In a effort to head off criminal charges, in as many as three possible jurisdictions, the Cayman Islands Gang of Four, together with their principal adviser, William G. (Bill) Tynkaluk, is seeking to pay off victims. They have offered to refund their money, and now are even stating that they will disgorge the profits earned, by illegally using the victims' money. Sounds like good news, you say ? No so, if you consider the legal ramifications of any "refund."
First of all, the victims' money, which was supposedly being kept on deposit in a special account at the Bank of Butterfield's Cayman subsidiary, is gone. Any payment to victims, made by, on on behalf of, the Gang of Four will obviously be funds obtained from other investors, which is being diverted to pay off the complaining victim. The Gang is using the Proceeds of Crime, which constitutes money laundering, a felony which can bring as much as a fourteen-year sentence in the Cayman Islands, under its laws, and 20 years in the United States ( the victim is a US resident). The victims could later be required to pay over all the money they receive, to a receiver accumulating assets for distribution to this Ponzi scheme.
Second, there may be Obstruction of Justice, for there is a pending criminal investigation, and the Gang, as well of their adviser know of this. paying off victims, to insure that they do not cooperate with law enforcement, is a serious matter, and one that the Gang, or Bill Tynkaluk, appear to have disregarded. It is certainly something that law enforcement agencies will certainly consider at the appropriate time. Can any of them spell tax fraud ?
Third, when Sharon Lexa Lamb told a Canadian national, but holding Permanent Resident status in the United States, to cancel his residency, keep his "refund' in the Cayman Islands, and return to Canada, I can see a number of tax offenses that both of them could be charged with in the US. How William Tynkaluk, who has been a financial adviser for more than forty years, and who is supervising and orchestrating this charade, could concede that there will not be consequences, is totally beyond belief.
The Gang of Four, and Bill Tynkaluk, are clearly compounding their situation, by adding additional crimes to their pile of problems; they may now be drawing their victims even deeper into their web, through further manipulation and deceit.