Tweet
Olint investors threaten suit
Published: Saturday | August 21, 2010
A GROUP calling itself the Association of Concerned Olint Members (ACOM) says it may bring a class action in the United States as a result of the indictment of Olint boss David Smith.
The US this week indicted Smith to stand trial for 23 criminal charges, including money laundering.
But ACOM says the United States' declaration of interest in Olint, based on the allegation that it is laundered money, means that "there is the likelihood of the money not being returned to its rightful owners".
"We are now seeking legal advice as to how best to thwart such an eventuality, and are not ruling out a class action in the USA," the group said.
Smith is currently facing fraud charges in the Turks and Caicos Islands (TCI) where he now resides.
Not surprised
Yesterday, ACOM said it was not surprised by the indictment in the US. It said the US had been working to get through to Smith.
"It is ominous that the combined resources of the United Kingdom, the United States and the TCI have to date failed to present Mr David Smith with his "day in court".
Instead, the prosecution, having arrested Mr Smith and having secured an order that has frozen his assets worldwide, seems afraid to test its accusations against the scrutiny of defence examination in a court of law," ACOM said.
"We have no reason at this stage to feel that the well-choreographed and strategically timed entry of the United States to the centre stage of this catastrophe will bring any different results than those we have seen to date," the group added.
ACOM claims that Smith "does have funds that belong to Olint members, and these funds cannot reach the hands of its owners for as long as David Smith is holed up in any court".
Comment