Finanzas Forex, TIRN... I've seen this movie before, haven't I?

Investment firm springs up out of nowhere.
Investment firm has innovative, fast-and-loose strategy.
Investment firm posts record profits.
You invest.
Investment firm is being harassed by big bad government agencies.
Investment firm has to hold on to your money until this mess can get all cleared up.

If this sounds familiar, it’s because you’ve either invested in Finanzas Forex or TIRN. Finanzas Forex is being sued for libel by DWB Marketing, and by Crowne Gold, inc over contract issues. For TIRN, the bad guys are the Securities and Exchange Commission. They’re set to go to court with David Merrick soon, charging him with operating a Ponzi scheme (if you get a chance to read all of the documentation, do it. It’s a good read).

But I’d hate to jump to conclusions. Let’s analyze this from both a pessimistic and optimistic point of view.

Optimistic:

FFx and TIRN are victims of bad timing and poor management. They didn’t get the licenses they needed to operate in the United States, and they’re being busted because of the national paranoia that Bernie Madoff and other REAL Ponzi  schemers have caused. The SEC has shifted into overdrive, and innovative risk-takers like FFx and TIRN are paying for it.

Verdict: Things will sort themselves out. Justice will prevail, and these noble companies will once again continue to churn out profits for us.

Pessimistic:

Let’s be honest. Both companies are mad shady. TIRN’s bank activity didn’t show any trading going on while it was operational, and FFx has never posted real trade information on it’s shabby website. Plus, FFx has a really stupid security feature. Both companies had an “unofficial” way to put money into the company (paying cash to other customers for them to transfer funds into your account), and both  have jumped to create other alter egos (TIRN is now PMR, and FFx is pfplace.com) as soon as their money got frozen.

Verdict: Consider the money you invested a tuition payment to the School of Hard Knocks.

Positive or negative, your response to the situation can be nothing but passive. You either have to wait for the best, or forget about it and put it behind you. It’s a powerless situation to be in if you happen to have funds tied up in one of these companies (like me). Nevertheless, if we use this chance to learn and grow, we’ll at least have something to show in the end. But this is only possible if we share information.

With that in mind, do you have an “inside scoop” on what’s going on at Finanzas Forex or TIRN? Perhaps a link to obscure, overlooked information? Please leave a comment and share it!

Along the journey of yours truly, the Capitalist Bum, I’ve come across some interesting characters. Abel Mesa of La Promesa Corporation, German Cardona of Finanzas Forex, and Paul Orberson of Fortune Hi-Tech Marketing. All of these seem to be people that singlehandedly pulled up a company by its bootstraps and rode it to the top through Multi-Level Marketing goodness.

Now it’s time for a new Condender: David Merrick.
A Wikipedia search for Mr. Merrick revealed that he is a dead Tony-Award winning theatrical producer. Clearly this isn’t the man I’m looking for.

The other David Merrick is the founder and CEO of the Traders International Returns Network. They are similar to Finanzas Forex, in that they both trade on the Foreign Exchange market, and both are registered in Panama. According to the flash animation on their homepage, TIRN trades on the Forex market, commidities, financial instruments, precious metals, and retail investments.

Judging by their web presence, TIRN certainly seems to be up-and-coming company. They have a twitter feed (but don’t seem to be doing anything with it), and their website is chock-full of rss readers that display the most current investment-news charts and graphs.

On the business end, they seem to be fast. Deposits and withdrawls are quick, taking about one business day to process (take that, Finanzas Forex!), and debit cards from the company are sent promptly. Like FFx, you make money from the investments of people on your downline, with a 5% initial payment, then a small residual payment per month.
Here’s their Return on Investment breakdown:

$500 – $999 = 9% return per month
$1,000 – 3,999 = 11% return per month
$4,000 – $9,999 = 14% return per month
$10,000 – $ 24,999 = 17% return per month
$25,000 – $49,999 = 19% return per month
$50,000 = 21% return per month
Minimum investment: $500
Maximum investment: $50,000
Add 1% if the investment is maintained for 6 months.

However, TIRN does have a shady side: The Comision Nacional de Valores of Panama (their version of the SEC) put out a document stating that TIRN has no licence to operate in Panama, and are not regulated by anyone. One of the conditions of signing up for TIRN is that you not speak negatively of them online, or your account may be terminated.

I’ll edit this post as I get more information, but my prospect for TIRN is the same as Finanzas Forex. Scam or not, I know that there is money being made. If I invest sometime in the future (I currently find myself penniless), I’ll use only the money that I can afford to lose.