, radio, television or billboard provider. Ask if they ever provided “shelter” from the FTC or SEC to any of their advertising clients.

    Moreover, there is evidence that members were advised their ASD deposits were insured by the FDIC. The suggestion was that one could not lose with ASD because members’ individual ASD accounts — ad-pack numbers on a screen — were insured against loss by the FDIC.

    Meanwhile, there is evidence that debit cards used by ASD were the same debit cards used by what the Drug Enforcement Administration described as a major drug operation in Medellin, Colombia. Yes, that Medellin.

    Records suggest that the man who provided the debit cards to the Medellin operation is the same man who provided the debit cards to ASD and that the man or his intermediary participated in an ASD function in November 2006, just days after ASD began to build its web operation.

    Meanwhile, there is evidence that ASD members were not getting paid shortly after the company’s launch, that at least $1 million came up missing from the enterprise at the purported hands of “Russian” hackers and that resources were depleted by scripting errors.

    At the same time, the record suggests that ASD President Andy Bowdoin was involved in a failed surf known as DailyProSurf prior to the October 2006 launch of ASD. This leads to the intriguing possibility that ASD was in the hole before it even started and that the initial ASD iteration was used to pay back DailyProSurf members for losses they sustained.

    Even if that was not the case, there is evidence that ASD morphed into ASD Cash Generator and did not tell new members that their money was being used to pay members of ASD’s first or previous iterations.

    Some of this evidence dates back to January 2006 and, in August 2006, two months before the launch of ASD, Bowdoin registered the name DailyProSurf in Florida. It is a matter of public record.

    Bowdoin also donated money to the National Republican Congressional Committee in early 2007, even as ASD members were not being paid and the patriarch was consulting with “leaders” in Atlanta to come up with a turnaround plan. It is a virtual certainty that Bowdoin’s campaign donations came from Ponzi proceeds.

    Also, public filings in Florida show that the building ASD was using — the former flower shop owned by his wife in Quincy — used the address of 11 S. Calhoun in the 1990s and 13 S. Calhoun during this decade.

    Good luck trying to prove you ever were a member of a legal enterprise. It is possible that ASD never operated legally — not even before it made what prosecutors described as Ponzi payouts.

  • BREAKING NEWS: Pro Se Filer Says Government Owes Her ‘Approximately $250,000 In [ASD] Ad Packages’

    More pro se motions to intervene in the AdSurfDaily civil forfeiture case have streamed into U.S. District Court for the District of Columbia.

    Some of today’s docketed motions were mailed in September — after Judge Rosemary Collyer’s Aug. 31 denial of motions filed by the first 10 pro se litigants.

    Today’s docketed filers include Julie Anne Larson of Sarasota, Fla. Larson says the government owes her “approximately $250,000 in [ASD] Ad Packages.” Her petition was dated Sept. 1, one day after Collyer ruled against the initial 10 filers, saying they had no standing in the case.

    No signature appears on the the perjury-verification line in the document. Larson’s purported signature appears on the Certificate of Service and is dated Sept. 1.

    It is believed Larson is the first pro se litigant to file specifically for ASD ad packages and not an actual sum of money.

    Since Aug. 24, pro se litigants have filed an unofficial total of 31 motions to “Intervene and Petition[s] To Return Wrongfully Confiscated Funds.” The motions have used a litigation blueprint circulated by at least one ASD downline.

    All of the motions were filed after prosecutors had announced that ASD President Andy Bowdoin had acknowledged ASD was operating illegally at the time of the seizure of tens of millions of dollars from his bank accounts last year.

    Bowdoin also signed a proffer letter in the case, prosecutors said in April.

    Bowdoin’s attorney, Charles A. Murray, announced in court filings Aug. 4 that Bowdoin was negotiating with federal prosecutors.

    By Aug. 24, pro se pleadings from ASD members began to pile up at the courthouse. The filings accuse the government of “reckless action” and “reckless disregard of the law by my Government to ‘protect’ its citizens.”

    Other docketed filers today include Stephen O’Brien, Christine Keyworth, Joseph L. Dunn Jr., Caesar Nunez and Laurie Ann Solliday.

    On Friday, in response to the spate of pro se filings, prosecutors filed a supplemental brief in the case that said ASD members “must establish an interest in a property that existed before the crime occurred.”

    The government filings might have been a bid to put would-be intervenors on notice that prosecutors have evidence of crimes that occurred within ASD long ago, perhaps before some or all of the pro se litigants even joined the purported “advertising”
    business.

    Later Friday, links were established between some members of ASD and the AdVentures4U autosurf, which announced a suspension of payouts Aug. 28. ASD members also promoted Noobing, an autosurf currently offline.

    Noobing’s parent company was ordered by a federal judge last week to repatriate money to the United States as a fraud investigation by the Federal Trade Commission proceeds.

    Today, the domains for AdViewGlobal, another autosurf promoted by ASD members, would not resolve to their servers in Panama.

    Read Larson’s motion.

  • AdViewGlobal Domains Offline

    UPDATED 8:09 P.M. EDT (U.S.A.)

    Two domains for the AdViewGlobal (AVG) autosurf will not resolve to a server.

    The domains are:

    • adviewglobal.com
    • startavga.com

    Why the domains will not resolve is unclear. The domains normally resolve to a server in Panama.

    As reported previously, a third domain associated with AVG — advglobal.com — also won’t resolve. This domain appears to have resolved to the United States at one time and appears to have been suspended for spam and abuse.

    AVG suspended cashouts June 25. In August, it said it had reported a theft of $2.7 million to state and federal authorities. AVG’s announcement about the purported theft occurred one day after AdSurfDaily President Andy Bowdoin announced in court filings that he was negotiating with federal prosecutors.

    AVG and ASD have close family, promoter and membership ties.

    UPDATE 11:55 A.M. The AVG domains still are offline. Their IP cluster in Panama is in the same range as the server that powers BizAdSplash (BAS), yet another controversial surf firm. The BAS domains are resolving.

    UPDATE 8:09 P.M. The adviewglobal.com domain and the startavga.com domain now are resolving to a server, although the members’ login page and the “Join” page are throwing a database error.

    The advglobal.com domain is not resolving to a server.

  • UPDATE: Sham ‘Attorney General’ In ‘Indian’ Case Sought $1.7 TRILLION From SEC; Wikipedia Says He Was Jailed In Nevada For ‘Attempted Murder,’ Other Charges

    EDITOR’S NOTE: This is an update to supplement a story about bizarre securities litigation that has occurred recently. (Updated 9:10 P.M. EDT (U.S.A.)

    Think the $250 million judgment sought against a public servant by a sham “sovereign” Utah “Indian” tribe to which AdSurfDaily mainstay Curtis Richmond belonged was bizarre and extreme?

    It turns out to have been a drop in the bucket compared to the $1.7 trillion sought by the bogus “attorney general” of an unrecognized North Dakota tribe. Michael Howard Reed, who is not an attorney but purported to hold the title of “attorney general,” sought the award after the Securities and Exchange Commission sued purported tribal members for running a $29 million Ponzi scheme from Nevada.

    The sought-after amount of $1.7 trillion would have exceeded the total of federal income tax paid by individual U.S. filers last year by about $575 billion.

    A federal judge was not pleased by the gamesmanship in the securities-fraud case against Gold Quest International, which purported to be registered in Panama but was operating the alleged Ponzi scheme from Las Vegas while claiming immunity from U.S. law.

    U.S. District Judge Kent J. Dawson struck a series of pleadings by Reed from the record.

    Meanwhile, Dawson jailed John Jenkins, one of the defendants implicated in the Ponzi scheme, for contempt.

    Dawson also dispatched the U.S. Marshals Service to arrest David Greene, also known as “Lord David Greene,” in part for violating orders to repatriate money offshore to the United States.

    All of this took place only weeks before the U.S. Secret Service seized tens of millions of dollars from Florida-based ASD, itself accused of operating a Ponzi scheme and selling unregistered securities.

    Wikipedia says Reed was jailed in Nevada on charges of attempted murder, although no details were provided in the entry. (UPDATE Jan. 21, 2010: This Wikipedia entry appears to have been disputed, with the reference to Reed and the purported attempted-murder charge removed.)

    Richmond entered the ASD fray in November. By early February, he was filing pro se motions suggesting ASD members intended to pursue claims of $120 million against the prosecutors, a judge and a court clerk.

    By late February, ASD President Andy Bowdoin himself was filing pro se motions, acknowledging ASD had been operating illegally but claiming he’d been denied “fair notice” his conduct was illegal.

    Bowdoin’s actions coincided with an announcement by the AdViewGlobal (AVG) autosurf that it was shifting to an “association” structure.” Such structures sometimes are associated with tax schemes.

    AVG introduced members to Pro Advocate Group, which is associated with Karl Dahlstrom. Dahlstrom was convicted in a securities scheme in the 1990s and sentenced to 78 months in federal prison.

    The Utah “Indian” tribe to which Richmond belonged was ruled a “complete sham” by a federal judge last year. Meantime, the North Dakota tribe to which the GQI defendants purportedly belonged is not recognized by the federal government. There is substantial securities litigation against GQI in Canada, as well.

    See story on $1.7 trillion filing in the Las Vegas Review-Journal.

  • EDITORIAL: ‘Meanwhile, Andy Bowdoin Was Negotiating’

    Perhaps you’ve read that the AdVentures4U (ADV4U) autosurf suspended payouts on or about Aug. 28. The surf, which purports to be a professional communications firm, butchered its announcement message to such a degree that professional Ponzi promoters began to email their lists to explain what they thought ADV4U was saying.

    Perhaps the only thing not ambiguous was a plea to members not to contact the offshore payment processors. The processors had the ability to trap the money and cripple operations, meaning ADV4U would not be able to dictate the haircut members were about to receive and that all financial decisions would be placed in the hands of the processors.

    Trapping the money also meant that ADV4U also would not be able to get its hands on its own cash. Money needed to pay the bills could be trapped. So could money needed to carry out the master plan, irrespective of the fact members cannot say for certain what the master plan is. They can repeat GIGO only. Garbage comes in, and garbage goes out. Somehow it takes on a veneer of high truth.

    Third-party accounts from “insiders” or people who know other people “in the loop” are never high truth. All you need to do to test this theory is read the Pro-ASD Surf’s Up forum.

    Surf’s Up told you an insider with impeccable credentials knew for a fact that the government admitted behind closed doors that ASD was not a Ponzi scheme. The government then went out and mowed down ASD at an evidentiary hearing in which the prosecution did not call a single witness.

    So much for “insider” news.

    Not to be outdone, though, posters at Surf’s Up then wove the untrue tale that ASD was denied due process, that the government’s failure to call a witness at a hearing ASD specifically requested to present its evidence meant that it had no evidence. Over the months the untrue tale snowballed. It finally grew into a fantastically untrue tale in which the preposterous claim was made that the only reason Andy Bowdoin was not in jail and that Bernard Madoff was in jail is that the government had no evidence against Bowdoin. Zero. None.

    This claim was made despite the fact that Andy Bowdoin had acknowledged in his own court filings that ASD was operating illegally, had given statements acknowledging the government’s material allegations all were true and even had signed a proffer letter in the case.

    A few of Bowdoin’s most committed apologists then began to spin the fantastic tale that the rebirth of ASD might be only days away, that prosecutors had screwed up so royally that a federal judge issued an order commanding them to put up or shut up by Aug. 28.

    This claim was made despite the fact Bowdoin’s own attorney announced publicly that Bowdoin was negotiating with prosecutors. The prosecution hadn’t been ordered to do anything. In fact, Andy Bowdoin had been on the receiving end of an order to instruct the court in no uncertain terms how he intended to proceed.

    Still not to be undone, some ASD members spun the fantastic tale that:

    • The U.S. Government has failed to produce any EVIDENCE of alleged wrongdoing.
    • The U.S. Government has failed to produce any WITNESSES of alleged wrongdoing.
    • The U.S. Government has failed to produce any VICTIMS of alleged wrongdoing.
    • The action was based solely on the OPINIONS of the U. S. Government agents.

    Interesting choice of words — “has failed.” What’s most interesting of all is that a trial date has not even been set in the case. Why not? Because Andy Bowdoin submitted to the forfeiture in January, more than two weeks prior to the scheduling conference in the case. The scheduling conference was canceled because Bowdoin submitted to the forfeiture, meaning the case nearly was litigated to conclusion because Bowdoin had given up his claims to tens of millions of dollars seized in a wire-fraud, money-laundering and Ponzi scheme case in which it was alleged that ASD was selling unregistered securities.

    And he submitted to the forfeiture after signing a proffer letter and after telling the government that its material allegations were all true.

    It therefore follows that ASD members also were selling unregistered securities and, perhaps, becoming unwitting participants in a criminal enterprise. The case was brought as a conspiracy. About the only unknown right now is the true depths of criminality within the organization.

    The government plainly has acknowledged that there are thousands of victims. It announced a program to provide some degree of restitution after it had gathered all of the assets of the ASD enterprise, which very likely was hiding money in the individual accounts of co-conspirators as a hedge against the possibility that ASD was going to get caught.

    Ever see these words?

    “Don’t call it an investment. We can get in trouble for that.”

    Those are the words that demonstrate the conspiracy. They show consciousness of guilt, especially when uttered by veteran players. The newbies don’t understand it’s a wink-nod conspiracy. If they discover later that they’ve been drafted into a conspiracy of silence and accept wink-nod as their duty to the enterprise, then they, too, are co-conspirators.

    Various rebukes by the co-conspirators to the unknowing that they purchased “advertising” and that “rebates aren’t guaranteed” also are evidence of the conspiracy. What it really means is, “Don’t tell. All of us, including YOU, could get in trouble.”

    Which brings us back to ADV4U.

    It announced yesterday that payouts due yesterday to plenty of members would not arrive because somebody had blabbed to one of the offshore processors and the account was restricted.

    There were stinging rebukes posted in various online venues by various ADV4U members to the blabbers.

    Meanwhile, members said the compensation they had received from ADV4U via other offshore processors had amounted to only about 20 percent of their exposure to loss. They had been assured that they would be made whole and placed in profit — sort of. No one really knows what ADV4U is saying because the message is so mangled and because the purported owner’s words did not comport with what members were being told by customer service.

    Which brings us back to ASD.

    One of ASD’s purported customer-service reps also purportedly works for ADV4U. That, in itself, makes ADV4U downright dangerous.

    Meanwhile, the name of one of the 25 recent pro se filers in the ASD case who claimed “The U.S. Government has failed to produce any EVIDENCE of alleged wrongdoing” popped up in a Skype chat last night about the ADV4U debacle. If it was, in fact, the ASD filer, it means she also has money in ADV4U and did not want to see it go missing.

    If one looks at the transcript of the Skype chat, there is virtually no discussion about how disappointed members are about the prospect of losing their “advertising” outlet. Most of the discussion was about money and retrenchment plans of the same sort both ASD and AdViewGlobal had announced.

    Some members were angry that other members had the unmitigated gall actually to contact AlertPay and subject the entirety of the ADV4U membership group to a haircut. Only a handful of people know what is real and what is fiction in this incredibly toxic, incredibly tangled web.

    Meanwhile, Andy Bowdoin was negotiating with federal prosecutors.

  • ATTACK UNDERWAY: Ponzi Advocate ‘joe’ Says ‘joe Leaves When joe Wants To Leave’ And That Blog Will Be ‘Scrambling To Put Out Fires’

    UPDATED 8:44 P.M. EDT (U.S.A.) The attack described below abated for a short time, and then started anew, with “joe” back posting from his usual IP. He has posted from two IP’s today, using the identities “Mr. Wonderful”; “Quicjk”; and “Almighty Joseph (the risen),” along with multiple email addresses, including one that uses the word “boo.”

    This behavior, which we believe is designed to intimidate and to extract a result through harassment, is extreme. The behavior has not ceased — not even after the “fair warning” described in the post below.

    “joe” says he will continue his course of conduct until we permit him to post on his terms. His most recent nonpublic posts include another vulgarity directed at a reader and more vulgarity directed this Blog. “joe” insists it’s OK to do what he’s doing.

    “I feel some satisfaction that you seem to be intimidated by me,” joe says. “You can deny all you want but it’s true even though [sexual reference/poster’s name deleted] is right, I’m harmless. Now if you’re a good boy and post this unedited we can consider this my final retirement. I don’t really want to keep coming on here but I just wasn’t going to be unceremoniously tossed like a bad penny and you know what they say about bad pennies.”

    What follows below is our earlier post, bringing this matter to the attention of readers.

    Dear Readers,

    The PatrickPretty.com Blog is under attack.

    We find it necessary to make a record and to inform you about what is taking place behind the scenes. In the past, we have made similar posts to inform you about matters that we cannot dismiss as garden-variety harassment directed at this Blog and perceive as threats to our ability to publish.

    As many of you know, a poster who advocates for Ponzi schemes and calls himself “joe” was blocked from posting here Sept. 1. We made this decision based on “joe’s” inability to exercise even minimal restraint when posting.

    “joe” had previously announced two separate “retirements” from posting here, dismissing this Blog’s coverage of autosurfs and Ponzi schemes as meaningless. “joe” subsequently came out of retirement twice and began to post anew, and then went into what he described as semiretirement, saying he’d post anew as the situation warranted.

    While “joe” was in his semiretirement phase, he continued to post abusively before his access to public posting was blocked. “joe” did not react favorably to our decision to block him from posting here. In fact, “joe,” who says he was a POW in Vietnam, began to direct anger and hostility to this Blog outside the view of readers, and directed short, vulgarity-laced rants at specific readers who post here.

    In one of his blocked posts, he explained that he had directed the vulgarities only to test the system. So, in plain fact, what we were left with was a person who licenses himself to rant against this Blog and its readers, claiming his most recent submissions were tests, not communications to be taken seriously.

    “Testing 1-2-3” would have worked, if any testing was necessary at all. It was not, of course. This Blog has a right to conduct operations free from harassment by “joe” after he has been asked to leave.

    “joe” ramped it up yesterday, suggesting he would get the result he seeks — reinstatement of his posting privileges — or else.

    “joe leaves when joe wants to leave,” he said.”You’ll be scrambling to put out fires. I suggest you let ME retire . . .”

    He also noted that, “It’s amazing how many people in a short distance from my house haven’t got security on their computers. I drove around with my laptop and was able to get online in a few places. There are also a few internet cafes around me. What I’m saying is get ready for the return of joe and then you can block all of these people from your site.”

    The “fires” joe referenced now have started. He is attacking from a separate location, calling himself “Almighty Joseph (the risen).”

    “joe” is attempting to post a link for TradingGold4Cash, the purported program associated with the AdVentures4U autosurf, and has attempted nine additional posts in rapid succession, creating new identities for some of the posts.

    We will take appropriate action to prevent “joe” from interfering with the operation of this Blog.

  • BREAKING NEWS: Prosecution Files Supplemental Brief In Response To Pro Se Pleadings In ASD Case; Says Petitioners ‘Must Establish An Interest In A Property That Existed BEFORE The Crime Occurred’

    Federal prosecutors in the AdSurfDaily forfeiture case have filed a supplemental brief in response to a spate of pro se motions filed by members of ASD that says the members “must establish an interest in a property that existed before the crime occurred.”

    Today’s brief by the prosecution may be a bid to put would-be intervenors on notice that the government has evidence of crimes that occurred within ASD long ago, perhaps before some or all of the pro se litigants even joined the purported “advertising” business.

    An unofficial total of 25 pro se motions have flooded the docket of U.S. District Judge Rosemary Collyer since Aug. 24, including  one yesterday and one so far today. The most recent pro se filers include Earl R. DeHart Jr., who says the government owes him $2,135.65 for its actions against ASD, and Peter McFray, who says the government owes him $1,700.

    All of the pro se filers have used a litigation blueprint that was circulated among members of one or more ASD downline groups.

    Collyer ruled against the first 10 pro se petitioners Aug. 31, saying they had no standing in the case. Since that time, 15 additional pro se pleadings that appear to have been in transit when Collyer denied the first 10 have arrived at the courthouse.

    Prosecutors’ brief today appears to have been a bid to provide Collyer with even more ammunition to reject the claims.

    Read the prosecution’s brief.

    The pro se filers all have found fault with the prosecutors’ actions against ASD.