Alternative Investment joy! - JAMAICAOBSERVER.COM

Sunday, November 08, 2009 2:25 PM

General News

Alternative Investment joy!

Millions of dollars to be paid out over nine months, forex trader announces

Sunday, January 04, 2009

AT the beginning of the New Year, hundreds of Jamaicans have received joyful news that the millions of dollars they had ploughed into an alternative investment scheme - and thought lost when it crashed - will be repaid over nine months.

Faith International Investment, which is operated offshore by the famed pastor Phillip Phinn, announced a schedule for the payments beginning this March and ending in December 2009.

In this file photo investors line up outside the New Kingston offices of one of the many failed alternative investment entities last year.

"There is a possibility that the payment schedule could be shortened and the monthly payouts increased if a significant amount due to our trader from a foreign jurisdiction is released anytime soon," Faith International told its members in a circular dated December 23, 2008.

"Our legal counsel is confident the monies will be returned to our trader. However, the matter is still in the courts and no definite resolution timetable can be expressed at this time. Because of this we have not included these amounts in our projections," said Faith International.

Thriving alternative investment schemes offering upwards of 10 per cent interest per month suddenly crashed last year, following local and international action that resulted in the freezing of investment funds estimated to run into the billions.

The biggest trader to be hit was Olint TCI operated by David Smith. But the fall of that outfit dragged down many agents who had been collecting money from members and investing it with Olint.

A source close to Faith International Investment said Phinn, who came to fame as a prophet, had been deeply troubled by the failure of the investment scheme.

"He has been in much prayer that a way be found to repay the many people who had put in their hard-earned savings and appeared to have lost it. He is a good man and a true man of God," the source told the Sunday Observer.

Faith International said it would start repaying the principal invested with an initial five per cent in March and increase that amount until it reached 100 per cent of the principal. It made it clear that no interest would be repaid.

The investor explained that even the "seemingly small initial payment of five per cent represents millions of dollars in payouts" and that all of this money had to be earned back "in the worst economic climate of our lifetime".

It advised members that the claims of all investors were equally important and "none can be ranked, either morally or legally, above another", a suggestion apparently aimed at heading off special claims.

The announced schedule is:

5% - March 31/April 30
(Cumulative payout of 10% of net principal)
7.5% - May 31/June 30
(25% of net)
10% - July 31/August 31/September 30 (55% of net)
15% - October 31/November 30/December 31 (100% of net)

"We have been deliberately conservative in our projections in spite of the pressure and temptation to satisfy our clients' expectations of a quick payout. There is no quick solution!" Faith International said.

"We are now confident that the foundation has been laid to achieve the payment schedule outlined above. We will work tirelessly to make it a reality for all our investors," the investor assured its members.

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