Neteller Stock Exchange Statement

[Mendacious]

It is not remotely surprising that Neteller is not fighting. As far as their priorities are concerned, Stockholders are at the top of the list, and customers are at the very bottom-- far below the interests of the board members and executives who wish to avoid jail time.

If neteller can preserve a viable non-US business and some value for their stockholders at the expense of forfeiting the U.S. customers money, I expect they will do it in a heartbeat.

The real question in all this is ho the DOJ or USAO is going to handle this.

I think there is a decent chance that they are mainly interested in the records, getting Neteller out for good, and do not want to see the vast majority of customers get screwed, BUT there are many many ways they could play this, and do not doubt that they are calling the shots.

[fatshaft]

[ QUOTE ]
This is essentially the same crap betonsports came out with. I still haven't seen a pound sterling or a US dollar out of my three grand I had on deposit.

[/ QUOTE ]Nothing like betonsports at all. They were a pretty shady operation in the first place, who took players money and run. Neteller are a FSA regulated PLC that has ring fenced funds, they couldnt inform their customers before informing the market, that is a legal requirement when it is sensitive information. If they had come out with a vaguie statement prior to this they would have been iun serious trouble with the LSE too.

I understand how bad it must be for you guys who are stuck for cash in Neteller, but get the target of your ire right for god's sake.

[JPFisher55]

The truth is that the DOJ has not seized these funds. Neteller is voluntarily holding these funds because the DOJ obtained a US federal warrant seizing them. But the warrant cannot be enforced in the Isle of Man. So Neteller has decided to hold the funds and cooperate with the DOJ to get the best deal for it and its founders. So its former US customers suffer and its shareholders see the value of their shares disappear.
Mr. Cohen is right. Neteller should have and could have fought the DOJ. It could have returned the money owed to its US customers despite this seizure warrant.

[guffest]

[ QUOTE ]
The truth is that the DOJ has not seized these funds. Neteller is voluntarily holding these funds because the DOJ obtained a US federal warrant seizing them.

[/ QUOTE ]

Hi, can you provide a source or reference for this info?

Many Thanks.

[JPFisher55]

Read the statement. It does not state that the DOJ physically seized these funds and put them in a bank account held by the DOJ. It states that a federal court ordered the seizure of these funds. Then it states that Neteller is cooperating with the order. It could be that Neteller has turned over these funds to the DOJ but the statement does not state that such a transfer occurred.
It really doesn't matter. What matters is that the funds are being held hostage over the negotiations between Neteller and the DOJ.

[addictontilt]

[ QUOTE ]
The truth is that the DOJ has not seized these funds. Neteller is voluntarily holding these funds because the DOJ obtained a US federal warrant seizing them. But the warrant cannot be enforced in the Isle of Man. So Neteller has decided to hold the funds and cooperate with the DOJ to get the best deal for it and its founders. So its former US customers suffer and its shareholders see the value of their shares disappear.
Mr. Cohen is right. Neteller should have and could have fought the DOJ. It could have returned the money owed to its US customers despite this seizure warrant.

[/ QUOTE ]

Additionally, the
Group has been advised that the USAO has obtained court-ordered seizure warrants
seizing funds pertaining to the Group's transactions. To the best of the Group's
knowledge, it believes that the amount of funds seized by the USAO or otherwise
restricted by third parties does not exceed US $55 million

Ummmm this article says they got 55 mil, anyone who thinks they issued a warrant and did not seize whatever they could on US soil...is naive. Law enforcement fattens their coffers through asset seizure every day, local, state, and federal level.

[gone.flying]

[ QUOTE ]
The truth is that the DOJ has not seized these funds. Neteller is voluntarily holding these funds because the DOJ obtained a US federal warrant seizing them. But the warrant cannot be enforced in the Isle of Man. So Neteller has decided to hold the funds and cooperate with the DOJ to get the best deal for it and its founders. So its former US customers suffer and its shareholders see the value of their shares disappear.
Mr. Cohen is right. Neteller should have and could have fought the DOJ. It could have returned the money owed to its US customers despite this seizure warrant.

[/ QUOTE ]

I don't believe that to be true for a second - If you read the statement carefully it says
[ QUOTE ]
To the best of the Group’s knowledge, it believes that the amount of funds seized by the USAO or otherwise restricted by third parties does not exceed US$ 55 million. These funds were largely in the process of being transferred from the Group to its US customers or vice versa.

[/ QUOTE ]
They are saying that they think about $55mil of customers' is floating around somewhere in the banking system - the funds that were in the process of being transferred as the AO pulled the plug, that 55mil is not in any kind of secure trust.

[guffest]

"To the best of the Group's knowledge, it believes that the amount of funds seized by the USAO or otherwise restricted by third parties does not exceed US $55 million. These funds were largely in the process of being transferred from the Group to its US customers or vice versa."

Doesn't the fact that funds were in the process of being transferred imply that the money is not currently held by neteller?

I think it does matter. If the funds were seized when outwith Neteller's control then they had very few options. If Neteller are holding them voluntarily then they could and should put up a fight...

[*TT*]

This thread is misguided. The 55 mil is small peanuts compared to the audits which are coming. Shades of PayPal as predicted back in September by the rare few. Ed Miller has posted an article on this today as well, and I think he is 100% correct.

TT [img]/images/graemlins/club.gif[/img]

[KotOD]

[ QUOTE ]
There should be more anger directed at Neteller than ever. They have not been charged, they are out of the jurisdiction of the US.

[/ QUOTE ]

The EFTs are not.