H.E. Capital,SA...US$500MIL CB Certificate purchase

M

mondongo

Bronze
Jan 1, 2002
1,533
6
38
listindiario.com, hoy.com.do, DR1 News and others reported today that Canadian entrepreneurs' H.E. Capital, SA would invest US$500Million in Central Bank certificates. The newpapers report of "agreements" reached between the protagonists of H.E. Capital and the Mejia klan.

1. H.E. Capital,SA is NOT a Canadian company. Richard Smith is not a Canadian entrepreneur. From the H.E. Capital website:

"Head Office

Casa del Sol
MJ 19, Paseo Marino
Perla Marina
Sosua
Dominican Republic

Due to the unreliable nature of the postal service within the Dominican Republic, we maintain postal addresses in both the United States and in Canada. Mail sent to these addresses is forwarded to us by courier. However, we neither maintain offices, nor do we conduct business from these countries."


Pay special attention to the last sentence. This should answer all questions regarding the legitimacy of H.E. Capital: http://www.hecapital.com

MY TAKE: as I read the website and google'd a bit, I come away with the impression that H.E. Capital's clients' obtain their money is less than an upstanding manner. That would explain H.E. Capital's willingness to fork over all that cash to the thieves and thugs that make up Mejia's circle.
 
R

ricktoronto

Grande Pollo en Boca Chica
Jan 9, 2002
4,837
0
0
Not Up to Date

This site still says the bond rating for the DR is B1 but it has been downgraded through B2 to now B3 (CC by S&P) . I wouldn't invest through any firm that did not have scrupulously up to date information on sugegsted investments. Actually anyone now recommending DR US$ bonds as other than as high-yield junk bonds is out to lunch.
 
Robert

Robert

Stay Frosty!
Jan 2, 1999
20,574
341
83
dr1.com
Casa del Sol
MJ 19, Paseo Marino
Perla Marina
Sosua
Dominican Republic


I'll go take some photos of their offices on the weekend.
Perla Marina, now this should be fun :)
 
P

Porfio_Rubirosa

Bronze
Apr 26, 2002
1,806
10
0
"The Dominican Republic has specific legislation concerning the laundering of assets derived from illicit drug trafficking, money laundering and other crimes. Thus, for the benefit of all our clients, we do adopt internationally accepted compliance procedures, although we also adhere to a policy of strict client confidentiality ... privacy and security are our highest concern." (emphasis added)

So "privacy and security" is the "highest concern" - higher than "compliance procedures", apparently.

Why do I feel like I'm watching a scene from The Godfather, Part II.
 
L

Lurch

New member
Aug 8, 2003
123
0
0
This should be the death nail into the economy. IMF shall run, exchange rate will collapse (again) and the Paris Club shall giggle one more time.
 
Hillbilly

Hillbilly

Moderator
Jan 1, 2002
18,948
514
113
I am so happy that y ou are as suspicious as I was when I read that piece.

there is no way in the world that any sane investor would invest that much money in Central Bank certificates at 60% iterest.

My take is that this is laundered money from very obscure sources.

that is why they were in Hippo's office.. Setting up the "deal".....

I think the SEC, FCC and the FBI should be put on alert to this, if they haven't been already??? As wwell as the IAB, the World Bank and the IMF...

HB
 
M

mondongo

Bronze
Jan 1, 2002
1,533
6
38
money laundering

I have searched the web and found possible links to fraud and money laundering. Two of the 3 "investors" have a small internet paper trail that allows me to guess that this may be a money laundering scam. I wonder if (how deep) Mejia and Malkum are part of this potentially illegal maneuver.
 
M

mondongo

Bronze
Jan 1, 2002
1,533
6
38
Keith King is one of the 3 "Canadian Investors" that Mejia tried to strike a deal with for the US$500Million. Take a look at this article headline from the Vancouver Sun:

http://www.kycnews.com/Press/2000/00-x13.htm


Richard Smith is anothe "investor". He is a director at Image Innovations. Check out their website and then check out their financials. Its a company that has never sold anything. He and King are associated with folks who have been indicted for pumping up penny stocks and using the company to launder drug money.

http://www.imageii.com

If the DR authorities did not know that they were dealing with internationally reputed money launderers, they know now.
 
Last edited:
P

Porfio_Rubirosa

Bronze
Apr 26, 2002
1,806
10
0
I wonder if they handed out solid-gold Yankee hats at their meeting with Hippo. Again, Godfather Part II reference.
 
Robert

Robert

Stay Frosty!
Jan 2, 1999
20,574
341
83
dr1.com
Their office is in the middle of Perla Marina (Sosua).
They have a very large antenna that makes it easy to find.

None descript house converted into offices.

hecapital.jpg
 
M

mondongo

Bronze
Jan 1, 2002
1,533
6
38
Although I am glad to see Diariolibre.com pick up on this story, I am dissappointed to see the errors in their story. HECapital.com has now put up a note on its web page. They claim that some of the local reports are incorrect. In the story by Diarioloibre, the HE Capital revenue claims are not supported by any research I have done.

If I were DR1 News, I would not quote those revenue numbers from Diariolibre.
 
M

mondongo

Bronze
Jan 1, 2002
1,533
6
38
I must say I am also disappointed in DR1 News for re-printing information that is probably incorrect.

Did any of DR1 News folks check Diariolibre's claim? Don't you want to set a higher standard for news reporting?


Chiri, I don't know if I want to get any more involved in this murky matter...
 
Robert

Robert

Stay Frosty!
Jan 2, 1999
20,574
341
83
dr1.com
mondongo said:
I must say I am also disappointed in DR1 News for re-printing information that is probably incorrect.

Did any of DR1 News folks check Diariolibre's claim? Don't you want to set a higher standard for news reporting?


Chiri, I don't know if I want to get any more involved in this murky matter...
Click to expand...

Regardless of the "hard" facts. I think we all know the truth behind this story.
Yes, it's very murky and even more so when you live here.
 
C

Chirimoya

Well-known member
Dec 9, 2002
17,850
982
113
In defence of DR1 News

Diario Libre looked at HE Capital
The Diario Libre looked at HE Capital, SA and found the company very wanting. The newspaper?s headline for today says....
Click to expand...

In a piece like this DR1 News is reporting what the newspaper is saying, not the news itself. It continues:


As first reported in the DR1 Business Forum...
Click to expand...

Chiri
 
You must log in or register to reply here.
Top Bottom