The Court of Appeal in Paris, in a ground-breaking ruling of the 24th of September, has ordered that a number of employees of the almost defunct Landsbanki face trial for fraud.
The indicted individual (cited below) will now stand formally accused of several counts of fraud, namely:
- Fraud consisting on knowingly concealing financial difficulties faced by Landsbanki since 2006 and its near impossibility to meets its obligations towards its customers.
- Fraud consisting on cross-financing between banks of the same group, i.e. banks acquiring capital from other group banks, increasing thereby the threat to viability and bankruptcy.
- Fraud consisting on making customers believe that not only were they not taking any risk but also, that by mortgaging their properties for amounts significantly higher than they actually needed for liquidity (the part of the loan left to them), they would have nothing to repay until the maturity of the loan as the interest would be covered by the yields on the investment.
- Fraud consisting on encouraging customers to buy Icelandic bonds knowing yet concealing the fact that these would, inevitably, lose all its value.
- Fraud consisting on abusing the trust of customers who were not advised that the bank would have to subscribe, on their behalf, Landsbanki Kaupthing obligations.
The persons accused of fraud are:
Bjorgolfur GUDMUNSSON (Icelandic), Gunnar THORODDSEN (Icelandic), Torben BJERREGAARD (Danish), and the managers Olle LINDFORS (Swedish), Morten Juul NIELSEN (Danish), Thomas NIELSEN (Danish), Vincent FAILLY (French) and the sales representatives, Robert ANTHONY (British) and Pascal MARCEROU (French).
We take our hats off to our French counterparts for their dedication and hard work in bringing this to the attention of the courts in France. Our hats off also the judge in Paris that has made this all possible. Perhaps the Spanish courts should follow suit and indict these Landsbanki employees on similar charges. It has been a long struggle for our French friends many of who have had their properties repossessed and many of which have died as a result of their stress. We all hope that the courts come to the correct decision and impound these crooks for a long time. Pity the guillotine has been mothballed , it would have been a fitting end to this debacle.
Fully agree with all of you comments …
The Spanish Courts may appear slow to respond, but they always grind inexorably along until they get a “result”. And with evidence now in the possession of “erva” the pensioners have a very convincing case to support allegations of fraud.
Rest assured …. The Spanish have great respect for the elderly and take a very dim view of illegal sales of “products” designed to defraud innocent pensioners.
I would be terrified to be on the wrong side of the Spanish legal system – and even more terrified about ending up in a Spanish jail!
At last those involved in the illegal sales of financial “products” in Spain are being dragged into Court on criminal charges to meet JUSTICE. If found guilty let us all hope that they are sent to prison to serve as an example to others that robbing elderly people does NOT pay.
In the meantime spare compassion for the thousands of elderly people whose lives have been devastated by unlicensed and unqualified thugs, in many cases employed, supplied and supported by Isle of Man registered companies, who have “sold” illegal and totally inappropriate “schemes” to vulnerable pensioners.
And a BIG thank you to “erva” for its continuing and unflinching campaign in exposing these activities.
Perhaps you should remember that this involves criminal cases in the Court of Appeal in Paris, inside French legal jurisdiction and although France is an associate European country it does not necessarily mean that there will be legal precedents established in the pending cases which will be admissible in Spanish courts.
However it will be hugely beneficial for the approaching cases in Spain involving the illegal SITIRS tax evasion structure sponsored by various entities (including the Isle of Man based Premier Group) because the modus operandi for financial scams invariably follows the same format (deceitful banks/finance companies employing fraudulent agents to sell illegal “products” to elderly people) and as a result valuable paradigms will arise.
And YES, it is a great step forward for all the elderly people involved.
How were the thugs (posing as “financial advisors”) paid for their nauseating activities?
The Premier Group (Isle of Man) are/were active in delegating this procedure to Caribbean shell companies which the directors set up specifically to “promote” their dodgy schemes by producing brochures, recruiting unlicensed and unqualified “agents” and then paying them “performance related” commissions.
What percentage of the pensioners savings were given to these “agents” may never be known …
but it is thought to be between 6% and 10%.of the bank transfers obtained!
Another interesting question would be how and where were these payments made, and if any “income tax” was ever paid on them. From start to finish the whole business stinks – while the Isle of Man government and “regulators” do nothing except silently excuse it all.
Item No 3 is of special interest to us and hundreds like us …
“Fraud consisting on making customers believe that not only were they not taking any risk but also, that by mortgaging their properties for amounts significantly higher than they actually needed for liquidity (the part of the loan left to them), they would have nothing to repay until the maturity of the loan as the interest would be covered by the yields on the investment.”
Illegal “advisors” employed by companies operating illegally selling an illegal product to elderly people … and the cheeky bxggers have the nerve to claim that it was all the pensioner´s fault!
Bring it on!
Worthy of note is that the pensioner’s capital “released ” in Premier’s illegal SITIRS scheme was “invested” in Premier’s Experienced Investor Funds (Balanced and OPTIMA) which are “Funds” designed for corporate and professional investors ONLY.
These unregulated and uncontrolled “Funds” were the brain child of John Bourbon who created them while he was Head of Supervision at the Isle of Man financial regulatory authority – the FSC
After leaving the FSC job Mr Bourbon joined the Premier Group Isle of Man as a senior director and was therefore in a position to both witness and approve the continuing recruitment of elderly people with no investment experience into these totally inappropriate “Funds”.
* Why did Premier place elderly people’s savings in these “Funds”
* Is there a “relationship” between Mr Bourbon, Premier and the FSC?
* Why doesn’t the Isle of Man FSC act to control Premier’s activities?
* What is happening on the Isle of Man?