Mr. Fletcher has brief comments both in regards to your unanswered quesuons in wriung as well as remarks made by ASIC chairman Medcrau regarding the status of the trio invesugauon. The extent to which investors sunered losses due to criminal / fraudulent acuviues as compared to negligence or excepuonal market condiuons, inability on the part of both regulators and administrators / liquidators to understand
Mr. Fletcher has brief comments both in regards to your unanswered quesuons in wriung as well as remarks made by ASIC chairman Medcrau regarding the status of the trio invesugauon. The extent to which investors sunered losses due to criminal / fraudulent acuviues as compared to negligence or excepuonal market condiuons, inability on the part of both regulators and administrators / liquidators to understand
Mr. Fletcher has brief comments both in regards to your unanswered quesuons in wriung as well as remarks made by ASIC chairman Medcrau regarding the status of the trio invesugauon. The extent to which investors sunered losses due to criminal / fraudulent acuviues as compared to negligence or excepuonal market condiuons, inability on the part of both regulators and administrators / liquidators to understand
Date:8/24/2011 1:00 AM To:"Graham, Casey" <C.Graham@kennedys-law.com.au>, "Giles, Rebekah" <r.giles@kennedys- law.com.au> ---------- Forwarded message ---------- From: Geronimo Bob <gbob37@gmail.com> Date: Fri, Aug 19, 2011 at 5:22 PM Subject: trio capital inquiry To: "McCulloch, David (P. Fletcher, MP)" <David.McCulloch@aph.gov.au>, "Fletcher, Paul (MP)" <Paul.Fletcher.MP@aph.gov.au> Dear Mr. Fletcher, I have brief comments both in regards to your unanswered quesuons in wriung as well as remarks made by ASIC chairman Medcra regarding the status of the Trio invesugauon. I believe you and your commiuee should make independent inquiry as the various asseruons made by ASIC which in my opinion highly quesuonable, including their recent published info on frozen funds (which is just plain wrong. (one frozen hedge fund). For the conunued condence of Australia's nancial markets and its regulators, tranparacy, fairness and the rule of law and especially all those who have had their savings and lives advesrsely aected, ASIC needs to answer the quesuons in wriung you have submiued. Specically, the extent to which investors suered losses due to criminal/fraudulent acuviues as compared to negligence or excepuonal market condiuons, inability on the part of both regulators and administrators/liquidators to understand much less unwind and liquidate complex nancial contracts. Judge Palmers speculauon of fraud in his decision winding up ve trio managed investment funds and Minister Shorten's decision to compensate superannuauon investors $55 million has created an inaccurate belief in the public consciousness (an oshore evil mastermind named Jack Flader who for some reason has not been charged, extraduded or subject to any legal acuon whatso ever!) making it incredibly dimcult to challenge the lack of evidence or the many inconsistancies much less the considerauon of Trio's failure caused by more mundane factors.(From which investors potenually would be able to seek damages from.) It is inconceivable that the 2.5-year sentence received by Shawn Richard can be adequate if he indeed parucipated in the stealing of $180M! You will note that the same judge sentenced an 80 year old man to six years for stealing $4M just today! Aug2011 emails to MP Paul Fletcher of 6 2/ 13/ 2014 1:01 PM Investors have unquesuonably suered greatly because of Trio Capital; many of these investors are being taken advantage of again by greedy class acuon lawyers and advisers seeking to pursue legal acuon for which there is no factual basis and no possibility of success. I hope that you and that PJC will hold all parues responsible for this mauer to account. Previously Tony DAloisio and now Greg Medcra have assured you and the PJC that the Trio invesugauon was a high priority and ongoing mauer. At the most recent hearings he had assured the commiuee that he was personally looking into the mauer. While your quesuons and the PJC inquiry into Trio has resulted in a number of publicized acuons, this is clearly a case of too liule too late and in my opinion soley to placate the PJC and yourself. Relevantly; Shawn Richard Invesgaon 1. For all intents and purposes ASIC's invesugauons into Trio Capital were completed Dec 2010 aer reaching a plea agreement with Shawn Richards. The enure Shawn Richard Invesugauon team were awarded Australia Day medallions Feb 2011 in recogniuon for their eorts. Historically ASIC had given medallions for completed invesugauons not those sull ongoing. Shortly aer the two lead invesugators Joe Kouper and James Hogan le ASIC for posiuons in private sector. The invesugauon is currently being handled by an ASIC lawyer with liule invesugauon or nancial product experience. She is essenually a beurocrat. She is being supported by an accountant who has been with ASIC for only a short ume. Mr. Richard's lawyer, Costa Green (who curiously had previously advised Phillip York and the investments in the ARP Growth Fund) negouated the deal which included the enforcible undertaking published Dec 3, 2010 banning Mr. Richard from working in nancial services for life. ASIC has not explained the reasons it accepted an enforceable undertaking from Mr. Richard as ASIC policy and publicauons clearly state that ASIC would not accept an EU in circumstances of deliberate conduct or fraud. To my knowledge ASIC has never accepted an EU in comparable circumstances. In addiuon there apeared to be very liule benet from Mr. Richard's undertaking as his convicuons would preclude him from work in nancial services in the future anyway. Aug2011 emails to MP Paul Fletcher of 6 2/ 13/ 2014 1:01 PM Links to informauon ASIC was acung on when they iniually shut down Trio hup://www.smh.com.au/business/trio-from-the-boiler-room-into-the-re-20100101-llq3.html hup://www.smh.com.au/business/blogger-who-blew-the-whistle-on-hedge-fund-20100101- llq5.html ARP Invesugauon 2. ASIC's invesugauon into the ARP growth fund was a half assed eort from the start. They were clearly going through the mouons to appease demands for acuon in response to Stuart Washington and John Hempton's sensauonal ARP fraud accusauons published in numerous arucles and online between Jan-March 2010. Stuart Washington and John Hempton provided numerous misleading documents to the administrators of Trio and met with Partners of PPB on numerous occasions starung from Dec 2009. PPB has admiued that informauon published in the Sydney Morning Herald and auributed to partners of PPB were actually provided to them by Stuart Washington (SMH reporter) and John Hempton. The ASIC, ARP invesugauon was opened only AFTER these media reports were published; they were never pursued seriously by ASIC. The invesugauon was given to Ross Blowers; while an experienced invesugator, he did not have any understanding or experience of structured products, hedge funds or derivauves AT ALL. He was also being made redundant by the cost cumng at ASIC. The invesugauon into the ARP growth fund was given to someone without the experuse and knowledge and ALSO someone who was halfway out of ASIC anyway! You may be interested that your queries into ARP caused a mad urry of acuvity and ulumately delaying Mr. Blowers departure by two weeks. ARP Fraud links hup://www.smh.com.au/business/asic-must-move-quickly-on-trio-fund-20100215-o2yu.html hup://brontecapital.blogspot.com/2010/03/my-upper-on-astarra.html Aug2011 emails to MP Paul Fletcher of 6 2/ 13/ 2014 1:01 PM The majority of hedge funds were frozen in late 2008-2009! 3. ASIC's claim that there was only one frozen hedge fund with .6 B in 2008 is wrong. I have auached a PDF document with various documents I have compiled. ASIC apears to have only included stausucs for funds that have applied for hardship relief rather than a complete list of funds with altered redempuon condiuons. In 2008/2009 the MAJORITY of fund of hedge funds were frozen. While ASIC provided hardship relief to the Macquarie Equinox Asian 2 Trust it should have known that all 11 Equinox funds were frozen. ASIC granted fund managers Cerutude (HFA) and Everest Financial Group relief from the liquidity requirements of the Corps. Act but for some reason NOT included on their frozen funds list. Please note that Cerutude/ HFA, BT, Select, Goldman, DB and many other hedge fund managers froze redempuons in late 2008-2009. Netwealth Frozen Funds link hups://www.netwealth.com.au/librarymanager/libs/41/netwealth_List_of_suspended_funds.pdf The fact that only one hedge fund applied for hardship relief does not mean it was the only hedge fund frozen fund. ASICs stausuc on HFs does not accurately characterize the excepuonal circumstances confronted by hedge funds and funds of hedge funds nor does it show that the majority of hedge funds have subsequently seen liquidity improve far greater than the other groups named in ASICs frozen funds publicauon. That there was only one hardship applicauon would in my opinion demonstrate that investors in hedge fund products understood the risks involved with hedge funds and alternauves to be able to wait out the unprecedented market turmoil of the GFC as opposed to investors in mortgage funds who perhaps depended on the dividends/ income for short-term expenditures. It also demonstrates that many funds with similar investments as Trio/ ARP have been able to work out illiquid posiuons and open their funds up to normal redempuons. What invesgaons were actually undertaken? 4. I had previously asked that you read Judge Palmer's April 16 decision winding up the Trio funds. Aug2011 emails to MP Paul Fletcher of 6 2/ 13/ 2014 1:01 PM Each of the rst four bullet points listed in Para 36 are objecuvely wrong! Please ask ASIC or Treasury to provide you the leuer of sent by Dr. Ken Henry to ASIC Chairman Tony DAloisio in Sep 2009. Google Paul Richard Bell or see a prior ASIC release hup://www.asic.gov.au/asic/asic.nsf/byheadline /01%2F361+ASIC+obtains+court+order+against+cold+caller?opendocument (this is NOT the same Richard Bell that managed the Huntleigh Investment Fund). Check with the FSA in the UK or the SEC about Pacic Conunental UK and World Financial Group in NY(previously called Pacic Conunental Securiues in 1999) Look up Atlanus Capital Markets (even beuer ask ASIC for the administrauon reports from Swiss Financial or the brokerage and trade blouers) The audits for both EMA and Explorauon Fund (previously Huntliegh Investment Fund) were completed or nearly completed. EMAs audit report was completed and nanlized but for the auditors outstanding fees! PPB Expense reports links hup://www.ppbadvisory.com/creditor-informauon/v/175/trio-capital-formerly-known-as-astarra- capital Expense reports hup://www.ppbadvisory.com/uploads/i175-Amdavit-of-Neil-Georey-Singleton.pdf You should review each tab of the les labeled i175. I am sure aggrieved investors will be outraged by the fact that it appears PPBs invesugauons were in large part based on the incorrect informauon of John Hempton and reporters Duncan Hughes and Stuart Washington and then charged to the funds by PPB as conducung invesugauon fees. My own precarious legal circumstances do not allow for me to openly raise my concerns in a formal submission to your comiuee or alternauvely to you personally. I hope that you conunue your invesugauons and make all those responsible for this mauer accountable. Aug2011 emails to MP Paul Fletcher of 6 2/ 13/ 2014 1:01 PM Bob Attachments: frozenfunsaph.pdf 2.2 MB Aug2011 emails to MP Paul Fletcher of 6 2/ 13/ 2014 1:01 PM
Responsive Documents - CREW: SEC:Regarding Efforts by Wall Street Investors To Influence Agency Regulations: 8/4/2011 - Copy of FOIA Log 1-1-10 To Present