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July 30, 2009 All Information Subject To Change Without Notice |
BGMTN.COM:
An Information Service of PCC Funding News, Views, Opportunities, Opinion.
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Due to widespread fraud perpetuated by certain brokers, sellers and buyers, the information contained in this newsletter is provided with the caveat that all Principal parties are warned to beware and verify any items in this newsletter. This newsletter is a compilation of experiences and observations of the writer, and are not intended, nor to be mistaken, for legal or financial advice. Unfortunately, the industry has become fraught with individuals of questionable ethics and behaviors, so each reader must take responsibility for their own due diligence. Should you find a gross inaccuracy in one of the items, it is appreciated if you would let us know so it can be further researched and, if necessary, retracted, corrected, or validated. |
Greetings!
Welcome to today's updates and views on the world of financial paper.
The response to our re-launch of this newsletter has been overwhelmingly positive. In fact, within 3 days, several direct principals have contacted us to congratulate our presentation. They have also praised the honest and open discussion of some of the problems and concerns they face in buying or selling their paper.
Of course, not all the feedback has been positive. Mostly those who are not in the business for anything more than fast money have found themselves on the receiving end of many of these complaints from the two principal perspectives.
One of the most graphic descriptions of the conduct seen in this business-- as it exists today-- is that of a river-like sewer of garbage separating the buyers from the sellers. On each shore is a principal, and in-between is the flotsam that has been created by the Liars, Cheats and Thieves Club-- those who are trying to grab greedily at what could be great rewards without concern or care for developing the real relationships of trust that are essential to every business transaction.
For those who are Principal buyers and sellers, this newsletter is meant to shine a light on this and, hopefully, steer a clearer path across the river to successful transactions without being dredged through the garbage. |
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NOTE: ACCORDING TO OUR TRADE PLATFORM SOURCES, ALL TRADING IN THIS ARENA STOPS AFTER FRIDAY AND RESUME IN SEPTEMBER! IT IS TOO LATE FOR ANYTHING TO HAPPEN NOW, BUT GETTING YOUR COMPLETE DOCUMENTATION IN A FULL PACKAGE WILL GET YOU IN THE QUEUE FOR WHEN THE DOORS OPEN AGAIN!
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MTN Opportunities
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While the prices vary, this is an example of routine opportunities. Prices range all over the map. Your LOI should specify exactly what you are looking for.
To help you help us, download this Request form, and return it completed.
Instrument: Medium-Term Notes (MTN)
Format : Per Standard Top World Bank / ICC
Issuing Bank: Top 25 West European banks
Age: Slightly Seasoned
Term: Ten (10) years and one (1) day
Rating: S&P "AA" rated or better
Currency: USD OR EURO's
Interest Rate: 7.5% coupon
Contract Amount: 50 Billion USD
($50,000,000,000.00 USD) (50,000,000,000 euro)
with Rolls and Extensions
Price: XX% Plus one percent (1%) of the instrument's
face value, for Fees .
First Tranche: Five Hundred Million (500M) USD or EURO
Subsequent Tranches: As per agreement between buyer and seller
Tranche Frequency: Four or Five days per week, or as agreed
between buyer and seller.
Denominations: 100M/ 250M/ 500M/1B as available and as
agreed between buyer and seller.
Screening: EUROCLEAR
Purchase: DVP Settlement Procedures or Screen-Block-
Pay, as agreed between buyer and seller.
Delivery: Original hard copies Bonded Couriered Bank to
Bank within (7) International Banking days per
Instruction.
Where XX is in the price, we suggest you put in a realistic price range, not a wishful thinking price.
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Bank Guarantees- Fresh Cut
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INSTRUMENT DESCRIPTION Bank Guarantee
CONDITION Fresh Cut/Shelf Paper [no ISIN/CUSIP]
TERM FIVE (5) YEARS
COUPON N/A
CURRENCY USD or EUR
PURCHASE PRICE SIXTY SEVEN (67%) PERCENT PLUS
ONE (1%) PERCENT INTRODUCING
50% of 1% TO SELL SIDE AND 50% of
1% PERCENT TO BUY SIDE
ISSUING BANK UBS ZURICH, HSBC LONDON,
BARCLAYS LONDON OR ABN AMRO
LONDON
CONTRACT AMOUNT FIVE BILLION (5,000,000,000.00) WITH
ROLLS AND EXTENSIONS
DENOMINATIONS 100M, 500M PREFERRED
INITIAL TRANCHE ONE HUNDRED MILLION
(100,000,000.00) USD or EURO
PURCHASE MODE EUROCLEAR SCREEN, VERIFY, BUY
TICKET, BLOCK & PAY OR AS AGREED
BY PRINCIPAL TO PRINCIPAL
MODE OF PAYMENT ELECTRONIC FOLLOWED BY HARD
COPY COURIER DELIVERY
SCREEN EUROCLEAR ONLY
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Placing a Bank Guarantee or MTN
Directly Into a PPP
 Private Placement Programs are still around, and they range from 24 hour "Bullet" programs, to 40-weeks, and in-between.
If you are the owner of an instrument that is bonafide and can be verified, that instrument could be moved into the trader's account and start profiting the owner.
Shoot us an email for more info. info@pccfunding.com |
The following is NOT AN OFFER TO SELL OR SOLICIT. It is for Informational purposes only. This comes from one of our direct connections. Just because it is published here does not mean we accept any liability or responsibility for the accuracy of the following information.
A Trust With Anonymity
by S.T.
"I work with a 61 year old Trust in Switzerland and they can bring forward a supply of Bank Guarantees, Medium Term Notes and other bank instruments under certain conditions as stated below.
They (the Trust) are a full depository working with 5 corresponding banks - Deutsche Bank, HSBC, Credit Suisse, UBS, and Commerzbank. They also hold a securities broker/dealer license, insurance license and real-estate licenses. The people we work with at the Trust would be considered Asset Managers and provide many services other than non-recourse project funding.
The only stipulation is the Client must move their funds into a sub-account (under their sole control) within the Trust in order to obtain the instruments they desire. The Trust is not in the business of selling paper, per say, but it provides this service to help its members accomplish their goals, with those inside the Trust.
Members of the Trust are able to view from their office a listing of all bank instruments available to them on a day to day basis. If they do see an instrument they are looking for, they can order it. It may take more time to obtain the instrument this way but they will get it in a timely manner. The Trust normally uses the instruments for their own Managed Buy/Sell Programs since they have their own Trader. But all members can sell to their own exit buyers. The clients' name is never revealed as a client doing business inside e, therefore they can buy, sell, etc without the outside world having knowledge of their activities.
Please understand that all claims made here concerning the Trust ability to obtain their members bank instruments, will be verified by the Trust in writing in the form of a contract. Any and all questions will be answered to your client's satisfaction before any requests will be made on them. They must feel that this is the place they want to be doing business. The Trust is here to serve them.
To be connected to more information, please email your request about The Trust by clicking here.
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For The BG or MTN Instrument Owner
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If you own paper, we invite you to email your model LOI with the instrument specifications. In the event someone is looking for something fitting the description, please include your desired procedures. The list of people potentially interested in speaking with you about your paper(s) is ever- growing. As an information exchange service, we put the Principal players together and stand aside. We deal only with the Principal or the Authorized Agent/Rep. If you need to see some sample formats of documents that you would typically use-- again for informational purposes only- we have prepared a set that can be yours for downloading here. |
 Leased Instruments
Sometimes, instead of buying a bank guarantee or medium term note, it makes sense just to lease it for a period of time.
We are now working as direct lender representatives to the owner of a large inventory of instruments that he leases out. Used for credit enhancement or other legitimate purposes, download our information package here. Questions? Just ask! |
BUYER: "Why Won't People [Sellers] Just Send Me An ISIN or CUSIP Before I Send My Compliance Docs?"
Perhaps you have heard the expression. "There are 3 sides to every story; Your Side, My Side, and the Right Side". Every Buyer wants to have some assurance that they aren't wasting time with a non-performing Seller, right?
But there are two inherent problems with asking a Seller to show specific product information as the first step in the transaction.
1. Solicitation. A Buyer must first request through a formal letter of request or intent, more information on what the Seller has, whilst acknowledging that the Buyer is initiating the conversation of his or her own volition.
2. Security. It is an internationally accepted fact that the Seller of an Instrument has the duty to make sure the Buyer isn't on one of the Specially Designated Persons list at the FBI or Interpol, or the ICC, or some other blacklist. It is also incumbent on the Seller to make sure the money being proposed for the purchase isn't illicit, terrorism, or borrowed money for the purpose of arbitrage.
Some will argue that 'private' Sellers do not have the above restrictions and can do anything they please. In truth, that may be so in certain cases. But why would a Seller, unless he too is doing something devious and questionable, even want to take a chance? If the authorities come knocking and ask if the Seller took reasonable precautions to make sure his Buyer was honest along with his money, how will it look if the answer is "No, sir, I did not check the authorities"?
As a Buyer, you put a Seller in a very awkward position by insisting on seeing the actual instrument details first, without you allowing yourself to be declared clean and clear. That's the reason why so many Buyers walk away empty-handed. The blame falls on the Buyer for asking for something of the Seller, who is at risk for fines and jail time.
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There are a lot of silly things being done out there that spell death to a relationship. Without a strong relationship, a transaction cannot possibly happen.
In the long run, people will SAY they can do this or that, or have this or that, but the true test is when they SHOW by their actions what they can do. |
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How We Work
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Rules Of Engagement |
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FIRST RULE:
NO PHONE CALLS!!!
EMAIL IS THE BEST WAY TO START A CONVERSATION!
SECOND RULE:
NO BROKERS OR INTERMEDIARIES WHO ARE NOT DIRECT! NO CHAINS WHATSOEVER!
If The Person You Are Talking To CANNOT WRITE A CHECK OR SIGN A CONTRACT.... Please Do NOT Waste Time.
Unfortunately, it seems to be a regular occurrence where people claim to have the ability to deliver a product and truly don't... most of the time due to their misrepresentation, some of the time due to circumstances beyond their control.
In order to effectively put a Principal buyer together with a specific opportunity, we ask each buyer to complete the downloadable request form-a "wish list" if you will, for each of the paper they are looking for.
The more specific the description of the instrument the buyer wants, the closer we can come to finding them what they are looking for. Otherwise, it's like walking into a grocery store filled with thousands of items and asking someone to 'show me what you got'. Waste of Time.
As buyers and sellers come together, they can be directed to each other when there is a fit that is close, or exact. If you know where you are going, getting there is a lot easier.
For legal reasons as mentioned above, paper sellers want to see the Buyer prepare either a Letter of Request or an LOI.
Some Buyers ask that the Seller provides some kind of letter or ISIN or CUSIP numbers. What they don't realize by asking that is they ask the Seller to SOLICIT an offer. Until a Seller has cleared the Buyer and his/her money, and provided a non-solicitation statement, the Seller can be looking at fines or jail time.
The Sellers are very cautious about this, even if the particular instrument is not subject to Solicitation rules. They tend to err on the side of caution.
This opens the door for a conversation once the seller has had a chance to look over the buyer's request and do a quick due diligence check. It helps even more if a Non-Solicitation Letter or clause is included to better ensure compliance.
Because the owner of an instrument is prohibited by law from soliciting, or appearing to solicit, someone to buy their paper, all initial interest in it must FIRST start from the buyer.
The seller cannot send out a LOI or other documents without first having been approached by the buyer prospect.
So many buyers want to see the seller's LOI first, they don't realize they are actually asking for the seller to break the law!
This is many times the reason a buyer is unsuccessful.
Without even knowing it, they have demonstrated a lack of understanding of the manner in which a transaction is facilitated, and sent that message to the seller, who naturally will decline any reply or response.
The role that I play is to facilitate the information about a buyer to an owner or seller of the paper desired, which helps overcome the issue of putting the seller at legal risk for being seen as soliciting.
If I am not acting as the principal in the deal, simply providing the opportunity for a meeting of the minds with a buyer/seller is much like posting a "Want to Buy" notice, and having that delivered personally directly to a possible opportunity.
As of last week, I am DIRECT to several platforms managers and owners as well as certain banks. I am connected generally either to the provider's representative, or rarely no more than 1 away.
In the case where other intermediaries might be involved in bringing the end buyer to the table, they must stand back immediately and allow for direct conversations to be facilitated with the buyer principal. However, if there is a chain of more than one broker between the Principal and you, we will most likely not be interested in discussing it.
Group conference calls and broker interference in any way automatically kill the deal. If there is no one on the phone who can sign a contract or write a check, there is no reason to talk.
Compensation is generally broken into two categories: Full Share and Referral Group.
A Full Share of a box may be shared by those who are doing the heavy lifting in a deal, versus those would be considered a Referral Fee recipient-making a phone call or email to introduce the parties is not an entitlement to a full share of a box. | |
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Thank you for reading this. If this newsletter does not apply to your interests or business, please Unsubscribe at the bottom.
If this DOES have value to you, please share it with other reputable people who are principals in the business.
Sincerely,
Michael Weiner, President/CEO
PreConstruction Catalysts, Inc |
Sender is not a licensed United States Securities Dealer, Broker, US Investment Advisor or Commodities Trader. This electronic transmission and or attached documents are not to be considered a solicitation for any purpose in any form or content, nor an offer to sell and/or buy securities. And is sent so as a request for information.
NOTE: This communication is private, confidential, and between the parties. It is not public disclosure and not a public offering. It contains information which may be proprietary and privileged, and does not constitute a legal agreement, nor is it to be construed as legal advice or consulting. Any review, re-transmission, dissemination or other use thereof, or taking of any action in reliance upon this information by persons or entities other than the intended recipient is prohibited.
This material is for information purposes only, and is not a solicitation of funds to buy and/or sell Securities, nor a solicitation to provide financial services. The afore-referenced instruments are not offered for sale herein. We are not the Providers. Bank Instruments are for private sale and do not come within the purview of security laws of any nation.
Protected by copyright laws of the United States and international treaties. This Newsletter may only be used pursuant to the subscription agreement and any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), in whole or in part, is strictly prohibited without the express written permission of PCC Funding, PO Box 1222, Olney MD 20830.
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From The FBI
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Redemption/Strawman/
Proponents of this scheme will claim that the U.S. Government or the Treasury Department controls bank accounts-often referred to as "U.S. Treasury Direct Accounts"-for all U.S. citizens that can be accessed by submitting paperwork with state and federal authorities. Individuals promoting this scam frequently cite various discredited legal theories and may refer to the scheme as "Redemption," "Strawman," or "Acceptance for Value."
Trainers and websites will often charge large fees for "kits" that teach individuals how to perpetrate this scheme.
They will often imply that others have had great success in discharging debt and purchasing merchandise such as cars and homes. Failures to implement the scheme successfully are attributed to individuals not following instructions in a specific order or not filing paperwork at correct times.
This scheme predominately uses fraudulent financial documents that appear to be legitimate. These documents are frequently referred to as "Bills of Exchange," "Promissory Bonds," "Indemnity Bonds," "Offset Bonds," "Sight Drafts," or "Comptrollers Warrants." In addition, other official documents are used outside of their intended purpose, like IRS forms 1099, 1099-OID, and 8300.
This scheme frequently intermingles legal and pseudo legal terminology in order to appear lawful. Notaries may be used in an attempt to make the fraud appear legitimate.
Often, victims of the scheme are instructed to address their paperwork to the U.S. Secretary of the Treasury.
Some Tips to Avoid Redemption/Strawman/Bond Fraud
Be wary of individuals or groups selling kits that they claim will inform you on to access secret bank accounts.
Be wary of individuals or groups proclaiming that paying federal and/or state income tax is not necessary.
Do not believe that the U.S. Treasury controls bank accounts for all citizens.
Be skeptical of individuals advocating that speeding tickets, summons, bills, tax notifications, or similar documents can be resolved by writing "acceptance for value" on them.
If you know of anyone advocating the use of property liens to coerce acceptance of this scheme, contact your local FBI office.
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Why This Newsletter? |
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As a communicator of over 36 years, the need for open discussion became apparent to me when I entered the business of facilitating relationships.
My philosophy is simple: when you create a good, clear and honest relationship between people, transactions happen.
I have seen the exact opposite behavior fail time and time again.
This includes brokers who do nothing more than leech onto a potential transaction but could care less about the long-term benefits of developing a solid relationship, to buyers who end up empty-handed because of their inflexibility to work with a seller. And, of course, 'sellers' who end up having nothing to sell. This world is insane and destined to fail 99% of the time, until someone puts a screeching halt and says, 'ENOUGH!'.
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Trust is always the foundation of a true, strong
relationship.
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That holds particularly true when we are dealing with the financial underpinnings of our global economies.
There is just too much at stake to allow untrusted players to be involved. And, that's why most deals that are done are completed behind closed doors, privately, and quietly.
Integrity and Accountability are also ingredients of a successful relationship that spawns transactions.
Do what you say you will do. Better yet, don't TELL me, SHOW me. How we operate as human beings in the world of high finance ultimately decides how successful we will be.
I hope that this newsletter, brought to you occasionally as there is something to talk about or share, will provide a common basis for the creation of the type of relationship that makes for fertile ground in which deals can happen.
Enjoy, and please contribute your thoughts as well. I don't know everything-- learned that a long time ago. I am pleased to act as a medium for facilitating direct relationships between buyers and sellers.
And now that I am also a principal facilitator to a number of trade platform managerss, I hope to set the bar higher for those who will work in this industry in the professional, competent way it needs to be worked.
PCC Funding
a division of PreConstruction
Catalysts, Inc.
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