Another Ponzi scheme

[GoFlyKiteNow]

U.S. SEC charges Sunwest Management with fraud

WASHINGTON (Reuters) - U.S. regulators charged Sunwest Management and its former chief executive with securities fraud on Monday, alleging the retirement home operator lied to investors and eventually operated the business as a kind of Ponzi scheme.

The Securities and Exchange Commission accused Oregon-based Sunwest, which operates more than 200 U.S. retirement homes, and former CEO Jon Harder of concealing the risks of investments and exposing investors to "massive losses."

Between 2006 and 2008, Sunwest raised at least $300 million from investors and used the funds for down payments on approximately 100 retirement homes with the balance financed by institutional lenders and banks, the SEC's lawsuit said.

Investors were told they were buying an ownership interest in a specific retirement home that would generate enough profit to pay a 10 percent annual return, and that Sunwest had a history of never missing a payment, the suit said.

However, at least half of the properties lost money. Sunwest concealed the losses by commingling retirement home assets and paying investors from this pool of cash, the SEC said.

 

[nickers9]

There's another ponzi scheme in Singapore and it is making all Singaporeans harder and harder to get their money. At first, it was 55 years old, then they make it to 60 years old, then they make it again to 65 years old. And you cant even take all the money out at all.

By the time you are dead, and they will even take all your money away if you never make a will.

Isnt this a bigger ponzi scheme or what?

 

[Lestat]

There's another ponzi scheme in Singapore and it is making all Singaporeans harder and harder to get their money. At first, it was 55 years old, then they make it to 60 years old, then they make it again to 65 years old. And you cant even take all the money out at all.

By the time you are dead, and they will even take all your money away if you never make a will.

Isnt this a bigger ponzi scheme or what?

The problem is, other ponzi schemes eventually collapse due to whistle blowing, but the bigger ponzi scheme which you have mentioned is a LEEGALISED scheme, which will never collapse, no matter what.