Benny Hinn Forever! 16

So - how do we answer the question - how does an investor in Benny Hinn ministries know if his money is going to spread the Word or going to support Benny Hinn and his private jet and luxury homes?

     It should be obvious now from reading this thread that it is easy for an interested reader to discover what many people think about Benny Hinn ministries, including fellow Christians and Evangalists.  Many groups are none too happy with him.  They take exception to his living the high life and they believe that Hinn is not fulfilling his vows as a pastor or preacher by his lifestyle.  Whether Hinn spends 1% of the donations on himself or 100% of the donations on himself, he is presenting the wrong image by his lifestyle and ostentatious display.

     So - anyone who is interested in how Benny Hinn is spending his money at least has a foundation (especially in today's information-soaked world) to be able to determine if their "investment" in Benny Hinn is a good one, at least from the viewpoint of someone who wants to spread the New Testament message around the world.

     Remember - fraud is stealing money from people through deceipt.  I am certainly not defending Hinn here by any stretch of the imagination, but it is clear that Hinn does not hide his lifestyle from anyone.  In fact, he even appears proud of it.  "Investors" in Hinn's ministries know full well that he enjoys his first-class life and he apparently makes no apologies for it. 

   In this sense, therefore, Hinn is not committing fraud.

More tommorrow.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 15

So, we are somewhat at a crossroads: I have already stated that I will not state one way or another if Benny Hinn is defrauding his contributors.  However, I have also said that it is quite clear that Hinn is doing very well for himself.  Further, Hinn has not adopted the standards of accountability and transparency that would eliminate many of the questions that reasonable people would have about his ministry.

     What we can discuss, however, to end this conversation, is the following: what exactly is a contributor to Hinn's ministry looking for?  Remember, this is not a financial investment - a contributor to Hinn is not putting away money for retirement or in an investment fund.  Therefore, an investor is not really "losing" his money the way investors in Bernie Madoff's scheme lost money. 

    It is therefore a blanket statement to say, but probably true, that a contributor to Hinn's ministry is looking to "invest" in a person (Hinn) who will spread the New Testament, particularly Hinn's version of the New Testament, to others.  This is what an investor is looking for.  However, it is also true to state that a reasonable investor in Hinn's ministries would want to know just how much of his money is going to Hinn or actually going to spread the Word. 

     So - can a reasonable person learn just how much of his money is going directly to Hinn versus going to the stated goal of Hinn's ministry?

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 14

OK - back to reality.  There is only one serious question here - is Benny Hinn defrauding his investors?  Is his priamary purpose to spread the Word or is he suckering his investors so that he can live the high life?

     I need to warn my readers up front that there is no easy answer here and I cannot provide one.  As this conversation begins to wind down, I am stating right now that this will not end with me stating one way or another that "yes, he is committing fraud" or "no, he is not."

     Life is seldom that simple and this is no exception.

     There is no doubt that Hinn lives the good life.  He has the homes, cars, first class flights (and his own jet), good food, and all the good clothes he could want (although I don't share his taste in clothes.  Off-white is definitely not my color).  But, at the same time, all you have to do is watch one of the Christian religious channels that permeate the airwaves and you will see that Hinn is working.  He is out there preaching the Word (at least, his own interpretation of it) and he does hold revival meetings.  He is not just living off the "interest" in his "investments."

    And here we reach one of the thorny issues when discussing fraud: Hinn's "product" is, by and large, undefinable.  He is not offering a return on his investment like Bernie Madoff (unless you consider saving souls an investment) nor is he promising some long-term retirement scheme (ditto).  How can we "prove" that Hinn is committing fraud?  Should we be able to?

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 13

OK - before we address the question posed in the last post, I have to post this video:

http://www.youtube.com/watch?v=EprQGmZ3Imw

Genesis - one of my favorite rock bands addressing the televangalist scandals of the 80's.

We'll get back to the discussion tommorrow.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 12

So - let's get to the gist of this whole thing - is Benny Hinn defrauding his contributors and supporters? After all - this is a blog about fraud and it would be a tremendous waste of time (not to mention being off-topic) if this whole thread did not lead to some kind of statement about Benny Hinn defrauding his contributors and taking the money to live a good life.

     One of my most vivid memories is 1987, when various televangilists, most especially Jim and Tammeye Faye Baker, who were accused of massive fraud and deceipt with some of the televangalists going to jail.  Ted Koppell of "Nightline"virtually restarted his career on the antics of these clowns.  I suppose this is where my interest in fraud and fraud related events was ignited.

    It's easy to group Benny Hinn with this group. After all, many of the elements are the same.  You have a way-too slick televangalist who lives the high life.  He preaches a gospel of "money theology- " stating that God and Jesus want you to be millionaires.  He has his own private jet, luxury homes, stays at five-star hotels, shops in Beverly Hills - you get the idea.

     It's easy to therefore group Benny Hinn with the 1987 televangalists who were convicted of fraud. 

    But - is this correct?

Benny Hinn Forever! 11

OK - so we have seen from the previous post that Ministry Watch, sort of an unofficial "watchdog" of ministries is suggesting that people withhold donations from Benny Hinn Ministries. 

     Ministry Watch is suggesting this course of action not because they have a problem with Hinn's accountability, or lack of it.  Ministry Watch asks important questions, such as why Hinn is travelling around the world in a private jet (like travelling first class is not good enough).  MW also asks why Hinn goes on expensive shopping trips, why he lives such an extravagent lifestyle and why he has such expensive homes. All of these are legitimate questions, especially for an organization that lives off the donations of others.

     MWalso wants to know just how much of the money from Benny Hinn Ministries is actually going to support Hinn's supposed primary purpose, namely evangilism.  After all (once again), people who donate to Hinn's ministries have a right to know just what they are getting for their money.  Once again, the issue here is not Hinn's ability to earn a living, he certainly has the right to eat.  But, what percentage of the Benny Hinn ministries is going to its primary purpose?

     MW is only asking the questions that are basic to understanding Benny Hinn ministries.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 10

Before we discuss Benny Hinn further, let's take a look at a posting by a popular ministry website which advises people not to donate to Hinn's ministries.

http://www.ministrywatch.com/mw2.1/pdf/MWDA_053105_BennyHinn.pdf

We will discuss this tommorrow.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 9

Those who donate to Benny Hinn's ministries are donating to an organization with the expectation that the money donated will be going to the stated purpose of spreading the word of Christianity.  There is no doubt that Hinn's organization is engaged in evangilism - all you have to do is turn on the TV and there is hardly a religious program that does not show his face.  So - it is clear that the people making the donations are indeed getting, at least part, of their "money's worth." 

    But - are they getting all of their money's worth?

    The real test of a charitable organization is what percentage of its money is used for its primary purpose - in this case evangilism?  How much of the money is used to educate people as to the New Testament and how much of the money is being used to enrich Hinn personally?  Remember - as I stated the other day - Hinn has a right to earn a living.  But - is Hinn using his ministry primarily (or to a large percentage) to enrich himself, or is he using the necessary majority of the funds for the organization's stated primary purpose?

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 8

So - last post we discussed one way of evaluating Benny Hinn's ministry - how much of the organization's money (Benny Hinn Ministries) goes to the stated purpose of Benny Hinn - namely spreading the Gospel (a typical goal of Christian groups, although not usually the exclusive goal) vs. money that goes to Benny Hinn directly?

     And, I suppose before we go any further, we have to ask  - what does it mean if money goes to Benny Hinn directly?

    The simple answer is that money that would be defined as going to Benny Hinn directly is money that pays for Hinn's living expenses - his cars, homes, planes, food, utilities, non-Ministry travel, personal effect, clothes, etc.?

    So - the real question we are asking is: how much does Benny Hinn earn from his ministries?  Now, like anyone else, Hinn is entitled to earn a living.  Everyone needs to eat.  But, there is a big difference between "getting by"and living very well.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 7

So - the primary purpose of a religous organization, like Hinn's, is to spread the word of the Gospel.  Hinn says as much on his own website.

     So, the question is, does Hinn's organization spread the Gospel?  The obvious answer is that of course it does - it has an outreach movement, a website and clearly Hinn travels the globe to achieve his stated mission.  There is no doubt that Hinn is engaged in spreading the Word.

       However, another question, for our purpose, is more important.  How much of the money that is donated to Hinn's ministries goes to enrich Hinn personally versus how much of the money goes to fulfill Hinn's stated mission?

     In other words, is Hinn taking more money than is necessary for him to be accomplishing his mission? How much money is necessary for Hinn's purposes anyway?

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 6

Here is the website to Benny Hinn's ministry:

http://www.bennyhinn.org/

   Hinn claims that the primary purpose of his organization is to bring the word of Jesus Christ to "the world."  This, of course, it the primary purpose of most religious organizations. Talk to a Jewish group (note - Jews do not evangalize outside of the religion) and they will tell you that they are spreading the Torah to the believers and to the Jews that need more Torah in their lives. Talk to a Muslim group and they will tell you that they are engaged in Da'wah (the spread of Islam).   Talk to a Christian group and they will tell you they are engaged in bringing The Word (aka the New Testament) to the world, as Christ commands.  You get the idea.

   In this respect, therefore, there is nothing unusual or strange in Hinn's claims as to why he needs support from donors and why he needs money.  But, even Hinn will agree with me, however, that if the primary purpose of his organization is to bring the word of Jesus to the world, there are two elements that must be conceded:

1.  The Word that Hinn is bringing to the world is Hinn's version of The Word (obviously, Hinn is not a Catholic, Orthodox or traditional Protestant - Hinn has his own version of Christianity. This, of course, does not make him unique or unusual nor is he doing anything wrong.  There are multiple versions of Christianity and, as stated, it is not our purpose to discuss these issues).

2.  The primary purpose of Hinn's ministry is to evangalize - to spread the Gospel.  The donations, therefore, should be going for this primary purpose.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

   

Benny Hinn Forever! 5

We are discussing the important question of what makes a religious organization?After all, Benny Hinn's organization is not holding itself out as a private organization that supports Benny Hinn the man, but rather Benny Hinn the pastor and religious person.  People who give money to Benny Hinn's organization are giving to an organization that represents a certain brand of Christianity.

     This, therefore, is the important definition of a religious organization for our purposes:a religious organization is supposed to advance the tenants and principles of a certain religion.  For a large organization, such as the Catholic or Russian Orthodox church, identifying them as a religious organiation is fairly easy because they have a central location (Vatican City and Moscow), a definite hierarchy (the Pope and the Metropolitan of Moscow with various bishops, priests and monks and sisters under their leadership) and a structure that has existed for thousands of years.

     A "new"organization such as Benny Hinn's church, or organization, has less of a history (much less), a hierarchy that does not have the rich history behind it and certainly does not have the confidence that the Catholic or Russian Orthodox churches have in terms of their (once again) history.

   Tommorrow, therefore, we will discuss what Hinn's organization claims it does that makes it a religious organization.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 4

What makes a religious organization "religious?"  On the face of it, this seems like a ridiculous question.  After all, if someone claims to be a prophet or representative of God or a deity, shouldn't this mean that the organization is "religious?"

    Well, there are several problems with this definition. First, it is clear even through a cursory glimple of world history or current events, there are hundreds, if not thousands of different religions throughout the world. Even the world's largest religion in terms of numbers (Christianity) has many different divisions and sects.  There is no universal definition, therefore, on what constitutes religion, much less a "true" religion. 

     As I mentioned in a previous post, one of the hallmarks of a charity or charitable organization is that such organization has a 501(c)(3) status from the IRS.  However, once again, just because an organization is not a 501(c)(3) organization does not mean that it is not a charitable organization. 

     Likewise, just because an organization claims that it is a religious organization, does this mean that it is an organization worthy of financial support?

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 3

OK - let's continue talking about Rev. Benny.

     I have to confess (no pun intended) at this point that I have not really researched Hinn's organization to see if it is a 501(c)(3) corporation.  If it is such a corporation, then the people who make donations to Hinn's organization can deduct these donations from their taxes.  If it is not such a corporation, then donors cannot make such deductions.  As I stated in an earlier post, 501(c)(3) organizations have strict reporting requirements with the IRS that must be followed.  Any deviations from these strict standards means that said organization is in danger of losing its 501(c)(3) benefit.

     If Hinn's organization is not a 501(c)(3), then this does not mean, of course, that it is not an organization that is devoted to charity per se.  After all, an organization does not have to be 501(c)(3) to do good deeds.  However, it is also obvious that an organization that is not 501(c)(3)compliant has lesser IRS standards that may be a turn-off to some would-be donors.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever! 2

OK - now that we are done talking about R Allen and the likelihood that he will be spending a great many years in Club Fed, let's move on to the man of the hour (or at least, the man who will be the subject of a several posts - Benny Hinn).

Benny Hinn, for those who do not know of him or heard of him, is a Charismatic Christian preacher who is rather famous for his "miracle crusades" which occur around the U.S. and around the world.  He is best known for his "faith healing" in which he claims to have cured people of cancer, heart disease and a variety of other ailments.

     As I stated at the beginning of this thread, I am not hear to discuss religion.  Also, although I must state at the outset that I am highly skeptical of any of Hinn's so-called "miracle cures," I am not here to discuss this either. 

   But, we are here to discuss fraud in religion.  Hinn's ministries bring in millions of dollars per year.  As a religious institution, Hinn's ministries are supposed to fulfill a certain spiritual promise for his followers.  Also, if Hinn's organization is a registered 501(c)(3) organization with the United States Internal Revenue Service, then the organization is responsible for extremely tight accounting and must meet exacting criteria.

   For my readers in foreign countries: Section 501(c)(3) of the United States Internal Revenue Code is a provision that allows certain charities the ability to offer tax deductions for their contributors.  It is used mainly, but certainly not exclusively, by religous organizations. 

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Interludes R. Allen Stanford III

We'll move on to Benny Hinn tommorrow, but in the meantime here is some more on investment "genius" Stanford who was just convicted this week in Houston.

http://blogs.wsj.com/privateequity/2012/03/08/allen-stanfords-disastrous-investment-record/

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Interludes R. Allan Standford II

The Wikipedia entry on R. Allan

http://en.wikipedia.org/wiki/Allen_Stanford

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Interludes - R. Allen Stanford

I forgot to mention the obvious - R. Allen Stanford was found guilty of multiple counts of fraud and is facing a good many years in Club Fed.  Another reason to put Houston on the map.

http://online.wsj.com/article/SB10001424052970203458604577265490160937460.html

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Benny Hinn Forever!

I have been running this blog now for close to a year, and as I said at the beginning of writing this blog, it is unlikely that we will run out of topic anytime soon.  However, the world of fraud is big indeed and covers many topics and subtopics.  At some point, we have to examine the concept of fraud in religion and religious issues.

     Let me be clear about one thing before we begin this discusion: I am not here to discuss religion in one way or another.  I don't care about the religious beliefs or lack of them in the readers of this blog (and I don't expect others to care about my beliefs, one way or another).  This is not a religious blog and never will be (at least, not while I am running it).  We are not here to discuss religious or supernatural issues.

     But, it is also clear that religion is a business (even if it is a tax-exempt one in the U.S.) and businesses bring in money.  And, when money enters into the equation, there is always the possibility of fraud.  So, it should not surprise us that some religious individuals and leaders have engaged in fraudulent activities using religion as a cover.  In fact, it is pretty much inevitable.

     So, with that disclaimer, let's talk about one of the most controversial figures in the Pentecostal movement who has attracted his share of criticism and scrutiny because of accusations of fraud - Benny Hinn. 

Steps in a Con Game 25

So - we have explored the step-by-step process of a con game. 
     The most important fact to remember in all this is the basic one that con jobs are not done in one easy action.  Con jobs take several steps, all of which involve getting the mark involved more and more into the scam.  Remember - the heart of all con operation is trust - the mark has to trust the con artist and this inside man and all of the other individuals who are a part of the scam. 

     This trust is not gained at once.  It takes several steps to get the mark interested, to earn his trust and finally to exploit this trust.  Remember - at any step along the way the mark can pull out (well, until he loses his money anyway).  But, the job of the con artist is to keep the mark interested time and again, to get him to believe in what the con artist is doing.  Once this happens, once the trust is gained, it must be nurtured and developed until the con artist can gain access to the mark's funds.

     Once this happens, in every sense of the word, the con is over.

    We will be moving to a new topic tommorrow.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Steps in a Con Game 24

At this point in the con, the mark realizes that he has been duped.  The con artist(s) are either ignoring the mark, have disappeared or are threatening violence should the mark do anything about the loss of funds.  It is up to the mark to decide what to do next.

     The con artists are betting that the mark will remain quiet, if not for reasons of personal safety, then because the mark is embarrassed at the scam and may be liable for other people's money that were lost in the scam.

     In a sense, therefore, the scam has come full circle.  The scam, which started out as a way for the mark to get involved in a scheme that promised riches but only for "chosen" people has now become a victim of his own success.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Steps in a con game 23

Well, there is one method left to ensure cooperation with a scam - the old fashioned threats.  It is not uncommon for victims of con games to find themselves the victims of threats if they do not "shut up."  This should not be a surprise - although the very definition of a con game is to use deception rather than violence, once the fraud is exposed, the victims of the fraud may find that the people who ran the fraud do not want it exposed.

     This does not happen all the time of course.  Once violence is threatened, then it is clear to even the most casual observer that a crime is being committed.  This kind of ending for a con game (the use of threats) is typically done when a mafia or criminal group is involved or the risk of exposure is too great.

     It is a sobering reminder that con games, in the end, are criminal enterprises.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Steps in a con game 22

Well, Roman numerals or not, it looks like I forgot how to count.  I put step 21 in twice, so although this should be step 23, to avoid confusing things even further, we'll just leave it at 22.  

     There are three basic ways at this stage of the game how the con artist handles the calls coming in from the mark, complaining that he is not getting any response to questions about his money.

    The easiest way for the con artist to deal with this is simply to ignore the situation.  Refuse to return phone calls, or simply pretend they don't exist.  This only works for some time, however.

     The second method is to lie about everything.  Yes, your money is fine.  Ignore the reports from the SEC or other government agencies.  Ignore the reports from ratings agencies about your investments.  Ignore the fact that you cannot find any hard data concerning the investments.  Ignore the advice from other financial investment professionals advising you to get out.

   When these do not work, the third option is always available.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Steps in a con game 21

OK - we are moving to the end of our discussion regarding steps in a con game.

    Now -the mark has parted with his money and is awaiting his return on his "investment."

    I am probably showing my age here a little bit, but I remember vividly the song by Fleetwood Mac which has the lyrics: "tell me lies, tell me sweet little lies....tell me lies."  Now is the time when the mark gets to hear the lies from the inside man and all of the people that introduced him to the con and now have no explanation for him as to why he is not getting his financial return.

     For the first time, phone calls are not being returned.  Excuses are being made, including the ever-famous excuse "the check is in the mail."  No reasonable explanation is given as to why no information is sent out.  And, most importantly, the mark is beginning to feel that chill up the spine which suggests that....all is not as it seems.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Steps in a con game 21

We are approaching the end of this thread, but there is one more comment to briefly make about the ability of the inside man to get the mark interested.  The easiest method sometimes is - bullying.

     After the inside man makes his sales pitch again and again to the mark who is just not interested, a tactic used by the inside man is to get upset and yell and scream a the mark for wasting his time.  This is also sometimes accompanied by the inside man yelling and screaming at his associate for allowing the mark to waste his time.  Then, when the inside man leaves the room, apparently upset, the "associate" takes his time to yell at the mark, accusing him of making him look bad in front of the inside man.

     It's obvious that, as I am writing this, people can be amazed that this is a scheme for which marks will fall and end up investing into the con.  Yet, once again, this was a tactic used by Madoff again and again (yes, it's easy to continue using him since he is such an easy target).  Never underestimate a tactic that has been used since grade school.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk

Steps in a con game 20

Another method that is used by the "inside man" to convince the mark that he needs to pay into the scheme NOW is for the mark to extol his virtues.  In other words, the inside man shows the mark that he is such a good person, any doubts about investment are unwarranted.

     Once again, you guessed it, let's use Madoff as an example.  Madoff was a great contributor to many charities, both secular and religious.  He was well known as a patron of the arts and as someone who used his vast wealth to better his fellow human beings.  His reputation in this respect was spotless (of course, let's not forget that he was using his ill-gotten gains to do this charity work).

     This is yet again another method to convince the mark that all is well. After all, if a person such as Madoff devotes so much of his time and effort to charitable causes has to be a good human being, right?

     Once again, this is another example of how it is not wise to lost focus.  In this case, the mark is deliberately having his "vision blurred" by this non-relevant data.

NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR IS IT INTENDED TO BE LEGAL ADVICE.  IF THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.

Have a great and fraud-free day.

http://www.tauskvega.com

----------à>>>>>>>>>>>>>>>gene tausk