The fall of the IOS

After Vesco had entered into the IOS, he strengthened his position by the fact that he acquired the block of shares of Berne pool of broadcasting corporations Cornfeld in January 1971. On 16 January 1971 Berne pool of broadcasting corporations Cornfeld sold remaining shares for 0,80 $ per piece to it to an unknown society named Linkink. Cornfeld believed, it acts around international investors, in reality Vesco the mail box company Linkink only for the purpose of the acquisition of the Cornfeld shares had created. Vesco stood from the outset before the problem that he could not use the still existing means of the IOS freely, because the comparison with the SECOND forbade the IOS still any manipulation in the USA and concomitantly a co-operation with the company ICC of Robert Vesco. Gradually Vesco occupied high positions of the IOS with own coworkers to be able to finally use with the goal, the means of the IOS over mail box companies. It developed the plan to create under the name ABC an offshore company in order to then lead the IOS funds over mail box companies and banks on the Bahamas into this new company. As consequence so the still existing fund funds would have been extracted from the access of the investors. The cash transactions arranged by Vesco did not remain unnoticed and in such a way came it for at the end of of 1972 to a second accusation against Robert Vesco and six further persons under the reproach 224 millions $ of the IOS to have defrauded. In other reports of up to 500 millions $ one spoke (, there the IOS funds already in September 1971 only 480 millions $ under administration had a groundless number). The SECOND reduced the concrete reproaches later to 100 Mio.$, also of it might however only a smaller part of the accused ones of have been effectively suppressed, since in the insolvency procedure of the IOS and other companies a majority of the funds was guaranteed. The largest case of single abuse was thereby 60 million a $-transfer find of the OF of find on a bank on the Bahamas, about which according to insolvency manager the whereabouts of approx. 20 millions $ were not to be clarified no more. Vesco extracted itself from the procedure by escape to Costa Rica. It lived until 1982 in Costa Rica, the Bahamas and Antigua, until it finally arrived to Cuba.

1973 had to announce the IOS insolvency. The execution of the insolvency of the IOS and its funds is final also at the beginning of of 2006 not yet completely. It succeeded however even in case of find the OF of find to reach and them liquidation funds disburse 95% of the registered investors, a clear proof against the myth, which would have IOS investors everything lost. The strongly decreasing/going back inserts to end of 1972 show also that many investors returned their fund portions, when still another a regular on and sales of the fund portions took place. In case of of losses at the strongest met find the OF of find many German investors 1969 had exchanged their portions into IIT or investor fund portions, since the sales find of the OF of find in Germany was illegal starting from 1 November 1969 and the past investors of the FOF with a higher tax were occupied on its portions.

The liquidation find of the OF of find was locked officially at the 16.Januar 2006. To the investors 15.75 $ per share (162.6 Mill. $) were paid. The IIT investors had received the venture fund investors 9 $ per share to 1986 7.50 $ per share. The liquidation of the Investment Properties international was terminated officially in December 1999. To the investors altogether 172 millions $ or 16.49 $ per share were disbursed.

Of the IOS insolvency the investors of the investor fund were not concerned. This was resumed until 1975 by the Orbis bank. After the insolvency of the Orbis bank 1975 it was acquired by the MK-Kapitalanlagegesellschaft and continued under the name MK-investor-fund (with still 45,000 registered customers). On 30 June 2005 the MK-investor-fund was closed.

This very day wait for accounts of trustees Gelder from the IOS liquidation for the requirement owners. In case of the IPI (Investment Property international) this is after information of PricewaterhouseCoopers 7 millions $ (conditions: In the middle of February 2006). From the liquidation find of the OF of find still about 4.4 Mill. $ can be made valid after information by Deloitte & Touche. On two Internet sides examinable ("„globalnaturalresources.com "“and "„unclaimedassetts.com "“) still beginning 2006 expensive materials were not offered for the purchase, with which the prospective customer can make allegedly its requirements valid.

Nachbemerkung

The achievements of most IOS funds were below average. By risky investment strategies and high fee loads hardly a fund could fulfill expectations set into it. That end of 1969 largest funds of the IOS, the IIT, created it from 1960 to 1969 to obtain only 4 millions $ profit for the investors in the same time took the IOS 11 million $ at fees of the IIT. The value one still in the with large success in Germany sold venture fund fell including fees, revaluing and Kursverlusten to in the middle of 1970 around nearly 40%. Find OF find investor particularly met it at the end of of August 1970. 3/5 the fund assets were transferred into a new society (the investors received a share of this new company Natural Resources Property Corp, which represented the former raw material fund of the FOF) to reconciliation. The value FOF portion fell in such a way from 18,44 to 7,44 $, a loss of 75% in relation to the bond issuing price of 1963.

Berne pool of broadcasting corporations Cornfeld, to which never a return to the financial transaction succeeded, died to 27. March 1995 at the consequences of a brain bleeding becomes impoverished in London.

Edward M.Cowett became only 43 years old. It died 1974 at heart failure.

Still 1988 lived all CAN gate well situiert in Switzerland.

John M. King lived 1986, by several impact accumulations drawn, as a small businessman in the USA.

Robert Vesco was condemned 1996 in Cuba because of the trade with an alleged miracle medicine named "„TX "“to 13 years detention.

A restart succeeded to many German point managers of the IOS with other financial enterprises, later often also than bosses of own Finanzdienstleister (Otto Witschier/OVB, Werner Kunkler/HMI, Erich Mende/Bonnfinanz, Reinfried Pohl/DVAG, Udo cellar/Tecis).

Literature

• Charles Raw/Bruce PAGE/Godfrey Hodgson: "“DO you sincerely want ton "”, Broadway Books, New York, 2005, ISBN 0-7679-2006-6
• Bert CAN gate: The Bernie Cornfeld story, Lyle Stuart, New York, 1970
• Manfred Birkholz/wolf Saller: IOS vertical take-off and crash of a success idea, Econ, a Duesseldorf/a Vienna, 1970
• Arthur Herzog: Vesco, Writers club press, New York, 2003, ISBN 0595272096
• Giorgio Pellizzi: Bernie, the Milliardenflipper, red book publishing house, Berlin, 1974

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