Money scam victims seek Duterte aid

Written by Jun I. Legaspi

VICTIMS of the P12 billion Aman Futures investment scam, mostly legitimate traders based in Mindanao,
are appealing to President Duterte to bring up the case during his visit to Malaysia where Manuel
Amalilio, founder of Aman Futures and the alleged brains behind the money racket, was last monitored.

One of the victim-traders, Fabian Tapayan Jr. also urged the President to look into the reported granting
of bail to former Pagadian City Mayor Samuel Co, who was slapped with syndicated estafa in connection
with the Aman Futures scam.

“Due process was violated because I was not allowed to rebut the allegation in the petition for certiorari
filed by accused Co,” said Tapayan.

According to Tapayan, he only learned of the approval of the bail petition of Co in news reports.
“I was surprised that I was not furnished a copy nor his counsel of the petition filed by Co before the
Court of Appeals,” Tapayan lamented.

Tapayan said that according to reports the CA granted Co’s petition on October 14.

At the same time, Tapayan asked the President to inquire from Malaysian authorities regarding the
status of Amalilio who was last monitored to have fled to Sabah.

Duterte is set to visit Kuala Lumpur on Wednesday.

Tapayan appealed to his fellow Mindanaoan President Duterte to help Aman Futures investors, most of
them from Mindanao, to go after those who were responsible for the scam that siphoned off their hard-
earned money.

“I hope the President will look into this case which has deprived legitimate investors of their hard-
earned money due to the misdeeds of Amalilio and Co, and other Aman Futures personnel,” said
Tapayan.

http://www.journal.com.ph/news/nation/money-scam-victims-seek-duterte-aid
Investment Fund Manager Pleads Guilty To Securities Fraud For Operating A $17
Million Ponzi Scheme

Defendant Deceived 74 Investors For Nearly Ten Years To Pay For

Lavish Estate, Luxury Vehicle And Other Personal Expenses
On Monday, November 10, 2014, James M. Peister pleaded guilty at the federal courthouse in Central
Islip, New York, to securities fraud for operating a $17.9 million Ponzi scheme. Peister deceived investors
about the stability and performance of their investments in a fund that he founded and managed to
prevent them from seeking to redeem their interests. Pursuant to his plea agreement with the
government, Peister agreed to pay $9,657,218.65 in restitution to the victims of his fraud and consented
to the forfeiture of $17.9 million, which includes his residence in St. James, New York, and his Hummer
sport utility vehicle. When sentenced, Peister faces up to 20 years in prison and a fine of up to
$5,000,000.

The guilty plea was announced by Loretta E. Lynch, United States Attorney for the Eastern District of
New York and George Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York
Field Office (FBI).

“For nearly a decade, rather than make sound investment decisions as he had promised, James Peister
fleeced dozens of investors and used their money to fund his own lavish lifestyle. When the financial
crises struck in 2008 and his investor pool dried up, Peister’s carefully woven web of lies and deceit
began to untangle and his scheme was revealed. Monday’s plea marks the end of Peister’s scheme and
demonstrates this Office’s steadfast commitment to investigating and prosecuting fund managers who
prey on the investing public,” stated United States Attorney Lynch. Ms. Lynch expressed her grateful
appreciation to the FBI, the agency responsible for leading this investigation, and to the United States
Securities Exchange Commission and United States Commodity Futures Trading Commission for their
cooperation and assistance in the investigation.

According to court filings and facts presented at the plea hearing, between January 2000 and June 2009,
Peister raised more than $17 million from at least 74 investors in connection with his investment funds:
Northstar International Group Inc., North American Globex Group, and North American Globex Fund, LP.
Through representations in marketing materials and other disclosures to investors and potential
investors, Peister promised to invest in a variety of securities, including stocks, futures and fixed income
instruments. Contrary to his purported investment strategy, Peister used new investors’ money to pay
out existing investors and to finance business and personal expenses, including payments on a personal
residence and a Hummer luxury sport utility vehicle. To conceal the true nature of the use of his victims’
money, Peister grossly overstated the value of the assets under his management by providing bogus
financial statements to investors and to auditors. As a result, investors believed that their accounts with
Peister were performing satisfactorily, and they continued to invest with him. Peister’s Ponzi scheme
collapsed in the wake of the financial crisis in 2008 when he could no longer keep up with demands for
redemptions from nervous investors. Since Peister’s arrest this past June, the government has seized his
Hummer sport utility vehicle and restrained rental payments owed to Peister in connection with the
leasing of property that was purchased with proceeds of his fraud.

Monday’s plea took place before United States District Judge Joseph F. Bianco.
The government’s case is being prosecuted by Assistant United States Attorneys Jacquelyn M. Kasulis,
Jonathan P. Lax and Brian D. Morris.

This prosecution was the result of efforts by President Obama's Financial Fraud Enforcement Task Force
which was created in November 2009 to wage an aggressive, coordinated and proactive effort to
investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’
Offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and
regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great
strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination
and cooperation among federal, state and local authorities; addressing discrimination in the lending and
financial markets and conducting outreach to the public, victims, financial institutions and other
organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000
financial fraud cases against nearly 15,000 defendants, including more than 2,700 mortgage fraud
defendants. For more information on the task force, visit http://www.StopFraud.gov.

The Defendant:

JAMES M PEISTER

Age: 62

St. James, New York

E.D.N.Y. Docket No. 14-CR-328 (JFB)

USAO - New York, Eastern

Updated July 6, 2015

https://www.justice.gov/usao-edny/pr/investment-fund-manager-pleads-guilty-securities-fraud-
operating-17-million-ponzi