Cambridge International Bank

David Frank Rowe has become the latest in a long line of former principals of Grenada-licensed banks to admit his involvement in investment fraud in the United States. Rowe, 59, of Brandon, Mississippi, who was indicted as long ago as March 6, 2001, pleaded guilty to one count of wire fraud in a plea agreement at the U. S. District Court for the Northern District of California on December 11, 2007.

A $6.4 million default judgment in the United States against offshore investment firm Lines Overseas Management Ltd. and an offshore brokerage arm of the Royal Bank of Canada appears to be legally defective.Research by OffshoreAlert indicates that the summonses against LOM and RBC Dominion Securities were served improperly in December, 2001, meaning that the judgment, that was entered on July 1, 2004, should be dismissed if challenged.

A United States-based promoter of sham offshore investment products has been sentenced to eight years in prison after being convicted of securities fraud in Texas. Cameron O. Bailey was also fined a total of $6,000 and ordered to pay restitution to his victims when he was sentenced on August 29, 2002 at the 283rd District Court for Dallas, in Dallas County, Texas.

Two more men who were involved in the fraudulently-operated First International Bank of Grenada have filed for bankruptcy in the United States.Paul James Peiffer and Robert John Skirving separately filed for bankruptcy on May 20 and May 23, respectively, at the U. S. Bankruptcy Court for the District of Oregon.

Cambridge International Bank & Trust, whose banking license was revoked in Grenada last year, has brought a lawsuit in the United States against its former principal, David Frank Rowe. The action was filed as an Adversary Proceeding at the United States Bankruptcy Court for the Southern District of Mississippi on May 13, 2002.

Former offshore banker David Frank Rowe has filed for bankruptcy in the United States citing liabilities of $33.1 million and cash assets of just ten dollars. His biggest liability is listed as $30 million relating to a breach of contract claim by the now-defunct, Grenada-based Cambridge International Bank and Trust, of which he was a principal.

The scam committed by Morrison Cross Financial Investments, which fleeced investors while operating as a stock broker in Panama without a license, has entered a new phase; Justice Ephraim Georges, sitting in the Antigua High Court, has apparently recused himself from legal hearings relating to the liquidation of Eurofed Bank after an objection by attorneys acting for former Ukrainian Prime Minister Pavlo Lazarenko, who considered that the judge's partiality was compromised by his son being employed by PricewaterhouseCoopers, which is liquidating the bank; On February 12, 2002, a Dallas County Grand Jury in Texas returned 24 indictments against Cameron O. Bailey relating to the sale of unregistered securities, namely Certificates of Deposit issued by Cambridge International Bank & Trust, of Grenada, and promissory notes issued by Omne Srl; As Julien Giraud waits in custody in Florida for the start of his trial on money laundering charges, his wife Lyn has been writing letters of outrage to the local press in their native Dominica, protesting at the arrest of her husband in Puerto Rico last November while he was traveling with Dominica's Finance Minister, Ambrose George; OffshoreAlert has previously reported on stock scams and other frauds perpetrated by firms linked with Bermuda Stock Exchange-listed Mezzanine Capital; and Complaints are starting to be made publicly by people who have either bought shares from, or have been approached about buying shares by, Goodman Hart Associates, Morgan Paris & Company and/or St. James & Company, who have been promoting two stocks particularly heavily: AdRentaCar Inc. and Spantel Communications Inc.

How concerned is the Financial Times newspaper about being used to facilitate fraud? Not enough to stop publishing bogus valuations for the Cayman Islands domiciled Aristocrat Endeavor Fund. The FT is continuing to accept and publish sham Net Asset Values

A Canadian businessman who is currently in prison awaiting trial for an alleged offshore banking fraud was an agent for a US-based firm that itself was a victim of fraud, according to a civil lawsuit.David Rowe, who at one time was President and CEO of Grenada-registered Cambridge International Bank and Trust, is mentioned along with CIBT in a civil complaint filed at Federal Court in Oklahoma.

Bermuda-based investment firm Lines Overseas Management and Turks & Caicos Islands-based RBC Dominion Securities are among 72 defendants in a civil fraud lawsuit filed in the United States by clients of Cambridge International Bank & Trust, of Grenada. They are in good company, with fellow defendants including household names such as J&H Marsh McLennan and Lloyds TSB Bank (Isle of Man).

Six weeks after they were arrested in the United States, former Grenada bankers David Frank Rowe, 52, and Gerard Michael Burns, 52, were criminally indicted in San Jose, California on April 11. Rowe and Burns are being held in custody pending the outcome of their case, while a third indictee, Waylon McMullen, 54, is subject to an arrest warrant but has not been apprehended.

Two businessmen who helped run Grenada-registered Cambridge International Bank & Trust were arrested in the United States on February 28 and are being held in custody. David Frank Rowe, 52, and Gerard Michael Burns have been accused of fraud at the US District Court for the Northern District of California.

David Frank Rowe and Gerard Michael Burns, who are or have been principals of Grenada-registered Cambridge International Bank & Trust, have been arrested in the United States and are being held without bail.

The Canadian Venture Exchange has suspended trading in the shares of two companies that are linked to insolvent Grenada-registered Cambridge International Bank & Trust. It is the latest regulatory action to be taken involving the now-defunct First International Bank of Grenada group, whose activities have been filling pages of newspapers all over the world recently.

In one of the latest lawsuits to be filed as part of the on-going Grenada banking scandal, creditors of Cambridge International Bank & Trust claim to have been defrauded of $50 million.Cambridge, which began life as a sub-bank of the First International Bank of Grenada, offered annual interest rates of up to 51 per cent per annum, according to the complaint.

During the course of 2000, Offshore Alert received many telephone calls and e-mails from clients of The Harris Organization financial services group in Panama who claimed to have been defrauded of various amounts of money; After Tony Vigna was recently deported from Panama to face criminal charges in Miami, further details emerged of a fake British passport that was obtained for him by The Harris Organization when he fled the US before being indicted; Standard Hellier Bank and Allianz Trade Reinsurance web-sites become inactive after investigation by Offshore Alert; We have been told by the Grenada Supreme Court that between 10 and 15 civil lawsuits have now been filed against the First International Bank of Grenada group; The default judgment entered against the Bank of Bermuda in favor of the Receiver of the Cash 4 Titles alleged Ponzi scheme at a US federal court on November 20, 2000 was set aside ten days later; Clyde DHood, the small-town electrician in Illinois who persuaded thousands of suckers all over the world to mail him millions of dollars just by promising high returns, remains in jail after his bail application was turned down; Canadian crook Jordan Bionda seems to subscribe to the philosophy that 'the best form of defense is attack'; and Americans are regarded virtually all over the world as being parochial in that they tend not to travel abroad, generally know little about other countries or world affairs and, rather insultingly to the rest of the world's population, give themselves titles such as 'World Champions' when they win a national championship, be it in basketball, baseball, American football or whatever.

Just when you thought it couldn't get any worse, the great Grenada banking scandal reached new levels of farce this month.One bank is operating without a banking licence, another is capitalized by a painting and the First International Bank of Grenada was still open for business at the end of June. Open, that is, to accept deposits but not to pay interest to its depositors, many of whom have complained to the island's regulators that they have not received interest payments for several months.Even allowing for corruption and incompetence, the refusal of the Grenada government to close down FIBG has led to one of the most bizarre situations in the history of offshore banking.