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Ponzi schemes, Pyramid selling and Chain letters.

Feral

Rogue male
We've all heard of these methods of defrauding people of their money. Their names are household words and are synonymous with dishonesty. Sometimes they have have made a select few people very rich but the vast majority of participants were left much worse off.

It is for this reason that all three have been outlawed or restricted in Australia and fair enough too. Lives and families have been ruined by the deceptive practices of a few.

But what about an organisation that sells a supposedly "priceless" product and demands the payment up front, often to never deliver any part of the gooods. If such an organisation then made it a "crime" to ask for such moneys back then you might start to see the scam.

The CofS in Sydney had a "boom" in the early nineties, they were selling services to wealthy Taiwanese and were collecting $60,000 per week. But as they were only delivering $20,000 per week there was a considerable liability which built up for the eighteen months that this went on. That leaves the CofS Sydney a cool $3mill in the red for this period alone. They owe the service but have spent the money.

Now much earlier in the history of the Church it was noted by DM I believe that there was a huge such liability in undelivered service. I've read that was one of the catalysts of forming the IAS, no direct liability to those paying enormous sums of money, or so they thought.

But as the CofS balance sheets further worsened through the accumulation of undelivered service new solutions were required and happily DM stumbled upon one when the Super Power building project was kicked off to fend off media attention to the wrongful death of Lisa MacPherson. It was very successful and over subscribed to the point where the Church could acquire and renovate the Oak Cove building. In fact it was so successful that the Ideal Org Scam was born. This was the key way to obtain funds without liability and as SPs were beginning to penetrate the IAS coffers for repayments and new angle was formed which wouldn't be breached by the same legal arguments.

Now the cult has a big problem, lawsuits amounting to approximately ten times their net worth are coming their way, and they'll be jury trialled, their is no defence that a lying conniving lawyer can contrive that will stop twelve men and woman fair a true from finding them guilty of human trafficking. The cost of discharging these will be staggering.

So when the staff and public come at the end of the day for their back pay or repayments their won't be much left to repay and the CofS will be filing for bankruptcy.

After that there will undoubtedly be a new form of scam recognised and studied in university by lawyers.

I think it should be called "The Birthday Game" So, those who were taken will have been "Birthday Gamed"

I was birthday gamed, were you?
 
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freethinker

Sponsor
Was Birthday Gamed.
Don't forget they also renovated the Ft Harrison with SP funds and then raised prices for staying there.
 

fishdaddy

Patron
Not to mention taking Advance Payments for OT IX and X - which do not exist and cannot be released. That's straight-up fraud.
 

Axiom142

Gold Meritorious Patron
Not to mention taking Advance Payments for OT IX and X - which do not exist and cannot be released. That's straight-up fraud.

Hmmm, very good point Fishdaddy.

If the CoS has taken advanced payment for a ‘service’ that does not yet exist, does this not constitute fraud?

I suppose that the CoS might counter with the argument that these levels are being worked on and will be available at some (indeterminate) point in the future. But surely they would have to give some timescales?

What would be great, is if some disgruntled OTVIIs or VIIIs (do we have any here? :whistling:), who had made advanced payment for OTIX and X, made a complaint to the police, alleging fraud – i.e. that money was obtained as a pre-payment for a service that the CoS has no intention of delivering.

The CoS would probably try and give them their money back, but would this prevent a police investigation? Any investigation could be highly damaging for the cult, because they would either have to provide evidence that these OT levels exist, or admit that they did not. If they provided these levels for examination, they would presumably have to be checked by independent experts (plenty queuing up now), thus revealing the contents.

But, if as I suspect, these levels do not exist, then a public admission to that effect would be very damaging, especially amongst the Scientology public who expect to be doing these levels soon. “WHAT! You want me to work my guts out getting every org to St Hill size, and now you tell me there’s nothing to do after OTVIII?”

And, if they tried to fabricate these levels in order to kill the investigation, this could result in further criminal charges.

OK, a lot of suppositions there, but this does raise some very interesting possibilities. They had always assumed that those at the top of the Bridge would never do this, but it’s a different ball game now.

Axiom142
 

Dulloldfart

Squirrel Extraordinaire
Not to mention taking Advance Payments for OT IX and X - which do not exist and cannot be released. That's straight-up fraud.

Is it? Weren't they being sold on the basis of "For $X,000 you will lock in the price of OT IX and OT X, so that when they are finally released you won't have to pay a lot more"? That does not require the services to have been created at the time of sale.

If at some point in the future the CofS releases services they call OT IX and OT X, whatever they are, then refuses to deliver them for the locked-in price, I agree that would be fraud. And also quite likely, based on past performance.

Does anyone have any idea how many "OT IX and OT X" packages have been sold and the money not yet used for something else?

Paul
 

HelluvaHoax!

Platinum Meritorious Sponsor with bells on
Apologies--but I have to disagree with all the natter on this thread....

Personally, I am extremely thrilled with the fact that I secured & guaranteed my spiritual future by sending advanced payments to OT IX and OT X.

I am also equally thrilled that I secured & guaranteed my financial future by sending advanced fees to Mr. Njrobi for the deal I closed in Nigeria which earned me $100,000,000.

The funds are being wired to my account as I write, so anyone who is even thinking about trying to nullify my wins, just know that I will be having the last laugh aboard my super-yacht as I float across the globe, infinitely rich, exterior and totally free!
 

Axiom142

Gold Meritorious Patron
Apologies--but I have to disagree with all the natter on this thread....

Personally, I am extremely thrilled with the fact that I secured & guaranteed my spiritual future by sending advanced payments to OT IX and OT X.

I am also equally thrilled that I secured & guaranteed my financial future by sending advanced fees to Mr. Njrobi for the deal I closed in Nigeria which earned me $100,000,000.

The funds are being wired to my account as I write, so anyone who is even thinking about trying to nullify my wins, just know that I will be having the last laugh aboard my super-yacht as I float across the globe, infinitely rich, exterior and totally free!

In that case HH, I have a wonderful investment opportunity for you.

Unfortunately I can’t tell you what it is, as then everyone would want a piece of it. This is for very special people only. You are obviously a man of discernment and uniquely qualified to take advantage of this once in a lifetime opportunity.

I will PM you with details.

Ax
 

Kookaburra

Gold Meritorious Patron
Apologies--but I have to disagree with all the natter on this thread....

Personally, I am extremely thrilled with the fact that I secured & guaranteed my spiritual future by sending advanced payments to OT IX and OT X.

I am also equally thrilled that I secured & guaranteed my financial future by sending advanced fees to Mr. Njrobi for the deal I closed in Nigeria which earned me $100,000,000.

The funds are being wired to my account as I write, so anyone who is even thinking about trying to nullify my wins, just know that I will be having the last laugh aboard my super-yacht as I float across the globe, infinitely rich, exterior and totally free!

:roflmao::roflmao::roflmao::roflmao::hysterical::hysterical::hysterical::hysterical::hysterical:

Good one, HH!
 

AngeloV

Gold Meritorious Patron
Apologies--but I have to disagree with all the natter on this thread....

Personally, I am extremely thrilled with the fact that I secured & guaranteed my spiritual future by sending advanced payments to OT IX and OT X.

I am also equally thrilled that I secured & guaranteed my financial future by sending advanced fees to Mr. Njrobi for the deal I closed in Nigeria which earned me $100,000,000.

The funds are being wired to my account as I write, so anyone who is even thinking about trying to nullify my wins, just know that I will be having the last laugh aboard my super-yacht as I float across the globe, infinitely rich, exterior and totally free!

:roflmao: :roflmao: Classic HH. You rock.
 

The Clam

Patron with Honors
Hmmm, very good point Fishdaddy.

If the CoS has taken advanced payment for a ‘service’ that does not yet exist, does this not constitute fraud?

I suppose that the CoS might counter with the argument that these levels are being worked on and will be available at some (indeterminate) point in the future. But surely they would have to give some timescales?

What would be great, is if some disgruntled OTVIIs or VIIIs (do we have any here? :whistling:), who had made advanced payment for OTIX and X, made a complaint to the police, alleging fraud – i.e. that money was obtained as a pre-payment for a service that the CoS has no intention of delivering.

Jim Baker of the PTL was convicted and sentenced to 45yrs in prison, or so for selling condos which didn't exist among many other charges. I think if a few people pressed the point with state and fed DA the COS could be prosecuted along with the regs, exec and DM responsible for promoting the services which don't exist. Also the Rico Act could be used to bring the COS down with all the other related crimes, extortion, embezzlement, Mail fraud,
and what ever other felony s that the COS could be charged with.
 

HelluvaHoax!

Platinum Meritorious Sponsor with bells on
In that case HH, I have a wonderful investment opportunity for you.Unfortunately I can’t tell you what it is, as then everyone would want a piece of it. This is for very special people only. You are obviously a man of discernment and uniquely qualified to take advantage of this once in a lifetime opportunity.I will PM you with details.Ax

Dear Sir Ax,

While I am grateful for any opportunity that you may wish to present, I must advise you that my investment criteria, like OT IX, are of the highest Orders of Magnitude.

In advance of sending me your CSW, please provide written proof that you are in fact a Clear, including your Clear number and a copy of your Clear Success Story. I have learned from hard experience that people below Clear are still abberated and thus unethical.

However, per the tech, a Clear is completely above going out-exchange to a fellow theta being.

If you don't have any formal documentation from the AO to support your Clear status, I will have to demand that you duly execute the legal instrument provided below so that I may be well assured, beyond any shadow of a doubt, that you are in fact Clear.

ML,

HelluvaHoax!

--------------------- LEGAL DOCUMENT BELOW-----------------​


I, Axiom 142, being of Erased Mind, do hereby represent that I am a bona fide Clear, recognized & so certified by the Church of Scientology.

Furthermore, it has been technically established that the state of Clear was factually achieved as fully supported by the attached exhibits, evidencing said events by a true photocopy facsimile of session reports scientifically confirming that a floating needle was observed with my tone arm being between 2.0 and 3.0.

As a Clear businessman, I no longer have my own reactive mind, my own out ethics or my own assets to invest in this sure deal.

This is Okay.


_______________________________________________
Sir Axiom 142




________________________________________________________
Witness Signature
(must be at least ARC Straightwire for accurate recall in case of Wise Arbitration)


 

Axiom142

Gold Meritorious Patron
Dear Sir Ax,

While I am grateful for any opportunity that you may wish to present, I must advise you that my investment criteria, like OT IX, are of the highest Orders of Magnitude.

In advance of sending me your CSW, please provide written proof that you are in fact a Clear, including your Clear number and a copy of your Clear Success Story. I have learned from hard experience that people below Clear are still abberated and thus unethical.

However, per the tech, a Clear is completely above going out-exchange to a fellow theta being.

If you don't have any formal documentation from the AO to support your Clear status, I will have to demand that you duly execute the legal instrument provided below so that I may be well assured, beyond any shadow of a doubt, that you are in fact Clear.

ML,

HelluvaHoax!

...

Sir,

I must protest. I am an Englishman and a gentleman!

If you don’t believe me, just ask Carmel, Emma, Panda or Feral.

Ooops, they’ve all met me – better not ask them for a reference. :redface:

OK, so I didn’t really have a genuine investment opportunity, you just seemed like a suitably gullible target, but I can see that you are far too savvy to be taken in by such a simple ruse as promising you something that has no tangible results, is entirely subjective and requires you to pay large sums of money in advance and when it doesn’t work as advertised, find something wrong with you that explains why it didn’t work. :p

On a slightly less funny note, I did genuinely believe for a long time that someone who was Clear or above would be automatically much more honest and ethical than your regular run-of-the-mill Homo Woggus. :duh:

It is too painful just thinking about it. :bigcry:

Ax
 

HelluvaHoax!

Platinum Meritorious Sponsor with bells on
(----clipped for brevity---)
Sir,I must protest. I am an Englishman and a gentleman!OK, so I didn’t really have a genuine investment opportunity, you just seemed like a suitably gullible target, but I can see that you are far too savvy to be taken in by such a simple ruse as promising you something that has no tangible results, is entirely subjective and requires you to pay large sums of money in advance and when it doesn’t work as advertised, find something wrong with you that explains why it didn’t work. :p

:hysterical: :hysterical: :hysterical:

Unfortunately, I am no longer accepting investment deals at this time, in no small part due to the r-factor I just received from the Registrar.

Although I just completed OT III and OT III Expanded where I attained Freedom from Overwhelm, I have nonetheless been C/Sed for OT III SuperExpanded which I have now written a check for.

I desperately look forward (before it is too late) to attaining its end phenomena---Freedom from Overdrafts.
 
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