There were a million warnings about GENNEVA'S imminent collapse in Martin Lee GENNEVA Gold blog. Those who are now caught with their pants down have only themselves to blame. For example see this June 2012 post in Martin Lee:
p c wong
17/06/2012 at 16:16  (UTC 8)
COLLAPSE OF THE HOUSE OF GENNEVA

Many gold investment companies of GENNEVA’S ilk have collapsed, declared insolvency, been raided by Bank Negara or absconded. These include BESTINO, The Gold Label, Genneva 1, BAO Hing Trading (Sg), Tignet (?), etc.
Hundreds of millions of RINGGIT have been stolen.
1). GENNEVA has only paid up capital of RM50,000.
2). The masterminds are being charged for criminal offences for operating GENNEVA1, while Genneva 1 has been closed down by Bank Negara.
3). The calculations show that after Genneva used part of investors’ money to buy the gold, they have to achieve ROI’s of 168% to 228% pa on the remaining net sums of money in their account. Even the Troll agreed that these figures are not wrong. These ROI’s are IMPOSSIBLE TO ACHIEVE ON A ROUTINE BASIS, but are necessary JUST TO BREAKEVEN AND PAY THE HIBAH AND COMMISSIONS.
4). Genneva masterminds control GOLDBEAM which in turn controls the Genneva buying and selling prices.
5). Payment of hibah, and the obligation to buy back gold, have very clearly been confirmed IN THE CONTRACT, IN THE NEWS ADVERTISEMENT and INVESTORS SIGNED ACKNOWLEDGEMENT FORM to be discretionary, that is, NOT GUARANTEED.

ARE NOT PEOPLE WHO STILL GO TO THE HOUSE OF GENNEVA TO PASS THEM THE MONEY THE BIGGEST FOOLS IN TOWNS?

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Added on October 9, 2012, 8:42 amAnother example of a collapse prediction in JUL 2012 in Martin Lee blo.
p c wong
22/07/2012 at 11:31  (UTC 8) Link to this comment
Reply
THE GENNEVA GOLD SCAM (CHAPT 4)
================================
THE THEORY OF CERTAINTY OF COLLAPSE
====================================

When asked why Genneva will collapse, p c wong said:
(see post of May 9, 2012 at 10:56 am)

1. The Theory of the Certainty of Collapse of Ponzi Pyramids
2. The Theory of the Impossibility of Exponential Growth of Sucker Population.
3. The Theory of the Tenacity of Dubious Character Antecedents
(or The Principle that the Leopard Never Changes its Spots)
4. The Theory of the Continuous Marginal Balance Sheet Deficit Progression with
Each New Sale
5. The Theory of the Impossibility of the Existence of a Perpetual Money Tree
6. The Theory of the Great Confluence and Alignment of all the Stars in the
Month of May.
.
AT THIS JUNCTURE AN ELABORATION OF EACH OF THESE THEORIES IS APT.

# THEORY 1 : THE CERTAINTY OF COLLAPSE OF PONZI PYRAMIDS

Since the first Ponzi scheme was pioneered by Mr Charles Ponzi of USA many many years ago, each and every Ponzi scheme has ended in collapse and unmitigated disaster for the hapless investors. Please read about the long history of the many many Ponzi schemes that had been perpetrated all over the world, the advanced countries not excepted. Some governments even came to the verge of collapse when a huge proportion of the population became involved and blamed the government when the Ponzi collapsed (eg Albania in Europe in recent years). Read more about this phenomenon by googling Wikipedia > Ponzis etc. The trouble is that human societies never learn from history, always trapped into repeating it again and agian.

# THEORY 2 : THE IMPOSSIBILITY OF EXPONENTIAL GROWTH OF SUCKER
POPULATION

Ponzi Pyramid schemes depend on a constantly growing number of victims in order to sustain the growth of the pyramid. Suppose a new victim needs to bring in 3 new victims in order to profit from participation. 2nd level will be 3 victims. 3rd level will be 9 victims. 4th level will be 27 victims…… nth level will be 3^(n-1) victims ( the symbol ^ denotes to the power of or the exponent of). The total no. of victims at the nth level is given by the well known mathematical formulation

S(n) = a(r^(n+1)-1)/(r-1) [sum to n terms of a geometric series]

where S(n) = Sum to n terms
a = initial term = 1 victim
r = common ratio = 3 (ratio of increase)
n = number of levels involved

The formula shows that at the 13th level the total number of victims has exceeded one million. IS IT POSSIBLE TO ROPE IN ONE MILLION SUCKER VICTIMS TO SUSTAIN THE PYRAMID FOR JUST UP TO 13 LEVELS??

THEORY 3 : THE TENACITY OF DUBIOUS CHARACTER ANTECEDENTS
(or The Principle that the Leopard Never Changes its Spots)

Please see Almost Scammed’s several enumeration of the various prosecutions going on against Ng Poh Weng, Marcus Yee, Chin Wai Leong, Liew x x etc. These persons are the progenitors of Genneva 1. All of them are facing charges in court which carries very heavy penalties (RM10 million fine and 5 years’ jail). When Genneva 1 was raided and closed down some RM47 million shown in the books had gone missing. These same people are the masterminds of Genneva2. Is it easy for the leopard to change its spots? Why should anyone believe that all these people have now realised the error of their ways, turned over a new leaf, and now have the interest, welfare and financial well being of the GM2 investors at heart?? They will continue to steal the money!!!!

THEORY 4 : CONTINUOUS MARGINAL BALANCE SHEET DEFICIT
PROGRESSION WITH EACH NEW SALE

Investor puts in 100 units. 80 units used to buy and deliver the gold. 3 units + 0.5 unit + 0.3 unit = 3.8 units pm = 45.6 units per annum used to pay hibah and up and downline commissions. BUT GM2 ONLY HAD 20 UNITS LEFT FROM THE INVESTMENT AFTER BUYING THE GOLD. Not enuf to pay out the 45.6 units required for one year. EVERY SALE ENDS UP IN A DEFICIT TO THE BALANCE SHEET. Please ask your accountant whether this is true. The only way for GM2 to pay out hibah etc etc is to rope in new victims, using new money to pay off old victims. tHIS IS THE CLASSIC MODUS OPERANDI OF A PONZI PYRAMID!!! So the cash pile will only grow when more and more new victims sign up!!!
HOW ON EARTH CAN THIS PROCESS BE SUSTAINABLE??? THE INESCAPABLE CONCLUSION IS THAT THE OPERATORS WILL SCOOP UP ALL
THE MONEY AND THE GOLD WHEREVER AVAILABLE AND RUN!!!

THEORY 5 : THE IMPOSSIBILITY OF THE EXISTENCE OF A PERPETUAL
MONEY TREE

It is basic science that you never get something from nothing. Over centuries, scientists of all stripes have invested their time and money to invent a Perpetual Motion Machine, i.e. a machine that can provide you with energy endlessly without any input from you. Of course they have failed miserably, because any such machine would offend against the most basic fundamental law of the universe, which is the Universal Law of Conservation Of Energy. If GM2 model works, then the genius generals of Genneva have invented the financial equivalent of the Perpetual Motion Machine, i.e. The Perpetual Magic Money Tree. Nobel laureate, economist Milton Friedman famously said “There is no such thing as a free lunch!”. Are you prepared to bet your money on the Genneva generals’ successful discovery of the Perpetual Magic Money Tree from which you can pluck money endlessly???

THEORY 6 : THE GREAT CONFLUENCE AND ALIGNMENT OF THE STARS IN
THE MONTH OF MAY

There were some fantastic promotions offered by Genneva with the several promotions all maturing in May 12. May 12 was then payback time. For all the reasons aforesaid, it was predicted that May 12 would be the time for the coup de grace to be delivered to the victims, i.e. the generals will pack up and run with all the money and the gold.. Well the May 12 prediction has been off the mark, but maybe by not much. The Genneva generals’ ingenuity and resourcefulness have been underestimated. However, even as we read this now, maybe the Tower of Genneva is on the verge of or in the process of collapsing??? The tell tales: (1) more and more stories of inordinate delay in paying commissions and in delivering the gold; (2) introducing new forms whereby investors are to leave their bananas and their chickens to be guarded by the Genneva monkeys and musangs; (3) new style of “Promissory NOtes” (i. e IOU’s) in exchange for your money; (4) the new SKR Safe Keeping Receipt scheme whereby you buy the gold BUT leave it with Genneva so that they will pay you even more hibah!!! (5) designation Of GENNEVA MALAYSIA SDN BHD by Bank Negara (in Jul 12) as “unauthorised entity” in “gold trading” – a prelude to a raid???

#### IS THERE ANY WAY FOR GENNEVA TO GO EXCEPT DOWN, DOWN, DOWN ?????
Anonymous me
23/07/2012 at 15:14  (UTC 8)
Reply
Dear p c wong

“the May 12 prediction has been off the mark, but maybe by not much”

Any further predictions? Your earlier ones were wrong.

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Added on October 9, 2012, 8:58 amYou should all 4 chapters of PCWong's take on the GREAT GENNEVA GOLD SCAM posted in Uncle Martin Lee GENNEVA Gold Blog.