Tag: ASD

  • BREAKING NEWS: Bowdoin Files Motion To Dismiss In Which He Acknowledges AdSurfDaily Was Illegal

    UPDATED 10:06 A.M. EDT (March 12, U.S.A.) Did Andy Bowdoin just sink AdSurfDaily’s ship — and also the ship of AdViewGlobal?

    In a court filing today, Bowdoin, the president of ASD, made a stunning acknowledgment that the company was operating illegally.

    Bowdoin’s acknowledgment came in the purported form of a motion to dismiss the forfeiture complaint against proceeds tied to the firm, which prosecutors said engaged in wire fraud, money-laundering, selling unregistered securities and operating a $100 million Ponzi scheme.

    “The defendant did not know or realize that his conduct was illegal until this instant case was filed against him,” Bowdoin said, referring to himself as “defendant.”

    Bowdoin contends in the pleading that the case is “quasi-criminal” and that he was denied due process and fair notice that his conduct was illegal.

    Bowdoin, however, is not a defendant in the forfeiture case. His self-filed pleading references the forfeiture case on its title page, but appears to be a response to a case that never was brought.

    For days, the Pro-ASD Surf’s Up forum has been applauding legal filings Bowdoin made last week and encouraging others to do the same.

    But today’s filing could cause Bowdoin’s remaining support to evaporate because of his concession that ASD was operating illegally. Bowdoin had spent months insisting ASD was legal and collected tens of millions of dollars from members last year, all the while advertising ASD as completely legal and above-board.

    Bowdoin now is acting as his own attorney. AdViewGlobal (AVG), an autosurf with close ties to ASD, recently formed a private association and turned to a firm known as Pro Advocate Group  for advice.

    Karl Dahlstrom is associated with Pro Advocate Group.  In 1997, Dahlstrom was sentenced to 78 months in federal prison for his role in a securities scheme.

    Today’s filing by Bowdoin is potentially devastating both for ASD and AVG because of the concession that ASD was operating illegally. Prosecutors could claim the document has the effect of a signed confession.

    Bowdoin’s stepson is an AVG trustee. So is Gary Talbert, AVG’s chief executive officer and a former ASD executive. Chuck Osmin, a former ASD employee who testified for the firm at a hearing last year, also works for AVG. Nate Boyd, whom ASD members said once was a compliance officer for ASD, is listed as the “Protector” for the AVG association. Some of the Mods and members of Surf’s Up started a forum for AVG.

    Bowdoin’s pleadings today appear to attempt to manufacture a criminal defense out of whole cloth, by rewriting the history of the forfeiture case — a civil proceeding — and turning the case into something it never was: a criminal prosecution against Andy Bowdoin. The only defendants in the case to date are money and property prosecutors claim are the proceeds of a criminal enterprise.

    At the same time, today’s pleadings may be designed so potential ASD co-defendants in any criminal case that evolves will have a legal template for a self-filed defense. There have been reports that bank accounts owned by ASD members beyond Bowdoin have been seized in the past two weeks.

    Meanwhile, the cheerleading for Bowdoin at the Surf’s Up forum appears to be particularly unseemly now because today’s pleadings had everything to do with Andy Bowdoin, and nothing to do with the rank-and-file members who’d been asked to support him. The document does not cite the membership in a single place.

    Read today’s Bowdoin pleadings.

  • EDITORIAL: Andy Bowdoin, Have You No Shame?

    Andy Bowdoin, have you no shame? Once again your closest followers and insiders are asking rank-and-file members to believe you are acting in their interests. They do this after you turned to the membership in August and asked for letters of support while not sharing details members needed to make informed decisions.

    The membership delivered more than 3,000 letters. And then the lies were exposed, and they looked like fools for having lent their voices to this awful chorus. Andy Bowdoin should be held accountable for that. So should the followers and insiders who are helping him cloud the issues.

    Members should ask Bowdoin why he was running an ad for a failed, dissolved business in his own rotator. And they should ask why Bowdoin was paying an employee to surf for his son. They also should ask why a police report never was filed when Russian hackers purportedly stole $1 million from ASD — and why a police report wasn’t filed when others purportedly stole money from the firm.

    Those questions are just for starters, of course. There are lots of suspicious financial transactions involving family members and insiders.

    Playing The Deflection Game

    Some of those pulling strings are doing it because they have financial exposure; some are doing it because they have criminal exposure, and some are doing it for both reasons. Even so, some are almost catastrophically ignorant of the danger they are in. The information is being disseminated by crackpots and filtered through crackpots. Much of it is self-validating drivel, the stuff from which indictments are made.

    If you’re an AdSurfDaily member, you’ll serve yourself ill if you attach any importance to any of today’s self-filed legal pleadings by Andy Bowdoin or if you listen to anything the closest followers and insiders have to say. You got hoodwinked the first time. Don’t let it happen again.

    Think of his principal cheerleaders and major promoters as potential co-defendants in both civil and criminal prosecutions. Ask yourself if you’re being asked to provide cover for criminals before you invest in any of this, including the writing of letters to politicians.

    Bowdoin does not dispute a single fact in today’s filings. All three documents offer technical challenges to the forfeiture actions. The documents paint Bowdoin the victim of a police state despite the fact he hasn’t been arrested or incarcerated. It is a subdued rant against a perceived police state. Nothing more.

    Any person who tells you that Americans are free to sign contracts and engage in commerce for any purpose that pleases them is a crackpot.  If this were the case, drug dealers and customers could escape prosecution simply by agreeing not to call a crime a crime.

    The documents appear to have been written by someone who wishes the case were a criminal indictment, not a civil forfeiture proceeding. The person may get his wish soon enough. Prosecutors wouldn’t have to use a word Bowdoin said in the presence of any Secret Service agent to bring an indictment or get a conviction.

    Bowdoin also appears to be confused about his own case — something that’s not surprising, considering he once told members that Ponzi charges had been dropped against him in Florida when they had never been brought to begin with.

    In his current pleadings, Bowdoin appears to be claiming he submitted to forfeiture under duress. But he never submitted to the forfeiture of the money and property he points to in today’s pleadings. He has submitted only to the forfeiture of money and property seized in August, not December, and Bowdoin appears to be trying to have the December forfeiture reversed while not mentioning the August forfeiture or providing corresponding dates when specific actions took place. At present, the documents appear to show that Bowdoin isn’t challenging the August seizure of $93.5 million and other property, including two homes.

    Members should ask him about that. They need to know if he is challenging the August seizure. They need to know precisely why he appears only to be challenging the seizure of property linked to his family members and Golden Panda President Clarence Busby.

    So Simple, Anybody Can Be A Lawyer

    Earlier Bowdoin had competent attorneys from a prominent law firm. He also paid $24,000 to retain an expert witness. All of these people went to real law schools and are members of the bar.

    Neither the attorneys nor the expert could score a win for ASD at the Sept. 30-Oct. 1.  evidentiary hearing that ASD itself requested. Bowdoin could have scored his own win by producing documents and audited financial statements that demonstrated ASD was not a Ponzi scheme. He didn’t do it. Not only did he not do it, he didn’t even do what his attorneys asked him to do, namely submit documentation to them to aid in the preparation of his case in the forfeiture matter.

    And now he’s doing what Andy Bowdoin does: playing the victim and creating hope where none exists. He did largely the same thing when he was accused of a huge fraud in Alabama a decade ago.

    You see, the whole, ugly mess in Alabama that resulted in felony charges being filed against Bowdoin was not his fault.

    Bowdoin told the St. Petersburg Times that “he ran into trouble in Alabama because his company, Mobile International, sought to raise $1-million through a stock issue, and someone was improperly paid a commission to sell the stock,” according to the newpaper.

    “That nullified the registrations that our attorney had done with the state of Alabama,” he said.

    Bowdoin did not explain why he pleaded guilty to felonies if he had done nothing wrong and how one couple got hoodwinked out of $450,000. Bowdoin and his cronies bought expensive cars and expensive office trimmings with the money.

    World-class crackpots are pulling Bowdoin’s strings now. Don’t be surprised if he gets indicted soon and takes a haf-dozen or more people down with him. An alleged $100 million Ponzi scheme is still extraordinary, despite its seeming smallness when compared to Bernard Madoff.

    The government should leave no stone unturned in its investigation into Bowdoin’s actions. On Aug. 18, Bowdoin filed an emergency motion that asked the court to free up money so ASD could operate post-seizure.

    Bowdoin did not advise the court from which it sought emergency relief in the Aug. 18 brief that ASD had more than $1 million on deposit in a bank in Antigua. Instead Bowdoin told the court that ASD couldn’t pay its bills.

    “ASD needs emergency relief,” Bowdoin said in Aug. 18 filings. ” . . .  In a matter of a few days, ASD has gone from a vibrant internet advertising business with approximately 100,000 members to a hollow shell without a working office and without the means to resume its business . . .  It has also been unable to pay its bills (to creditors, such as its landlord) and is hurtling down into a steep financial tailspin. To provide one concrete example, on August 14, 2008, ASD’s hosting company threatened to shut down the company’s servers because its bill is unpaid.”

    Only after prosecutors pointed to the Antigua money on Aug. 25 did Bowdoin acknowledge its existence in court briefs. He declared an emergency despite the fact ASD had more than $1 million offshore — in an account under a different name — and he didn’t tell members about the Antigua money until prosecutors raised the issue.

    Why not?

    At first, part of the circus surrounding ASD was mildly amusing, despite the fact a $100 million, international Ponzi scheme is very serious business. But all the air is out of the balloon now, and the government should pursue justice that is equivalent with crimes being committed right in plain sight.

    This is not a comedy; it is a tragedy.

  • BREAKING NEWS: Bowdoin, Acting As Own Attorney, Files Motion To Dismiss AdSurfDaily Forfeiture Case

    Andy Bowdoin.
    Andy Bowdoin.

    UPDATE 4:13 P.M. EST (U.S.A.) Andy Bowdoin, acting as his own attorney, has filed a motion to dismiss the AdSurfDaily forfeiture case.

    At the same time, Bowdoin appears to have filed a motion to reverse his earlier decision to submit to the forfeiture of certain property seized by the government.

    Bowdoin’s filing, however, does not appear to contest the forfeiture of tens of millions of dollars seized by the government in August. It appears to apply to property seized from members of his family in December and from Golden Panda President Clarence Busby.

    It is possible that a document is missing from the case file or has yet to be added. The petition to reverse the forfeiture, as filed, references only property seized in the December forfeiture action.

    Today’s Bowdoin filings are dated and signed Feb. 25, 2009, exactly one day before AdViewGlobal (AVG), an autosurf that defines itself as an offshore company and shares common management with ASD, announced it was going underground by forming a private association.

    Incredibly, AVG makes the claim it is not associated with ASD despite the presence of common management, common promoters and at least one common employee, Chuck Osmin. Osmin testified for ASD at the Sept. 30-Oct. 1 evidentiary hearing. Gary Talbert, a former ASD executive who is now the chief executive officer of AVG, filed a sworn affidavit in the case.

    George Harris, Bowdoin’s stepson, is listed as a trustee for the AVG private association. So is Talbert. Property was seized from Harris in the December forfeiture complaint.

    Harris is the son of Edna Faye Bowdoin, Andy Bowdoin’s wife.

    Andy Bowdoin said his decision to submit to the forfeiture was made under “severe duress” and was a “grave mistake and error.” He accused the government of “fraud, trickery and deceit.”

    Meanwhile, Bowdoin has filed a motion to suppress evidence, saying he was illegally interrogated by the U.S. Secret Service. Bowdoin claimed agents did not advise him of his Miranda rights — the right to remain silent.

    In his motion to dismiss, Bowdoin said the court was obligated to dismiss because it lacked jurisdiction. Bowdoin said the case should be viewed as a quasi-criminal matter, not a civil case.

    “There was no probable cause even to file a complaint in this instant case,” Bowdoin asserted.

    Why Bowdoin filed the documents as his own attorney isn’t clear. But the documents have the hallmarks of documents filed by inexpert litigants belonging to underground legal “associations” that purport to help nonlawyers navigate tricky waters.

    AdSurfDaily and AdViewGlobal recently have been linked to such underground associations. One of them is Pro Advocate Group, which says it can help nonlawyers and nondoctors establish private “associations” that enable members to practice law and medicine without a license.

    Bowdoin’s pleadings, in general, are much more respectful than documents other litigants acting as their own attorneys recently have filed in the case.

    Unlike Curtis Richmond and others who used the Richmond litigation blueprint, Bowdoin, for instance, does not accuse the judge and prosecutors of crimes and demand a specific result in a compressed time frame at the peril of prosecution.

    But he did accuse the government of trickery, saying the Secret Service “did not follow the supreme law of the land” in its treatment of him.

    “One cannot break the law in an attempt to ‘uphold the law,’” Bowdoin said.

    Moderators of the Pro-ASD Surf’s Up forum have hinted for days that something special was coming in the case. If this is it, “special” means that Bowdoin now is acting as his own attorney and citing English Common Law as one of his resources.

    How much Bowdoin spent on the lawyers previously handing his case is unknown. His earlier decision to surrender to the forfeiture, however, imperiled ASD promoters who made money. It would be hard for them to claim they were entitled to keep proceeds of what prosecutors said was a $100 million Ponzi scheme when Bowdoin himself surrendered claims.

    Prosecutors, however, always have had the option of litigating against Bowdoin’s promoters no matter what Bowdoin did.

    ASD members have reported in recent days that the Secret Service has seized the bank accounts of some individual ASD promoters, including people who also are promoting AdViewGlobal. Bowdoin has been under pressure from members who were unhappy about his two-month silence.

    He did not tell members about a second forfeiture complaint filed against ASD-connected assets in December. Nor did he tell members about his January decision to surrender the money. Both issues created problems for ASD promoters.

    Read Bowdoin’s motion to dismiss.

    Read Bowdoin’s motion to reverse his earlier decision to forfeit property.

    Read Bowdoin’s motion to supress evidence.

  • Purported Joe Shoop ASD Letter Was On Website Registered To Litigant Who Sued Chase Bank By Posting Bond Of ‘Twenty-One Dollars In Silver Coinage’

    UPDATE 8:14 P.M. EST (U.S.A.) With each passing day the AdSurfDaily case reveals new and strange details about a subculture that appears to have firm roots in the organization. It is a subculture of rants against the government for perceived injustices, underground business “associations” that purport to permit nonlawyers and nondoctors to practice law and medicine, and legal filings that seek to undermine banks’ abilities to collect on debts.

    Today a post appeared on the Pro-ASD Surf’s Up forum purporting to take viewers to a page from which they could download a Microsoft Word template  of a letter to send the government to protest its actions in the ASD case. The author of the letter was identified as ASD promoter Joe Shoop, and the website — credittechs.net — was registered to Ricky Jackson.

    In 2004, Ricky Jackson and Regina Jackson sued Chase Manhattan Mortgage Corp. in federal court for the Eastern District of Missouri to overturn a mortgage foreclosure. The documents in the case purported to show that Ricky Jackson had posted a bond consisting of “twenty-one dollars in silver coinage” in a bizarre bid to undermine the bank’s interest in the property.

    The Jacksons, according to filings, ordered the bank to respond to the document within three days or lose all of its rights in the case, which appears to have started in Missouri state court and morphed into multiple federal cases.

    U.S. District Judge Catherine D. Perry ultimately dismissed the Jackson complaint against the bank with prejudice, saying the pleadings were nonsense.

    “This document is even more incomprehensible than the initial complaint, ” Perry said of the 21 Silver Coins filing.

    For days now, the Surf’s Up forum has been suggesting the ASD case soon will take a legal turn for the better — from ASD’s point of view. One Surf’s Up Mod pleaded with a member to “just hold on — a little bit longer now baby.”

    But pleadings filed in the case recently by ASD members have used the template of Curtis Richmond, a California man associated with a Utah “Indian” tribe a judge ruled a sham.

    Four motions to intervene have been filed in recent weeks in the ASD case. All four used the Richmond template. They accused Judge Rosemary Collyer, U.S. Attorney Jeffrey A. Taylor and Assistant U.S. Attorney William Cowden of crimes.

    Richmond, a nonlawyer, has been a thorn in the side of banks from coast to coast. His name appears in lawsuits in which borrowers claimed not to owe lenders money because they had “assigned” their debts to him. Meanwhile, Richmond has tried to have litigation opponents in debt cases arrested.

    On Feb. 26, an autosurf known as AdViewGlobal, which has close ties to ASD, announced it was forming a “private association.” The company to which it turned for advice is Pro Advocate Group, which says it can set up individuals to practice law without a license.

    Karl Dahlstrom, who is associated with Pro Advocate Group, was sentenced in 1997 to 78 months in federal prison for his role in a securities scheme.

    The credittechs.net website registered to Jackson features a media player with the ASD logo, and also appears to host a credit-repair organization set up as a private association.

    “At Credit Techs we are not credit counseling or credit negotiators, we are credit debt ELIMINATORS,” the site says. “We can help stop the credit companies from stealing your hard earned money. Our specialty is credit cards and unsecured debt. We are an organization of members who help one another out with such financial matters.”

    Credit Techs also says this:

    “Members of groups who are competent nonlawyers can assist other members of the group achieve the goals of the group in court without being charged with ‘unauthorized practice of law,’” the site says.

  • BREAKING NEWS: Obama To Sponsor Plan To Curb International Tax Scheming, Treasury Secretary Tells Panel

    obamaThe Obama administration said today that it will crack down on international tax cheats and people using tax havens to evade U.S. regulators.

    In testimony before the House Ways and Means Committee, Treasury Secretary Tim Geithner said Obama will propose new rules to curtail international scheming.

    “The budget also seeks to close the ‘tax gap’ by tackling tax shelters and other efforts to abuse our tax laws, including international tax-evasion efforts,” Geithner said. “The budget addresses the use of offshore structures and accounts by U.S. corporations and individuals to avoid and evade U.S. taxes. Over the next several months, the President will propose a series of legislative and enforcement measures to reduce such U.S. tax evasion and avoidance.”

    Geithner’s remarks couldn’t have come at a worse time for some AdSurfDaily members. Some members Surf’s Up, a Pro-ASD forum, are engaging in a letter-writing campaign to have the government investigate the prosecutors and federal judge involved in the case.

    Members have sent letters to Obama, Sen. Patrick Leahy, chairman of the Senate Judiciary Committee, and other politicians.

    In August, prosecutors alleged that ASD was a wire-fraud and money-laundering operation whose central component was an international, $100 million Ponzi scheme. ASD had more than $1 million on deposit in Antigua, which later became ground zero in the alleged multibillion-dollar Allen Stanford Ponzi scheme.

    Robert Garner, an ASD attorney who advertised his international financial services in a magazine in 2003, was named a defendant in a RICO lawsuit in January. His co-defendants include ASD President Andy Bowdoin and Golden Panda Ad Builder President Clarence Busby. Assets tied to Golden Panda were seized in the ASD case.

    Promoter say Busby now is involved with another surf — BizAdSplash — which promotes itself as an offshore business.

    Bowdoin’s stepson, George Harris, and two former ASD employees, Gary Talbert and Chuck Osmin, are associated with yet another offshore surf — AdViewGlobal.

    Three autosurfs with ties to ASD sprouted up in the aftermath of the government’s seizure of ASD funds, all touting the benefits of their “offshore” locations in countries such as Panama and Uruguay. One of the surfs, BizAdSplash, is having trouble with a bank in Panama and a payment processor in Panama. The surf announced the trouble after the SEC charged Stanford with fraud.

    Meanwhile, AdGateWorld positioned itself as an attractive option after what happened to ASD. Promoters said AdGateWorld provided protection from the SEC, the IRS and state attorneys general.

    For its part, AdViewGlobal now says it is forming a private association.

  • Garner Advertised In ‘Escape Artist’ Publication

    Attorney Robert Garner
    Attorney Robert Garner

    An attorney accused of racketeering in a lawsuit by members of AdSurfDaily and accused by prosecutors of shilling for ASD President Andy Bowdoin once advertised his services in “Escape From America Magazine.”

    The magazine is part of a website known as EscapeArtist.com.

    Robert F. Garner identified himself a “[f]ormer General Counsel for  major Miami-based securities firm with Latin and South American  focus,” according to his ad. He listed the URL for his law office in Greensboro, North Carolina, saying he also specialized in “[r]ecoveries from scam.”

    Garner is licensed to practice law in North Carolina. But web records show he has not informed the North Carolina bar this year whether he is in private practice or carries malpractice insurance — two things he is required to do.

    “Each active member of the North Carolina State Bar is required to advise the State Bar annually whether he or she is engaged in private practice and whether he or she is covered by legal malpractice insurance,” the bar says on its website. Garner’s entries for 2009 are listed “no response.”

    Garner’s magazine ad ran in Vol. 5, Issue 11, of Escape From America. It was published in November 2003, alongside ads for tax havens, financial, telephone and real estate services for expatriates, and pitches for people to move to Belize and elsewhere.

    “YOUR OWN OFFSHORE BANK ACCOUNT IS WAITING FOR YOU,” promised one of the ads in the publication.

    In December, federal prosecutors filed a second forfeiture complaint against assets tied to ASD, including a home and personal property acquired by Bowdoin family members.

    Bowdoin’s wife, Edna Faye Bowdoin, and her son, George Harris, used ASD money to open an account in a separate bank. Harris used $157,216 of the opening deposit to pay off the mortgage on the Tallahassee home he shared with his wife, prosecutors said.

    Garner shilled for Andy Bowdoin in an ASD video, prosecutors said.

    “ASD actually [employed] Garner to participate in a marketing video that ASD crafted to reassure hesitant prospects of ASD’s lawfulness, not for his expertise in ensuring ASD’s compliance with applicable laws,” prosecutors said.

    “Messrs. Bowdoin and Garner said that ASD’s operations had been reviewed carefully by a team of legal experts to ensure compliance with all applicable laws,” prosecutors said.

    “Messrs. Bowdoin and Garner knew the representations made in the video were material to prospective participants, made-up, and false,” prosecutors said. “The misrepresentations led to a significant expansion of investment in ASD and related auto-surf investment programs.”

    In fact, prosecutors said, ASD didn’t hire compliance attorneys during the first 20 months of its existence, waiting until after it started to collect enormous sums at rallies last year to address compliance with federal securities laws and other laws.

    A RICO complaint brought against Bowdoin, Garner and Golden Panda Ad Builder President Clarence Busby in January accuses the men of organized efforts to defraud. The lawsuit was filed by Mike Collins of Savage, Minn.; Frank Greene of Washington, D.C.; and Natures Discount of Aventura, Fla.

    The complaint alleged the men were involved in “other” schemes beyond ASD, Golden Panda and LaFuenteDinero, and have “committed or aided and abetted in the commission of countless acts of racketeering activity,” including indictable offenses.

    “The ASD Enterprise provides the RICO Defendants and other unnamed co-conspirators with a system by which to operate fraudulent schemes such as ASD, to hide the fraudulent nature of the schemes, and to profit from such schemes,” the plaintiffs alleged. “Each RICO Defendant agreed to perform services of a kind which facilitated the operation of the ASD Enterprise and facilitated the RICO Defendants and others in the operation of various fraudulent schemes, including ASD.”

    One entity associated with ASD — a surf known as AdViewGlobal — lists former ASD executive Gary Talbert as its chief executive officer. Chuck Osmin, a former ASD customer-service representative who said he expected to earn $2,000 a day from ASD, also now works for AVG.

    Meanwhile, AVG lists George Harris as a trustee. AVG has turned to a firm known as Pro Advocate Group for advice on becoming a private members’ association. Pro Advocate Group is associated with Karl Dahlstom. In 1997, Dahlstrom was sentenced to 78 months in federal prison for his participation in a securities scheme.

    An attorney named Robert F. Garner — with ties to Florida and North Carolina –  is referenced in documents published by the U.S. Senate pertaining to a 2001 investigation into international money-laundering.

  • Who is Faye S. Bowdoin? Troubling, New Questions Arise In The AdSurfDaily Ponzi Scheme And Money-Laundering Case

    UPDATED 12:56 A.M. EST (Feb. 28, U.S.A.) Documents filed by federal prosecutors in the AdSurfDaily case pointedly refer to Andy Bowdoin’s wife as “Edna Faye Bowdoin.”

    But other documents on file with the Florida Department of State refer to her as “Faye S. Bowdoin.” Other documents in the Florida Department of State and elsewhere in Florida refer to her as “Faye S. Harris.”

    “Harris” is the last name of a man to whom she once was married and also the name of her son, George Harris III.

    Adding to the mystery is the building in Quincy, Fla., that once was home to “Faye’s Florist” and later became home to AdSurfDaily. Documents from 1996 list the shop’s address address as 11 S. Calhoun Street, Quincy, Fla. 32351.

    AdSurfDaily, however, listed its address as 13 S. Calhoun Street, even though it was in the same building once occupied by Faye’s Florist. Adding yet another layer of mystery is that Faye S. Bowdoin is listed in state records as the sole board member of Bowdoin Harris/Enterprises Inc., which became a corporation in Florida in June 2008, about two months before the seizure of ASD’s assets.

    Like ASD, Bowdoin/Harris Enterprises used the 13. S. Calhoun address — but 12 years earlier, Faye S. Harris listed the corporate address for “Faye’s Florist” as 11 S. Calhoun Street.

    Federal prosecutors said the 13 S. Calhoun Street address listed for ASD was bogus. In December, prosecutors filed a second forfeiture complaint against assets linked to ASD, including property purchased by Bowdoin/Harris Enterprises using ASD money.

    Adding yet another layer of mystery is a name that appears on documents Faye’s Florist filed with the state in 1996. The name “Thomas, Andrew” of 7. West Washington St., Suite 4, Quincy, Fla. 32351, appears as the name of the registered agent for Faye’s Florist.

    Andy Bowdoin’s given name is Thomas Anderson Bowdoin Jr. ASD members knew him as “Andy.” The appearance of the name “Thomas, Andrew” — with the last name first, meaning the actual name is “Andrew Thomas” — on the 1996 documents from Faye’s Florist suggests that Andy Bowdoin could be “Andrew Thomas.”

    That is not for certain, of course. What is for certain, however, is that law enforcement would find such a name on a document entirely too coincidental not to investigate thoroughly.

    There has to be a reason why both ASD and Bowdoin/Harris Enterprises used a nonexistent address — 13 S. Calhoun St. — in public records. And unless Edna Faye Bowdoin and Faye S. Bowdoin are two separate people, there has to be a reason why Mrs. Bowdoin is using two separate names and two addresses for the same building.

    Prosecutors said that Bowdoin/Harris Enterprises was a bid by Andy Bowdoin and Edna Faye Bowdoin to hide assets. What’s unclear, however, was what motivated the need to hide assets.

    If “Andy Bowdoin” is the “Andrew Thomas” listed in the 1996 documents for Faye’s Florist, however, it suggests an elaborate attempt to hide assets dating back at least 12 years. The document just as easily could have carried the name “Thomas Anderson Bowdoin” Jr. if Andy Bowdoin and Andrew Thomas are one in the same.

    The question is why did it not if they are one in the same.

    Andy Bowdoin was charged with defrauding customers in an Alabama securities scheme in the 1990s, and was still making incremental payments to victims even as ASD was generating tens of millions of dollars last year.

    At the time of the August seizure, he still owed the victims about $45,000. Just a few days prior to the seizure Bowdoin paid nearly $50,000 for a new Lincoln. A month later he sent his Alabama victims a check for $100.

    Edna Faye Bowdoin’s son, George Harris, is listed as the registered agent for Bowdoin/Harris Enterprises. Prosecutors said he and his mother used nearly $180,000 in ASD funds from Bank of America to open an account at Capital City Bank on June 10, 2008, just days after Bowdoin/Harris Enterprises was formed.

    On June 23, 2008, George Harris used $157,216 of the money in the new account to pay off the mortgage on the Tallahasse home he shared with his wife, Judy Harris, prosecutors said.

    Here, below, some screen shots of documents:

    1.

    Corporate filing from 1996 showing address of Faye's Florist as 11 S. Calhoun Street.
    Corporate filing from 1996 showing address of Faye's Florist as 11 S. Calhoun Street.

    2.

    Signature of Faye S. Harris in 1996 filing for Faye's Florist.
    Signature of Faye S. Harris in 1996 filing for Faye's Florist.

    3.

    Document signed Faye S. Bowdoin in 20088 corporate filing for Bowdoin/Harris Enterprises that shows the address as 13 S. Calhoun Street.
    Document signed Faye S. Bowdoin in 2008 corporate filing for Bowdoin/Harris Enterprises that shows the address as 13 S. Calhoun Street. When Faye's Florist was open, it used 11 S. Calhoun Street as its address.

    4.

    Document from June 2008 showing George Harris as registered agent for Bowdoin/Harris Enterprises.
    Document from June 2008 showing George Harris as registered agent for Bowdoin/Harris Enterprises.

    5.

    Andy Bowdoin lists 13 S. Calhoun as ASD's address in filing with Florida Department of State.
    Andy Bowdoin lists 13 S. Calhoun as ASD's address in 2008 filing with Florida Department of State.

  • Analysis: AdViewGlobal, BizAdSplash In Failure Mode

    UPDATE: 4:59 P.M. EST (U.S.A.) The Surf’s Up Forum now says the government has seized or frozen two bank accounts of ASD members. It did not provide the source, and it encouraged members not to identify the owners of the accounts. Here, below, our earlier post . . .

    EDITOR’S NOTE: It’s getting harder and harder to write about the levels of absurdity surrounding the AdSurfDaily case. Along those lines, it’s getting harder and harder to track all the conspiracy theories. The madness of all things ASD is on full display for all the world to see, and there’s no sense trying to sugarcoat it. It is what it is. Make sure you read the caption under the second screen shot below.

    Here, below, our main post . . .

    Let’s start with some autosurf news — or, more precisely, the lack of autosurf news.

    Yesterday a poster at the Pro-AdSurfDaily “Surf’s Up” forum said the government was in the process of seizing bank accounts from individual ASD participants. Surf’s Up, at first, appeared to confirm the reports — and then a Mod quickly deleted the post. The issue was re-posted, and was deleted again. It got posted a third time as an entry in a separate thread, and Surf’s Up then said it was checking on the reports because it didn’t want to spread a panic by publishing unverifiable information. It then got posted again as a separate thread, and again was deleted.

    Our longtime readers might want to laugh out loud or perhaps even hurl right now at the thought that Surf’s Up didn’t want to publish unverifiable information. It’s enough to make you want to call Letterman or Leno, considering that Surf’s Up routinely publishes unverifiable information, accepts paid advertising from unverifiable surf programs, and openly promotes AdViewGlobal (AVG), which is desperately trying to keep its ownership structure a secret.

    AdViewGlobal says Quincy is its home.
    AdViewGlobal says Quincy is its home.

    It’s already too late for AVG should the government wish to make an example of it. The surf exposed itself out of the gate because greedy racketeers are in charge and because people who admire greedy racketeers are doing their bidding. AVG couldn’t get this genie back in the bottle if it tried — and it has tried — thus opening itself up to even more civil and criminal charges.

    Gary Talbert was an ASD executive and submitted a sworn affidavit in the ASD case. AVG, a surf that came to life in the aftermath of the government's seizure of Andy Bowdoin's assets, identified Talbert as its CEO in a news release earlier this month in which it also made the self-defeating claim to have no ties to ASD. The news release was issued by a former ASD customer-service representative now working in the same capacity for AVG, while also serving as an AVG spokesman. The rep, Chuck Osmin, was a witness for ASD at an evidentiary hearing last fall. He lost money as a result of the government's seizure of ASD's assets. Osmin sent this Blog an email on Jan. 28, prior to the formal launch of AVG, suggesting ASD was OK because it was a "manual" surf, as opposed to an "autosurf." AVG launched a few days later. Osmin then issued a news release on behalf of AVG, identifying Talbert and himself as employees of AVG. The "no ties" claim is demonstrably false. So is any suggestion that ASD or AVG are legal business models because participants have to click on a prompt to get the next ad to load -- a "manual" surf. The issue is the sale of unregistered securities via wire in a Ponzi environment. "Manual" surf doesn't get ASD or AVG off the hook for that and is a ridiculous attempt to cloud the issues. On the date of the the AVG launch, we received another email from an ASD supporter who also wanted to educate us on the difference between "manual" surfs and "autosurfs." The sender told us he was asked to contact us.
    Gary Talbert was an ASD executive and submitted a sworn affidavit in the ASD case. AVG, a surf that came to life in the aftermath of the government's seizure of Andy Bowdoin's assets, identified Talbert as its CEO in a news release earlier this month in which it also made the self-defeating claim to have no ties to ASD. The news release was issued by a former ASD customer-service representative now working in the same capacity for AVG, while also serving as an AVG spokesman. The rep, Chuck Osmin, was a witness for ASD at an evidentiary hearing last fall. He lost money as a result of the government's seizure of ASD's assets. Osmin sent this Blog an email on Jan. 28, prior to the formal launch of AVG, suggesting ASD was OK because it was a "manual" surf, as opposed to an "autosurf." AVG launched a few days later. Osmin then issued a news release on behalf of AVG, identifying Talbert and himself as employees of AVG. The "no ties" claim is demonstrably false. So is any suggestion that ASD or AVG are legal business models because participants have to click on a prompt to get the next ad to load — a "manual" surf. The issue is the sale of unregistered securities via wire in a Ponzi environment. "Manual" surf doesn't get ASD or AVG off the hook for that and is a ridiculous attempt to cloud the issues. On the date of the the AVG launch, we received another email from an ASD supporter who also wanted to educate us on the difference between "manual" surfs and "autosurfs." The sender told us he was asked to contact us.

    One thing the owners could do — if they get boxed in by investigators — is to rat out fellow insiders. It is obvious that AVG and ASD have common ties and common management. It’s so right-in-plain-sight obvious that it wouldn’t surprise us at all if the government itself is simply waiting to find the rat of highest value or already is dangling the cheese.

    Perhaps by coincidence, Surf’s Up also deleted information a reader had posted from this Blog  — a story we had done about the failure of the Premium Ads Club autosurf. Surf’s Up management doesn’t like this Blog and accuses it of bias against ASD.

    Our bias is in favor of all the people ASD President Andy Bowdoin ripped off by using a Ponzi scheme model to sell unregistered securities and drafting participants into a conspiracy to commit money-laundering, wire fraud and racketeering — while invoking God to sanitize the “opportunity.”

    Surf’s Up is doing the same thing. It’s basically just Bowdoin’s alter ego, perhaps with a degree of separation, but not one that will save the Mods from prosecution should the government decide to reduce the surf “industry”  — man, how it pains us to use the word “industry” to describe this criminal business — to its constituent electrons.

    In any event, we were unable to confirm the reports that the government was seizing additional bank accounts from ASD members. Given that Surf’s Up at first appeared to confirm the reports and then shifted gears, it is possible that something like this is going on behind the scenes.

    It would make sense for the government to do that — and, in January, the government filed reams of additional paperwork in the e-Gold case. Prosecutors appear to be in the process of liquidating ill-gotten gains linked to e-Gold though HYIPs and autosurfs. Nine  separate e-Gold actions were filed on Jan. 8 and Jan. 9. They were the prosecutorial equivalent of a clawback.

    ASD once used used e-Gold, which was indicted and convicted of facilitating money-laundering — by the very same prosecution team involved in the ASD case, along with other prosecutors. A Secret Service agent in the ASD case is playing a prominent role in the clawback cases and has demonstrated exceptional investigative skills. He clearly knows how to follow the money and has help from people equally skilled in reverse-engineering financial schemes.

    “Shortly after publicity surrounding the government’s investigation into e-Gold appeared, ASD discontinued using the e-Gold system as a means for receiving member funds,” prosecutors said in the August forfeiture complaint against assets tied to ASD.

    AVG is toast. It will fail even if the government doesn’t take it down. At a minimum, it is conducting customer service for an illegal enterprise from the United States. Wires that run through the United States are being employed to conduct business, and the business model itself is illegal. The only question is when the failure will occur. AVG is running a promotion right now in a bid to collect cash to sustain itself, but it is at the precipice.

    So is BizAdSplash, which is no more legal and makes up new rules whenever it sees fit. Like AVG, it fundamentally is drafting customers into a conspiracy to commit wire fraud, money-laundering and racketeering.

    The operators underestimated the level of anger non-crackpot members of ASD have at Bowdoin. And they made their market even more narrow by peddling their non-product to the antigovernment crowd, which is a small crowd despite the noise it makes.

    Indeed, the ASD case never was about the abuse of government power or politics. Claims to the contrary are smokescreens by people who need to find a scapegoat other than Andy Bowdoin or themselves.

    Very few members of the public have any tolerance for Ponzi schemes in these post-Madoff days, and potential participants are seeing themselves on the evening newscast, perhaps wearing handcuffs or being chased by reporters and camera crews. It’s harder to sell Ponzis in this environment. Besides, people are angry at Bowdoin for using God to sanitize theft on a grand scale.

    The new surfs can’t collect the type of money Bowdoin collected in this environment, and they can’t prevent panic among members. Panic leads to a run on the bank. The new surfs are trolling for cash in particular odious ways, and you can bet your bottom dollar that the operators are going to take their cut before they worry about sustainability issues.

    They’ll do just what Andy Bowdoin did — and what Surf’s Up wants you to do. At this very moment Surf’s Up is trying to rally the troops by telling them to “Expect The Unexpected!”

    When Surf’s Up says things such as that, you can bet that something criminally stupid is certain to follow or that ASD will declare an impossibly tortured victory of some sort.

  • DISCUSSION THREAD: CEP Judgments, Ponzis And The Deaf, Noobing, Andy Bowdoin, Surf’s Up, BizAdSplash Surf, More

    miseryindexUPDATE 2:49 P.M. EST (U.S.A.) At a gathering of creditors today, Irving Picard, the trustee overseeing the liquidation of Bernard L. Madoff Investment Securities, said he could find no evidence that Madoff even purchased securities for customers in the past 13 years. Cash came in — and immediately went out — to sustain the Ponzi, Picard said. We’ve added a Madoff Discussion Topic at the bottom of this post.

    Here, below, our earlier post . . .

    This is a discussion thread for readers to share their views on developments in the autosurf world. Offer your opinions on any of the discussion topics below — or even all of them.

    First, however, some news:

    The bankruptcy judge in the CEP Ponzi scheme case has ordered some large judgments against “winners” who were sued in adversarial proceedings by William Perkins, the CEP receiver.

    Judge James E. Massey even ordered interest be paid on the judgment amounts. “Winners” who are now losers include:

    • Chris Barany: $225,702.90
    • Earl Reed: $146,677.50
    • Ginger Phillips Reed: $103,339.70
    • Jessica Phillips: $44,821.85

    As a side note, our research suggests that AdSurfDaily President Andy Bowdoin was a participant in the CEP Ponzi scheme. ASD once advertised it accepted payments from CEP Trust, the failed payment processor owned by the operators of the CEP Ponzi scheme.

    DISCUSSION TOPIC: If you’ve been following the ASD case, you’ve read that ASD was an exciting, new business model and Andy Bowdoin a genius. But how could that be true if ASD was a member of other autosurf Ponzi schemes?

    Ponzis And The Deaf

    As reported on PonziNews, the SEC has taken action against a Hawaii-based firm that allegedly ran a Ponzi scheme targeting the hearing-impaired communities of the United States and Japan.

    Investigators say Billion Coupons Inc., run by Marvin Cooper, made affinity fraud part of a $4.4 million Ponzi scheme.

    “A Ponzi scheme targeting members of the Deaf community is particularly reprehensible,” said Rosalind R. Tyson, director of the SEC’s Los Angeles Regional Office.

    This week, a surf came under fire in forums for slashing payouts to customers. The surf, known as Noobing, targeted the deaf at Deaf Expo events in 2008 and in YouTube videos.

    DISCUSSION TOPIC: Given customers’ claims of “bait and switch,” the fact Noobing launched after the government seized ASD’s assets, Noobing’s statement that people should be angry at the government — not Noobing — for its decision to slash payouts, and the targeting of deaf people, is an investigation warranted?

    Andy Bowdoin

    Two months have passed since prosecutors filed a second forfeiture complaint against assets tied to ASD. The complaint alleged that ASD funds were used to fuel big spending by Bowdoin family members. It further alleged that $1 million purportedly was stolen from ASD by “Russian” hackers and that Bowdoin didn’t file a police report. Meanwhile, it also alleged that money in addition to what “Russian” hackers took also was stolen — and that Bowdoin didn’t file a police report about those thefts, either.

    ASD said it had more than $1 million on deposit in Antigua, which this week became the center of an international financial scandal involving billionaire Allen Stanford, the biggest banker on the Caribbean island. Customers flooded banks in the tiny nation to withdraw money, and the government of Antigua appealed for calm.

    Last summer, Bowdoin told a federal judge that ASD needed money to operate and asked her to free up seized funds. But Bowdoin didn’t tell the judge about the money in Antigua until after prosecutors pointed it out. After prosecutors revealed the presence of the Antigua money, Bowdoin explained in a conference call that the cash — at least $500,000 of it — was a deposit so ASD could process credit-card orders.

    But the account was in a name other than ASD.

    DISCUSSION TOPIC: Did Andy Bowdoin get the money out of Antigua before the onset of the banking crisis? Why was the money in a name other than ASD’s if it was used to process credit cards for ASD? Why didn’t Bowdoin repatriate the money and use it to pay ASD employees and restart the company?

    Surf’s Up

    On Nov. 27, ASD offered the Surf’s Up forum its official endorsement. This was several days after ASD lost the evidentiary hearing and several days before major prelaunch buzz for AdViewGlobal (AVG) began.

    With ASD’s endorsement in hand, some of the Surf’s Up Mods and members started a new site on ning.com to promote AVG. For its part, AVG says it has no ties to ASD, even though the two companies share a common executive, a common customer-service representative, and AVG’s graphics once appeared on a webroom operated by ASD — and AVG listed its street address as ASD’s street address in Quincy.

    DISCUSSION TOPIC: Should Surf’s Up have accepted the endorsement? Does it make sense to promote yet-another surf, especially when the surf has clear ties to ASD?

    BizAdSplash

    Despite all the upheaval in the financial world — and despite the fact the Feds are working harder than ever to expose Ponzi schemes — BizAdSplash says things are going just fine. Yesterday it announced a new promotion: 100 percent matching bonuses for customers and sponsors.

    Here is the announcement:

    Over the past week we have had a number of you contact us about your initial deposit and that you only purchased a small amount of Ad Packages just to test the system. Now you are ready to make a larger purchase. Your question is can we get the 100% match or discount on the cost of a larger Ad Package. Biz Ad Splash has agreed to open a small window for this 100% additional match. Any new purchases made from outside the system will be given the same benefit as your initial purchase and will be given the 100% match along with the sponsor match. This is only on purchases made on February 23 through February 28. This is a tremendous opportunity for all our Biz Ad Splash advertisers.

    Thank you for your patience while we are in our beta launch. We value your participation in Biz Ad Splash and we look forward to exceeding your expectations.

    The Biz Ad Splash Team

    DISCUSSION TOPIC: Is BizAdSplash, which launched only a short time ago, already hurting? Is it desperately trying to collect cash to survive? How can it possibly fund payouts for customers and sponsors when the 100 percent matching bonuses create so much extra liability?

    Will the surf hide behind “rebates aren’t guaranteed” if things go South? If that happens, will surf participants still think “offshore” surfing is the ticket to prosperity?

    And how can any of the new surfs — BizAdSplash, AdviewGlobal, AdGateWorld — expect to thrive when they are fundamentally competing for the same business in a world in which many governments are going after Ponzi schemes with exceptional vigor?

    Bernard Madoff

    Trustee Irving Piccard now says that Bernard Madoff didn’t even purchase securities for customers in the past 13 years, instead taking incoming money to pay off older investors in a virtually pure Ponzi scheme.

    DISCUSSION TOPIC: Given that Madoff escaped detection for years — and given that Allen Stanford appears to have escaped detection for years — are you worried that other Ponzi shoes may drop?

  • Noobing Removes References To Rachel Ray, Red Cross From Surf Website; Members Blast Firm In Forums

    UPDATE 9:08 A.M. EST (FEB. 19 U.S.A.) After having gone missing yesterday, entries below “Noobing Rotator’s Top Rated Sites” on Noobing’s main page have returned. But previous entries for Rachel Ray, the Red Cross, Omaha Steaks and OrganicConsumers no longer are there. Here, below, our earlier post . . .

    Controversial surf site Noobing has removed references to celebrity chef Rachel Ray, the International Red Cross and other entities from its website. Links to Ray’s site and the Red Cross had appeared on the main page at the Noobing site, under a headline titled “Noobing Rotator’s Top Rated Sites.”

    Noobing site references to Rachel Ray, Red Cross, Omaha Steaks and OrganicConsumers.
    Noobing site references to Rachel Ray, Red Cross, Omaha Steaks and OrganicConsumers.

    Noobing, which pitched itself heavily to hearing-impaired clients, has been under fire for days because it slashed advertiser payouts. Members said that, in its early days last fall and into the winter, the company paid ad-viewing “incentives” of between 1 percent and 3 percent to customers.

    The Surf recently has paid “incentives” of significantly less than 1 percent, causing members to ask publicly for refunds and accuse the firm of “bait and switch.” Noobing countered by saying refunds would not be granted because “incentives” weren’t guaranteed.

    Noobing said its decision to slash “incentives” was based on an unclear ruling in the AdSurfDaily Ponzi scheme case. Noobing launched after ASD’s assets were seized by the U.S. Secret Service in August 2008, amid allegations of wire-fraud, money-laundering, selling unregistered securities and operating a $100 million Ponzi scheme.

    Customers now are questioning why Noobing even chose to launch and wondering out loud if Noobing had done all of its regulatory homework up front. Noobing said members should be angry at the government, not the company.

    “If there is a bad guy in this whole story, it’s the government!” the employee exclaimed. “Let’s get mad at them! How can sharing our revenue to help control costs for legitimate advertisers be a bad thing? How can keeping $90+ million dollars to protect the people who worked with ASD be a fair result? It’s madness!!! Our government is the bad guy here, not Noobing.

    “Let’s get mad at the source of this challenge!” the employee railed. “Call your congressman, send letters, speak publicly!!”

    See related post. Also, see this related post.

    Why Noobing removed the references to Rachel Ray, the Red Cross and others is unclear. The information went missing without explanation.

    The development may prompt Noobing members to question whether the company had signed agreements with Ray and the Red Cross to advertise on Noobing, or whether the sites were simply inserted in the Noobing rotator to create the impression that a relationship existed.

    Promoters of ASD placed the main page of Facebook.com in the rotator, suggesting that Facebook itself was an ASD advertiser. Pages from other social-networking sites also were placed in the rotator. An undercover agent working for a Secret Service/IRS task force placed a MySpace page in the rotator and qualified for ASD viewer “rebates” even though the MySpace page offered nothing for sale.

    Rachel Ray, Red Cross, other references now missing from Noobing.
    Rachel Ray, Red Cross, other references now missing from Noobing.

  • ASD: A Thimble, A Pinhead And A Quark Before Nothingness

    Andy Bowdoin.
    Andy Bowdoin.

    UPDATED 10:21 A.M. EST (U.S.A.) Tomorrow will mark an important anniversary in the AdSurfDaily Ponzi case: the passage of two full months since prosecutors filed a second forfeiture complaint against assets tied to the firm.

    Neither ASD President Andy Bowdoin nor members of his family from whom property was seized has filed a claim. No attorney has entered an appearance notice. The lack of action is in stark contrast to what happened in August after the first seizure of ASD assets.

    Amid much fanfare — and amid a strangely jubilant atmosphere fueled by people who refused to disengage from their trances — Bowdoin moved quickly in August to stake a claim to tens of millions of dollars and other assets seized. Some Bowdoin zealots predicted a slam-dunk win for ASD, especially after it advised the court that it would be willing to operate under monitoring and supervision if some of the Great Man’s money was returned.

    What the ASD supporters didn’t see — what some of them refused to see — was that the money was seized as the assets of a criminal enterprise that had money on deposit in at least three countries and had been taking steps to get more and more money outside the United States. One of the countries — Antigua — is now front-and-center in a massive case of international financial fraud involving R. Allen Stanford and his companies.

    It will be well worth your time to click on the link above. Read the story, and read the entire SEC complaint from a link at the bottom of the story. Some of the allegations — the tortured explanations by Stanford and his companies — will remind you of elements of the ASD case.

    Also note that the money ASD had on deposit in Antigua was not in ASD’s name. Bowdoin, however, had control of the money and could have converted it to his own use at any moment in time. The amount was at least $1 million, according to court filings.

    Andy Bowdoin was at the helm of the ASD enterprise and, by implication in the forfeiture complaint, was a criminal. He took the 5th prior to the evidentiary hearing because he knew of the possible criminal repercussions of testifying. The ASD monitoring plan was a bid to short-circuit a possible criminal prosecution by getting the government to agree that only highly technical violations of the law had occurred. In other words, a possible $100 million Ponzi fraud using the financial systems of at least three countries was no big deal.

    Prosecutors never were going to accept a Bowdoin-provided remedy, especially one that attempted to sanitize criminality by treating wire fraud, money-laundering and a Ponzi scheme as minor offenses. An acceptance of such a deal would have sent a clear signal that the worst that could happen to a probable autosurf Ponzi scheme operator was court-supervised monitoring of the scheme — as it re-started with returned funds and attempted not to engage in wire fraud, money-laundering and the sale of unregistered securities.

    Such an outcome would have marked a chilly day for U.S. jurisprudence, the day America’s courts provided wink-nod cover for probable Ponzi-pushing felons — and even handed them back money and turned a blind eye to abuses that occurred before the good guys arrived.

    Investigators went on to discover that Bowdoin told insiders that $1 million had been stolen from ASD by “Russian hackers.” He didn’t even file a police report, but he did tell Judge Rosemary Collyer that ASD couldn’t operate and needed her to free up money to pay employees and bills. What Bowdoin didn’t tell the judge up front, as he asked her to release seized funds, was that ASD had more than $1 million on desposit in Antigua, under a name other than its own. And he also didn’t tell the judge about the earlier alleged theft of $1 million by “Russian hackers.”

    As a PR ploy, however, the offer to operate under supervision was a masterstroke. It kept members’ hope alive and enabled ASD supporters to paint the prosecutors and even the judge as unreasonable if they couldn’t see the beauty of the monitoring plan.

    At ASD’s request, an evidentiary hearing was held Sept. 30 and Oct. 1. ASD insisted it was not a Ponzi scheme, called an expert witness to knock down the government’s assertions, and summoned three other witnesses to help make its case. At the conclusion of the hearing, some members of the Pro-ASD Surf’s Up forum, drunk on fantasy, partied long into the night. They were certain that ASD had won and dismissed all reports that didn’t validate their delusions.

    In November, Judge Rosemary Collyer ruled that ASD had not demonstrated it was a legal business and not a Ponzi scheme at the evidentiary hearing. She found nothing of merit in the expert’s argument, pointing out holes through which one could drive a convoy of earth-moving machines. Some ASD members instantly claimed the fix was in. Such claims, of course, should be seen for what they are: self-validating drivel.

    With a fresh win, prosecutors filed a second forfeiture complaint on Dec. 19. It is the most important document so far, the one that dealt ASD a crushing blow and signaled a nuclear development to come.

    Prior to the December complaint, ASD could fit its remaining credibility in a thimble. Now it could fit it on the head of a pin. A quark, believed to be the smallest part of an atom, could accommodate ASD’s credibility at the conclusion of the case — with room to spare.

    This case will be marked by a complete absence of ASD credibility, one of the reasons some ASD supporters and Surf’s Up members are furiously trying to change the subject and get people to take their eyes off the ball.

    This case has a high probability of reducing the cheerleaders to emotional rubble and undermining the good works of their lives. Goodness exists in all people. A person can be stubborn and completely wrong-headed — and still be a good person. The line gets drawn, however, where wrong-headedness morphs into deliberate attempts to deceive and misinform.

    Some Surf’s up members now are promoting AdViewGlobal (AVG), a company that shares a common executive with ASD and a common customer-service employee operating from Florida — even though AVG claims to be registered in Uruguay and running things out of Panama. Yesterday, in the wake of the SEC’s allegations against Stanford, banking customers in Panama and other countries in Central America, South America and the Caribbean were lining up to get their money out of local banks.

    The ASD case is no more about the abuse of government power than it is the Easter Bunny. ASD is an international racketeering enterprise. If you’re carrying its water, you are a racketeer — and your quark awaits before nothingness finally settles in.