Mitt Romney’s Bain Capital and Goldman Sachs Fraud
Mitt Romney’s connections to Bain Capital’s fraud involves several companies including the bankrupt Allen Stanford Group and associated companies in a web of corruption which we reported here.
Recap Part 1 – The Stanford Group fraud of Mitt and Tagg Romney
In February 16, 2009 the SEC filed a lawsuit against R. Allen Stanford, James M. Davis, Laura Pendergest-Holt and 3 Stanford companies, 1) Stanford International Bank Ltd., (SIB, SIBL or the Bank, SGC and Stanford Capital Management LLC called the Stanford Defendants.
The Allan Stanford Group sold Certificates of Deposit (CD’s) raised a ton of cash for the principals and Stanford companies, as well their investors. (Mitt and Tagg Romney). The whole scheme in a nutshell involved the marketing or selling of fraudulent SIBL CD’s to investors, sold by an exclusive network of SGC financial advisors and sold by Stanford International Bank Ltd. Defendant James M. Davis has admitted that the Stanford Fraud was a Ponzi scheme from the start. The conspirators had created a massive fraud scheme claiming the CD’s were safe, secure and would yield double digit returns on its investments.
The Stanford Group emphasized “time proven conservative criteria” and a “prudent approach and methodology” that implied security for their customers. In addition the SIBC stated the banks’ assets were invested in “well-balanced global portfolio of marketable financial instruments” all apparently a fraudulent marketing scheme to induce investors into a false sense of security.
Investors were deceived into buying the CD’s which went to pay off the investors and generated profits and as more people bought into the scheme those funds were used to pay off the top tier investors. The 20,000 investors were left with nothing, while initial investors received a return on their money, and the remaining funds are in the Receivership Estate. The papers are filed in the US District Court for the Northern District of Texas, Dallas Division
But there is more about Bain Capital the public will not know due to sealed documents in the courts.
Part 2 – Bain Capital and Toys R Us, Monopoly, Goldman Sachs Racketeering
In March, 2012 we learned that Bain Capital, Goldman Sachs have a defined relationship, and we’ve seen how Goldman Sachs was involved in the 2008 Financial meltdown.
Goldman and Bain committed fraud under SEC rules including eToys that went bankrupt in March, 2001 and Stage Stores that also went bankrupt.
While Mitt Romney claims he “created jobs” with the companies taken over by Bain Capital while he was CEO, you have to look at how stocks were pumped and dumped with the help of Goldman Sachs, and how bankruptcies covered the paper trail with the help of some corrupted officials.
To assume all that Bain Capital has done in the past 12 years was “good for investors, good for the economy and good for job creation” you would have to assume that a bankruptcy is a method of creating jobs. Whereas if you look at the facts, the reality is screaming a circle of fraud around Bain Capital and at the top of the food chain is Mitt Romney.
All of this information is in the public records, testimony of
Statement by Steve Hass Testimony March 2012:
I, Steve Haas, more commonly known as “Laser Haas” do testify Under PENALTY of PERJURY, this, the 29th day of March 2012 – that;
Bain Capital, managed and owned by Mitt Romney in 2001 – did conspire with Goldman Sachs, Paul Traub, the MNAT law firm in DE (that works for both Goldman Sachs and Bain) to dump the public company of eToys and Steal the Federal estate thereof clean. There’s proof of more than one-hundred (100) crimes committed in this case, including, but not limited to, Perjury, Collusion, Intimidation of Victim/ Witness, MisPrison of a Felony, Bankruptcy Fraud, SEC Fraud, Federal Corruption and Racketeering.” Quote 1 (Daily Kos)
1) Mitt Romney through Bain Capital was involved in EToys in 1999 and in Stage Stores, The Learning Company, which were online and retail companies.
2) EToys went public with the help of Goldman Sachs in their IPO offering a $ 18-to $20.00 per share. After the stock jumped up to $78.00 a share, the “Pump and Dump” scheme began. Goldman was to receive only $1.50 as commission and eToys only received $16.50 per share with the balance left of $60.00 per share.
3) Goldman Sachs then made arrangements for EToys to file a bankruptcy claim, in this way they escaped having to explain where the money went. (Case 601805/2002)
4) Goldman Sachs destroyed the evidence (the money trail) illegally and were sued to explain where the money went, in a NY Supreme Court filing. The court documents were put under a Seal, to keep the matter entirely private from the public.
5) Goldman Sach’s legal representatives were Morris Nichols Arsht & Tunnell (MNAT) who also handled Mitt Romney’s Bain Capital merger with The Learning Company and Mattel which was also a client of the law firm MNAT.
6) The Dept. of Justice through a corrupt scheme of federal employees substituted MNAT as EToys Bankruptcy Debtor’s counsel. (This is also illegal).
7) A new CEO Mr. Barry gold was put in place as the President of EToys by Paul Traub who was the Creditors Committee attorney. Paul Traub had a relationship with Romney at Bain Capital, and secretly Barry Gold and Paul Traub were partners in the scheme.
By breaking the law Bain Capital, Goldman, MNAT had many conflict of interests which were not disclosed and also broke the law under Section 327 (a) Employment of Professional Persons. All prior relationships of trustees, appointments made in Bankruptcies must be disclosed, and they were not.
Mitt Romney founded Bain Capital in 1999 and as its Chief Executive Officer he was accountable for the crimes committed with EToys along with his partners Goldman Sachs.
The key player, the Law firm of Morris Nichols Arsht & Tunnell were also the legal team behind this incest and conflict of interest between Bain, Goldman, EToys and Stage Stores. The law firm MNAT worked for Goldman, Bain, Mattel and teamed up with Paul Traub who put Barry Gold in charge of eToys.
At Stage Stores another player was Jack Bush of Texas who was also the CEO of Bain’s other company IdeaForest, and was made a director of Stage Stores.
The Pump and Dump Fraud of Goldman Sachs
A classic case of a stock that soars, where Goldman Sachs only gave approximately 21% of the share price to the company EToys and pocketed the $60.00 plus commission of $1.50 per share.
The Bankruptcy of Stage Stores and Mitt Romney
The entire process involved Bain Capital under the direction of Mitt Romney, which was an elaborate scheme involving bankruptcy claims.
in 2000 and the following year, Mitt Romney has controlling shares over 800,000 shares of Stage Stores which also filed Chapter 11 Bankruptcy.
Romney Chronicles - Where to Begin- Allegations Sen. Kerry’s Warning
2) Mitt Romney Bain Chronicles V – eToys Fraud= The Beginning of a Monopoly
Summary: Bain Capital and Goldman Sachs committed fraud, violated many laws in a criminal enterprise that involved taking over companies, IPO offerings, stolen money, conflict of interests and bankruptcy fraud.
The Bain Capital scheme was to create an impression that a company they bought was worth a lot of money, then stole that money, over and over sucking the blood out of it and leaving it in a fraudulent bankruptcy proceeding.
This process is Vulture Capitalism at its finest a criminal process where the only profiteers were the principals involved, Goldman and Mitt Romney.
More reading at:
EToys Investors Claim Conflict At Law Firm