Jeśli nie trzymaj go, hyou nie masz go.
In case you’re wondering, that’s Polish for ‘If you don’t hold it, you don’t own it.’
More than 1 would be Polish phyzz owner is wishing they took that SD phrase to heart tonight, as Amber’s 28 year old founder Marcin Plichta admitted Monday that supposedly allocated client’s gold held by Amber Gold is gone.
Every last ounce of it.
The WSJ reports:
This week’s collapse of a gold-derivatives business that Polish regulators say was a Ponzi scheme has hit tens of thousands of customers, shaken confidence in the effectiveness of the nation’s financial regulation, and is roiling national politics in the European Union’s largest emerging economy.
On Monday, the company, Amber Gold, Sp. z o.o., which sold a gold-indexed investment of its own design and offered higher interest rates than banks, said it was halting operations. It pledged eventually to repay about $24 million it said it owed to roughly 50,000 clients in Poland.
Amber Gold’s 28-year-old founder, Marcin Plichta, who has publicly acknowledged past convictions for misappropriating funds, couldn’t be reached to comment. Amber Gold representatives were also unreachable.
Despite three years of warnings by Poland’s financial authorities that the company was operating without a license, it continued expanding and spent heavily on marketing. Among its businesses, the company launched a budget airline this year to compete with state-owned LOT Polish Airlines SA on domestic and European routes.
The airline, OLT Express, ceased flights last month and the gold fund unraveled this month after renewed government warnings prompted commercial banks to close Amber Gold’s accounts. The company said “the liquidation process will be spread over time,” without specifying when people might get their money back.
On Tuesday, Prime Minister Donald Tusk referred to Amber Gold as “a scheme” and said he ordered his finance minister to convene top financial authorities—including the central bank and consumer protection office—to discuss the company’s demise and the effect on customers. “All signs on heaven and earth suggest that people who put their trust in that company have been cheated,” Mr. Tusk said. He said it is the duty of the state “to move fast enough to protect people from those schemes.”
“I’m shocked at this point and I don’t know what to do,” said a woman in her 40s, who didn’t give her name but said she was an Amber Gold client. “The boss of this company is a very wealthy man and I don’t know who will have the authority to block his wealth so he doesn’t escape.”
Amber Gold has said it has $45 million in assets, including 100 kilograms of gold. For years it hasn’t issued required financial statements, a lapse that draws a small penalty.
Vaporization. The new ‘IT’ word for fraudulent theft…aka rehypothecation. This is exactly the type of Ponzi rehypothecation scenario described by Harvey Organ as currently occurring with the GLD’s supposed physical gold inventory.
Those who have not already taken personal possession of their physical gold and silver should do so immediately and can start by calling SD Bullion at 614.300.1094.
Remember, if you don’t hold it, you don’t own it!