Hey Bigman and everyone else....a spark of light and alot of info for you. Julie from Hays Consulting just called me. Very sweet woman and very sympathic to our situation. Here's the scoop as of 5 minutes ago, 9:40am CST. Hays is working side by side with the SEC on the investors behalf. This is an enormous case according to Julie and will take awhile to compile everything. They're going through Pinns. data base and are gathering up all investors names and addresses. We will get forms by mail to fill out for our claim. One great thing is that the 13.1 MILLION BUCKS is just what's in their Wachovia acct. It's not all their assets. She sounded positive, yet very overwhelmed. Let's not give up hope!
One very important thing is Hays has appointed an investor relations person. This is who we will call for updates, don't call Greg Hays. Her name is Shawanda Sloane and her # is 404-926-0058. If you can't get her at that # then try 404-926-0059. I hope someone is helping her out because she will be swamped with calls. Better if only a few calls and we pass the info to each other on this forum.
Other than what I've written here, Julie had no other updates. Also watch Hays website for updates.
Thanks everyone!
Instead of 2000 people calling Hays and overwhelming them, all the concerns and questions should be raised here in this forum and one person should address them with hays and post the feedback here - that way, Hays has to deal with only one or two calls which Hays should be able to handle without disrupting their workload. Any volunteers? RDC and REMY seems quite capable. What do you think?
Archer, That is what she told me. I asked her if that was all Pinns. assets and she said "no" that's what was in their Wachovia acct. when they froze it.
Thanks again Linda for being a link to the inside.. this forum will save you & your team a lot of time & phone calls.. I am pleased to hear that Pinnacle has that much cash in the bank.
I think the 2 things that would set many of us at ease:
1. how much in assets they have
2. how much owed/outsatanding (principal only) to investors
This gives us a rough idea of what percentage of our investment Pinnacle actually still has & what we will hopefully receive.
I know it may take you a while to find these things out but Im sure at this time you have an idea of the cash in the bank & the real estate holdings. Can you at least tell us that number now?
Truly,
Taxum
six figure club
Hey Everyone,
This is my first posting. I too am a Pinnacle investor and have experienced all the emotions that I have read from you on the preceeding pages.
I don't mean to be to Polly Anna'ish but what proof is out there that this was a scam? Maybe the SEC will conduct their investigation and Pinnacle and Mr. O'Neil will be exonerated, we all get paid and they start their consulting business.
I agree at this time that appears improbable, but until they are found to be guilty of fraud all else is speculation.
In reference to GTE or Greg, the alleged past employee of Pinnacle I agree with the sentiment of some who are no longer allowed to post in this forum, which is basically from my perspective..." Where were you when we needed you?". His confessions do me absolutely no good now.
I truly believe that if people had not freaked out and started calling everyone or every governmental agency we all would have been paid in a much more timely manner than we are facing now, that being said, call where I live a fools paradise, but I still feel this will work out for all of us.
BRC
Second post...just received a call from Julie myself..confirming what has been said, plus, they office right across the street from Pinnacle(extremely odd), so she mentioned it should be quite a bit easier to get all the information they need from the office and from the ex-employees.
Crossing my fingers in Texas!!
Chemar22,
Thanks for posting the update. I've been sick to my stomach the last couple of days. Unfortunately $13M divided by 2,000 is only $6,500 per investor and that's assuming we get all of the $13M. We all know they have debts to be paid the least of which is not the attorney's and fraud specialists now involved. I'm trying to hold on to some measure of hope but as another six figure club member (a club I now detest), it isn't looking good for us.
I just got into this with Pinnacle in Sept and was originally told they would send back my money because they weren't allowing new investors until they changed their mind and accepted my investment. How I wish they would have stuck to their original plan and sent back my money - hindsight.
I'm running out of cleanex!!! and they say grown men aren't supposed to cry
Last year while speaking with a Chris Schaeffer, he SPECIFICALLY told me that they had an in house loan officer from Wells fargo......Ring a bell with anyone? He also told me i n Aug approx, they used to have returns every 30 days.........when was that?
when did this actually start?
If the total really is about 2000 investors.....where in the hell is everyone?
It took me 6 months of phone calls, research, other investors to dump 30k from Feb to May 30th......and i am a cheap mother f...
Somehow, someway Gene needed money and credit to get going....
where in the hell did it come from?
too many people involved for too long for it only to be a one person operation!
This is my first post here, but I've been trying to follow up with Pinnacle since last Monday re: my investment. For those of you that are interested in the Wall Street Journal Article posted today, here it is:
Moving the Market: Federal Court Moves on Pinnacle Development After SEC Complaint
October 12, 2006 (Copyright (c) 2006, Dow Jones & Company, Inc.)
A federal court moved against Pinnacle Development Partners LLC after the Securities and Exchange Commission accused the Atlanta firm of operating a Ponzi scheme that collected at least $30 million from investors.
The agency, in a complaint filed in U.S. District Court in Atlanta, said Pinnacle, which offered real-estate partnerships, used an advertising campaign in as many as 40 publications to raise money from 2,000 investors in 33 states and two foreign countries. Although the company promised 25% returns in as little as 45 days by buying and selling foreclosed homes at a profit, the SEC said, in reality it was paying returns to its newer investors by selling properties bought by its older investors -- a variation on a scheme made famous by fraudster Charles Ponzi in early 20th-century Boston.
The court ordered Pinnacle to cease its offerings, froze its assets and appointed a receiver for the firm. Its order said that defendants Pinnacle and its owner Gene A. O'Neal consented without admitting or denying the SEC's allegations and waived their right to appeal.
Mr. O'Neal and a company spokeswoman did not return messages seeking comment ahead of the court action, and couldn't be reached afterward.
Some investors in Pinnacle said that the firm had told them that it was closing down and would be returning their money. But five investors say the firm, which advertised in such publications as Newsweek, the New York Post and The Wall Street Journal, missed its deadlines for making payments.
James Karantzis, a retired engineer in Des Plaines, Ill., said Pinnacle did not pay $361,000 in principal and investment returns he was due on Sept. 26. "I'm getting the runaround," said Mr. Karantzis, who initially invested the minimum $5,000 in October 2005 and then steadily upped his stake. "I cannot get an answer out of them as to when my check will be written."
Louis Kale, a Tucson, Ariz., investor, says he was owed $35,000 on Oct. 2 and has yet to receive payment. Mr. Kale says Pinnacle has assured him that his money will arrive. Mr. Kale says he took out a second mortgage on his home to finance his initial investment and can't afford to lose that principal. His son is also waiting on $30,000 from Pinnacle that is past due, Mr. Kale says.
Pinnacle said in its full-page Newsweek advertisements that it had already handled $56 million, and expected to handle $80 million in business this year. As reported last month, California securities regulators have also been investigating Pinnacle.
In a five-sentence letter to investors late last month, Mr. O'Neal wrote that the company "believes that its business practices are legitimate and comply with all applicable laws." The letter ended, "Your trust in our business is greatly appreciated."
Investors signed partnership agreements to purchase properties that stipulated their returns and payment dates. Initially, according to some investors, it promised the 25% gains in 30 days, but the "closing period" for payments gradually lengthened to three months. The company said it performed minor refurbishments on the properties and sold them at a profit. Prior to the end of last month, investors said they had consistently received their payments on time.
Barry Minkow, a fraud investigator in San Diego, sent information on Pinnacle to the Federal Bureau of Investigation and the SEC. Mr. Minkow served time for fraud in the 1980s, but has been commended by the FBI since leaving prison for helping to "disrupt and dismantle" financial fraud he investigates.
Pinnacle had also informed investors of plans to shift operations to other cities under a new name. On Sept. 18, the company incorporated Pinnacle Consulting Partners Group LLC with the Georgia secretary of state's office. A newsletter to Pinnacle Development investors dated September 2006 announced plans for offices in several cities.
Six investors say Robert Hendree, a top Pinnacle official, told them that the new company planned to franchise spinoffs. Property managers in Detroit, Cleveland and Miami confirmed that Pinnacle is renting office space there, but the spaces consist of two or three desks and aren't occupied.
Mr. Hendree, who last month said Pinnacle was "doing perfectly fine, legitimate business," did not return numerous messages left at his office. Some investors say he also hasn't returned their calls. Pinnacle has dismantled its Web site, which now says "Under Construction."
Washington Post Co.'s Newsweek, which had been running full-page ads beginning in April, said last month that it had stopped running them pending the outcome of the investigation of Pinnacle.
Anguish over Pinnacle has spilled over onto Internet message boards, where some investors report missing their most recent payments, while others say they were paid a few days late. Denver real-estate investor Gerry Reif says he never received $53,000 due on Sept. 27. He added that he spoke this week to a Pinnacle representative, who told him she didn't know when he would be paid.
For all the investors, im sooo sorry about what has been going on here at pinnacle. I am a former empolyee as of yesterday. We were told that every investor would be paid out, and that we as employes still had job security and if we wanted to stick it out with mr. o'neal that pinnacle would be there for us; but as of 5:00p.m. the sec came in and we had a company wide meeting.....within 15 minutes into the meeting we were told that we no longer have a job and that sob o'neal was nowhere to be found. He didn't even have the balls to show up and let us know that he was doing something wrong the entire time....he just lied to our faces! The thing that I really can't stand is that I'm a honest person, and I was told to tell investors that they will get all their funds back promptly, and that their checks were being PROCESSED. But aparently this is not correct...so i appoligize for any missleading information that was given out to you as an investor; but believe me when I say that we were just the messangers. I had no idea that all of this was going on, and was promissed to still have a job; but **** happens......Good luck to all of you, and i personally hope to god that mr o'neal and mr. f***ing Hendree both go away to the big house for a long, long, long time! F*** those Mother F***ers!
Not only where did the money come from............where did the ideas come from.
ONE MAN IS NOT THAT F..... SMART
Ex employees may come and go on here and play innocent, bottom line, their covering their asses.
Also, ck the summons on Hays website.........Genes address shows Apt D
WHAT THE F --K
what should be addressed hopefully soon are the contracts.
Are they "enforceable" ? If that would be true, then that would dictate order of returns? or by the dates we invested?
has a similar incident happened and what was the outcome to kinda get us a time frame and a mind set of a possbible light at end of tunnel.
Hi Broke
Thanks for posting even though this is rough time for anybody from pinnacle to face angry investors. As i said in my previous posts, most of the employess had no clues and only followed policies and instructions from higher-ups. Anger at pinnacle staff is understandable but not constructive. Employees are as mad as rest of us at pinnacle for lying and conning everybody. Please feel free to provide insight into how pinnacle higher-ups handled their operations.
The comments have been made that the SEC should have waited a few more weeks till all investors were paid out before taking this action. My observations are this; all along, almost ALL investors have made the claim that they ( and me ) have been paid on time since investing.....and then, all of a sudden, in the past 2 or 3 weeks, when the initial inquires and investigations started, Pinnacle started a series of delay tactics and dragging their *** giving investors various bs stories. That was clue number 1.
IF the SEC had let this played out, O'Neal, knowing he was being closed in on, could very easily have become a flight risk and taken the funds and moved to a sunny country. And that would have left NO assets to seize with NOTHING to disburse. This way, the SEC steps in and freezes things BEFORE O'Neal cashes out.
I also would be VERY careful on taking too much as gospel from anyone claiming to be an "ex" employee. They knew FULL well what they were doing, had prepared scripts to tell clients, and on more than one phone call to them, when the person(s) mentioned they were swamped and it was mentioned they should go ask for a raise, the comment came out "oh no, Mr. O'Neal pays us VERY well"..........
I feel that caution and patience are the hands we should be playing now...
Unfortunately, time is all we've got at this point. Once I read SEC complaint, I realized that O’Neal is nothing but the crook. Hopefully when all this is over we could get at least part of our principal and he and his co-conspirators will spend some productive years in jail.
Hi Broke,
Many of us put a lot of faith in Cherise Jefferson & I was wondering if you believe she was "in" on this.
Also, we would all love it if you would describe for us your impression of Mr. O'Neal.
It sounds sick, but I'm really wanting inside information on Pinnacle right now to ease my pain. Especially juicy stuff.
Don't leave us hanging!
In response to JUSTANINVESTOR'S post regarding Pinnacle having 13 million in assets and that comes to only $6500 per investor...I can only imagine that they will pay back investors as a funtion of % not take the asset amount and divide by the # of investors.
If there is only 50% of the money to pay back investors and you invested $5,000 then you would get back $2500. If you invested $100,000 then you would get back $50,000. The would be only be equitable and fair.
Is this correct Linda?
Linda,
Let's say you've invested money since last October & because of the huge returns you are currently way ahead of the original principal you started with...
Given the 50% scenario, would you be entitled to half of your principal investment, or half of the new much larger rolled amount?
Seems like it would be more fair for everyone to receive the same percentage of their own principal contributions.
Linda,
Anyone who has "broke even" and / or made $ with their initial investments would be next in line compared to individuals who believed in the company and never made one withdrawl?
Sorry, this is a great point and I didnt consider til now. It seems very fair to payout to investors who have not profited at all FIRST
SCOUT and DLV those are two great points and I hope that haysconsulting.net takes that into consideration! It's related to profiting from ill gotten gains!
Anyone who has "broke even" and / or made $ with their initial investments would be next in line compared to individuals who believed in the company and never made one withdrawl?
Sorry, this is a great point and I didnt consider til now. It seems very fair to payout to investors who have not profited at all FIRST
Thank you. I'm in favor of this idea and really I appreciate your genuine concern for those who have not made any monies but lossed. Linda if you can provide some feedback on the order or what point will payout begin once all investors are accounted for. Thanks again.
I totally agree with the last two posts.
Linda:
I also believe that the people that just sent in their money - that have never made a return - (STOLEN MONEY), should be paid back the soonest.
Our 80 Year old mother that has no income coming in now - thanks to the thiefs out there! Tapped equity in her property to retire. I hope the ex-employee that did this can sleep at night - but as we speak are trying to pack their bags and grab a new identity...
We tried several times in the last few weeks to get this back, when we found out about that Pinnacle never tied our money to any properties in the first place.
If you worked there you would have to know who buys and sells this real estate in your company and how the company makes its money! You were just expanding to other parts of the country to not buy real estate and set up shop to con other innocent people? How niave do you think we are on this forum? I believe anybody that worked there should be prosecuted to the full extent of the law, for destroying other peoples lives!!
Another thing - is anyone checking on the attorney himself that drew up the partnership ageements in the first place? He was a part of this - he was the attorney that claims he handled all the closings for the company and all the partnerships. He states in his letter that he is the corporate attorney! The letter that we received and (everyone else should have in their files), in the beginning proves all of this. At the very least he should have grievences filed against him, if he hasn't already. I learned my lesson to never trust attorneys!
If everyone does not receive every penny of the priciple back - then Mr. O and his co-parts should spend their time in a box for the next 100 years.