As you may have noticed the site hasn't been active during the last month in this time we have been hard at work on the new site which we are now pleased to present

www.uklockdown.com


Thanks to all the supporters we've gained here at blogger.com it is now time to move to a new battlefield to continue the fight.

"England is no longer controlled by Britons, we are under the invisible Jewish dictatorship, a dictatorship that can be felt in every sphere of life" - Nesta Helen Webster (1876 - 1960)

The Jewish Question Media Control Banking Control Crime Families
Jewish Lobby Terrorism Holocaust™ History
The EU Question Big Brother Tyrannical Laws Immigration EU History
General Films Enviro-marxism Brave Citizens Jew Lists Famous Quotes Other


Key News Stories

Man Arrested for sending out 7/7 DVD's

Gordon Brown Admits UK is in an Economic Depression

Face Scanners in Schools

All Emails to be recorded says EC Directive

Big Brother State goes after 4 Year olds

Western Apocalyspe, New World Order

MI5 say we are all potential terrorists

Poisoned Tap Water

Vermin Infested NHS Hospitals

Boycott Israel

Recent News

Rise in Attacks on British Jews

Jew owned Google up to their usual tricks

UK says no to Euro

Jews turn British Goyim into gambling addicts

Another Day, Another Retail Chain Collapses, Zavvi Eats Dirt

BBC fined for fraud again

Woolworths' Last Christmas, 30,000 Unemployed

Goldman Sachs swindle us again

Zionist Watch

Jews campaign for more asylum seekers

Why Do People Hate Israel ?

Ben Bradshaw MP 'Israel has history of bullying BBC'

Just Another Jewish Banking Scam

Trainee Rabbi accused of sexually assaulting 12-year-old boy

Rampant Rabbi Breeds again

Jew Scum Winehouse degrading the Caribbean

Psycho Jews Murder more innocent children

Crypto-Jew childrens TV actor jailed over child porn

Crypto-Jew Jack Straw to Jail Preachers for reading Bible

Britain's Top EU Cheerleader, Crypto-Jew Peter Mandelson

Britain's Top commercial campaigners for ID cards, Jewish Saatchi and Saatchi agency

British Jew Pervert has 7 wives and 8 children

Dictionary Corner

ZOG

Crypto-Jew

Goyim

Health Info

Fluoride is detrimental to both physical and mental health and is known to be the root cause of many medical conditions and ailments, Non Fluoride toothpaste is available at most health stores and online and some brands can even be found in various supermarkets.

NHS Hospital Patient is starved to death

Gender Bending Chemicals in Plastic Bottles

Mobile Phones Causing Cancer

Overcrowded Hospitals Spreading Diseases

UV Radiation From Energy Saving Bulbs

Defend Your Home

Learn Archery

Buying and selling Crossbows and Airguns is not illegal in the UK, after the global economy collapses in 2009/2010 the crime rate will explode, your home will not be safe unless you are prepared to defend it, you have been warned.

Miscellaneous

Official Documents

Click the Image below to get Adobe Reader

POLICE CORRUPTION IN ENGLAND AND WALES: An assessment of current evidence 2003

UK DEPARTMENT OF DEFENCE DOCUMENT Titled - DCDC Global Strategic Trends Programme 2007-2036

POLICE RESEARCH PAPER SERIES 110
Titled - Understanding and preventing police corruption: lessons from the literature 1999

Ponzi Schemes

Note: This is another common Jewish scam that has recently been brought to attention by the case concerning Jew Bernard Madoff and his $50 billion swindle, please avoid Jews and any gentiles that propagate or promote their scams, as they say if it sounds too good to be true then it is likely to be another Jewish scam, please watch out for these people.


A Ponzi scheme is a fraudulent investment operation that pays returns to investors from their own money or money paid by subsequent investors rather than from profit. The term "Ponzi scheme" is used primarily in the United States , while other English-speaking countries do not distinguish colloquially between this scheme and pyramid schemes.

The Ponzi scheme usually offers abnormally high short-term returns in order to entice new investors. The perpetuation of the high returns that a Ponzi scheme advertises and pays requires an ever-increasing flow of money from investors in order to keep the scheme going.

The system is destined to collapse because the earnings, if any, are less than the payments. Usually, the scheme is interrupted by legal authorities before it collapses because a Ponzi scheme is suspected or because the promoter is selling unregistered securities. As more investors become involved, the likelihood of the scheme coming to the attention of authorities increases.

The scheme is named after Charles Ponzi, who became notorious for using the technique after immigrating from Italy to the United States in 1903. Ponzi did not invent the scheme, but his operation took in so much money that it was the first to become known throughout the United States. His original scheme was in theory based on arbitraging international reply coupons for postage stamps, but soon diverted investors' money to support payments to earlier investors and Ponzi's personal wealth. Charles Dickens' 1844 novel Martin Chuzzlewitt described a Ponzi scheme decades before Ponzi was born.

Knowingly entering a Ponzi scheme, even at the last round of the scheme, can be rational in the economic sense if a government will likely bail out those participating in the Ponzi scheme.

Example

Suppose an advertisement is placed that promises extraordinary returns on an investment — for example, 20% on a 30-day contract. The objective is to deceive laypeople who have no in-depth knowledge of finance or financial jargon. Verbal constructions that sound impressive but are essentially meaningless will be used to dazzle investors: terms such as "hedge futures trading", "high-yield investment programs", "offshore investment" might be used. The promoter will then proceed to sell investors — who are essentially victims of a confidence trick — stakes, by taking advantage of a lack of investor knowledge or competence.

Without the benefit of precedent or objective prior information about the investment, only a few investors are tempted, usually for smaller sums. Thirty days later, the investor receives the original capital plus the 20% return. At this point, the investor will have more incentive to put in additional money and, as word begins to spread, other investors grab the "opportunity" to participate, leading to a cascade effect deriving from the promise of extraordinary returns. However, the "return" to the initial investors is being paid out of the investments of new entrants, and not out of profits.

One reason that the scheme initially works so well is that early investors — those who actually got paid the large returns — commonly reinvest their money in the scheme (it does, after all, pay out much better than any alternative investment). Thus, those running the scheme do not actually have to pay out very much (net) — they simply have to send statements to investors showing them how much they earned by keeping the money, in order to maintain the deception that the scheme is a fund with high returns.

Promoters also try to minimize withdrawals by offering new plans to investors, often where money is frozen for a longer period of time, in exchange for higher returns. The promoter sees new cash flows as investors are told they could not transfer money from the first plan to the second. If a few investors do wish to withdraw their money in accordance with the terms allowed, the requests are usually promptly processed, which gives the illusion to all other investors that the fund is solvent.

The catch is that at some point one of three things will happen:

1. The promoters will vanish, taking all the remaining investment money (minus the payouts to investors) with them;

2. The scheme will collapse under its own weight, as investment slows and the promoters start having problems paying out the promised returns (the higher the returns, the greater the chance of the Ponzi scheme collapsing). Such liquidity crises often trigger panics, as more people start asking for their money, similar to a bank run;

3. The scheme is exposed because the promoter fails to validate their claims when asked to do so by legal authorities.


What is not a Ponzi scheme

* A multilevel pyramid scheme is a form of fraud similar in some ways to a Ponzi scheme, relying as it does on a disbelief in financial reality, including the hope of an extremely high rate of return. However, several characteristics distinguish these schemes from Ponzi schemes:

1) In a Ponzi scheme, the schemer acts as a "hub" for the victims, interacting with all of them directly. In a multilevel scheme, those who recruit additional participants benefit directly (in fact, failure to recruit typically means no investment return).

2) A Ponzi scheme claims to rely on some esoteric investment approach, insider connections, etc., and often attracts well-to-do investors; multilevel schemes explicitly claim that new money will be the source of payout for the initial investments.

3) A multilevel scheme is bound to collapse a lot faster, due to the necessity of exponential increases in participants to sustain it. By contrast, Ponzi schemes can survive simply by persuading most existing participants to "reinvest" their money, with a relatively small number of new participants.

* A bubble. A bubble relies on suspension of disbelief and an expectation of large profits, but it is not the same as a Ponzi scheme. A bubble involves ever-rising (and unsustainable) prices in an open market (be that shares of a stock, housing prices, the price of tulip bulbs, or anything else). As long as buyers are willing to pay ever-increasing prices, sellers can get out with a profit, and there doesn't need to be a schemer behind a bubble. (In fact, a bubble can arise without any fraud at all - for example, housing prices in a local market that rise sharply but eventually drop sharply because of overbuilding.) Bubbles are often said to be based on the "greater fool" theory. Although, according to the Austrian Business Cycle Theory, bubbles are caused by expanding the money supply beyond what genuine capital investment supports, and in this case would qualify as a Ponzi scheme, with expanded credit taking the place of an expanded pool of investors.

* Although non-fraudulent in intent, a pension fund can share some of the characteristics of a Ponzi scheme in that, except during the final period of the fund's life-span, the outgoing cash used in any month to pay pensions is usually taken from the incoming contributions of the active members of the pension scheme. In a year of poor equity returns such as 2008, a pension fund can often perform worse for its members than a Ponzi scheme.

* Robbing Peter to pay Paul. When debts are due and the money to pay them is lacking, whether because of bad luck or deliberate theft, debtors often make their payments by borrowing or stealing from other investors they have. It does not follow that this is a Ponzi scheme, because from the basic facts set out there is no indication that the lenders were promised unrealistically high rates of return via claims of unusual financial investments. Nor (from these basic facts) is there any indication that the borrower (banker) is progressively increasing the amount of borrowing ("investing") to cover payments to initial investors (as, again, Ponzi was not the first to do).

* Multi-level marketing

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