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Wednesday, May 12, 2010

The Markets and Gold

Most that read this blog know little about me other than my messy case and that I owned escort services for a decade in Orlando. I'd like you to know that I am more than that and have done other things in life. For a couple of years in that decade I sent the telephones to voicemail and didn't return calls unless I knew the caller – I was busy with my photography studio, which turned out to be a money pit. I think it was my artistic side that killed its financial viability. I also studied the equities, commodities, and futures markets extensively for several years and started trading online in late 1997.


By 1999, my tax returns were such an undertaking that my dear accountant made me do it myself, though he loaned me his office and computer (with necessary program) to complete the task and it took several long nights. When you day-trade you receive 1099s from the company that you make trades with and they list the sells, but not the buys, so someone must enter each and every transaction in the tax return program. If this wasn't done it would look like one had an ungodly amount of earnings from sales. I cannot recall with any accuracy how many pages my returns were in 1999 or 2000, but it was heavy stuff. The MBI would have liked all to believe that I was glued to the telephone booking calls; however, the truth is that I often didn't answer at all.

I spent much of 1999, 2000, and 2001 studying the gold and silver markets in all forms. At one point I could have told you the ratio of gold in any South African or Canadian mine and offered an evaluation of the stock prices. I held shares in most mining companies – gold and silver – and played the futures and options markets. I also bought silver and gold bullion coins and bars, and at the point of my arrest had over 500 ounces in 10 oz. silver bars, and plenty of 24 karat gold bullion coins.

Back then – prior to my arrest – I was able to purchase silver at $3.50 to $4.50 an ounce and gold for $250 to $280 an ounce, depending on the specific coins. I also managed to get into gold and silver equities when all these companies were on sale. I was set for life the day that I was arrested, November 20, 2001. I was waiting for the economy to fall through the floor and gold and silver to reach new and unheard of highs, but then the real estate market was propped-up and people used houses like ATMs, so it didn't happen. I also had to sell my house to pay my attorney and survive about half way through the case, so I missed the big real estate boom too. I had to sell my stocks at a lower price than I paid just to bond out of jail - $100K bond – and get through the first few months of hell and discovery/investigation.

It was so unfair to me as it was a subject that I studied in depth long before it became popular. I really was creating lifelong security for both myself and my son. Today gold is $1240 an ounce and silver is $19.50 an ounce. It wasn't just the bullion – the stocks have gone up 1000% plus!

So if you ever wondered why I despise the State of Florida and its unsightly, liar agents, perhaps this will deepen your understanding. They caused me to lose so much more than most imagine. I remember when I was selling my bullion ounce by ounce to a bullion trader in Orlando it was so depressing; like they ruined my life plans and any thought of leaving my son well-off. The owner of the business that I sold to told me to look at it differently: Be happy that you have it all to sell. Yes, I was happy they couldn't bury me in a state prison because I was unable to fund investigation, discovery, and the rest of the messy case, but on days like today, when gold reaches a new high, the anger returns.

It was many wasted years. Hell, they even tried involve the Securities and Exchange Commission (SEC) in my criminal case, laying traps on stock message boards hoping I'd bite. I never did bite, and with the help of a few friends managed to expose them on the boards. As with the rest of the case, it didn't work out as they planned. Still, I have these days filled with anger at the bad agents and their backers at state level. I doubt that I'll ever move on from that.

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