Blumont

[safetyfirst]

Words are free, talk is cheap.

Yes, agree, but credibility doesn't come free.

To certain people , their credibility worth zero .

Some people are just actors. When its share price was dropping drastically, they need an "actor" to prop up the share price. Too bad, the market didnt believe it, i didnt either. In fact, at the back of my mind, i have a feeling he was just acting, months later, this joker proved me right

[CityFarmer]

I chose to post it here, since two out of the three sued are from Blumont executives. There are more lawsuits, after CAD probes...

(not vested)

RBC joins Goldman in suing clients after penny stock rout

SINGAPORE — Royal Bank of Canada (RBC) is suing three private wealth clients in Singapore, joining companies including Goldman Sachs in seeking at least US$210 million (S$262 million) owed by customers after a stock rout in October last year.

Blumont Group’s Executive Chairman Neo Kim Hock and Executive Director James Hong, as well as businessman Nelson Fernandez owe the Canadian bank a total of US$63.3 million (S$79 million), said lawsuits filed in the Singapore High Court.

The men refused to pay after shares in companies such as Blumont, Asiasons Capital and LionGold, held as security, tumbled in the October crash, the bank said in court papers. This brings the total banks and brokers are seeking to recover from the crash to at least US$210 million.
...
http://www.todayonline.com/business/rbc-...stock-rout

[mulyc]

the web of deceit is just growing bigger and bigger by the day. it is good if CAD and MAS can weed out all these culprits once and for all and send a stern warning to all those thinking of doing something similar.

[cfa]

The fact is most penny stocks here are being run by stock operators.

[corydorus]

People who played the counters up to the book would have figure out to park their money safely somewhere else. Furthermore i doubt the penalty is heavy enough to deter. Even with significant protection like places such as America, the investment banks pay only a segment of their annual profit only once as fine that causes GFC. Records are wiped clean and executives got away easily or with minor penalty. Lifes go on as usual.

[dydx]

In this world there are some very greedy people. They would go to the extent to borrow huge amount of money to bet on speculative stocks and the stock market. To me, such people have lost their minds and are playing with fire, and sooner or later they will pay dearly for their adventures.

In this world there are also some very silly bankers, who believe that they should support the above greedy people and their speculative adventures in the stock market, and getting the institutions they work for to provide huge credit lines to them. To me, such bankers clearly lack a sound mind and ought to be fired, and the institutions they work for ought to be sanctioned by the authorities.

[specuvestor]

interesting.........

If u piece the story.....

the angmo wants to acquire shares....
then the right issue at 5 cents which the 'insiders' did not subscribe......($42.67m net proceeds)
then the cash from the right issue used for acquisitions....(money flows out into.....????)
angmo said does not want to acquire now.....(I bet the cash from right issue are used up)

I agree this is very interesting.... need to read up more on where the money flowed to...

[GPD]

In this world there are some very greedy people. They would go to the extent to borrow huge amount of money to bet on speculative stocks and the stock market. To me, such people have lost their minds and are playing with fire, and sooner or later they will pay dearly for their adventures.

In this world there are also some very silly bankers, who believe that they should support the above greedy people and their speculative adventures in the stock market, and getting the institutions they work for to provide huge credit lines to them. To me, such bankers clearly lack a sound mind and ought to be fired, and the institutions they work for ought to be sanctioned by the authorities.

The bank (or its staff) should have DD before granting credit facilities or loan using their share as collateral. Obviously the bank's (or its staff) view is that the collateral is "good enough" for it. Imagine the amount of commission or fees you can earn when you get a multi million account into your portfolio. But even if the collateral is turned out to be rubbish the bank can still try to recover it. Anyway, this is not the first and it will not be the last. Human are human afterall.

[Retired@52]

I didn't read this Post in the past, I read it today, I take my hat off to these Value-Buddies:

Greengiraffe, who started this Post, Kelvesy in Post 2, Propertyinvestor in Post 3, Lanoitor in Post 5, Safetyfirst in Post 10, Stocker in Post 11 & Some-one in Post 12. They gave the warnings before the happenings.

If fellow Value-Buddies who had owned this stock took notice of your concerted cautions they would have escaped the slaughtering.

Nevertheless, if you are still holding to this stock, you may like to watch this video entitled:

What should you do with your Blumont shares?

http://www.investorcentral.org/

Not Vested.

[propertyinvestor]

I didn't read this Post in the past, I read it today, I take my hat off to these Value-Buddies:

Greengiraffe, who started this Post, Kelvesy in Post 2, Propertyinvestor in Post 3, Lanoitor in Post 5, Safetyfirst in Post 10, Stocker in Post 11 & Some-one in Post 12. They gave the warnings before the happenings.

If fellow Value-Buddies who had owned this stock took notice of your concerted cautions they would have escaped the slaughtering.

Nevertheless, if you are still holding to this stock, you may like to watch this video entitled:

What should you do with your Blumont shares?

http://www.investorcentral.org/

Not Vested.

Blumont honestly is not worthy of being discussed in a serious investment forum like Valuebuddies