Ginko Has Not Allowed Withdraws For Over A Day Now...

O.o

Blocks in your way?

Dude, WHERE IS THE @#*()%@# MONEY??? If you truly have it invested, then you have access to it. Surely you can cash out some of your lower-risk investments and pay out your depositors' demands. That is what real banks do when there is a run. Your attempts to go out and borrow more money on good faith to cover existing demands smacks of desperation. You don't BORROW more money to cover withdrawals, you pay it out of asset liquidation. Borrowing money costs you more money, and means that there is strong potential that those creditors will lose their investment. There's no logic in throwing good money after bad.

At this point, I have to point out that I am not a customer of Ginko, or any SL financial institution, for that matter, nor have I had any interest in becoming same. I'm a disinterested third party, and even I can see how bad this looks. Do you really have much experience in the banking and financial sector, or is this some hobby to see if you can make a go of a virtual bank?

No matter what, you need to stop RIGHT DAMN NOW and get a few things sorted, or Ginko is going to be history:

1) Get a REAL PR person, or take a crash course on the subject.
2) Get an independent financial auditor to come in and audit your books.
3) Get to work on a detailed financial statement, outlining the results of the audit and have it certified by the auditor for release to the public. Get it published *yesterday*.
4) Liquify some assets to pay your customers' withdrawal requests.
5) Restructure your investments as soon as possible after the run is over so that this NEVER happens again.
6) Participate in some kind of independent oversight organization, AND provide more public transparency to your organization's investment and financial management practices ongoing.

Making personal pleas is VERY unprofessional, and raises a great deal of suspicion that the situation is actually much worse than even what some here are speculating.

I doubt Ponzi used those exact words when his scheme finally unravelled, but I am sure you've captured the very essence of them with that post.

Please list all the fact you (plural) have supposedly pointed out.

Thank you, thats all we have been asking for this whole time. wasn't so hard was it?

Now provide a full and detailed list, by my count that is nowhere near the 150,000,000 you need.

Actually, freezing interest would make sense too. Whatever works so that people can get their money out. I suggested decreased interest rates a while back.

I think the big factor here is that Nicholas doesn't want to take a loss. Well, everyone else is taking a loss. It's a fact of business. It's the price of an education.

Imagine my surprise when I heard a NON-Ginko Employee (doesn't work for Ginko!!!) camping the ATM say that 'people are so self-important, they think only for themselves' and disparaging people who wanted their money to run THEIR businesses. Excuse me?

Meanwhile buzzards are flying around, offering to buy Ginko bonds at reduced rates.

Did you not read my post about your yearly interest rate being 3.65% and that i can get a better interest rate in NZ with a AAA accredited bank?

Or the one about how you should be earning at least $750US a day in order to pay the interest you owe? (well not anymore)

the example was a 10% return ..

Any investment a 100% interest yearly fund makes that generates a 10% return is a 90% a year loss.

Yes, I have. Both are facts. What do you want me to say about it? In order to let people get paid for their withdrawals as fast as possible, we must cut down on the money going to pay interest. Is that really so hard to understand?

You spent a million to develop one sim? I hope the builds there are made out of solid gold. Oy vay.

I see you didn't bother to do the math. 100k out of 1mil is 10% a month. A year has 12 months.

Then shut down deposits and treat this like the bankruptcy it is and people will stop hounding you, or at least let you wind it up. As long as you seek new money, you are cheating *some* people.

Right. And it *can't* be--and neither can any others--because there's no regulation of in-world businesses. Is there even a credible third party to which such a "bank" could submit financial statements for auditing? LL, despite minting new L$s, refuses to play the role of "central bank" in any regulatory or deposit-insurance role, so as far as I can tell, the in-world economy is simply incapable of having any institution recognizable as a bank. It's not surprising: LL has more pressing matters to deal with, and surely doesn't need liability exposure at this level. So... yeah, it would be nice to have something presented to depositors/investors that looked like transparent disclosure, but without a way to audit such a statement, and some accountability for the accuracy of such an audit, it just might be more elaborately deceptive than secrecy.

There was a guy that posted an interesting post on Second Citizen about 11 months ago which broke down all the Ginko numbers and now, seems to have been almost totally on target. Ginko started to fail almost excatly as he said it would. Here is the link if I can find it.

Here's a quote from it. Was posted 11 months ago:
"Now, 21,660,000L$ in hand is still enough to pay out withdraws compared to deposits, but only for about another year, before Ginko will owe people so much money and no longer have enough actual L$ in hand (not just numbers on their database) to pay withdraws at which time the bank will collapse."

http://forums.secondcitizen.com/showthread.php?t=3306&highlight=ginko

well i'm sure there is a chartered accountant that can be hired to audit books and document that has no interest in ginko this is not a big deal. There is no government for anything we do, but there is a way to make the bank function as one as much as it can in SL. This isn't being done and until portfolios are presented and books are audited and the results published there is no bank lol not from what I see anyhow. Meanwhile its just interesting to watch and another sl experiment but this time with victims which doesn't please me a whole lot.

Yes chere, but what he, and many others have been asking of you is a simple assurance in the Form of a Complete List of the places where their money has been invested. Not at all an unreasonable request, But you keep sidestepping deflecting, and obfuscating. You Listed One, Ok, a Start, but it doesn't cover ALL the Money, or even a signifigant portion of it.
Just Give them the assurance they have asked for in that tangible form and ALL your troubles vanish. If it's all a Misunderstanding They will climb Off, and you can finish Clearing things up. "Why Should I?" isn't a question any honest, or reputable person asks, or Infers. You have a responsibility, and one Very Easy, and logical way to live up to it.

I've expressed my Opinion of the whole affair Earlier, and I'm waiting In Earnest for you to prove me wrong.

Angel.

See, I give one example and in five minutes I get two misrepresentations and denouncements of it. And you want me to release information on everything? On things which are much more complicated than this? No. Everything I release is just used against me. People have even managed to spin the personal information I have released against me. This is how openess has been rewarded. From now on no information will be released at all.

:igh:: you Just buried yourself.

Angel.

Ok i reread this part again.

You made 7 term deposits of 1 million == 7 million

allen gave you 3 million and you have 3 million left after early deposit penalties == 6 million

7 million - 6 million == 1 million loss

A check check of NZ bank websites to check for penalty fees on real life term deposits finds this:

The charge for early repayment is calculated by taking the lesser of –
(a) the original agreed rate less 3%
or
(b) the rate on offer at the time of investment for the actual term run
less 3%.

So you actually get all of your capital back and only lose a portion of your interest.

How in the world did you agree to such ridiculous terms regarding your investment?

Sounds like your an awesome investor, what made you think you could handle close to 1 million US worth of lindens?

Have i pointed out enough facts for you yet?

Are you about to remind us that the linden is a fictional currency and has no real life value?

Thank you for providing another example to prove my point.

Unfortunatly it seems that his solution would have been to simply increase pace of "rank or Yank" evaluations that were basicaly broken to start with.

sigh

Honestly you need to release information and yes people are gonna go feh because if the money was invested the investments have well run into issues and people are going to make noise but its noise none the less and not people ruminating over what is real and what is not real.

bottom line bonds and stocks and GICS etc need to be outlined
people have to at least be able to withdraw the principle of their deposits even if you need to sell stuff off. If there is nothing to sell then there is a problem. Your saying there is stuff to sell yeah some people are going to make comments on the integrity of the investment cause well something has gone wrong if all the investments were way COOL investments with high returns no one would be here posting and this thread would not exist..

saying nothing wont help that's for sure

Nicholas, I know you hate me with everything you've got right now (your IMs made that completely clear) but listen for a second.

You keep saying you want to make this right. I actually believe you, in spite of taking some crap for that. By even saying that, I'm making it so nobody can possibly hire me to sue you, so I'm putting what little I've got here on the line.

I think you're in way over your head right now. If you want to prove to everyone that you're not as bad as they think, here's what you have to do.

1) Close deposits - immediately.

2) Hire an independent accountant, and publicize his name.

3) Let him respond to questions from depositors from that point forward.

4) Open your books to him. Everything.

5) Ask him to sell all remaining assets, including anything you bought personally.

6) Ask him to divide that money amongst all depositors, based on their deposits.

You cannot make everything totally right again, and you know that, but you also know that there is a path here that is fair to everyone involved.

Do the honorable thing. Acknowledge the mistake, and let the people that have been hurt get what they can out of what is left. Do it fairly, openly, and people will remember that you made a mistake, but tried to fix it.

Nicholas, I'm surprised you're still around. If it was a scam, I figure you would have left by now.

In RL, this would be the point where someone else with a lot of liquid cash would offer to take the problem off your hands in exchange for all your assets... If you get that offer, you should take it. Get an alt, start over, learn from your mistakes.

It would probably be best to avoid the forums, unless you want to convey information. There are a lot of worried, angry people, and you're not going to be able to change their minds about being angry or worried with words. This is not a "failure to communicate" kind of problem. I think everyone has a pretty good idea of where you stand, and some people have harsh words to describe it. They're not going to get their money by roasting you, and you're not going to get them to forfeit their claims by "explaining the issues."

Generaly I would have to agree with you, unfortunatly if his "low risk" part of his portfolio includes things like rental properties then he may have a hard time getting out of thoes.

If part of it was "landboted" or Add revinue again he may have problems liquidating thoes assets (seriously how many 16m^2 lots can you realisticaly sell off? I honestly dont know)

Actualy his best bet would have been to try to liquidate his high risk holdings and pull in the interest rates. to better match what he could expect from his other holdings.

there that sums all this entire thing up.

he has an Aircraft carrier thier. I think this falls under the 600 toilet seat rule. . .

but seriously fly around and see if you think that property has the potential to generate 100k, let alone 100k After teir.