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Non-Tech : VGAM - Virtual Gaming -- Ignore unavailable to you. Want to Upgrade?

To: zonkie who wrote (100)	9/22/1999 8:51:00 PM
From: THOMAS GOODRICH	Respond to of 216

That's just the way the system works in the United States. Assets can be hidden offshore and then bankruptcy declared. Restitution usually only encumbers what remains that isn't protected by law. Many people continue to invest in online casinos sold to them over the phone. The problem for most will not be outright fraud, but overstating projected returns. While typically online casinos require eight or more consecutive months of operation to profitability, some marketers tell investors to expect returns upwards of four times on their investment beginning year one. Operators also deceive investors by not fully disclosing selling commissions and incentives which can approach 80%! As if that were not bad enough, many investors discover after funding that what was supposed to be an ongoing limited partnership (LLC), etc. evolves into a reverse merger or a corporate public shell and the end result is restricted stock (often worthless) in lieu of dividends, etc. Another Virtual Gaming (Virtual Gaming Partners, Nevis, West Indies) is contemplating a similar structural change that will likely enable its principals to circumvent the recoupment plan originally guaranteed their preferred partners by offering stock in a proposed IPO in lieu of cash. (There are over 1000 IPO's scheduled for 2000 and many are expected to falter in an oversupplied market). Stay tuned, there are many more horror stories about to unfold over the next few years and investors snapping up deals especially over the phone had better do very thorough independent due diligence before parting with their money, else they may as well just flush it down the commode!