Tag: international mass-marketing fraud

  • International Scammer Pleads Guilty In United States To Swindling Retirees In ‘Jamaican Lottery Scheme’; O’Brain J. Lynch Potentially Faces Decades In Federal Prison

    “Investigators from [the Social Security Administration] discovered that hundreds of victims throughout the United States were losing their social security benefits and their life savings either because they believed that they had won ‘The Jamaican Lottery’ or because, as part of another telemarketing scheme, they revealed enough information about themselves that allowed the thieves to fraudulently divert their money.”Office of U.S. Attorney James L. Santelle, Eastern District of Wisconsin, June 7, 2013

    recommendedreading1For O’Brain J. Lynch, senior citizens receiving retirement benefits from the Social Security Administration and other sources were the perfect targets of a criminal organization operating an international mass-marketing fraud scheme from Jamaica.

    The scheme duped people into believing they had won “The Jamaican Lottery.” In reality, authorities said, it was an advance-fee scam designed to drain retirement accounts and to recruit cashers in the United States.

    Lynch, 28, of of Montego Bay, Jamaica, now faces up to 20 years in federal prison after pleading guilty to wire fraud, the office of U.S. Attorney James L. Santelle of the Eastern District of Wisconsin said last week. The case was investigated by SSA, the U.S. Postal Inspection Service and Homeland Security Investigations (HSI).

    “Americans have lost millions of dollars to criminals from countries around the world in foreign lottery scams, said Pete Zegarac, inspector in charge of the Chicago Division of the U.S. Postal Inspection Service. “When one family member is harmed by a foreign lottery scam, the impact is felt by all. Losses can be monumental, sometimes entire life savings are wiped out. ”

    From a statement by prosecutors (italics added):

    A Jamaican Lottery Scheme is a form of mass-marketing fraud committed via the internet, telemarketing, or mass mailings. Jamaican criminal organizations contact victims and identify themselves as lawyers, government officials, law enforcement agents, or lottery company officials. The potential victims are led to believe they won an international multi-million dollar lottery. The fraudulent telemarketers then inform the victims that in order to receive their winnings the victim needs to pay an advance fee. This fee is usually described as a tax, insurance payment, or customs duty that must be paid to release the winnings. The victims are instructed to send the funds via mail or wire transfer.

    The scammers routinely involve victims to help facilitate the laundering of financial transactions by  receiving and withdrawing funds from prepaid cards and receiving and sending wire transfers. In an attempt to conceal and layer the proceeds from the lottery scams, the scammers direct victims to send funds, knowingly and unknowingly, to other victims and associates of the scammers within the United States. These victims and co-conspirators then transfer the proceeds of this fraud to the scammers in Jamaica by wire transfers. The Jamaican criminal organizations have modified the lottery scam into other variations of telemarketing schemes to include redirecting individuals Social Security Administration (SSA) benefits, direct deposit, automatic debit, re-routing schemes and other identity theft schemes.

    According to documents filed in court, in March 2012, the SSA learned that a social security recipient, from Glendale, Wisconsin, was receiving social security benefits in the name of other recipients and cashing in these benefits.  Special Agents from the SSA – Office of Inspector General (OIG) discovered the recipient was sending this money to Jamaica because he believed he had won “The Jamaican Lottery.”  He said he was contacted by an official from Global International who informed him that he won $2.5 million and two (2) Mercedes Benz vehicles in a sweepstakes.  He was then advised that in order for him to collect the money and the cars, he had to pay taxes, customs duty, and other fees. He initially sent his own money to Jamaica, and, once he had depleted his own assets, he was directed, by telephone, to accept checks, Direct Express cards, and other cash value cards in the names of other people (who were also victims), cash them out and then send the money to Jamaica.  As a result, numerous victims did not receive their social security benefits, and instead they were mailed to Jamaica. Investigators from SSA discovered that hundreds of victims throughout the United States were losing their social security benefits and their life savings either because they believed that they had won “The Jamaican Lottery” or because, as part of another telemarketing scheme, they revealed enough information about themselves that allowed the thieves to fraudulently divert their money.

    Prosecutors said they believed Lynch was the first Jamaican national charged in the United States with this type of fraud.

    “We will continue to work with our partners in Jamaica and other law enforcement agencies to put these criminal enterprises out of business,” said Gary Hartwig, special-agent-in charge of HSI’s Chicago Division.

    The Journal Sentinel newspaper (Milwaukee) reported last week that Lynch also is known as “Jake Dinero.”

    International mass-marketing fraud takes many forms. In 2010, the U.S. Postal Inspection Service alleged that the Pathway To Prosperity HYIP scheme gathered about $70 million and affected 40,000 investors in 120 countries. P2P was a Ponzi-board “program” that in part gained a head of steam on the TalkGold and MoneyMakerGroup fraud forums.

    The alleged $600 million Zeek Rewards Ponzi- and pyramid scheme followed P2P as a favored “program” on the Ponzi boards, as did the alleged Profitable Sunrise HYIP scheme. Profitable Sunrise may have collected tens of millions of dollars, the SEC said in April 2013, after bringing fraud charges against Zeek Rewards in August 2012.

    Reload scams have been targeted at both Zeek and Profitable Sunrise victims, authorities said.

    On May 9, the PP Blog reported that an emerging scam that is seeking to tie itself to the Catholic Church is engaging in a spam campaign and seeking to lure Profitable Sunrise victims into a new trap. The scam is using the name of “ALL SAINTS CATHOLIC CHURCH LOAN FIRM” and many other names, some of which are published in the Comments thread in the story linked in the first sentence of this paragraph.

     

  • On The High Seas Of Facebook, The Search For New HYIP Blood In The Water Intensifies After ‘Profitable Sunrise’ Goes Missing

    “HYIPs use an array of websites and social media — including YouTube, Twitter and Facebook — to lure investors, fabricating a ‘buzz’ and creating the illusion of social consensus, which is a common persuasion tactic fraudsters use to suggest that ‘everyone is investing in HYIPs, so they must be legitimate.’”The Financial Industry Regulatory Authority (FINRA), July 15, 2010

    optiearnsmall

    FINRA issued a warning back in 2010 against HYIP schemes, pointing out that they often trade through social-media sites such as forums, YouTube, Twitter and Facebook. The warning came on the heels of the collapse of the Genius Funds “program” ($400 million) and the filing of criminal charges in the United States against Nicholas Smirnow, an alleged former bank robber in Canada who allegedly was running the Pathway To Prosperity (P2P) Ponzi scheme. P2P is alleged to have gathered more than $70 million.

    P2P even got a mention on the U.S. Department of Justice Blog. That mention came in the form of a warning about international mass-marketing fraud.

    Nearly three years later, Smirnow, 55, is still listed by INTERPOL as an international fugitive.

    So is Robert Hodgins, 68. Hodgins, a Canadian supplier of debit cards to HYIP schemes, is charged in a money-laundering case in the United States. It is alleged that cards Hodgins supplied were used by narcotics traffickers to offload millions of dollars in “profits” at ATMs in Medellin, Colombia.

    Speaking of Colombia . . . well, it was one of the staging grounds of the infamous D.M.G. Group (DMG) multilevel-marketing pyramid scheme of David Eduardo Helmut Murcia Guzman (David Murcia). Murcia, too, was tied to narcotics traffickers. His collapsed pyramid scheme gathered hundreds of millions of dollars. The anger spilled out onto the streets.

    Just about all of these schemes made absurd claims. Genius Funds, for example, promised a payout of 6.5 percent a week. Compare that absurd claim to the Profitable Sunrise claim of 2.7 percent a day through its bizarrely named “Long Haul” plan with a purported payout timed to coincide with Easter. A scheme bizarrely known as Cash Tanker was operating at the same time as Genius Funds. Like Profitable Sunrise, Cash Tanker purported to be a Christian enterprise. It’s gone now, too. So is Profitable Sunrise. Their members were cast into the sea like so much chum.

    Enter the Facebook boat-sharks and the contemptible “lifelines” they’re tossing toward the people struggling to stay afloat in rough seas . . .

    Despite all the warnings — despite all the publicity surrounding HYIP schemes — opportunists are descending on Facebook today to recruit Profitable Sunrise members (the people struggling in the water) into new scams. The same thing has happened repeatedly, perhaps most prominently in August 2012, after the SEC described the Zeek Rewards “program” as a $600 million Ponzi- and pyramid scheme.)

    Boat-sharks posting on a Profitable Sunrise Facebook site today are promoting schemes such as “SuperWithdraw,” “Whos12,” Maxi-Cash,” “FairyFunds,” “Roxilia,” “OptiEarn,” “AVVGlobal,” “ProForexUnion” and “MajestiCrown.” Some of the emerging schemes promise to pay even more than Profitable Sunrise.

     

  • RealScam.com, Antiscam Site, Is Under DDoS Attack

    recommendedreading1UPDATED 11:39 A.M. EDT (MARCH 21, U.S.A.) RealScam.com reports that the DDoS attack is continuing, but that measures have been taken to restore accessibility. The site is back online. Here, below, our earlier story . . .

    RealScam.com, a site that concerns itself with international mass-marketing fraud, is experiencing a DDoS attack, a source told the PP Blog this afternoon.

    “We’re seeing what we can do about it,” the source said.

    On the plus side, the source noted, the DDoS attack suggests RealScam is meeting its mission of informing the public about scams.

    The attack is occurring against the backdrop of government actions against the Profitable Sunrise HYIP “program.” RealScam posters have been following Profitable Sunrise developments closely. Forum posters also are monitoring developments concerning “Banners Broker,” another mysterious online “program.”

    Precisely why RealScam.com has been targeted is unclear. At least one purported member of Profitable Sunrise — writing on another site on Saturday — said he wished the hacker’s group “Anonymous” was paying attention to negative coverage of Profitable Sunrise on the web. The poster did not reference RealScam.com in his apparent call for a DDoS attack. Instead, he referenced another site carrying negative news about Profitable Sunrise.

    The attack against RealScam.com also occurs against the backdrop of remarks in Washington today by Michael J. Bresnick, executive director of President Obama’s Financial Fraud Enforcement Task Force. In an address to the Exchequer Club of Washington, D.C., Bresnick referenced mass-marketing fraud.

    “. . . the Consumer Protection Working Group has prioritized the role of financial institutions in mass marketing fraud schemes — including deceptive payday loans, false offers of debt relief, fraudulent health care discount cards, and phony government grants, among other things — that cause billions of dollars in consumer losses and financially destroy some of our most vulnerable citizens,” Bresnick said. “The Working Group also is investigating the businesses that process payments on behalf of the fraudulent merchants — financial intermediaries referred to as third-party payment processors.”

    Both Profitable Sunrise and Banners Broker — like many purported “opportunites” before them — have relied on banks and payment processors to keep cash flowing to the schemes. Bresnick did not mention either company in his remarks.

    “The reason that we are focused on financial institutions and payment processors is because they are the so-called bottlenecks, or choke-points, in the fraud committed by so many merchants that victimize consumers and launder their illegal proceeds,” Bresnick said. “For example, third-party payment processors are frequently the means by which fraudulent merchants are able to get paid. They provide the scammers with access to the national banking system and facilitate the movement of money from the victim of the fraud to the scam artist. And financial institutions through which these fraudulent proceeds flow, we have seen, are not always blind to the fraud. In fact, we have observed that some financial institutions actually have been complicit in these schemes, ignoring their BSA/AML obligations, and either know about — or are willfully blind to — the fraudulent proceeds flowing through their institutions.”

    Despite the absurd payout advertised by Profitable Sunrise (and claims that Banners Broker doubles money), some Profitable Sunrise members have complained on forums about credit unions in North Carolina and Alberta that have raised serious questions about Profitable Sunrise, a “program” that advertised a “Long Haul” plan purported to pay 2.7 percent interest a day.

    Zeek Rewards, which the SEC described in August 2012 as a $600 million Ponzi and pyramd scheme operating online, complained on its own Blog about credit unions raising questions about the Zeek “program.”

    The SEC later said that Zeek scammed hundreds of thousands of people by duping participants into believing that the “program’s” payout of about 1.5 percent a day came from legitimate means.

  • INTERPOL PRESIDENT: Transnational Criminals Working For ‘Common . . . Boss’ In Asia Gathered Billions; Suspects Caught At Airport In ‘Nick Of Time’; Cybercrime Costs In Europe Now Approaching $1 TRILLION A Year; U.S. Banks Lost $12 Billion To Cyber Criminals In 2011

    “[Eighty] per cent of crime committed online is now connected to organized gangs operating across borders. Criminal gangs now find that transnational and cybercrime are far more rewarding and profitable than other riskier forms of making money.” INTERPOL President Khoo Boon Hui at 41st European Regional Conference held in Tel Aviv, citing study from London Metropolitan University, May 8, 2012

    INTERPOL President Khoo Boon Hui at the 41st European Regional Conference in Tel Aviv. Source: INTERPOL.

    EDITOR’S NOTE: HYIPs, autosurfs, money-cyclers, and other “programs” are part of the cyber menace, which increasingly is being advanced by criminal gang members who reach across national borders and line their pockets with money stolen from their targets.

    In June 2011, U.S. Attorney General Eric Holder described the amount of money being stolen online as “staggering.”

    The thefts, Holder said, have “the potential to threaten not only the security of our nation — but the integrity of our government, the stability of our economy, and the safety of our people.”

    In Tel Aviv yesterday, INTERPOL cited some truly alarming numbers . . .

    How big is the criminal menace becoming in the age of cross-border fraud on the Internet?

    In jaw-dropping remarks yesterday in Israel, INTERPOL President Khoo Boon Hui said Malaysian police last month arrested 137 “gang members” from China and Taiwan who were running an online gambling scam that had gathered the staggering sum of $1.3 billion in “profits.” (NOTE: This sum is quoted in U.S. dollars.)

    The scammers, Hui said, were part of a cross-border criminal syndicate that was operating from “six luxury homes equipped with call centres, computers and even training rooms in a gated community which was also home to a former prime minister.”

    If that weren’t enough, Malaysian police — just two days after taking down that scam — encountered another one that had resulted in criminal profits in the billions. The second scam again involved gang members from China and Taiwan. It resulted in 83 arrests, Hui said.

    “They cheated victims in China and Taiwan through online scams involving a range of modus operandi from impersonating the authorities to phoney credit card and bank charges,” Hui said. “They were on the verge of fleeing the country, having closed down their operational base and some had even made it to the airport where they were detained in the nick of time. They had been in Malaysia for just eight months when they were arrested.”

    Early information suggests that the fraud “originated from Macau and had operated from other countries such as Cambodia, Indonesia, Philippines and Thailand,” Hui said.

    The story of the arrests, however, appears to have an ending that could be described as unfinished. Indeed, Hui said he grew “perturbed” when he found out that the subjects of the arrests were deported because “thousands of victims were out of Malaysian Police jurisdiction.”

    “I was perturbed by this course of action and asked the Malaysian Police Chief for more details when I met him last Friday,” Hui said. “It turned out that though the two syndicates were unknown to each other, they were controlled by a common Taiwanese boss. This was why the second syndicate had been alerted to pack up. Fortunately, the Taiwanese Police, which as we all know is not an INTERPOL member, was able to fully cooperate with its Chinese and Malaysian counterparts and had alerted them of what was happening from its own close monitoring. The Malaysian Police chief was confident that the gang members would get their just dues back in their homeland.”

    In relating the story of scammers who allegedly stole billions of dollars while operating inside the borders of another nation, Hui said the incident highlights some of the problems law enforcement encounters in the age of the Internet.

    “This case illustrates how organized crime is now able to recruit members from countries without diplomatic ties to commit crimes overseas operating from temporary safe bases in third countries equipped with the latest technology,” Hui said. “It also shows that there are links between syndicates that operate scams and those which promote illegal betting and presumably match fixing using sophisticated MOs. In this case, exceptional international police cooperation within the region thwarted them.”

    And cybercrime hardly is limited to Asia, Hui said, noting that the menace and its economic costs come in more than one form.

    “Here in Israel alone, a reported number of over 1,000 cyber?attacks take place every minute,” Hui said. “Experts have estimated that the cost of cybercrime is larger than the combined costs of cocaine, marijuana and heroin trafficking. In Europe, the cost of cybercrime has apparently reached 750 billion Euros [US$971 billion] a year. Likewise, we have seen global financial institutions suffer from major cyber?attacks on their networks and servers with US banks purportedly losing $900 million to bank robbers but $12 billion to cyber criminals last year.”

     

  • AdLandPro, Site Whose HYIP Shills Touted AdSurfDaily, Finanzas Forex And JSS Tripler/JustBeenPaid, Renews Attack Against RealScam.com — As ALP Swaps In Images Of Its Own Members Alongside Ad For ‘Escort’ Service

    This ad for a purported Thailand escort service appears today in the United States on AdLandPro, a site whose operator is threatening a class-action lawsuit against RealScam.com, an antiscam forum. The PP Blog captured this screen shot today and edited it to remove the images of EIGHT AdLandPro members whose photographs were displayed in the left sidebar and created the appearance that the AdLandPro members also were members of (or approved of) the escort service. When the Blog reloaded the ad, the page displayed the images of EIGHT other AdLandPro members. A third reload served up an image of an entire family, including three young children who appear to reside in the South Central United States.

    In November 2011, the PP Blog reported that Bogdan Fiedur of AdLandPro had threatened antiscam site RealScam.com with litigation. The bid to chill RealScam in the age of international mass-marketing fraud featured the registration of a domain styled RealScamClassActionSuit.com.

    With Fiedur trolling for suckers and hoping to make his intellectual dishonesty go viral, RealScam did not buckle at his obvious bid to chill it.

    Good for you, RealScam!

    It’s hard to condense all the AdLandPro absurdities that followed over the next several weeks, but we’ll summarize them as such: A sampling of Stepfordian shills and mindless apologists stepped up to the plate for Fiedur, “fake” law students purportedly from a major American university entered the fray to add to the bid to chill — and the matter devolved into Threatre of the Absurd in that Internet-only sort of way.

    By the end of December, the chill bid appeared to end: Content on the purported class-action site went missing, and the site began to resolve to an AdLandPro page.

    We would be remiss if we did not point out that, in addition to being solicited to register for HYIP scams such as AdSurfDaily, Finanzas Forex and JSS Tripler/JustBeenPaid (730 percent a year) by purported “Christians” on AdLandPro over the past few years, American visitors (and others) also were solicited for cross-border sales of pharmaceuticals.

    If drugs weren’t on their purchase list, AdLandPro visitors were told how to find used underwear and arrange — umm, how should we put this? — the temporary services of scantily clad women in various nations from India eastward after demonstrating a way to pay?

    At least some of the risqué ads have gone missing, but their URLs remain. When they’re clicked, they resolve to pages that show the faces of AdLandPro members who had nothing to do with the placing of the ads. Did we mention that AdLandPro purports to be a great guardian of privacy and the interest of its members?

    And did we mention that not all of the risqué ads have gone missing — and that, when they’re clicked, they load images of AdLandPro members who had nothing to do with placing the ads and that AdLandPro wants members to believe it was a sort of Facebook before Facebook became the craze?

    “The most exclusive, classic and attractive companions in Bangkok are here waiting to join you, at your hotel, apartment, or villa,” one ad on AdLandPro reads today. “All our princesses are hand picked by our management for their beauty, demeanour and friendly attitude.”

    The ad is on the “community” subdomain of the AdLandPro.domain. When the PP Blog viewed the ad earlier today, the photographs of EIGHT AdLandPro members showed up in a sidebar only inches to the left. The headline above the sidebar read, “Our Members.” Less than an inch away, a photo of a presumptive “escort” wearing a pink-lace bra and a pink-lace wrap over her genital area appeared. The photo appeared to display two red telephones, with the woman posing seductively on what appeared to be a bed or mat.

    When the PP Blog reloaded the page, the images of eight different AdLandPro members were displayed. A third reload resulted in the display of images of an AdLandPro family whose matriarch identified herself in her AdLandPro profile as a mother and grandmother from the South Central United States.

    Two adults in the photo were holding young children, one of whom appeared to be an infant. A third child also appeared in the photo. Below that photo, the full-face image of a lone AdLandPro member — a woman — appeared. Below the woman’s photo, an ad for “OneX” appeared.

    OneX is a program accused Ponzi schemer Andy Bowdoin of AdSurfDaily said he was using to raise funds to pay for his criminal defense.

    “I believe that God has brought us OneX to provide the necessary funds to win this case,” Bowdoin said in an October 2011 pitch.

    So, if you’re an AdLandPro member and had nothing whatsoever to do with the placement of the escort ad and do not endorse Thailand “princesses” purportedly “hand picked by . . . management,” say, because you oppose human trafficking and the sexual exploitation of women, AdLandPro is making it appear as though you’re on board the Thailand escort train.

    A link prompt below the photos of the eight AdLandPro members reads, “See All 185753 Members.” The URL points to the AdLandPro membership directory.

    By coincidence, the U.S. Department of Justice announced today that Marcus Choice Williams, 36, of Fort Worth, Texas, was sentenced to 30 years in federal prison followed by 30 years of supervised release for various felony offenses related to a conspiracy to traffic women for prostitution.

    “The court’s sentence clearly reflects the seriousness of these awful sex trafficking crimes,” said Thomas E. Perez, Assistant Attorney General for the Civil Rights Division.  “The victims suffered physical assaults, sexual abuse and daily degradation all because of this defendant’s greed and callous disregard for them as individuals.  We are committed to prosecuting sex traffickers and vindicating victims’ rights, as they were vindicated today.”

    Williams, prosecutors said, operated “adult escort web sites” as part of a human-trafficking scheme that also included money-laundering.

    He “recruited vulnerable women, specifically single mothers from troubled backgrounds, and, in some cases used a combination of deception, fraud, coercion, threats and physical violence to compel the women to engage in prostitution, requiring each young woman to secure a daily quota of money, and if operating out of town, to wire the funds to him,” prosecutors said.

    Crazier By The Moment

    Just when one began to believe that AdLandPro had abandoned its absurd litigation threat against RealScam, guess what’s back? (You’d be right if you guessed the class-action site.)

    And if ads on AdLandPro from “Christian” HYIP peddlers and purveyors of used underwear and illegal, cross-border pharmaceutical sales (after Google had agreed in August 2011 to pay the United States $500 million to settle claims of illegal cross-border solicitations for pharmaceuticals) were not enough, Fiedur’s purported class-action site is quoting a notorious YouTube cyberstalker and raunchy Internet gadfly, positioning him as an authoritative critic of RealScam.com.

    It’s enough to make decent people from all corners of the world cringe as they contemplate whether intellectual corruption as practiced on the web has gained the upper hand.

  • EDITORIAL: Bogdan Fiedur Of AdLandPro’s Deplorable Bid To Chill RealScam.com In The Age Of International Mass-Marketing Fraud

    A few weeks prior to the Aug. 1, 2008, seizure of tens of millions of dollars in the personal bank accounts of AdSurfDaily President Andy Bowdoin, Bowdoin apparently believed it prudent to plant the seed that the ASD autosurf had amassed a giant pot of cash and would use it to “hammer” critics. His willfully blind followers helped spread the word on forums that ASD detractors soon would feel the sting of being sued back to the Stone Age.

    Here, according to federal court filings, is what Bowdoin told ASD members at a company rally in Miami on July 12, 2008:

    “These people that are making these slanderous remarks, they are going to continue these slanderous remarks in a court of law defending about a 30 to 40 million dollar slander lawsuit. Now, we’re ready to do battle with anybody. We have a legal fund set up. Right now we have about $750,000 in that legal fund. So we’re ready to get everything started and get the ball rolling.” (Emphasis added.)

    Bowdoin thuggishly suggested that ASD had hired a law firm and that the firm was experienced at “bringing the hammer down on people that need it.” It is worth noting that federal prosecutors included the remarks attributed to Bowdoin in a document labeled “Government Exhibit 5.”

    Meanwhile, it’s also worth noting that “Government Exhibit 1” consisted of the 2006 SEC complaint against 12DailyPro that accused the firm of operating an autosurf Ponzi scheme. It was the government’s way of showing that autosurfs such as ASD rely on willfully blind promoters to proliferate. “Government Exhibit 2,” meanwhile, was the SEC’s 2007 complaint against the PhoenixSurf autosurf. The inclusion of this exhibit was another way to show willful blindness.

    One of the interesting things about the PhoenixSurf complaint was that it referenced Virtual Money Inc., which federal prosecutors in Connecticut later linked to alleged money-laundering by a narcotics cartel in Medellin, Colombia.

    Robert Hodgins, the operator of Virtual Money, is an international fugitive wanted by INTERPOL. ASD also used Virtual Money, according to promos for the firm. In December 2010, federal prosecutors said ASD also had a tie to E-Bullion, a shuttered California payment processor whose operator was accused (and convicted) of arranging the brutal slashing murder of his wife in a Greater Los Angeles parking garage. ASD also had a link to E-Gold, a processor convicted in a money-laundering conspiracy case. So did PhoenixSurf.

    “Government Exhibit 4” in the August 2008 ASD Ponzi case consists of surveillance photos taken in ASD’s hometown of Quincy, Fla. The date upon which the photos were taken is unclear, but it is known that the U.S. Secret Service began to investigate ASD on July 3, 2008, a little more than a week before the Miami rally.

    The entry of the Secret Service in the ASD case fundamentally sent two signals: The U.S. government believed its financial infrastructure might be under attack by an organization — ASD — that was trading on the name of the President of the United States. The SEC has said nothing about the ASD case — at least not in public. Bowdoin was indicted on criminal charges in December 2010. If he is convicted on all counts, the man who once claimed to have a giant pot from which he could draw to “hammer” critics could face up to 125 years in federal prison, fines in the millions of dollars and forfeiture orders totaling at last $110 million.

    In the earliest days of the ASD probe, at least three media outlets — including a local newspaper, a Blog and a regional publication — were threatened with lawsuits. Bowdoin ended up suing no one. In fact, within months he was consumed by litigation directed at him from virtually all fronts. Multiple civil-forfeiture complaints were filed, as was a racketeering lawsuit. These things occurred as a criminal investigation was unfolding slowly.

    For all these reasons and more, Bogdan Fiedur — and members of the AdLandPro online “community” — should perform a sober assessment of Fiedur’s recent threat to sue RealScam.com, an antifraud forum.

    Threats to sue journalists, media outlets, forums, Blogs and other websites that publish information about online schemes are bids to chill speech. These bids are occurring as an epidemic of white-collar crime and securities fraud is sweeping the globe during a period in which government budgets are strained and literally thousands of fraud investigations are under way that reach into all corners of the world.

    It is clear that online fraud is responsible for billions of dollars in global losses. These worlds are exceptionally murky. No one knows for certain where the money goes when fraud schemes disappear — as they so often do. It is equally clear that criminal puppeteers behind the schemes are taunting investigative agencies. From the standpoint of the U.S. government, the government and financial institutions are facing attacks of thousands of tiny cuts.

    Lanny Breuer, the head of the U.S. Department of Justice’s Criminal Division, testified on Capitol Hill yesterday that the “convergence of threats” posed by transnational organized crime is “significant and growing. ”

    “Transnational organized crime is increasing its subversion of legitimate financial and commercial markets, threatening U.S. economic interests and raising the risk of significant damage to the world financial system,” Breuer told the Senate Judiciary Subcommittee on Crime and Terrorism.

    Despite worldwide headlines of one massive fraud scheme after another — and despite the fact that the financial lives of real human beings in all corners of the world are being reduced to rubble by serial Ponzi schemers and scammers — Bogdan Fiedur is threatening to sue RealScam.com.

    At a minimum, it is a PR blunder of the highest magnitude. Bowdoin made the same mistake. So did Data Network Affiliates (DNA), a purported business “opportunity” associated with serial huckster Phil Piccolo, who once planted the seed that, if lawsuits didn’t work, he knew the type of people willing to break legs to silence critics. One apologist for Piccolo and DNA planted the seed that a former federal prosecutor, federal judge and director of the U.S. Department of Homeland Security was a suspect in the 9/11 terrorist attacks.

    It doesn’t get much more bizarre than that — unless one is willing to consider that Bowdoin now is trying to raise funds for his criminal defense on Facebook and claiming that God established a program known as OneX to help him do just that.

    OneX is among the “programs” promoted by members of the AdLandPro “community” — as were ASD and Finanzas Forex (and many others) before it.

    And yet Fiedur apparently believes he can chill RealScam.com into stop doing what it does by registering a domain titled “RealScamClassActionSuit.com.”

    Inverting reality, the purported class-action site ventures that “RealScam encourages cyber-bullying and cyber-stalking by allowing the creation of anonymous accounts and by allowing the users to present of (sic) unproven accusations towards individuals of their targeted organization. The RealScam.com turns out to be just a harassment and bashing site with no verification of facts and indiscriminate attacks at anyone who looks like an easy target.”

    It’s easy to imagine Andy Bowdoin or Phil Piccolo saying the same thing — while doling out accolades to the AdLandPro “community” for its excellent judgment about the types of “programs” the world’s masses should be joining.

    “The wealth generated by today’s drug cartels and other international criminal networks enables some of the worst criminal elements to operate with impunity while wreaking havoc on individuals and institutions around the world,” Breuer of the Justice Department observed yesterday. “Generating proceeds often is only the first step — criminals then launder their proceeds, often using our financial system to move or hide their assets and often with the help of third parties located in the United States. Indeed, international criminal organizations increasingly rely on these third parties and on the use of domestic shell corporations to mask crimes and launder proceeds under the guise of a seemingly legitimate corporate structure.”

    And then Breuer asked the Senate panel to enact legislation that would strengthen money-laundering and asset-forfeiture laws and broaden the federal RICO statute.

    Whether the Senate — and the Congress as a whole — will listen is unclear. What is clear is that, at least in the context of online fraud schemes, victims are piling up in numbers that America’s largest sports stadiums cannot accommodate. Losses are in the billions. Vast sums of wealth have been taken from rightful owners and placed in the hands of criminals.

    It is simply beyond the pale that Fiedur asserts that RealScam.com is a menace, when it is one of the few sites in the world that tasks itself with exposing the menace of international mass-marketing fraud that occurs over the Internet.

    One final thing worth mentioning: A few weeks before Breuer ventured to Capitol Hill to testify before the Senate panel, he carried out another important public duty.

    On Sept. 26, Lanny Breuer joined U.S. Attorney Ronald C. Machen Jr. in announcing that ASD victims who filed successful remissions claims in the civil Ponzi case were getting $55 million back.

    “We will continue to use every tool at our disposal to bring justice to the citizens defrauded by these insidious schemes,” Breuer said.

    Get a clue, Mr. Fiedur.

    Visit RealScam.com.