Ponzi Scheme TadawulME / Exential Group:

Guaranteed profits become guaranteed losses.
Probing Further into Exential

SilentSpectator,

Does Exential pay clients in some way if a client recruits more people to deposit money? If so, can you detail how that works? Not all Ponzi's do this, but it is very common. The payments in those cases are often a little too generous.

Did you send your deposit to the broker or two Exential? If to the broker, what info do you have on the broker's legal status? I've seen brokers created out of thin air just to support a managed account fraud. Another possibility is that there is a real, legit broker somewhere, and your money was sent a bank account with a similar name, but not under the real broker's control.



Everyone only has good experience with a well run Ponzi - until the day that the owner either runs short on cash or just decides to bail just after it peaks.

Why would you ask here for the newsletter. I'd assume if there was one, Exential would sent it to all their "investors". Why not give them a call and ask where your copy is.


Hi Pharoah,

I'm a registered client of exential and as of now I am satisfied. To answer your question, no they do not base any payout with recruitment of more people. They do take the effort to explain to new investors how their business work and would answer your questions. I gave a cheque addressed to Exential where they deducted from their bank. You are right at some point that I have no documentary proof that the money was transferred to the broker.

After reading your posts, I am definitely interested to know further as to how Exential would prove your statements false. I am hoping someone from this thread could shed concrete facts to address valid points mentioned by pharaoah. Keeping my mind open to all possibilities. Hope we could all bring into light the full story here.

anyone in Dubai who wants to meet up to discuss this would be glad to meet up?.. both pro and anti exential are welcome.
 
Reading Pharaoh's arguments on this thread was definitely a pleasure, and personally I think this whole thing is a ticking time bomb. However, I know people in Abu Dhabi who had created an account 4 years ago and now they have more than tripled their money. But instead of completely relying on Tadawul/Exential, they have divided their money on several investments and now are making good money.

As for addressing the issue of Exential paying our people to recruit more people, there is a trading company called Lanswell in Abu Dhabi who are the self proclaimed agents of Tadawul/Exential. They are targeting people who cannot afford to buy an account entirely by themselves. Making an account with contributions from 7-8 people and I can confirm that Tadawul is infact paying Lanswell for their recruitment. They started this around an year back and now the same people who invested 10k-20k AED are opening their own accounts by taking loans that they can pay back with their salaries. People are in fact making good money off of this and my close friends have told me there has not been a single problem with their withdrawals etc.

However, the company is closing in on 5 years based in Dubai. My question to Pharaoh: if this is a scam, it definitely involves millions of dollars of trading everyday. How can the Central Bank not know of this? Also, if I want to invest in a reputable forex trading company which one would you recommend?
 
Exentialinvestor, if your money is really supposed to be in an account at a broker which is dedicated exclusively to you, why not contact the broker directly and ask then to provide details.

Dubaidude, if it's really a sustainable and profitable trading system instead of a Ponzi, why wouldn't the government be endorsing it to increase the financial well-being of citizens? I can tell you some reasons why it would be hard to shut down:

1. Getting investors to share information that might end their profits isn't easy. The recently departed SurfO is the type who would say or do anything to prevent a real investigation of the company. In many cases, when a Ponzi ends, clients who unquestioningly enjoyed the illicit profits are only angry at the people who exposed the scam, not at the people who ran the scam.

2. Until a Ponzi stops paying, many investors are happy and feel no need to check with the government. If a government agency in the UAE started doing an obvious investigation (like demanding lists of clients) before everything is in place for prosecution, the money and the people behind the scheme could disappear overnight.

3. With only a few suspicious clients providing what little inside information a non-transparent company like this makes available, building a solid case can take several years. As above, if the government even hints that there's an investigation going on, the whole organization can disappear.
 
hi how are you? i want to ask you about exentialgroup company if still good time to join? i am about to have an account with them thanks
 
The more people who realize that there's something not right about this so-called investment, the more chances that it could disappear in a heartbeat.

Do you want to put your money into something that's very likely illegal and that could disappear with all of your cash overnight?

Getting back to the question about why the government hasn't shut it down, I recently saw an episode of American Greed about the end of Oxford/Universal Brokerage. The scam's profits couldn't keep up with the lifestyle of the scumbags in charge, so they tried to recruit a banker to help them lure in more investors. The banker checked carefully, realized that it HAD to be a Ponzi, and gave info to the authorities.

You'd think that would be the end of the scam. Instead, the FBI, SEC, and more told the banker that they needed someone on the inside to get the proof needed to shut it down. The banker did the heroic thing and quit his job to work as an undercover informant. Without him, the scam could have lasted a couple more years or even could have shut down and then rebranded itself to last even longer.
 
Hi Hello , this is My real experience , as everybody Had invested in this exential ( i've 5 account = 100.000$ with them ) this month after exactly 10 months i have all of My capital in My hand , i Had whitdrawal every month an average of 1780$ per account .. Without any issue, so my brother opened another 3 account 2 months ago and no problem At all ... I was in their Office many Times and i checked everything , they are not a scam , they have Also as a sponsor an Abu Dhabi Family sheik . Another proof is that you cannot find any complaint on the web , and in 4 years and half of business running i guess that this is a very good result .
 
So, any company that's been around for several years can't be a Ponzi, right?

Wrong. Check some CFTC cases for multi-year Ponzi's and remember that the CFTC is probably the toughest regulator out there::

In the Order, the Court found that, from approximately December 2008 to January 2012, McCullough and Mayhew operated a fraudulent scheme that solicited approximately $2.3 million from at least 11 members of the public to trade leveraged or margined off-exchange foreign currency contracts. The Court also found that McCullough and Mayhew misrepresented their trading record, used some customer funds to repay other customers in the manner of a Ponzi scheme, and misappropriated more than $1.6 million from their customers, including $829,000 for their personal use.

http://www.cftc.gov/PressRoom/PressReleases/7220-15

Washington, DC– The U.S. Commodity Futures Trading Commission (CFTC) filed a civil enforcement Complaint against DefendantGlen Galemmoof Cincinnati, Ohio, charging him with operating a multi-million dollar Ponzi scheme through his firm,QFC, LLC,from February 18, 2010 through at least July 17, 2013.

http://www.cftc.gov/PressRoom/PressReleases/7001-14

The summary judgment order entered against Gresham on September 9, 2011, found that, from 2004 to 2009, Gresham fraudulently solicited $15,900,245.97 from over 100 customers for the purported purpose of trading forex. According to the order, Gresham lured customers and prospective customers with promises of extraordinary monthly returns ranging from five to 10 percent and perpetuated his scheme by falsely reporting substantial gains to customers. The court further found that Gresham engaged in only limited, unsuccessful forex trading and that Gresham misappropriated the vast majority of customer funds to pay “returns” to other customers and for personal use.

http://www.cftc.gov/PressRoom/PressReleases/6268-12

According to the complaint, since at least 2001 through February 29, 2012, Wilson and AB&C operated a Ponzi scheme, and, as part of the scheme, fraudulently offered contracts of sale of silver, a commodity in interstate commerce. Through their 11-year long scheme, the defendants allegedly fraudulently obtained at least $90.1 million from at least 945 investors for the purchase of silver.

http://www.cftc.gov/PressRoom/PressReleases/6275-12


Here are a few other long-term Ponzi schemes:

A woman known as Dona Branca ran a Ponzi that paid 10% per month for 14 years.

Ronald Rewald has a Ponzi paying 20% annually from 1978 until 1983.

James Paul Lewis, Jr.
ran a large Ponzi scheme for about 20 years. In the end, investors lost over a hundred million dollars.

In all of these cases, some investors end up in profit. What is also plain is that 100% of these "profits" came from money that was stolen from other investors.


Any real investment company will not pay large, fixed interest far above banks. Any real investment company will be transparent. Any real investment company will be happy to provide all the evidence needed to show that they are not a Ponzi.

If Exential were a real investment company, they'd have sent someone to this thread to try to explain away some of the many warning signs and to provide some evidence of their trading skills.
 
For those of you who feel confident that this is indeed a legitimate forex trading scheme, follow your money. You might find that it's very difficult to do. Try getting access to your personal brokerage account with FCI or Ellipsys. One of the the key selling points for Exential is that your money is safe because it's held at a separate account:

"No one can access the money in this account but the client. Hence you retain complete authority over the account at all times." (Exentials Website)
Furthermore, they suggest that your monies are held at major banks:

"All funds are segregated and held at Tier 1 banks such as our banks, HSBC, Investec Bank and Barclays. We will direct you to the most appropriate bank upon application." (Exentials Website)
So did you have the option to open a trading account with any of these banks upon application or were you directed to a different bank/brokerage?

Now take a look at Ellipsys. This is a brokerage company set up on Mauritius. Go to the website and try contacting them, try web login. Does anything work? The answer, if you can't be bothered to try it out yourselves, is NO. Have a look at who set up this website. Surprise, surprise, a company in Dubai. Of course it could just be a coincidence that this independent reputable brokerage firm in Mauritius that has a website that seems to be an empty shell without any working functions chose to hire a web design company in Dubai.

Now, back to following your money being held at a "Tier 1" bank, in an account "you retain complete authority over the account at all times."

How was your funds deposited in this account? Did you send the money to Exential? If so, did they instruct you to include with your transfer to them the following text: Special Instructions: Payment for Forex Software. Now read that again and have a think about what means.

Or where you perhaps a bit more thoughtful about how you founded your account? Did you ask to transfer directly to your trading account? So if you where with FCI or Ellipsys did you transfer your funds to the BVI or Mauritius, where they are located or was it to a bank in Dubai? Was it one of these "Tier 1" banks? The answer is of course no.

Hold Exential to what they advertise and demand direct access to your accounts. Not access through them but direct access.

Another big selling point for Exential is S&S Brokerage House. They will tell you that this has to be legitimate because S&S is regulated by the UAE Central Bank. Have a look at the contract you signed with S&S and tell me how they would be liable if Exential runs away with your money. You basically sign a piece of paper saying that S&S has no responsibility whatsoever about what happens with your money. They wash their hands completely and what their role is in this transaction is not clear at all. Your account is supposedly held in trading accounts outside of the UAE.
 
Hello to all,
As I follow and read all the comments, all the members of exential are happy. To Mr.Pharoah what is your true intention, motive, and gain giving your accusation. First of all no one knows what is the truth even you and it's not your money will be loss if something bad happen.
 
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