SERIAL FRAUDSTER & CONVICTED SEXUAL PREDATOR PLANS NEW SCAM AND FRAUD IN PANAMA

Written & Contributed By:   Kenneth Rijock - Financial Crime Consultant (USA)
Chronicles From:   Andrei Slavenkov - Financial Crime Analyst For Wanted SA (Netherlands)

BELEAGUERED FRAUDSTER SEEKS TO LIQUIDATE, AND LEAVE PANAMA FORTHWITH

Insiders in Panama have reported that Gary James Lundgren, now barred for life, from any involvement in the sale of securities in the United States, is seeking to leave the country, permanently, to evade possible criminal charges. He is planning on raising traveling money buy liquidating his real estate assets, but his method involves both fraud, and the sale of unregistered securities to US citizens.

First, Lundgren is seeking American investors to purchase his extensive real estate holdings, much of which was acquired by defrauding US & Canadian expats, through bearer share fraud. He is offering an investment, whereby the victims' money will be used to purchase his Panamanian real estate assets, which will then be sold or leased. It is a classic case of an investment contract, where it involves an investment of money, in a common enterprise, with an expectation that profits will depend solely upon the efforts of a promoter or third party. See SEC vs. WJ Howey Co., 328 US 293 (1946). Lundgren has failed to register his scheme with the Securities & Exchange Commission; Remember, he is banned from any relationship with an entity engaged in sales of securities.

Second, he is offering two free months rent, to prospective tenants of his other holdings, provided that they pay the ten months' rent in advance. What he is not telling the tenants is that the properties are heavily mortgaged, and that he intends to default upon the mortgages, after he flees the jurisdiction, meaning that the banks will foreclose, and evict the tenants, long before their year-long lease expires. Gary Lundgren will be long gone, and the tenants will have no remedy, in either law or equity, in the Panamanian courts, and will then be added to the long list Lindgren's victims.

All the transactions, including escrowing the bearer shares of the corporations that hold the real estate, will be handled by Global Legal Advisers, SA, which is being touted as an independent law firm, but in truth and in fact, it is composed of three of Lundgren's in-house attorneys, and there will be no relief, when the victims wake up to the fact that they have been defrauded, and that Gary has left Panama, with all their investment money.

Additionally, Lundgren is telling prospects that there is an independent audit, confirming the money-making potential of his real estate empire. What he's not disclosing is that the so-called auditor is no other than his wife, accountant Griselda Perez. Somehow, I do not think that she will render objective opinions about the properties, which Lundgren is unable to lease or sell in the current state of Panama's economy.

The question remains: will Gary Lundgren now be arrested, before he can take the money and run ?