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Tag: CME

  • ASDMBA, Jaffa Partners Websites Offine; Registrations For Both Are Current

    UPDATED 2:59 P.M.  ET (U.S.A.) Both sites discussed in story below are back up. . . .

    Two websites associated with AdSurfDaily mainstay Bob Guenther are offline. The sites — asdmba.com and jaffapartners.com — both are returning this message:

    “OOPS. This site is currently unavailable.” The message includes a prompt for ASDMBA and JaffaPartners to contact the hosting company.

    Why the sites are offline is unclear. Both sites were operational yesterday. The registrations for both domains is current, with the ASDMBA site not set to expire until October 2010 and the JaffaPartners site good until December 2011.

    Guenther was among more than 30 defendants sued earlier this month by shareholders of Cheyenne Mountain Entertainment (CME), a company that makes computer games.

    The defendants are accused in Maricopa County Court in Arizona of RICO violations for “participating in a scheme or artifice to defraud”; conversion of assets and refusing to return the assets with an “evil mind”; unjust enrichment for “failing to pay” or provide consideration for assets; and fraudulent transfer/conveyance.”

    Guenther is on probation in Maricopa County, after pleading guilty to a misdemeanor count of harassment last year in a case that involved his conduct toward CME. He initially was charged with two felonies in the case. Records in the Arizona case point out that Guenther has a previous felony conviction.

    He pleaded guilty in the 1990s to a felony count of bank fraud, according to federal records.

    ASDMBA solicited contributions from members, saying the organization wanted to protect members’ interests in the AdSurfDaily Ponzi scheme litigation. Some ASDMBA members said they would not have given money to ASDMBA had they known of Guenther’s felony record. Others complained that Guenther did not provide an adequate accounting of how the money ASDMBA collected was spent.

    Members said ASDMBA collected tens of thousands of dollars.

  • Robert Guenther Named Defendant In Feb. 2 Shareholder Lawsuit That Alleges RICO Violations, Conversion, Unjust Enrichment, Fraudulent Transfer

    Robert Guenther and a woman referenced as “Jane Doe” are listed as defendants in a shareholder lawsuit filed Feb. 2 in Arizona by investors in Cheyenne Mountain Games (CMG) and Cheyenne Mountain Entertainment (CME).

    Guenther is the de facto head of the ASD Members Business Association (ASDMBA), an entity that came to life in the aftermath of the federal seizure of tens of millions of dollars from AdSurfDaily and a related company, Golden Panda Ad Builder. ASDMBA collected contributions from ASD members, saying it sought to protect their interests in the ASD litigation.

    Some ASDMBA members complained that its operations were less than transparent and that Guenther did not provide adequate accounting of how more than $100,000 collected through individual contributions was spent.

    Also named a defendant in the Arizona lawsuit was Jaffa Partners, a Texas entity with which Guenther is associated. The plaintiffs said they believed “Jane Doe” was Guenther’s wife. They are among more than 30 defendants listed in the case, which centers on alleged misconduct by Gary Whiting, a  CME executive.

    Guenther, “Jane Doe,” Jaffa and the other defendants are accused of RICO violations for “participating in a scheme or artifice to defraud”; conversion of assets and refusing to return the assets with an “evil mind”; unjust enrichment for “failing to pay” or provide consideration for assets; and fraudulent transfer/conveyance “with the actual intent to hinder, delay, or defraud.”

    CME and CMG are involved in the development of an online game known as “Stargate Resistance.” CME has declared bankruptcy amid a sea of allegations of mismanagement and financial manipulations by Whiting and financial manipulations by others that harmed shareholders, according to court filings.

    “Whiting has used CME and CMG as though they were his own piggy bank,” the shareholders alleged.

    Among the allegations are that CME stopped paying employees and that Whiting instructed company officers to stop paying payroll taxes, racking up more than $1.5 million in unpaid taxes. More than $3.8 million on other bills also were not paid, according to the shareholders.

    Whiting’s actions threatened the release of Stargate Resistance and the viability of the company itself, according to the shareholders.

    Side deals kept from shareholders diluted the value of shares, the plaintiffs claimed. They also claimed Whiting may have caused “listening devices” to be planted in CME’s offices in Arizona and telephone calls of key employees to be recorded without their knowledge or consent.

    In the ASD case, federal prosecutors alleged that the Florida-based company was a Ponzi scheme. After the seizure of ASD’s assets in August 2008, Guenther solicited contributions for ASDMBA.

    Some ASDMBA members demanded their money back, criticizing Guenther for rude and obnoxious behavior and claiming they had received nothing in return for their contributions. They also complained that Guenther did not disclose that he had a felony conviction for bank fraud.

    Guenther dismissed his critics as “left wing liberal no balled people,” calling one an “ignorant mouthy broad.” He also claimed ASDMBA was instrumental in returning money to ASD victims, saying the group retrieved funds for retired and active-duty police officers in Texas and California, and for a “high profile Dallas Cowboy” executive.

    ASDMBA’s website urged association members to make an ASD’s promoter’s life “miserable” until he returned funds due another member.

    Prosecutors filed a two forfeiture complaints against ASD and Golden Panda’s assets, saying they were in the process of establishing a compensation pool for ASD victims.

    Guenther’s name is not listed in court filings as a person empowered to return assets to ASD victims.

    Read the Arizona lawsuit filed by CME shareholders in which Guenther was named a defendant. The principal plaintiffs on behalf of shareholders are Keith Deering, Mark Renberg and Chris Lombardo, according to the verified complaint.