[Realist]

Those who don't learn the lessons of history are doomed to repeat them. Goes for investment as well.

[montyzuma]

Close unregulated investment schemes, warns IMF

Ross Sheil, Online Co-ordinator rsheil@jamaicaobserver.com
Friday, July 04, 2008



The International Monetary Fund (IMF) is recommending that Jamaica close all unregulated investment schemes, saying that they jeopardise the island's otherwise sound financial sector.

Citing statistics from the Caribbean Policy Research Institute (CAPRI), the IMF's June country report identified 35 unregulated schemes operating in Jamaica.

"Unregulated investment schemes promising implausibly high returns in excess of 10 per cent per month have proliferated," said the report. "These schemes have the potential to cause social and macroeconomic instability and hurt the financial sector."

Citing the collapse of pyramid schemes in 1900s Albania, the IMF warned of possible future macroeconomic implications and social unrest, should Jamaican schemes fail.

Several schemes have been unable to make scheduled payouts, including Cash Plus and Olint, the two most well-known. Cash Plus has since been liquidated; its boss Carlos
Hill and other executives charged with fraud.

It is thought that such failures have contributed to rising crime in Jamaica by worsening already adverse social conditions, weakened by high inflation and rising prices.

Yesterday, Don Wehby, minister without portfolio in the Ministry of Finance, reiterated the Government's stance on the schemes. All investment schemes must now register with the Financial Services Commission (FSC) where they must each undergo due diligence tests.

"What we have consistently said is that all investment schemes must be regulated by the FSC, and if they are unregistered then we consider them to be operating outside of the law and we will ensure that the law of the country be adhered to," Wehby told the Observer.

The IMF said that it welcomed the intention of the Government to take action against the schemes and supported their request for technical assistance.

That point was reiterated by Prime Minister Bruce Golding last night in an interview with the Observer at the 28th Caricom Summit in Antigua.

The IMF, he said, would be aware of efforts the Government has been systematically pursuing over recent months, including taking specific actions in some cases of reported unregulatory practices. He noted that one such case is currently before the courts.

Saying that he had not yet seen the IMF report, Golding said: "I wish to make it quite clear that the Bank of Jamaica has been very meticulous in its probings and is satisfied that the integrity of our banking system is secured."

The formal sector did not escape entirely unnoticed, with the IMF calling for both banks and unregulated schemes to be better monitored on a regional basis. The IMF recommended that more information needed to be collected on a regional basis to better assess financial risk warning that Caribbean integration and the development of regional banking conglomerates could cause jurisdictional blind spots.

[Realist]

It's like watching a car crash in very slow motion. You know the outcome and it is just a matter of time.

What's the betting that once forced to close all those involved at the top will quickly take what money remains and then blame the Government?

[montyzuma]

Yep, thats what's already happening.

one called daisy mae and another two are crashing down and the guys at the top are offski with bulging suitcases.

daisy mae played the religon angle too.

Theres a web post about it, which makes interesting reading.
start off great then as it all goes breats vertical and realisation kicks in.
It's sad as at the start, people are warning them and they are getting dlated at nay sayers, these things tend to follow the usual pattern.
il post the link if i can find it again

[montyzuma]

Latest from KUIU home page

NOTICE

Effective July 17, 2008, all Currency-Trading-Related Activities through KIUI have been discontinued until further Notice.

KIUI will maintain all other services to its existing Members indefinitely.

KIUI will continue to communicate with its existing members on all outstanding matters.




I wonder if its all coming unstuck

[reens]

Hahahaha!

I wonder how the good Rev. David Warner and Yeni are doing now?

[Realist]

[montyzuma]

yeah realist, how can it fail when we believe so hard

and they are christians too

if i get the chance ill post some of the other places i found when looking for this

talk about theres none so blind

[drumin7]

If you're even thinking of investing in HYIPs - you need to read this or you'll be scammed:

[montyzuma]

yeah right

theres one born every minute