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Sunday, March 6, 2011

NXIVM case set to go to trial in California.

The funny thing about NXIVM is in all their legal maneuvering they have never won a single case. Millions upon millions spent and nothing. Sure they have made many people’s lives a living hell and some have been driven to suicide but never have they collected one dime in Judgments. As many of you people know I have friends in the highest echelons of NXIVM and I am briefed regularly on their plans. One of the funniest things I have ever heard was that Crazy Nurse Nancy regularly complains that the courts in this country are corrupt, that the government is out to get them Bah,bah, bah. Nancy your lawyers can justify their legal failures till the cows come home but they know the truth. You never had a case against any of these people. Your Lawyer's suck your friends dry, but hell what do you care they might be sliding you something on the backside. Ethical behavior has never been one of your strong points.

I on the other hand am 4 and 0. Yes they were small amounts but the players were major. A local bank {you would be shocked to know}that will remain unnamed, local landlord who will remain unnamed{an asshole}, Travelers insurance{that was fun} and my favorite Tighe vs the City of Saratoga Springs Here . That case was upheld on appeal and is now a precedent setting case and listed in Westlaw. Not too shabby but I had an unfair advantage. I had the truth on my side.
So you just keep telling the Bronfman brats that they can rewrite the internet rules in favor of the rich and powerful against the annoying truth tellers. I have a great deal of faith in the American legal system and will take my chances. Warning: I am not weak or afraid and have no plans of killing myself. I will not be the push over you perceive. I have nothing to lose but you have everything. But if I did lose, the nation and the very foundation of the 1st amendment would be in jeopardy and although I am insignificant and unimportant the underlying principle would be too important for both the left and the right in this country to let me lose.

So on to the trial


After almost 8 years of continuous litigation against multiple defendants in multiple states, it looks like one of the NXIVM-related lawsuits is finally going to trial. And, oddly enough, it’s one of the more recent ones: Precision Development LLC vs. Plyam Et Al.
For those of you who have trouble keeping track of all of NXIVM’s lawsuits – and all of its suppressive enemies – here’s a quick summary of what’s going on in this case:
- Yuri Plyam was building houses on a couple of lots in the Los Angeles, CA area.

- Keith heard about Yuri’s project – and asked him if he would be interested in expanding the project if Keith could provide the money to do so.

- Yuri and Keith eventually reached a handshake agreement regarding the construction of 26 houses and a condo project. Per that agreement, the ownership of the company undertaking the project, Precision Development LLC, was to be split evenly – with Yuri owning 50% and Nancy Salzman owning the other 50%. Per that same agreement, Yuri was to be the unpaid overseer of the project – and Keith was to arrange for the necessary money. Profits were to be split three ways after the sale of the properties – with one-third each going to the Bronfman brats, the Plyams, and Salzman/Raniere.

- As agreed, Yuri purchased lots and oversaw the construction of the houses – and Keith arranged for the necessary funds to be transferred into the construction company’s account. And who actually supplied that money? Well, that would be the Bronfman sisters – who, during this same period of time, also had to pony up more than $65 million to cover Raniere’s losses in the commodities market.

- Although Yuri had wanted to build only 4-5 houses at a time (which is pretty normal in this type of project), Keith wanted to get the entire project underway all at once (According to several sources, this was because Raniere had told the Bronfmans not to worry about the commodities losses because they would make all their money back – and even earn a huge profit – on the Precision project). As might be expected, the “Golden Rule” came into play: i.e., since he was the one arranging for the money, Keith got to make the rules for the Precision project.

- Except for the usual delays and surprises that occur on almost every development project, the Precision construction went along pretty much as planned for the first 2½ years. The only major oddity during this period of time was that Yuri could never get Nancy Salzman to sign any of the “Partnership Agreements” that he kept sending to Raniere.

- By the end of 2007, Precision had acquired a total of 26 sites and started work on all of them (There were more than 140 people on the company’s payroll at that time). By that same point in time, the Bronfman sisters had pumped about $26 million into the project.

- In early January 2008, everything suddenly changed! Out of the blue, Frank Parlato showed up in Yuri’s office with several other guys (For more info on Parlato, check out here. Frankie and his boys were all dressed in black leather coats and wore dark sunglasses.

- Claiming that he had been sent to LA by the Bronfman sisters’ father, Parlato immediately started accusing Yuri of embezzling funds – and diverting construction materials to other projects. When Yuri suggested that they hire a neutral forensic accountant to go over the company’s books, Parlato told him that wasn’t necessary because he already had enough evidence to get Yuri, his wife and his father thrown in jail.

- After several weeks of browbeating, Yuri agreed to execute an agreement that re-distributed the ownership of the Precision company as follows: one-third to the Bronfman sisters; one-third to Salzman; and one-third to Yuri. Thereafter, Salzman transferred her one-third to the Bronfman sisters (It is unclear what she got in return) – and Parlato produced a letter indicating that he was the new president of Precision.

- Yuri was reduced to the role of sideline observer as Parlato took over the company’s operations – and a new person was hired to oversee the construction of houses. As soon as Parlato took over, the project immediately deteriorated into nothing – and continues to be so to this day over three years later. Additionally, the Bronfmans quickly sued Yuri, his wife and his father for millions of dollars and sought a full refund of all money spent on the failed project plus all of the real estate and worldly possessions that Yuri and his wife had acquired during their lifetime.

- The betting line in Vegas is 4/1 against the Plyams trial starting on time. Apparently CrockO’Shit has a well-deserved reputation for ducking the real work of putting on a case before a jury

Parlato is a first class piece of shit and has been for a long time going back to this scam in the nineties.

FRANK R. PARLATO JR'S METHOD OF OPERATION
STEP 1 - THE PURCHASE: Frank R. Parlato Jr. scours the real estate listings in search of homes to purchase. He usually searches in neighborhoods that are beginning to experience declining property values, increased rates of crime, and a dwindling sense of community. These neighborhoods are beginning to worsen, but are not totally undesirable, yet. Properties for sale in these neighborhoods are for the most part owned by the elderly. These elderly individuals are usually looking to relocate to the suburbs, to escape the blight and decline that appears to be inevitable for their neighborhood. Unfortunately, they are willing to sell their homes for only a fraction ofwhat they should receive. Parlato offers to purchase their homes for an extremely deflated price and in desperation they accept.

STEP 2 - MARKETING THE PROPERTY: For the most part, Frank R. Parlato Jr. doesn't do much to prepare the property for resale. The homes he buys are usually in acceptable condition, with some exceptions. The homes may need a couple ofrepairs, but Parlato usually chooses not to perform these repairs. The only improvements that Parlato usually performs is the addition of some fresh paint or maybe a new carpet. These types ofimprovements are visually pleasing and give the prospective buyer a feeling that the home is in decent condition. Repairing the plumbing or electrical system in the home doesn't make sense to Parlato, because these repairs go virtually unnoticed at the time of sale. After Parlato has completed the minimal preparation of the home to make it visually presentable, it is ready for sale. Parlato runs an ad in the Buffalo News classified section that advertises a home, "Rent to Own". Each home is listed according to location, such as "East Side", "Lovejoy", or "Cheektowaga", to name a few. After each listing, there is a dollar amount representing what the perspective buyer can expect to pay each month. These figures can range from $300.00 to $600.00. On occasion, Parlato places a "Rent to Own" sign in front ofthe property as well.

STEP 3 - THE SALE: Individuals begin to contact Parlato's real estate office about the properties advertised. Frank R. Parlato Jr. himself or a representative of his company show the perspective buyer a home from Parlato's current stock. The first home that Parlato shows to the perspective buyer is not always the home that the individual will end up purchasing. The original home displayed is an above average Parlato home that he may keep in his possession for a while to entice prospective buyers into doing business with him. After a prospective buyer appears to show some enthusiasm about doing business with him and is excited about becoming a homeowner, Parlato breaks the news to the prospective buyer that they cannot afford the home that was originally showed to them. Parlato then reassures the customer that he will find them a home that is more suited to their price range. Parlato then shows the customer a home with less value and appeal, possibly in a more deteriorated neighborhood of the city. But the customer usually accepts this second home, because they are already excited about the prospect of home ownership. After the customer makes the decision to purchase the home, Parlato begins to "herd" his customers through the home buying process.

STEP 4 - PROCESSING THE SALE: Parlato works with and refers his customers to certain mortgage lenders on a regular basis. For the most part, Parlato customers are automatically approved for a mortgage with these lenders. In some cases, it is only necessary for the customer to go to the lender's office to sign the proper paperwork. Ifa formal application is necessary and the customer has credit problems, Parlato offers to help the customer clear up the credit problems. He usually accomplishes this by offering to pay off any debts that the customer may have. Very often though, these customers do not have the financial means to successfUlly hold a mortgage and a short time after purchasing the home, they find themselves in poor financial condition once again. Lending institutions such as Countrywide and The United Bank of Texas enjoy dealing with Parlato's real estate company because he brings them volume business and because the mortgages are guaranteed by the U.S. Department ofHousing and Urban Development. There is virtually no risk to the mortgage lender since the federal govemment guarantees the mortgage. If the homeowner defaults on the mortgage, the federal government will suffer the financial consequences. Furthermore, the federal govemment doesn't send out their own real estate appraiser to determine the value of a property before it guarantees the mortgage, because it is no longer required to as a result of deregulation. The federal government accepts the appraisal of an outside real estate appraiser hand picked by Parlato. As a result, Parlato can ask an absurd price for a home as long as he has his licensed appraiser back him up. After the customer has obtained their mortgage, it is time to close on the property. Parlato may "help" his customer once again by providing a closing attorney for them. Parlato's acquaintance, Russell Perla is an attorney that has been known to provide legal representation for Parlato's customers at closing time. It is unfortunate that these home buyers go into the closing session with legal representation that may have the sellers best interests in mind instead of theirs.

STEP 5 - HOME OWNERSHIP: Many of those that have purchased homes from Parlato, find that home ownership is not as easy and inexpensive as they originally thought. First, the homes that Parlato sold to them have begun to deteriorate fast and are in need of major and expensive repair. Now these homeowners may have to pay a contractor to make repairs to their home, that they cannot afford. Many ofthese homeowners have no choice but to go without the necessary repair. Some ofthem call Parlato's office hoping to get some action, but the most they may ever receive is a visit from an unqualified repairman that makes the problem worse. Second, many of Parlato's customers begin to experience trouble making their monthly mortgage payment. It was explained to most of Parlato's customers that their mortgage was a fixed rate mortgage. However, in some cases the monthly mortgage payment has increased as controlling interest in the mortgage has changed hands. This makes it very difficult for these homeowners to budget their money effectively. In other cases, the customers that Parlato helped obtain mortgages never had the financial resources to be homeowners in the first place. As a result, many of these properties are foreclosed on by the mortgage lender, who in turn puts a claim in to the U.S. Department of Housing and Urban Development for the amount of the unsatisfied mortgage, plus interest and penalties. In the end, the people with the dream of home ownership no longer own their homes and their credit rating is worse then ever. Furthermore, the U.S. government pays an over inflated price for an unwanted piece ofproperty, in a deteriorating neighborhood. For an undetennined amount of years after that, taxpayers will pay to maintain and inevitably demolish the home.
He also is a follower of his own dead Swami some guy named Vivekananda. No I’m not making this up


So don’t be surprised if you don’t see me down at my office at Uncommon Grounds for the next couple of weeks. On the off-chance that the Precision trial might actually happen, I have been looking into the possibility of providing on-site reporting and daily updates. I’ve arranged for some friendly Russian fellows from Brighton Beach to stay at my home for a while . I can’t wait to meet CrockO’Shit. And again my thanks to everyone who is helping me. From the Left and the right NXIVM has a whole boatload of enemies.

13 comments:

Awsome article should be in national magazine said...

Wow !!!
This is some explosive journalism !!!
That Parlato looks like a world class scum bag loser. I hope some justice will happen and the truth will come out about this nxivm group.
Thanks John,
You are a first class journalist !!!!

I watched a new show tonight called Secret Millionaire… said...

What this women did with 100,000 changed 100’s of lives for the good, or at least it really seemed so, by taking the time to find people who do out of the goodness of their hearts, simple random acts of kindness.

She gave them tribute for the good in the world they have done, and money to continue that work forward. May more people like this women be blessed.

She was not born into a family fortune she started with nothing and built one, and then, she paid it forward, maybe that is one of the differences. If you have never gone without you can’t understand what it is like to be without.

I don’t believe that Keith draws bad people to him; I don’t believe that groups of people come together in the pursuit of hurting others, with the goal and hope that so much pain and suffering will come from what they do. I don’t believe that Karen, Pam, Kristin, Barbara, Clare, Sara, even Nancy started with Keith hoping or knowing what pain he would cause to so many. Nor do I believe that some of them are even aware of what is, and has gone on.

Keith is a master, a master of watching, learning and finding out just what makes someone tick….

Many people blame the Bronfman girls and others that have aided in the growth of ESP/NXIVM for the pain that so much power and money can command.

Someday people will understand that no one controls anything but Keith. And because she is controlled, and has such amazing skills, Nancy controls for Keith Now even more then before Keith, you’re out of control and it’s not good for anyone, especially that little boy.

Many like Nancy were in a bad place when they met Keith, others needing to feel important because of things missing from their own past were given titles, and places at the table that filled voids from way back in there childhoods.

I believe that during many of the EM’s, trainings and other things that may seem to be idle talk time, a lot of personal information about what makes you tick, tock …is ascertain to be used at a later time, when needed, to keep you in line, or under control.

So many things can never be changed, some they have moved on to what I believe is a better place and look down on us with the hope that the pain will soon be over for the families that they loved.

Others who are told they are doing the right thing, listen to that funny feeling you have inside that tells you something is wrong, you still have time to change things, it’s really never too late.

The only thing that Keith cares about is power, and money gives him that power. If 100,000 can change the lives of so many that a TV show is done to illustrate that… what couldn’t have been done with the amount of money that has passed through his hands….how many TV shows could have been made about the wonders of it all. Instead we have blogs (not that we don’t love you John) negative stories about people’s lives and lawsuits, many many many lawsuits.

The Plyams have children small children that are watching their parents in pain…

I don’t know if they will go to trail or no. I hope if they do the Bronfman girls look into the eyes of the people they are blaming, the people they once trusted enough to go into business with and the eyes of all the others that they are now in so many lawsuits with and ask themselves why……

How could so many people all be wrong?????

Anonymous said...

The good news is this trial will expose NXIVM/ESP for the scum they are on the West coast!

Some of the sordid facts reporters have already found in the case file include:

- Parlato was paid a cool $1 million to shake down the Plyams under the guise of representing the fearsomely wealthy Bronfman Sr., not "the cult." Parlato pretended he had nothing to do with Raniere/Salzman and was there only to protect the brats FROM Raniere.

- A memo composed by Kristin Keefe and other evidence clearly illustrates the sting set up, including creating false documents to give the Plyams a false "illusion" about Parlato.

- Parlato alleged that his boss, Pa Bronfman, was trying to secure the girls interest in the properties away from Salzman/Raniere and was so desperate to get his girls (Sara and Clare) out of the cult that Bronfman Sr. had had Parlato plant spy cameras to record them having sex with Raniere, etc.

- The whole, elaborate scheme to get the contract signed with a partnership percentage to the Bronfman brats instead of only Salzman/Raniere was a ridiculous, insane waste. The evidence shows that it was Raniere and Salzman who left the brats out of the original agreement, not the Plyams, who had been trying to get a written agreement signed for two years.

- The Plyams interest was to be only minimally if at all affected by adding the brats instead of solely Salzman to the partnership. The final division was to be the same, a third to each partner.

- The Plyam's were to remain in the partnership per the "new" agreement which pretty much reiterated the status quo despite being accused of wrongdoings, not evidenced.

IF THE PLYAMS WERE STEALING OR DERELICT IN THEIR DUTIES SOMEHOW, WHY WERE THEY RETAINED AS PARTNERS UNDER THE "NEW" AGREEMENT, THAT THE BRATS SPENT A MILLION ON?

- Salzman (aka Raniere) was likely 'bought' out by the brats at Raniere's behest. Wonder what that unnecessary buy out cost the brats?! The trial may tell.

- The project went south, deteriorated tremendously, only AFTER Jim Del Negro took over as President with KR calling the shots.

Remember, Del Negro could not even recall the name of this company he presides over in the Dones hearing.

- The project was on track by all accounts up until the cult took over and sued the Plyams. What might have been a high-yield investment was crushed long before the housing market crashed.

- The Plyams are counter-suing. Their claim is that essentially, they were set-up, robbed of their investment in a project they put 2 1/2 years and their own funds into and are being defamed, harassed and scapegoated in this litigation.

- In other words, it's monkey business as usual for Raniere et. al.

- This case could be the biggest legal loss for NXIVM yet.

- Despicable that with so many people foreclosed out of their homes now, NXIVM deliberately abandoned and let so many of these properties go into foreclosure or remain unfinished.

ghostdog said...

Great reporting, John! Full exposure is the answer for these anaerobes. They multiply in the sealed corners, in the dark and the dank. But hopefully, clean air and sunlight will expose them for what they truly are! The Plyam case is very strange. How could a bunch of guys in dark suits just walk in and take over? This isn't a Dashiell Hammett novel! Or is it? Live coverage is on the money- Rout the bastards!

Anonymous said...

Go Johnny Go!!

Anonymous said...

Iggy Sez:

Doin' the math here and gotta say I's a bit befuddled that y'all is takin' this thing to trial. {Slurp.} Not that I ain't lookin' mighty forward to it, but it don't add up and hate seein' anyone disappointed. {Slurp}

Mean, first ya gotcher hourly Monkey fees, least 3 of 'em in court, that's $1500. minimum per day and, KK, hon, ya can double that 'cuz ur gonna lose and hafta cover the monkeys on other side. 3 grand daily right there, trial goes on a month that's {Slurp} nearly half a mil when ya figure in court costs. Not so bad.

Monkeys aside, then ya got yer Apes. {Slurp} Now, Parlato, he already owes a million to the Plyams on that default judgement I spect he's spectin' y'all to cover, specially since Del Negro slipped up and made a liar out of him and Grenga, contrdthat part about sayin' they was daddy B's lawyer and, uh, special assistant and all...{Slurp}...sure, they was lyin' to begin with but on top of that Del Negro went and 'raped' poor Ken's (or is it Will's?) wife while they was in Cali. {Slurp.}

Shameful. They WAS on business, weren't s'posed to be no pleasure trip! {Slurp}.

Y'all did buy up every copy of Mr. Diamond's videotape recordin' of the Cali contract conflab with the Plyam's? {Slurp} 'Cuz it's gonna be worth a whole lot more after one of yer witnesses lies under oath about what went on and I betcha there's more n one studio out there in Hollywood might take Will up on that picture deal. {Slurp} Give his purty wife a starrin' role too.

So, we was figurin' Ape costs and I's guessin' ya had to grease yer new "black ops" upfront 'fore they pulled off (almost) them latest tricks in Cali {Slurp}...reminds me, let's add in bail 'cuz more folks have security cameras and all out West...I'd say $15 mil in Apes at the end of the day. 20 if ya wanna guarantee on that video. {Slurp}

Good news on the Judgement against ya, is ya fools let the property values depreciate on them houses that aren't upside down altogether. I mean foreclosed not tumblin' down the hillside, so if yer lucky the judgement on the Plyam's counterclaim might only amount to what they're worth at this point, bout 4 million was it?

So, looky there, if ya'd played fair to any further degree, stayed on track and tripled on yer investment, as ya well might have, BEFORE ya took Raniere's ethical advise and stabbed yer partners in the back, ya might be owin' the Plyams damn near 72 million on the judgement. {Slurp.}

But since ya did not hesitate and stabbed 'em good and hard and cut 'em out real fast, ya only lost yer original investment plus whatever ya got in it since. Not even close to the 72 mil ya'd owe if ya sued too late.

But I'm bettin' y'all might get hit with some damages to boot if da's any justice. Yah, Crock's firm's likely got some friends in the court but yer enemy's gonna be that JURY. {Slurp}

Case ya Bronfman brats ain't noticed, hard working, regular folks, do mind gettin' paid with dollars that smell like shit 'cuz ya spend yer days wipin' yer asses with 'em.

Which would be a helluva lot better 'n giving 'em to Raniere, if ya ask an Iguana. {Slurp}

So, Monkeys, you go and spend that doe!

Ben lives on said...

Glads to see a little bad weather can't keep a shyster down.

7th March 2011 08:55:58
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Anonymous said...

John,

The morons Coffey has lurking on your blog haven't a clue what your postings mean about their time logged into this blog. Doubt Coffey himself has any clue how to use the internet so he's most certainly delegated that task to minimum wage flunkies who would know a url from a cockroach (pssst....the attorneys ARE the cockroaches).

Nxivm Devotee of the Day said...

Alissa Taft of Clifton Park


Expose them all, one by one!

Anonymous said...

Oh yea. Taft is a basket case for sure. She's a poster child for moron.

Anonymous said...

And we can't forget Angela Toren of Albany....

Anonymous said...

and of course, 1300AM's own Lisbeth Calandrino, a "trainer" and recruiter originally outed right here by John.

Anonymous said...

HE A FUCKING CROOK