GAW / Josh Garza discussion Paycoin XPY xpy.io ION ionomy. ALWAYS MAKE MONEY :)

[owlcatz]

Thanks for sorting the balls.

 

There is no way an educated, experienced, accomplished, connected executive from Cantor Fitzgerald didn't know Paycoin was scam when he saw it.

Actually, you would be quite surprised. It's really no big stretch to assume that since Homero had done ok for Stu in the past that he should and did just give him carte blanche access to new projects. I mean, remember, the guy actually thought Homero could buy Western Union FFS?

People with a lot of money blindly trust others beneath them - why, because they have to, they are too busy. I'm pretty sure he's doing just fine in Vermont or wherever else he bought homes over the years. It's not a big mystery to me, it's how 'Merica is run by and large, in the big business world(s) - it's clear he was a big guy at CF, so they are both doing each other favors - distance.

[jbreher]

1.  Stuart Fraser hasn't been held accountable for his involvement.

To be fair to the guy, what did he ever do other than funding Garza's projects ?

I think Stu was probably the person who got Paycoined the worst...

Stu's endorsement was the credibility builder that allowed the entire scam to take flight. No way the incoherent shyster would have had more than a pittance of marks without it.

[Shinta_dekay1911]

Snip

Please seek professional help.

with how much I make vs the avg meidian wage I'm good and when I was kid I learned along time ago if you fly with the crows you get shot with the crows didn't stop me tho

[cryptodevil]

There is no way an educated, experienced, accomplished, connected executive from Cantor Fitzgerald didn't know Paycoin was scam when he saw it.

Accomplished? Sure, if you call being born into the right family and sucking up to granny sufficiently to be gifted a blue-chip company for you to twat about with.

His relationship with Garza is suspect. You either have Stu as an intelligent gay guy who had a hard-on for Homero and couldn't help but indulge his little pet, or, as is more likely, you have Stu-nice-but-dim, who was conned into believing that Josh was the next Gates/Jobs/Musk and kept throwing money and opportunity at him until it became apparent he was being suckered and drawn deeper and deeper into one bullshit scheme after another.

It's really no big stretch to assume that since Homero had done ok for Stu in the past that he should and did just give him carte blanche access to new projects.

I don't think Homero had ever done 'ok' for Stu. His business history shows him constantly consolidating bigger and bigger debts and dreams, offering Stu more and more of a share of these about-to-fail businesses in return for debt forgiveness and more loans. The impression I got from their history is one whereby Homero has convinced him that his bullshit html-inject patent is proof of his genius and that Garza just kept laying it on thick, giving Stu the baffle-him-with-bullshit technical-speak, which further gave Stu the impression that Garza was a boy genius with a great future if he had the right backing.

At the point where Homero is 'gifting' his fucking Tesla to Stuart, even though there's outstanding loan payments on it, you can definitely see from that snatched photo of him standing behind it with a somewhat nonplussed look on his face, that Garza's, possibly coke-addled, brain had become something significantly less than a stellar prospect.

Stu's endorsement was the credibility builder that allowed the entire scam to take flight. No way the incoherent shyster would have had more than a pittance of marks without it.

+1

[peonminer]

guys this is all good but what's the status of scambanzo going to jail? he's not just going to walk away from this right guys??? right??

He decided to sell the Tesla and give you all $20 a coin again. You didn't hear?

[Mr Felt]

I posted this a while back in response to a post by maildir.  I still think there is something here that explains the SF and JG connection.  

https://bitcointalk.org/index.php?topic=857670.msg11139115#msg11139115

Related thereto, I've been reflecting on this old post too recently:

https://bitcointalk.org/index.php?topic=857670.msg11904738#msg11904738  (Facebook screen capture: http://imgur.com/gwSPROX)

[Phildo]

I don't think that many people lost that much because of Fraser's involvement. That may have helped con the marks at that WSJ blog (who have a terrible track record and no retractions ever), but people who thought they could buy a $20 bill or $4* were going to lose their money to somebody eventually.

*Not actually $4, a $4 IOU from Ganza, which upon reflection probably means they are about even with the current price now.

[cryptodevil]

I don't think that many people lost that much because of Fraser's involvement.

How do you figure that when the whole scheme was predicated on publicly promoting Stuart and Cantor's involvement from the beginning?

When GAW were being torn a new one for their aggressive silencing of critics while they were still pretending to sell miners but were actually hard-selling their 'hosted' deal so they could ponzi it up with 'hashlet' png's and not have to actually worry about operating in a legit space, Homero's announcement of his intention to be 'coining' with Paycoin received a barrage of skepticism which he set about attempting to rebut by getting the WSJ to, seemingly, verify both the large amount of btc involved AND the Stuart/Cantor backing.

Without that, Paycoin would never have been able to fool so many into believing the obvious-scam-is-obvious $20 floor, Walmart/Target/Amazon 'integrations' etc.

The apparent involvement of a blue-chip company like Cantor meant that those of us who were repeatedly trying to reason with people about how it was clearly a ponzi, were being drowned out with pages of spittle-flecked fanboy hatred. Whereas Garza had previously needed to pay scumbags to shout us down and bury our posts, he suddenly had an army of idiots with dollar signs in their eyes who absolutely did not want to hear sound reason as to why this was clearly a scam.

[maildir]

100% this ^

carefully crafted con-job, leading up to this "press release" and continued to play upon throughout there after:


http://www.marketwired.com/press-release/gaw-miners-announces-plans-for-initial-coin-offering-1970991.htm

"Although relatively new, cryptocurrency is shifting the economic paradigm and that is reason enough for traditional financial organizations to start taking this seriously," said co-founder and early investor, Stuart Fraser, Vice Chairman and partner, Cantor Fitzgerald, L.P. "With the marrying of innovation, technology, finance and regulation -- I believe that cryptocurrency can provide a value proposition that has never before been contemplated in global commerce and thus has the real possibility of being a viable mainstream currency accepted by the masses around the globe."


I recall it being broken down the instant it was released; how it is cunningly crafted to suggest he is a co-founder and early investor in paycoin. Bolstering Homero's earlier bullshit before and after. I also recall a reporter advising he called the the company and asked about it where the secretary or some underling said the press release is as it was released or something. If anything he's an utter moron Fraser for not double checking how his words were being used and also his twitter account which at the same time was riddled with bullshit to further promote this alliance which was obviously at the time immediately recognized as either Homero or Fraser's son having the keys to the account and were the ones doing the posting.

[maildir]

That really is quite something that he has been obliterated from the cantor site:

"fraser" site:cantor.com
"stuart" site:cantor.com

Nothing. Not even a single mention anywhere. I don't even think he could be fired. He should have had more of a stake than Howard being the nephew of the founder.  I think he even brought Howard in in the early days.  Certainly he can still be retaining his shares in the operation and just simply agreed to be sanitized publicly from the operation. Clearly something very very serious would warrant this. One can suspect the worms will start oozing out of the can very soon in order and once the press get a sniffing, they'll find he is no longer associated with them. Something definitely is a foot. Not a trivial matter to agree to be removed from your long time family operation like that. 

Quick checking shows his house in Armonk, still there, he is still a director of the 911 relief fund (only according to 2012 public records), still has shares and a position in the Cantor off shoot BGC Partners, Inc. Still a massive something being removed from everything Cantor like that though. Can't imagine he went quietly either otherwise a foot note would still exist somewhere on the site?

[favdesu]

That really is quite something that he has been obliterated from the cantor site:

"fraser" site:cantor.com
"stuart" site:cantor.com

Nothing. Not even a single mention anywhere. I don't even think he could be fired. He should have had more of a stake than Howard being the nephew of the founder.  I think he even brought Howard in in the early days.  Certainly he can still be retaining his shares in the operation and just simply agreed to be sanitized publicly from the operation. Clearly something very very serious would warrant this. One can suspect the worms will start oozing out of the can very soon in order and once the press get a sniffing, they'll find he is no longer associated with them. Something definitely is a foot. Not a trivial matter to agree to be removed from your long time family operation like that. 

Quick checking shows his house in Armonk, still there, he is still a director of the 911 relief fund (only according to 2012 public records), still has shares and a position in the Cantor off shoot BGC Partners, Inc. Still a massive something being removed from everything Cantor like that though. Can't imagine he went quietly either otherwise a foot note would still exist somewhere on the site?

where is coinfire when you need them? this needs media coverage!

[maildir]

One thing that stood out at the time for me about that Tesla charade gift to Fraser was the lengths to which Homero went explaining to Elise why he was leaving the garza license plate on. Was like a quarter of the email explaining why he wants to gift it to Fraser and 3/4's why he was leaving the license plate on. The gist being he was sure Fraser would want to drive it immediately     Seeing that picture reminded me of the entire exchange. Along with the nudging of her filming Fraser when he arrives to give him the car.

Now I wonder if he kept the license plate on because he expected Fraser to decline the gift.  Maybe he sat there with dildo and said look I will offer the Tesla to Fraser as a gift but guarantee you he will never accept it. "Win win"  he says to dildo. Makes me look like paycoin is a super success and makes me look like I am such a nice guy, then I will hit him up for a loan. Don't worry dildo my dear he will never accept it.

That or

He was really after a picture or video which he could craft into further scam marketing. Can't recall what the state was of paycoin at the time. But could see him tossing out a screen grab of the video of his car with his name on it with Fraser standing next to it, under some scam blurb, see me and my best bud playing in his garage with my car thus further drawing in his victims...etc

whatever 

[maildir]

Fraser's official email at cantor still works. So they got to be hiding him for some reason. Everything about him scrubbed from the corporate site. Nothing. Not even his name mentioned in .pdf files. Got to be a very serious reason for getting him to hide like this. One can only thing that a barrage of negative press inquiries are around the corner. If it was genuinely a retirement for no other reasons, surely there would be a mention of that or at least a retention of his involvement\contribution to the operator for all these years.

" We boy oh boy have some things coming," 

https://archive.is/k8jhK#selection-839.0-845.25

[AnimoEsto]

I am just heading home, but just got this

<Removed Screenshot>

[AnimoEsto]

PDF attachment

http://animoesto.co.uk/gaw1.pdf

[favdesu]

PDF attachment

http://animoesto.co.uk/gaw1.pdf

finally some good news. anyone got a tl;dr?

[maildir]

tl;dr

[Xian01]

PDF attachment
http://animoesto.co.uk/gaw1.pdf

Can't find this in PACER Was going to start pulling down the docket with RECAP.


EDIT: tl;dr - Josh is fucked.

"the imposition of civil penalties due to the egregious nature of defendants’ violations."
 
...

27. In May 2014, Garza created a company named ZenMiner, which was formally
incorporated in July 2014. Though he persuaded other individuals to represent to customers and
the public that ZenMiner was an independent company, Garza owned and controlled ZenMiner
at all times. On information and belief, Garza perpetuated this deception because he believed
that GAW Miners could not offer cloud-based hosted mining services without alienating its
original hardware-purchasing customers.

...

34. This charade continued when, on or about August 24, 2014, GAW Miners issued
a press release announcing that its parent company (which was also owned and controlled by
Garza), had purchased a controlling stake in ZenMiner for $8 million, and that ZenMiner had
become a division of GAW Miners. This statement was false; no such transaction occurred
because Garza had always owned and controlled ZenMiner. Garza authorized and approved the
issuance of GAW Miners’ false press release. The purported ZenMiner transaction was
marketed as proof that GAW Miners was a leader in the virtual currency industry by bridging the
gap between hardware sellers and hosted mining services.

...

35. Second, contrary to its stated reason for existence, no mining actually occurred
through ZenMiner’s ZenCloud interface.

...

53. Garza was responsible for GAW Miners’ and ZenMiner’s decision to keep selling
Hashlets despite his knowledge (or reckless or negligent disregard) that the companies lacked the
computing power they purported to be selling to investors.

...

56. For example, on or about September 11, 2014, GAW Miners announced the
creation of the limited edition “Remember” Hashlet with the logo of “9/11” to commemorate
those whose lives were lost in the terrorist attacks of September 11, 2001. Garza announced that
GAW Miners would only sell 500 Remember Hashlets, and would donate all of the proceeds
(approximately $10,000) to “the 9/11 memorial fund.” He specified that “GAW will in no way
be profiting from any sales related to the cause.” After selling approximately 2,290 Remember
Hashlets for a total of approximately $48,000, GAW Miners donated only $10,000 to a 9/11
related charity. Garza knew or should have known that GAW Miners actually profited from the
sale of Remember Hashlets, contrary to his representations.

...

67. In order to conceal from investors that the mining activity associated with
Hashlets did not produce sufficient revenues to fund the payouts that had been promised to
investors, GAW Miners used revenues from ongoing Hashlet sales to fund payouts to investors.
Thus, Hashlets operated as a Ponzi scheme, in which investors’ returns were mostly paid by
using the money invested by others

[AnimoEsto]

That's why I posted the screenshot from the SEC email

[Chris_Sabian]

http://www.sec.gov/news/pressrelease/2015-271.html