Tuesday, 17 June 2014

The AMP Capital China Growth Fund fraud

AMP Capital China Growth Fund (AGF.AX) is an ASX-listed securities fraud masquerading as a Chinese bluechip fund. Using related party intermediaries, AMP has structured this scam so the fund manager absorbs almost all cash flows from held assets, leaving next to nothing for investor victims. Rigging the price of AGF with cartel associates including Select Investment Partners, AMP intermittently ramps AGF to create unrealized "profits". In the standard pattern of manipulated shares, AGF displays long-term catastrophic shareholder value destruction interspersed with ramps engineered to benefit insiders. This has absolutely nothing to do with a "market" outcome.

According to its annual report, AGF collects around $6.8m in dividends from its stock holdings in China A shares, of which it burns $6.4m, mostly as fees to the criminal managers. Given these ongoing costs, the going concern fair value of AGF to a small investor is around 7% of NTA. It is impossible for a director of such a scam to fulfil their fiduciary duty to investors, since this would mandate recommending they go elsewhere and avoid the swindle. Rather than get 7% of cash flows, investors could easily get 100%, and the sociopathic scum running these scams have a fiduciary duty to warn their investor victims about this.

AGF now functions as a listed securities fraud. By buying and then ramping AGF shares, criminal associate Select Investment Partners has created millions in unrealized "profits", fraudulently inflating its management fees and then dumping the deliberately bloated shares on granny investors through various funds. In the last month alone, Select Investment Partners has devoted millions to this fraud.

AMP and Select Investment Partners are perfectly aware of the fraudulence of their scheme. Since they deliberately engage in fraud, AMP and Select Investment Partners are criminal organizations. This is a simple statement of fact.

No comments:

Post a Comment