Fraud and scams have plagued societies throughout history, undermining trust and leaving a trail of victims in their wake. In the modern era, scams have evolved, becoming more sophisticated and elusive, affecting communities globally. In this article, we delve into some of the most dreadful scams that have recently come to light, uncovering deceitful practices that have harmed countless individuals and tarnished the integrity of institutions. Our responsibility is to correct malpractice stemming from greed and expose the individuals supposed to represent us. We are the government.
The BLM Money Scam
In the aftermath of George Floyd’s tragic death in 2020, the Black Lives Matter (BLM) movement garnered unprecedented support, with donors contributing a staggering $90 million to the cause. However, recent revelations regarding the organization’s financial mismanagement have raised eyebrows and fueled controversy. According to tax documents, only 33% of the donated funds went to charitable causes, while millions were disbursed to individuals associated with BLM’s founders.
The scrutiny intensified when it was disclosed that BLM ended the last fiscal year with a $9 million deficit. Shockingly, $1.6 million went to the father of BLM co-founder Patrisse Cullors for security services, and another $2.1 million was allocated to BLM board member Shalomyah Bowers for consulting. Cullors, who left BLM leadership in 2021 amidst revelations of lavish home purchases, faced criticism from families of victims like Breonna Taylor and Tamir Rice, who accused the organization of capitalizing on their tragedies for financial gain.
Columnist Adam Coleman emphasized the lack of transparency within BLM, stating, “No checks or balances to it. It seems really haphazard. They have no idea what they are doing and it shows. Looks like they are slowly going under.” These revelations damage the organization’s credibility and highlight the need for accountability and transparency in charitable operations to safeguard the trust of donors and the welfare of affected communities.
The Cryptocurrency Pump and Dump
A more recent version of the Ponzi scheme is the Cryptocurrency Pump and Dump scheme, where unscrupulous individuals manipulate the value of cryptocurrencies for personal gain. These scammers artificially inflate the price of a cryptocurrency (pump) through false information and hype, enticing unsuspecting investors to buy in. Once the price peaks, the scammers swiftly sell off their holdings (dump), causing the value to plummet and leaving latecomers with significant losses.
This scheme exploits the cryptocurrency market’s decentralized and often speculative nature, highlighting the need for increased vigilance and regulatory measures to protect investors. This practice could prey on people seeking substantial monetary gains; one famous pump and dump scheme was the Axie infinity craze of the Philippines back in 2020 when people were unemployed and financially and mentally battered by the ongoing pandemic.
Axie Infinity, a gaming platform celebrated for its play-to-earn model, witnessed early success stories, including Owen Convocar earning $487 in 15 days. However, the game’s economic model, centered around Small Love Potions (SLP), resembled a Ponzi scheme, dependent on a constant influx of new players.
As SLP values soared, an employment scheme emerged where managers lent Axie monsters to scholars, claiming 30-50% of profits. Unregulated and unsustainable, this system led to players like Orias facing a grueling routine, impacting their well-being. SLP values plunged as more players flooded the game, rendering average earnings below the minimum wage.
The crypto market downturn further devalued the game, with Axie Infinity’s active users dropping from 2.7 million to 760,000. A “hacker” draining over $600 million from the network exacerbated the situation. Some people speculated that much like Charles Ponzi, this hacker was the founder cashing in his amassed wealth, leaving the people of the Philippines carrying loads of worthless SLP.
The Keeley Lake Lodge Sale Scam
Zooming into a local Canadian scam involving the Keeley Lake Lodge, an American couple’s attempt to gain control through fraud has left a community in turmoil. The couple, Charles Niessner and Madelyn Niessner, resorted to falsifying business records to reclaim shares of the lodge, initiating a very convoluted legal battle after selling a 60% majority to Tim Cimmer. They started by falsifying Business records at the ISC and CRA for 20 years and admitting to forming a “sham” of fraudulent affidavits and stories to a Canadian court of Queens and King’s bench, making the Canadian legal system “the new Kangaroo court” allowing fraudulent USA court filings to be heard in a Canadian court over Canadian land and Saskatchewan taxpayers money.
The Niessners’ use of forged documents to win a U.S. lawsuit against Cimmer in the USA and their subsequent attempt to enforce these fraudulent records in Canada underscores a grave threat to the integrity of Canada’s legal system. Motivated by sentimental attachment and a commitment to safeguard the lodge’s legacy for generations to come, Mr. Cimmer confronts significant challenges in countering a scheme that, if unaddressed, may establish a concerning precedent for foreign interference in Canadian enterprises. Unchecked, this string of legal battles could discourage Canadian citizens from establishing equitable and reputable businesses, as they become susceptible to interference from foreign entities seeking to disrupt their operations.
These modern scams, ranging from the exploitative practices of organizations like BLM to modern schemes like cryptocurrency Ponzis and localized disputes such as the Keeley Lake Lodge sale, underscore the urgency for stringent regulatory measures and heightened public awareness. The ramifications extend beyond financial losses, affecting the very foundation of trust within communities. Owen Convocar’s financial loss and Tim Cimmer’s prolonged legal battle serve as a rallying cry for increased vigilance, urging authorities to investigate and rectify such fraudulent activities to protect the integrity of our laws and society. It is our duty to stay watchful and resilient in the face of the widespread threat of scams exploiting the absence of law enforcement.
SOURCES
Time | Express VPN | WPDE ABC15 | AP News
