From: Legacy Group Banks May Be Doomed

[Guardian]

PDIC exec seeks passage of charter amendmentsPDIC president Jose Nograles said over the weekend that PDIC supports the initiative to investigate alleged irregularities in the Legacy Group-affiliated banks recently placed by the Monetary Board under PDIC receivership.Nograles also explained why the passage of the amendments should not be tied to the probe.These Legacy-affiliated banks and banks closed prior to the effectivity of the law [when passed and] will not benefit from the increased deposit insurance, he pointed out. The law is prospective and will cover banks closed after the ratification of the law, he said.To read the whole story, click the link belowhttp://www.abs-cbnnews.com/business/01/25/...rter-amendments

Who would be foolish enough to invest in a scam like that.

[Mr Lee]

Now it is starting to get interesting. I do not think the govt will pay out a peso without someone going to jail, and the lower people were in the scam, the more likely they will face a jail term. SEC conducts probe of Legacy group owners, officials By Zinnia B. Dela Pea Updated January 26, 2009 12:00 AM The Securities and Exchange Commission (SEC) is conducting an investigation into possible criminal wrongdoing by the owners and officers of the Legacy group whose pre-need outfits closed shop without the consent of the corporate watchdog.An SEC official said the Commission received complaints from several investors claiming they were defrauded millions of pesos by the groups double-your-money program.Under the program, investors will supposedly double their investment in three years and immediately get 10 percent of the plan maturity value. The balance of 90 percent will be paid in 12 equal installments through post-dated checks issued by the groups pre-need firm Legacy Consolidated Plans.As you can see, their program is similar to a Ponzi scheme, the SEC official said.A Ponzi scheme is a fraudulent investment operation that pays returns to investors out of the money paid by subsequent investors rather than from profit. It usually offers abnormally high short-term returns in order to entice new investors.The same SEC official said only the first three or four of the 12 checks issued by the group were successfully encashed.Were still checking whether the Legacy group can be held liable for estafa. Hopefully, we can come up with something next month, the SEC official said.You can read the rest of the story, click the link belowhttp://www.philstar.com/Article.aspx?Artic...ubCategoryId=66

[Mr Lee]

This looks like good news for those that invested in preneed Nograles orders probe into bankruptcy of Legacy groupBy Jess Diaz Updated January 28, 2009 12:00 AM Speaker Prospero Nograles ordered yesterday an investigation into the bankruptcy of the Legacy Group of Companies that owned rural banks and pre-need companies."According to Nograles brother Jose, president of the state-owned Philippine Deposit Insurance Corp., De los Angeles 12 rural banks have more than 130,000 depositors in 50 locations in Metro Manila, Bicol Region, the Visayas and Mindanao.""De Los Angeles, insisted that he had done nothing wrong ""Nograles said this has jeopardized the education of children whose parents have invested hard-earned money on education plans.""Malacaang assured policyholders yesterday that it would help them retrieve their investments or avail of the benefits given by financially distressed pre-need firms." You can read the whole story, click the link belowhttp://www.philstar.com/Article.aspx?Artic...ubCategoryId=63

[Mr Lee]

Ahhh, and again the plot thickens! This may go right up to the top but will surely get squashed before getting there. Nograles urged to explain ties with Legacy | The Philippine Star >> News >> Headlines Here are some excerpts from this article. . Manila Rep. Jaime Lopez, chairman of the House committee on banks and financial institutions, made the appeal in the wake of reports that Nograles, as majority leader in 2005, reportedly intervened with regulators for De los Angeles.According to published reports, the then majority leader asked then Philippine Deposit Insurance Corp. (PDIC) president Ricardo Tan, who had launched an investigation into the Legacy group, to go slow on De los Angeles. Tan quoted Nograles as telling him that the Legacy group

Edited January 29, 2009 by Mr. Lee

[Mike S]

Yes it is getting very interesting as some of the Senators and congressmen were also investors in the Legacy get rich quick scam ........ aren't they supposed to know better and set the example ....... before this is over look for the get rich quick scammers to get all their money back and the poor Filipino workers and legitimate bank account holders to get sh*t ....... but they have a saying here in the Phils ....... "that's the way it is" ............ a real shame ... the nice guy really does finish last here .....

[Mr Lee]

:1247: Look who is also an investor. http://www.manilastandardtoday.com/?page=news5_jan30_2009Speaker admits he has millions lost in Legacy By Roy Pelovello HOUSE Speaker Prospero Nograles yesterday admitted he had millions of pesos invested in the Legacy Group, which is accused of swindling creditors out of billions of pesos, but denied intervening on its behalf.

[Mr Lee]

I wonder what he means by seek your money if you were an investor? Could it be that the govt is changing their mind on giving back any money? Legacy Group claimants must seek return of money02/02/2009 Irked by an apparent demolition campaign portraying him as the person responsible for the loss of their money in a number of failed banks and pre-need firms that were run by the Legacy Group, Speaker Prospero Nograles yesterday called on all Legacy claimants to get together and work with him to recoup their deposits and investments even if only the capital was all they could recover. Read the whole story, click the link below http://www.tribuneonline.org/headlines/20090202hed5.html

[johnrxx99]

Looks like they are moving in on the bastard:-http://newsinfo.inquirer.net/breakingnews/...y-owners-assetsMANILA, Philippines — Senator Manuel Roxas has asked the Securities and Exchange Commission to freeze corporate and personal assets of Celso de los Angeles, owner of Legacy Consolidated Plans Inc., so the failed pre-need company can pay its obligations to plan holders and investors. De los Angeles sold a 3,000-square-meter property in upscale Ayala Alabang subdivision for P57 million a week before Legacy Consolidated Plans filed a voluntary dissolution of Legacy with the SEC in December. “You could say that this was a disposition of asset in contemplation of bankruptcy. Meaning P57 million flew out the window because of SEC’s inaction," Roxas said. [Read story on SEC Chairperson Fe Barin at the Senate hearing] "We will have to attach all your assets for the sake of all your creditors and the people whom you have sold these promises to,” Roxas told De los Angeles. De los Angeles also revealed on questioning by Senator Rodolfo Biazon that he had other assets that could be valued at close to P1 billion. Legacy Consolidated Plans has P1.1 billion in obligations to 50,000 plan holders but has only P300 million in its trust fund.So at least 800,000,000 peso has be stolen by Angeles. How did he think he could get away with it even if he did have some of the Government in his pocket.

Edited February 3, 2009 by johnrxx99

[Mr Lee]

Very interesting turn of events, but not at all surprising. Legacy chief: BSP boys in extort play http://www.tribune.net.ph/

[Mr Lee]

VP Nolis Legacy, too? VP tied to Legacy mess. Could it be that the VP put De Castro in the position to bilk all the Legacy investors out of their money? It is possible that the later investors would not have lost their money, had the Legacy group not been protected by the VP of the Philippines.http://www.manilastandardtoday.com/?page=j...obles_feb5_2009