Sterling’s Legal Defense

ICW-YouTube-18Last year on June 3rd 2015 The FBI raided Sterling Currency Group. This led to a civil complaint which was filed on June 9th 2015. I made a few predictions regarding this legal action. I said that an indictment was probably coming. I also said that it was at least 6 to 8 months after the raid on the BH Group before we saw any real legal action taken. So it should be roughly the same amount of time before we see anything happen to SCG. See the Civil Complaint below

https://www.docdroid.net/132iq/doc-2-6-9-2015-amended-complaint.pdf.html

Read my comments about the Civil Complaint below

https://iraqcurrencywatch.com/2015/06/12/the-scammers-and-the-pumpers/

scam-alertOn February 10th of 2016 the Grand Jury issued an indictment containing 24 counts. The men listed in the indictment are Tyson Rhame, James Shaw, Frank Bell, and Terrence Keller, who is also known as “TerryK. This is just the start of many legal documents that were compiled including arrest warrants, hearings, and pleas entered into the court. To view a list of all the court documents from February 10th to March 18th click the link below.

https://www.docdroid.net/132iq/doc-2-6-9-2015-amended-complaint.pdf.html

All 4 men pleaded not guilty and are currently released. So now we will watch as these men go to court to make their case. Here are some observations regarding the indictment. I will quote directly from the indictment filed on February 10th 2016.

“1.Beginning in or about 2010, and continuing to on or about June 3, 2015, in the Northern District of Georgia and elsewhere, the defendants, TYSON RHAME, TERRENCE KELLER, also known as TerryK, JAMES SHAW, and FRANK BELL, did knowingly and willfully combine, conspire, confederate, agree and have a tacit understanding with each other and with others, both known and unknown to the Grand Jury, to devise and intend to devise a scheme and artifice to defraud, and to obtain money and property, by means of materially false and fraudulent pretenses, representations, and promises, and by the omissions of material facts, well knowing and having reason to know that said pretenses were and would be false and fraudulent when made and caused to be made and that said omissions were and would be material and, in so doing, caused the United States Postal Service and other interstate carriers to be used, and interstate wire communications to be made, in furtherance of the scheme and artifice to defraud, in violation of Title 18, United States Code, Sections 1341 and 1343”

Here we see a broad overview of the indictment.

“3. TYSON RHAME and JAMES SHAW were co-owners of Sterling, which began operations in 2004. FRANK BELL began working for Sterling in 2010 and became Sterling’s Chief Operating Officer in 2011.”

Now we see that Rhame and Shaw were operating since 2004 shortly after Iraq redenominated their currency. They were among some of the first dealers to emerge. Frank Bell came on board in 2010.

“4. Sterling’s sales were primarily derived from three sources: (1) dinar and other currency sales to individual customers, (2) non-refundable and refundable “layaway orders” whereby customers could put a percentage of money down for the full purchase price of the dinar and other currency, and orders from entities that purchased the dinar and other currencies in bulk (who were, at various times of the conspiracy, referred to as “high-value customers”, “high-risk customers”, “resellers”, and “agents”).”

Now we see that resellers also purchased through SCG. My guess is probably shortly after they began to sell the currency others purchased it and resold it.

“5. “The GET Team” was the trade name for a group of individuals, led by TERRENCE KELLER, also known as TerryK, who ran a website, an internet chat forum and weekly conference calls in which, among other things, information was disseminated to participants concerning the potential investment value of the Iraqi dinar. KELLER maintained operational control over The GET Team, including its finances and revenue, through a Kentucky corporation named “TCB Group.”

So Terry K controlled the finances of the get team through the TCB Group. Here is more from the indictment

Manner and Means

“6. During the time period of the conspiracy, the Iraqi dinar was touted by some as a potential investment opportunity. For example, in 2010, Sterling’s website, which contained videos featuring RHAME and articles written by RHAME, described the potential for the Iraqi dinar to increase in value. Additionally, information publicly available on certain internet websites, blogs, chat rooms, and conference calls fueled the speculation by predicting that a “revaluation” of the Iraqi dinar would occur imminently. A “revaluation” or “RV”, in this context, meant a sudden, exponential rise in value of the Iraqi dinar as compared to the U.S. dollar and other relatively stable global currencies. Individuals who owned Iraqi dinar would realize potentially enormous gains if an “RV” ever occurred in this manner.”

So now we see a currency dealer marketing the dinar as an investment. The MSB license that many of these dealers have does not allow them to do this. They must have an investment license.

“7. TERRENCE KELLER, through The GET Team, was one of the leading internet-based proponents of the “RV” theory. On The GET Team’s website, internet chat forum, and on weekly conference calls, KELLER falsely claimed to have information from, and verified by, high-level confidential sources in the United States government, the Iraqi government, international organizations, and major financial institutions, regarding an imminent “RV.””

All of Terry K’s high level sources were bogus? Say it isn’t so! This is the case with every guru out there that is getting a kickback.

“8. Sterling was one of the largest sellers and currency exchangers of the Iraqi dinar in the United States. Beginning at least as early as 2010, Sterling’s business revenue was driven in part by the investment advice touted by TERRENCE KELLER and others, both on the internet and on participating conference calls In fact, TYSON RHAME, JAMES SHAW, and FRANK BELL, through Sterling, began advertising with The GET Team through a web banner placed on The GET Team’s website. A Sterling representative also participated in The GET Team’s internet forum and on conference calls with followers. At various times, RHAME and BELL personally participated in The GET Team’s conference calls. Followers of The GET Team were on occasion offered a discount coupon and sale price to purchase Iraqi dinar from Sterling.”

I wonder who else participated with Rhame and Bell on conference calls?…

“9. TERRENCE KELLER induced followers of The GET Team into believing his claims about the imminent “RV” of the Iraqi dinar, and about his access to high-level confidential sources, by making material misrepresentations and by omissions of material facts. For instance, KELLER did not have information from, or contact with, high-level confidential sources. Additionally, KELLER claimed directly and indirectly to followers of The GET Team that he had no financial or other ulterior motive to promote the Iraqi dinar as an investment, but rather, that he was simply disseminating his knowledge and information so that others could benefit from it as well. Religious and patriotic themes were often interwoven into The GET Team’s conference calls and internet forums, further solidifying the perception that KELLER was honest, credible and could be trusted.”

I have said since day one that the dinar scam was marketed to Christians and patriotic Americans. This indictment proves my point!

“10. In truth, TERRENCE KELLER had a secret arrangement with TYSON RHAME, JAMES SHAW and FRANK BELL to promote and “pump” the Iraqi dinar in exchange for payments made by Sterling to benefit KELLER. KELLER, RHAME, SHAW, and BELL knew and believed that representations concerning an imminent “RV” of the Iraqi dinar, particularly claims that the information came from one or more supposed high-level confidential sources, would boost sales for Sterling.”

“11. TERRENCE KELLER affirmatively told his followers that he did not make substantial profits from his dealings with Sterling and other dinar dealers. In actuality, since at least as early as August 2011, Sterling paid KELLER over $160,000. Additionally, since Sterling’s partnership with KELLER began in late 2010, KELLER received dinar specials, extensions on layaway sales, and other material benefits from Sterling. Separate from this, KELLER received over $100,000 from at least one other dinar dealer. KELLER consistently downplayed all of these financial benefits to his followers and listeners.”

WOW that’s over 260 thousand dollars that Terry K received just for lying about the dinar and claiming he had high level contacts.

“12. The correlation between Sterling’s increased sales and TERRENCE KELLER’S promotion and “pump” of the Iraqi dinar was further cemented by the presence of a Sterling representative and other dinar dealer representatives, including, at times, TYSON RHAME and FRANK BELL, on The GET Team’s conference calls and internet forums. At various times, RHAME, BELL and other Sterling representatives participated in conference calls and internet forums in which KELLER made representations to followers concerning the imminent Iraqi dinar “RV”, his access to high-level confidential sources, and claims that he was just trying to be helpful and received no financial benefit for providing this information to others.”

13. The presence and participation of TYSON RHAME, FRANK BELL, and other Sterling representatives on The GET Team’s conference calls and internet forums provided further validation to followers that KELLER’s claims about an imminent “RV” of the Iraqi dinar should be believed. While making no direct representations about the likelihood of an “RV” themselves or offering investment advice to potential investors, RHAME, BELL, and other Sterling representatives assured listeners on The GET Team’s conference calls that Sterling was prepared to handle the high volume of Iraqi dinar exchanges that many investors expected would occur immediately after the “RV.”

14. Since at least as early as 2011, RHAME, SHAW, AND BELL established financial relationships with additional promoters, both known and unknown to the Grand Jury, who promoted the notion of an Iraqi dinar revaluation.”

I wish I knew who these additional promoters, gurus, and pumpers are. Will any of them testify in court?

“15. TYSON RHAME, JAMES SHAW, and FRANK BELL knew and believed that many of Sterling’s customers relied upon information from TERRENCE KELLER and these other promoters when making investment decisions regarding the Iraqi dinar, and that much of the information being disseminated by KELLER and the other promoters was materially false. For one, RHAME, SHAW, and BELL never believed that KELLER or the other dinar promoters had the types of high-level sources they repeatedly claimed to have. Furthermore, at the same time that RHAME, SHAW, and BELL told their employees not to speculate or offer investment advice to customers, they knew that KELLER and the other promoters would continue to spread false information about the dinar.

16. TYSON RHAME, JAMES SHAW, and FRANK BELL knew and believed that the pumping activities of TERRENCE KELLER and other dinar promoters (who were oftentimes called “bloggers”) were essential to Sterling’s financial success. In November 2010, SHAW told an individual that Sterling was the “second largest in US but have been making ground up as we now have the bloggers singing our praises. Almost a little cult like.” In December 2010, RHAME told colleagues that KELLER and the GET Team “push 80% of our business these days.” By December 2011, the relationship w i th KELLER had grown so strong that, in an internal Sterling email, BELL referred to The GET Team as Sterling’s “largest referrer.” RHAME, SHAW, and BELL knew and believed that the relationships with KELLER and the other dinar promoters continued to generate Sterling millions of dollars in dinar and other currency sales throughout the course of the conspiracy. All in violation of Title 18, United States Code, Section 1349.”

scam 2So people think Terry K and others give an appearance of independent analysis and claim that there is going to be a revalue, but all the while these pumpers are being paid to lie by Sterling. I have said that many of these bogus pumpers/gurus are being paid by the currency dealers to lie and promote their business! Now for the fist time I see proof in this indictment.

Counts Two Through Seven
Mail Fraud
(18 U.S.C. §§ 1341 and 2)

“17. The Grand Jury re-alleges and incorporates herein by reference the factual allegations set forth in paragraphs 2-16.

18. On or about the dates listed below, within the Northern District of Georgia, the defendants, TYSON RHAME, TERRENCE KELLER, also known as TerryK, JAMES SHAW, and FRANK BELL, aided and abetted by each other and others known and unknown to the Grand Jury, for the purpose of executing and attempting to execute the above-described scheme and artifice to defraud, knowingly and willfully caused to be delivered the following mailings to the Sterling customers identified by initials below, by the Postal Service and by private and commercial interstate carrier:”

Counts Eight Through Eleven
Wire Fraud
(18 U.S.C. §§ 1343,1349, and 2)

“19. The Grand Jury re-alleges and incorporates herein by reference the factual allegations set forth in paragraphs 2-16.

20. On or about the dates listed below, within the Northern District of Georgia, the defendants, TYSON RHAME, TERRENCE KELLER, also known as TerryK, JAMES SHAW, and FRANK BELL, aided and abetted by each other and others known and unknown to the Grand Jury, for the purpose of executing and attempting to execute the above-described scheme and artifice to defraud.”

Count Twelve
Money Laundering Conspiracy
(18 U.S.C. § 1956(h))

“21. The Grand Jury re-alleges and incorporates herein by reference the factual allegations set forth in paragraphs 2-16.

22. Beginning in or about 2010, and continuing to on or about June 3, 2015, in the Northern District of Georgia and elsewhere, the defendants, TYSON RHAME and JAMES SHAW, did knowingly combine, conspire, and agree with each other and with others, both known and unknown to the Grand Jury, to commit offenses against the United States in violation of Title 18, United States Code, Section 1957, to wit: to knowingly engage and attempt to engage in monetary transactions by, through or to a financial institution, affecting interstate and foreign commerce, in criminally derived property of a value greater than $10,000, such property having been derived f r om a specified unlawful activity, to wit: mail fraud, in violation of 18 U.S.C. § 1341, and wire fraud, in violation of Title 18, United States Code, Section 1343; in violation of Title 18, United States Code, Section 1957. All in violation of Title 18, United States Code, Section 1956(h).”

Terry K is not listed in the following counts

Counts Thirteen Through Twenty-Four
Money Laundering
(18 U.S.C. §§ 1957 and 2)

“23. The Grand Jury re-alleges and incorporates herein by reference the factual allegations set forth in paragraphs 2-16.

24. On or about the dates listed below, within the Northern District of Georgia and elsewhere, the defendants, TYSON RHAME and JAMES SHAW, aided and abetted by each other and others known and unknown to the Grand Jury, did knowingly engage and attempt to engage in monetary transactions by, through or to a financial institution, affecting interstate commerce, as described below, each such transaction knowingly involving criminally derived property of a value greater than $10,000, such property having been derived from a specified unlawful activity, that is mail fraud, in violation of Title 18, United States Code, Section 1341, and wire fraud, in violation of Title 18, United States Code, Section 1343, each transaction constituting a separate count as set forth below:”

Forfeiture Provision

“25. Upon conviction of one or more of the offenses alleged in Counts One Through Eleven of the Indictment, the Defendants, TYSON RHAME, TERRENCE KELLER, JAMES SHAW, and FRANK BELL, shall forfeit to the United States pursuant to Title 18, United States Code, Sections 981(a)(1)(C) and Title 28, United States Code, Section 2461, any property, real or personal, which constitutes or is derived f r om proceeds traceable to the wire and mail fraud offenses or a conspiracy to commit such offenses including, but not hmited to, the following:”

The indictment goes on to list multiple accounts from several financial institutions including Actors Federal Credit Union, Goldman Sachs and Co, J.P. Morgan Chase, Mahopac National Bank, Merrill Lynch, Regions Bank, SunTrust Bank, TD Ameritrade, USAA Federal Savings Bank, Wedbush Morgan Securities Inc., and finally Wells Fargo.

The indictment also seizes everything they have in corporate and trust entities and it proceeds to reveal several of these. The indictment also seizes several real estate properties and it also seizes personal property like aircraft and cars.

The indictment also seizes all the foreign currency that sterling has. Here is the list straight from the indictment. Let’s look at the amount of Foreign Currency they had on hand at the time of the raid. This is from the indictment.

CURRENCY AND MONETARY INSTRUMENTS:

1) a total of approximately 8,671,456,050 in Iraqi dinar seized from 2751 Buford Highway, #403, Atlanta, Georgia on June 3, 2015;
2) a total of approximately 13,317,698,200 in Vietnamese Dong seized from 2751 Buford Highway, #403, Atlanta, Georgia on June 3, 2015;
3) a total of approximately 2,100 in Afghanis seized from 2751 Buford Highway, #403, Adanta, Georgia on June 3, 2015;
4) a total of approximately 100 in Chinese Yuan seized from 2751 Buford Highway, #403, Atlanta, Georgia on June 3, 2015;
5) a total of approximately 1,600,000 in Indonesian Rupiahs seized from 2751 Buford Highway, #403, Atlanta, Georgia on June 3, 2015;
6) approximately 29 silver coins seized from 2751 Buford Highway, #403, Atlanta, Georgia on June 3, 2015;
7) a total of approximately 14,396,403 in Iraqi dinar seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
8) a total of approximately 20,000 in Vietnamese Dong seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
9) a total of approximately 150,000 in Bank of Mozambique notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
10) a total of approximately 23,200 in Bank of Egypt notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
11) a total of approximately 1,000 in Union of Burma bank notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
12) a total of approximately 1,000,000 in Republic of Iran bank notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
13) a total of approximately 9,799 in Chinese Yuan seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
14) a total of approximately 1,502,600 in Afghanis seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
15) a total of approximately 2,450 in Bank of Surtname notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3,
16) a total of approximately 9,300 in Bank of Yugoslavia notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
17) a total of approximately 155,000 in Cambodian Bank notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
18) a total of approximately 500 in Brazilian currency seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
19) a total of approximately 1,000 in Bank of Sudan notes seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
20) approximately 182 gold coins seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015;
21) approximately 49 silver coins seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015; and
22) approximately $48,718.00 in United States currency seized from 4536 East Brookhaven Drive, Atlanta, Georgia on June 3, 2015.

So now these guys are going to court and they have all pleaded not guilty. Stay tuned because as this makes its way through the legal system there will be more revealed. Let’s hear the government’s case against Sterling Currency Group!

 

The Scammers And The Pumpers,

I caught a lot of heat in January of 2012 when I claimed the dinar was a scam. People thought I fell off the deep end. I invested in the Iraqi dinar and then I talked about it on this blog. I strongly supported it until my study of currency revealed a whole different story. I told everyone to sell their dinar as soon as they could. I said that if Iraq redenominates there will be no dealers around to provide any liquidity. I said that this so-called dinar investment is really a scam. The dinar is a game of musical chairs. Anyone caught holding dinar when this thing finishes will be the people who lose everything.

Now it seems as though the whole so-called investment is crashing down all around us. Shortly after Tony goes to jail (see last post) we witness the government action of raiding the offices belonging to Sterling Currency Group aka Dinar Banker. They also seized assets such as aircraft, and expensive luxury cars. This happened on June 3rd, just 6 days after Tony was sentenced. Check out the raids with the following links.

http://m.wsbtv.com/news/news/local/fbi-raids-brookhaven-home-and-business/nmTf5/

http://www.oneworldofnations.com/2015/06/sterling-currency-group-aka-dinar.html

http://www.brookhavenpost.co/details-murky-after-f-b-i-raids-two-brookhaven-area-addresses/30583/

Even though the dinar community is surprised by this it comes as no real surprise to me. As I watch the traffic from this site I see that the dinar is big on an international level too. Just last month alone I got traffic from United States, Canada, Malaysia, Taiwan, just to name a few. I also get a lot of traffic from Puerto Rico. The dinar is huge there. Now it seems that some dinar business in Puerto Rico was raided too.

“The raid conducted by the Federal Bureau of Investigation during the morning in a business that sells dinars, located on Roosevelt, Hato Rey Avenue, is related to a fraud investigation,”

“FBI agents, accompanied by the IRS and police officers in Puerto Rico, arrived at about 7:00 am at the offices of Internet Management Mendez. Quinones explained that could be there until noon.

He said that, in general, in raids seeking documents and computers.”

http://www.outpostprovisioning.com/2015/06/fbi-raids-business-selling-dinars-in.html

Today I have been reading through the civil complaint for the government’s case against Sterling Currency Group.  I can tell you that those boys are in a bit of trouble. Let me quote directly from the civil complaint so we all know the people involved.

“This Complaint seeks forfeiture of the below-listed properties to the United States as proceeds of specified unlawful activities and properties involved in money laundering offenses of Sterling Currency Group, LLC (“Sterling”); Sterling Online Processing Services, LLC (Sterling Online); GID Partners, LLC (GID); Alex Capital Holdings LLC (Alex); James Shaw (J.Shaw); Carole Laurette Shaw (C.Shaw); Tyson Rhame (Rhame); Frank Bell (Bell), and other entities controlled by these same businesses and individuals that have used the facilities of interstate commerce in a scheme to defraud investors in the Iraqi dinar by publishing and disseminating false information about the viability of that currency as an investment:”

Wow the dinar as an investment is actually false? Of course this is according to the complaint. What does the Department Of Justice really know about the dinar anyway? (Sarcasm) Now that we know who all the players are, the civil complaint proceeds to list the assets that the government will seize.  Some of these include various real estate properties, luxury cars, and even three airplanes. I will quote directly from the civil complaint again,

“Based on the evidence described below, the Defendant Properties are subject to forfeiture to the United States pursuant to 18 U.S.C. § 981(a)(1)(C) as proceeds of specified unlawful activity traceable directly and indirectly to violations of 18 U.S.C. §§  1341, 1343, 1349, 1956, and 1957. 3.Additionally, the Defendant Properties are subject to forfeiture to the United States pursuant to 18 U.S.C. § 981(a)(1)(A) as property involved in money laundering offenses in violation of 18 U.S.C. §§ 1956 and 1957.”

“Since at least 2004, Sterling Currency Group, LLC (“Sterling”), an Atlanta, Georgia-based business that also does business under the name Dinar Banker, has become one of the largest sellers of Iraqi dinar in the United States.  While Sterling also offers the sale of what its website calls “other exotic currencies,” including the Vietnamese Dong, Indonesian Rupiah, Afghani, and Chinese Yuan, the bulk of Sterling’s business comes from the sale of the Iraqi dinar.”

“8. Sterling is one of several money service businesses in the United States that purchases the Iraqi dinar abroad for sale to customers in the United States and Canada.”

“9.Sterling purchases its inventory of dinar notes from exchangers in the Middle East, transports the notes in bulk to the United States via commercial carrier, retrieves the notes from Hartsfield Jackson International Airport, and trucks them Case 1:15-cv-02032-LMM   Document 2   Filed 06/09/15   Page 14 of 48”

“15 for storage to a business location in Atlanta, Georgia, where they remain available to fill customer orders placed on its websites (initially at http://www.dinarbanker.com and now at http://www.sterlingcurrencygroup.com) and over the telephone.”

“10.Sterling operates in partnership with Sterling Online Processing (“Sterling Online”), which provides administrative services for Sterling, as well as GID Partners (“GID Partners”),  which is an Iraqi dinar exchanger purchased by Sterling.”

“Sterling’s success is at least partially attributable to its use of the facilities of interstate commerce, including wire communications, both directly and indirectly, to disseminate false and misleading information about the possibility of a revaluation of the dinar and to steer customers toward choosing Sterling over its competitors.”

“16.The revaluation (or simply, “RV”) theory has spread throughout the Internet and is promoted by a variety of internet blogs and individuals who hold themselves out to be currency experts or “dinar gurus.”  According to the RV theory, the dinar will experience an abrupt, exponential rise in value against the U.S. dollar and hence yield enormous profits for dinar holders.”

“17.An individual who worked for Sterling from approximately 2013 to 2015 confirmed that Bell at one point told customer service center representatives in a meeting that there would never be an Iraqi dinar revaluation.  Bell instructed the representatives not to tell callers that the revaluation will never occur but to tell the callers to do their own research”

This is the reason I said that dealers would not be around in the event of a redenomination. If certain dealers are breaking the law, and they are, then other dealers will close up shop as well due to liability issues in the event of a redenomination. The civil law suits will be enough to cause everyone to get out. Not just the civil complaints brought from The Department Of Justice, but the civil suits brought through private parties as well.

Perhaps the saddest part of the whole thing is that these people knew they were breaking the law. Email communications between the people at Sterling bring this out and they are even listed in the complaint. The people at Sterling knew that Iraq would not revalue and they knew this as early as 2010. Not only did they continue to sell dinar to people who thought there would be a revalue, but they had pumpers on the payroll to promote that idea! Let us look at some of the emails listed in the civil complaint.

“Email communications between Rhame, J.Shaw, C.Shaw, and Bell confirm that these individuals know that the concept of the dinar revaluation is a scam.

‘On November 3, 2010, J.Shaw sent an email to Rhame entitled, “Discussion Point,” an email that he also forwarded to C.Shaw, which read, in part:  Ty, The point of my call was not to talk about net worth. We have a business that I valued at $8-10 million in that formula (SCG). Laurette and I do not think about how much is hers and mine as you do in your relationship (like I should give her 99% of profits). We are 50-50 partners on everything and if we ever split up we would divide all assets as such. She has lately been very nervous and was crying last night because she knows we are running an illegal operation.  The point is that her [sic] and I have worked way too hard in life for us to risk everything based on your belief (even if I agree with you) that the Iraqi dinar will not RV and it is ok to make millions of dollars in false promises to our customers. Not only are we risking everything we own, we are risking serious jail time as promoters of a ponzi scheme. . . Jim”

“Additionally, a March 22, 2011, set of emails further shows that Rhame and C.Shaw were aware of Sterling’s wrongdoing.  a.Specifically, on that date, Rhame sent C.Shaw an email that copied J.Shaw with the subject, “Comments related to AMENDED Operating Agreement” in which he asserted, “This amendment is complete bullshit written for the purpose of obtaining banking. Jim and Ty are operation [sic] under the original partnership agreement. We are 50% partners and his ass will go to prison if mine does.” b.Thereafter, C.Shaw replied, “and won’t your asses have an interesting time there. NOT.

“Sterling’s unlawful business practices fall into at least two categories.  First, Sterling unlawfully used at least one revaluation promoter to disseminate false Case 1:15-cv-02032-LMM   Document 2   Filed 06/09/15   Page 19 of 48”

“20 information and steer prospective dinar purchasers toward Sterling.  Second, Sterling used telephone conversations and its own web site to make false representations and false promises to its customers.”

“Sterling has knowingly benefitted from false representations made by web sites and blogs, including “The GET Team.”

“24. The GET Team, which is led by an individual known as TerryK, runs an internet chat room and weekly conference calls in which information about the Iraqi dinar is discussed.  During those chats and conferences, TerryK spreads false information suggesting that the revaluation is about to occur.”

“25.In a September 13, 2010, email, TerryK introduced himself to Rhame:  Ty, My name is TerryK, I own the worlds [sic] largest Dinar web site going….we have currently 7200 members and currently we hold two calls a week with about 1500 on the call and 100’s if not 1,000’s on skype listening in…what I would like to do is open a discussion with you and maybe have you on a call this coming wed night.  It starts at 9pm and thought maybe 10-15 min on how you operate, how to cash in with your firm and then a question and answers session….let me know via email [sic].   terryk.”

“26.Thereafter, beginning at least as early as 2011, Sterling began making monthly payments in the amount of $4,000 to TerryK.  In total, Sterling has paid TerryK more than $150,000 since 2011.

“27.Since TerryK’s 2010 email, Sterling employees, including Bell and Rhame, have routinely spoken on the GET Team’s weekly conference calls.  For example,”

“28.In the GET Team chat room and during the weekly conference calls, TerryK also passed along false information purportedly received from sources about the revaluation of the Iraqi dinar and other currencies (such as the Vietnamese dong).

a.For example, on the January 8, 2014, conference call, TerryK stated that a source at Wells Fargo said that it would take at most 10 to 15 minutes to process the exchange of Iraqi dinar.

b.Additionally, on the March 12, 2014, conference call, TerryK stated that a source at Wells Fargo had told him “it” was supposed to happen but that the time kept changing.

c.Likewise, on the April 16, 2014, conference call, TerryK said that he had heard from the “UST,” a reference to the U.S. Department of Treasury, that the rate was good and that everything would be released that week.”

“29.On June 3, 2015, TerryK acknowledged during an interview with the Federal Bureau of Investigation (FBI) that he had fabricated source information on GET Team online postings and conference calls.”

“30.In fact, the U.S. Department of Treasury is not preparing and has never prepared for an Iraqi dinar revaluation.   31.Similarly, Wells Fargo does not trade in the Iraqi dinar and also warns its customers not to invest in it.  In fact, a publicly available Well Fargo Advisors Memorandum dated March 10, 2014, states that Wells Fargo is not preparing for an Iraqi dinar revaluation and has no plans whatsoever to exchange the Iraqi dinar.   32.Moreover, a November 7, 2011, email exchange between TerryK, Rhame and Bell confirms that TerryK and Sterling have sought to keep the specific nature of their relationship secret.   a.On that date, TerryK sent an email to Rhame and Bell that read:  I want to make sure that our arrangement is between us and no one else…As no one else needs to know about our arrangement…   Please confirm…   Thanks for all you guys do... [sic]” b.Bell’s reply, sent that same day, read, “Absolutely noone [sic] but us [sic].” 33.Although on May 28, 2015, Bell represented to the FBI during an interview that Sterling maintains a “firewall” between itself and revaluation promoters, email records belie his assertions.  a.For instance, on May 2, 2012, TerryK sent an email to Bell that read as follows:  Case 1:15-cv-02032-LMM   Document 2   Filed 06/09/15   Page 22 of 48

23 You should have gotten a lot of business on the reserves the past week, been pushing it hard on the site bro…..make sure TY is not selling dinar from the middle table that one is mine.….[sic]” Bell’s reply, sent the following day, read, “TK, Will do, thanks for your support.”  b.Likewise, on March 11, 2013, TerryK sent Bell an email that read,  FYI Received payment today, thanks for following up..What else can I do to help sales for your team? Just let me know buddy, I will be in the room later today to get some things moving as well [sic]. c.Also, on July 22, 2013, TerryK sent Bell an email reading as follows:  Frank, please find attached the banner invoice for the month of August 2013, I trust things are going well, as we keep promoting the heck out of Sterling.. [sic] If there is anything you need let me know.”

“34.On June 3, 2015, Bell acknowledged to FBI agents that Sterling should not have continued to do business with the dinar promoters.”

You can read the civil complaint in full by clicking on the link below

http://www.docdroid.net/132iq/doc-2-6-9-2015-amended-complaint.pdf.html

Channel 2 goes into further details about this case. Check out the next link

http://www.wsbtv.com/news/news/local/feds-move-seize-mansions-planes-company-selling-ir/nmZy5/

Conclusion

As usual, I have a few observations. The first one is the fact that this is just a civil complaint from the Department Of justice. I strongly suspect that criminal charges may soon follow.

The second observation is that the government has finally acknowledged that the revalue is not going to happen and marketing the dinar on such a notion is not only untruthful, it is outright fraud. So much so that the government has been keeping intimate details on email records from various dealers at the very least since 2010. If I was a dealer and I had pumpers on the payroll I would be very worried at this point. Because more than likely the government is watching those dealers too and it decided to move against one of the biggest ones first.

My third observation is that the government moved against Puerto Rico and Sterling at roughly the same time. Although the civil complaint is dated the 9th. The raid from channel 2 news has a date of June 3rd. That is the same day that the government moved on Puerto Rico. Both raids happened at 7 am. Both raids involved the IRS and the FBI. So my question is obvious. Are these two Raids connected? Did SCG have any involvement with the Puerto Rico dinar business? I am not saying that they did and I do not know, but this is one hell of a coincidence!

My fourth observation is that this was just a few days after Tony’s sentence. Tony once said that he worked for Sterling on a conference call. I heard it myself. Another point is that his reduced sentence was very light for a plea bargain. He was looking at about 21 years for each count and he had 4 counts. He was also looking at a 250,000 dollar fine for each count. His sentence was greatly reduced. They dismissed 3 counts and only convicted him on 1 count. He has no fines to pay, and he is only serving 1 year and one day in jail. This is according to his sentence. Look at the last post to verify. This reduction is a lot more than what you would normally get in any plea bargain deal.

Is the reason for this due to information Tony provided about Sterling Currency Group? He had a banner for Sterling on his site. In the end I don’t know for sure, but consider the timing of the events and it would be easy to conclude that this goes beyond coincidence. Notice that Bell said “dinar promoters” as in more than one? In the end I really don’t know for sure.

When the BH group went down it was 6 months before we knew anything about what was going on. I think as time goes on more details will be revealed.

My fifth and final observation is that SCG is not the only dinar dealer that has paid gurus. I am not going to name any names but I know there are others as well. Will the same thing happen to them? Is Sterling the beginning of a process that will shut down dealers and thus remove liquidity for the dinar? Although I will say that I don’t keep tabs on every dealer, and even though there may actually be some honest ones out there, I know of a few that are not. They have pumpers too and those dealers know who they are. I would be worried if I were them.

I was telling the truth all along. The dinar investment is a scam, dealers won’t be around if Iraq redenominates, there is 30 trillion in dinar sitting outside of Iraq’s borders, this current dinar scam bears many similarities to the same scam Iraq did with the Swiss dinar, dinar has been exported all over the world in many different countries, and Iraq was exporting their currency which caused their reserves to grow at an abnormal rate!

When you stand back and look at the big picture you’ve got to ask yourself one question. Why did it take the government so long to do anything about this scam? Well now it looks like they have been building cases the whole time! Just how many cases has yet to be determined. In the end justice may come slowly, but when it finally arrives it will be quick and severe.

Just a final note to all you fake dinar pumpers who pretend to be Christians so you can take credit for boosting your sales. I have heard you pray on conference calls in the name of the Lord and I have heard you ask for God’s blessings when all the while you knew this thing was a scam! I caught you in lies! You targeted the Christian community in an effort to put money in your own pocket. Your judgement day is approaching too! Let me share one scripture with you.

Galatians 6:7-9King James Version (KJV)

7 Be not deceived; God is not mocked: for whatsoever a man soweth, that shall he also reap.

8 For he that soweth to his flesh shall of the flesh reap corruption; but he that soweth to the Spirit shall of the Spirit reap life everlasting.

Due to the emotionally charged nature of this topic all comments will need to be reviewed and approved before they are posted. I will approve your comments as quickly as possible should you decide to leave one.

If you purchased dinar please note the following form below.

https://forms.fbi.gov/iraqi-dinar-investment-investigation