Australian (ASX) Stock Market Forum

Storm Financial Group

Jump to new
It will be interesting to see the reaction to the S&G meetings at Scarborough today.

I suggest the tone will be similar to those held in Cairns & Townsville.

It would be refreshing if a Stormer could give us a first hand account.
 
Solly said:
It will be interesting to see the reaction to the S&G meetings at Scarborough today.

I suggest the tone will be similar to those held in Cairns & Townsville.

It would be refreshing if a Stormer could give us a first hand account.
Click to expand...

Solly

For those of us who weren't there, what was the tone like in Cairns and Townsville?
 
I attended the meeting in Townsville and found the S & G presentation to be balanced and logical.
It may not be what people want to hear but the settlements appear to address the margin loans and the home loans in a way that is legally reasonable. No one will be put out of nor lose their home and the legal basis behind the approach was well explained.
Now whether or not people want to accept the individual offers is up to them.
Of course the meeting was sobering but don't know what people expect.
A long drawn out court battle will not yield more I believe, except if ASIC has success some time in future years there may be more compensation forthcoming.
I am happy to move on and enjoy life.
 
Smiley, thank you for account of the meeting.

You have a great attitude. Congratulations. I don't think anyone underestimates how difficult it has been for any of the Stormers.

Best wishes for a financial recovery. You're already halfway there with your decision to move on.:)
 
Smiley said:
I attended the meeting in Townsville and found the S & G presentation to be balanced and logical.
It may not be what people want to hear but the settlements appear to address the margin loans and the home loans in a way that is legally reasonable. No one will be put out of nor lose their home and the legal basis behind the approach was well explained.
Now whether or not people want to accept the individual offers is up to them.
Of course the meeting was sobering but don't know what people expect.
A long drawn out court battle will not yield more I believe, except if ASIC has success some time in future years there may be more compensation forthcoming.
I am happy to move on and enjoy life.
Click to expand...

Smiley

Once again you've shown yourself to be a voice of common sense and reason among the Stormers on this thread. I admire you for being positive and optimistic about the future, despite your difficulties due to the Storm situation.

You may be interested to know that your 'never say die' attitude inspired me to overcome my own difficulties recently when I was diagnosed with leukaemia a few weeks before Christmas. In my efforts to psych myself up to beat my illness, I thought of the people I know who have overcome their problems by being positive in the face of adversity. You came immediately to mind - I thought of you and other positive people when I was undergoing treatment, and told myself I had a fighting chance of recovering my health if I stayed positive and optimistic.
I've beaten my illness - my latest tests came back clear. I'm grateful to the oncologist and the medical staff and to the advances in medical science. But I'm also grateful to you and others like you who inspired me to get on top of things. My very sincere thanks to you.

Cheers and all the very best for your future.
Bunyip
 
Bunyip, So glad to hear that you are feeling better and thank you sincerely for your words.
I knew a man who overcame amazing challenges in his life and lived life fully and enjoyed so much, despite major adversities. He was like a father figure to me and taught me a lot about life and savouring things in my daily experience and being positive made the difference. He was also a realist and would say things like trust in God but lock your car.
One needs to keep financial loss in perspective and I have worked to educate myself and know a lot more about financial matters than I did in 2008 - this helps.
I used to work in health education and attitude and taking positive steps - e.g. exercise and doing good things for yourself make such a difference.
My wish is that people who have been with Storm take control of their finances and find a way to move forward.
 
Quincy said:
Here's a link to the Storm website when Storm Financial was still operating (I think someone else may have posted this link in the early stages of this thread).

http://web.archive.org/web/20071028114029/http://www.stormfinancial.com.au/


It may hold some information that could be of interest to some people. Others may prefer not to see it again (apologies to those people).
Click to expand...

Thanks Quincy, I clicked on the 'INSIDE STORM', 'our team', 'advisers' path, quite a gallery.

I wonder where these advisers are now and how many are in the same predicament as the ex-clients ?
 
"Storm investors told to be cautious"

"Lawyers representing about 2000 former investors in collapsed Storm Financial have warned against claims that recent court decisions would favour their claims."

Read more by Duncan Hughes in the Australian Financial Review of Mar 3, 2010.
 
G'day guys, long time no see.

Well, well,well look what just appeared in my inbox from Emmanuel Cassimatis himself! Wow!

3rd March 2010


Dear Mr Ironhalo (hehe evidently not my real name!)

I write to you as a concerned friend (bwahahaha, a friend who stood on his hands and did nothing while my investment which was not in margin call, got sold down at a loss...without even a phonecall), who shares a common problem. We are all painfully aware of the events of the last year.

I have no doubt that the past year has been an awful time for you and I greatly sympathise. The past year has also been an awful time for us as well. (Oh my bleeding heart, hiding in the mansion and checking the overseas bank balances on the INternet must have been heartbreaking) We ask you not to believe everything you have read in the press.

The situation is that you have lost (well more correctly, that your company and advice lost) a great deal of money. We at Storm believed in the advice that we gave you. Our own personal wealth was similarly invested and destroyed. (but not before you withdrew most of it and gave yourself a $2 million kicker right?)

It would be easy to believe the media however, I ask you to understand that the Banks are well resourced opponents who have slick public relations departments.

Some of the press have vilified and demonised us. It is our position that the Commonwealth Bank and its subsidiaries have been the source of much of the false information that has been published. Unfortunately the newspapers are often more interested in a band wagon headline than they are in the truth. (Umm actually the banks have been vilified just as badly in the press, at least one of their executives admitted fault...which is more then can be said for some.)

To date we have been outmanoeuvred in the press by the Commonwealth Bank. (Oh noes!)

For ourselves we have lost faith in the popular press to accurately or carefully report the true position. We do believe that the truth will eventually come out through court proceedings. (yes, yes it will. And you'll be doing time)

With the above in mind, we have spent a great deal of our own personal money on a court case against the Banks for the truth to come out and for proper compensation to be paid both to ourselves and you. (Emphasis on ourselves)

You may be aware that on 12 February 2010 a breakthrough occurred, possibly handing you a silver bullet. (A silver bullet, used in popular mythology to kill monsters and the make believe) Justice Steven Rares of the Federal Court heard and determined the case of Goodridge .v. Macquarie Bank Limited. I enclose for your information a copy of the Financial Review article dated 20 February 2010. Mr Goodridge challenged the forced sale on two bases. Firstly that the bank had no right to make the call and secondly, that the actions of the Banks was unconscionable and a breach of the Australian Securities and Investment Commission Act.

It should be noted that the case did not take 5 years.

Prior to the judgement, Mr Goodridge was being called upon by his Margin Lender to pay to them approximately $80,000. Instead, the Court Judgment required the Banks to replace approximately $3.3 million worth of Mr Goodridge's shares. Quite a turnaround!

I personally have spent a great deal of money in progressing a case. (Whoa I thought you were broke!) Having read Mr Goodridge's case, I approached his legal team and informed them of the facts and circumstances surrounding our position and that of ex clients such as you. (And by you, I mean the Nth Queensland families of note that I gave 'loans' to when the whole thing collapsed that are no doubt gunning for me mainly).

These meetings have resulted in some very good news.

Mr Goodridge is the only person to have run a Margin Loan case in Australia arising out of the global financial crisis. Mr Goodridge's case took only approximately 7 months from start to finish. Mr Goodridge succeeded completely against both Macquarie Bank and the subsidiary of Bendigo and Adelaide Bank - Leveraged Equities Limited.

It is comforting to know that the only directly relevant case that has been decided has been a winning case for the customer and not the Banks.

After explaining your (lol sure you did, at length no doubt!) predicament and our predicament, we received an offer that I am very pleased to be able to pass on to you.

Mr Goodridge and his legal team are prepared to briefly review your facts and circumstances and advise, initially free of charge (here we go), whether you appear to have a viable claim for damages or restitution or whether you would be better off accepting whatever settlement the Banks may currently be offering.

We further discussed the options that any ex client may have if they have a viable claim for damages or restitution. We are acutely aware that many cannot afford expensive litigation as we have been worn down financially and emotionally. There is no point in being advised that your claim for damages is likely to compensate you far in excess of the currently proposed Commonwealth Bank compensation when you are in no position to pursue that claim.

In appropriate cases, Mr Goodridge's lawyers have indicated that they are prepared to enter into genuine "No Win No Pay" fee agreements with clients. This avoids the necessity of paying the premium demanded by litigation funds.

I am not suggesting that you make any rash decision. Simply, Mr Goodridge and his legal team are prepared to provide you with a second opinion as to your current options.

The email address for Mr Firth is info@Firths.com.au

The contact telephone number for Stephen Firth of Firths, The Compensation Lawyers telephone number is 02 9261 5800 or 1800 631 888.

I believe that the offer made by the Commonwealth Bank is intended to pay you a few cents in the dollar of the damages they will be liable for if sued. I believe the offer from the CBA, negotiated by Slater and Gordon, is much more favourable to the CBA than you. I should say that am not aware of the basis on which the offer was negotiated; but I cannot understand why the offer is so low, when compared to the principles explained by the Judge in the Goodridge case.

For many of you your choices are:-

1. Accept the Commonwealth Bank's offer; or

2. Obtain a second opinion and thereafter accept or reject the Commonwealth Banks offer.

We know that emotionally the last twelve months have been very difficult for all of us. I encourage you to obtain the best advice before making decisions which may affect you forever.

I leave you with these final thoughts. Currently a firm of lawyers may be promoting to you a settlement of a few cents in the dollar. The question is why?

- Is it that they do not believe that they would win a case on your behalf?

- Why is the Commonwealth Bank offering a settlement? Does the Commonwealth Bank know that they will lose?

- Should you not at least obtain a second opinion? Especially from a team of eminent lawyers who have already won on ALL counts a case which appears to be pivotal to any action which you may prosecute against the bank.

(And our fourth question Manny, after a year or more of saying nothing, or even ringing your clients to apologise, do you suddenly give a **** about my position? Could it be you are getting a commission based on how many of your clients you can get to sign on to your buddies at this law firm? Why all of a sudden has your old client list leapt to your attention?)

Whilst acknowledging your profound distress, I sincerely urge you to consider this generous offer extended to you by Mr Goodridge and his Team. I feel your exhaustion and understand any desire you may have to find some closure and move on, but please, given you have endured this long, find the strength to inform yourself before accepting an offer which may be only a small fraction of what you may be entitled to.

Yours faithfully


Emmanuel Cassimatis.

I want to clarify that the letter is not intended for clients of Russell and Company. The letter is primarily intended for people who will receive an offer from Slater & Gordon, who have negotiated an offer from the CBA, which will be referred to those people (sooner or later).

If you are a client of Russell and Company, you need have no concerns about the recent publicity from Slater & Gordon. Russell and Company have their own test case ready to go - for the full amount of compensation, not the pittance that the CBA have negotiated with Slater & Gordon. Russell and Company remain your solicitors, and they have my full confidence, and the full confidence of everyone on the Client Group Committee.

There you go team.....thoughts? Gave me a laugh, I'm crafting an appropriate response.
 
Yes, Ironhalo, I nearly fell off my chair when I read the same email. I forwarded it to my husband at work so give him a little light reading on his lunchbreak - along with a few pithy comments of my own....

He emailed this "fake response" back to me:

Dear Mr Cassimatis,

Thankyou for your kind offer to help fight the evil banks, rest assured we will give it careful consideration and in the event that we decide to proceed with this action, we will forward to you the appropriate blank forms to be signed by yourself and returned to us for completion at a later date. We are also pleased to inform you that your house has been revalued and has increased in value by 20%. This means that you can now borrow against the increased equity in your property and return to us the management fees paid to you, for which little or no service was received. I have also taken the liberty of enrolling you in a financial planning course titled "Investment strategies for a Bear Market" , it contains vital information for sharemarket investors that you were obviously not privy to prior to 2008. You may also like to attend a bird-watching course being held at the same location "how to spot a big, ugly black swan amongst the white ones".

Perhaps the routing of finances to personal jets and other extravagances may have been better placed in developing more robust reporting software and analytical systems that may have provided warnings of imminent danger to yourselves and your clients.

regards

Mr Not Happy Jan

I'm quite tempted to send it....
 
I had this response:

Dear Emmanuel,

Thank you for getting back to me. I must admit, I thought I must have done something to offend you, as it has been so long since we caught up. Well Oct the 8th 2008 to be exact, where I believe our last correspondence involved you extolling to me the virtue of selling down my Storm investments to cover a potential margin call situation. Advice that retrospectively proved useless, as no one at Storm actioned it, causing me to lose tens of thousands of dollars. But what are a few zeros between friends eh? Bear with me here, I don't have the luxury to employ a PR consultant, so some of my language might be a little 'un-PC'.

After reviewing your generous offer, I'm going to have to go on my gut instinct and recommend you eat a bag of phallus's. Your sudden interest in the Storm client list would lead me to believe that your intentions are far from altruistic. Can you honestly tell me that:
1. You aren't garnering some commission from this law firm to rattle up some business by trawling through your old client list, and/or,
2. You're not (again) doing this to cover your own posterior?

Sorry Emmanuel, but at no stage have you uttered the word sorry to me or my family yet for your company's actions. As our benificent leader Kevin Rudd tells us 'the buck stops with me.' Where did the buck stop for you? Oh I forget, it didn't, and hence that was nine-tenths of the problem. Our family paid you thousands in combined fees, and in return you lost us hundreds of thousands, by trying to protect your own profit margins. Hell you and your staff were even of the belief that we should have tried to increase our margin loans (and risk) even as our wealth was flittering away! To top this injustice off, we then found to our chagrin that you and your wife Julie tried to award yourself (by using a dodgy promotion of a family member to the Storm board) a few million as a kicker, and awarded close associates millions in 'under the table loans'! Is this the act of someone who is looking out for their clients interests?

As for the CBA/Colonial, while I have no doubt that they are not acting in my best interests, at least they had the temerity to ring me up, apologise, and ask how they could remedy the situation, and fix the errors they incurred. Which is more than can be said for some. My mother was one of the test cases and has been awarded a six-figure settlement. It would be fair to say that this is just.

Frankly, I find your missive offensive to all five senses. Justice is being done, and legal/karmic justice will be served upon you. In conclusion, I'd rather inject human faeces into my own eyeballs then follow any further advice commended by you.

Yours sincerely,
Ironhalo

Lol should I send it?
 
Ironhalo said:
I had this response:


Lol should I send it?
Click to expand...

I'd actually love to be able to read some of the responses he's sure to get. :D Quite strange that they were unable to supply information from storm's computer records to Worrells, yet have managed to retain their ex-clients contact info - I guess their memories have improved quite a lot since the inquiry when Manny couldn't even remember if he was a CEO or not:rolleyes:

I have absolutely no doubt that his sudden "concern" for the people he has let down so badly stems purely from his own self-interest. The more people he can convince to join his court action, the greater chance he has of an out-of-court settlement to make it go away. Strength in numbers and all that. This attempt to "use" ex-clients stinks the same as the "please sign this Deed of Arrangement" email we got about a year ago - which would have allowed them to retain their 2mill divvie and control of storm. ASIC quashed that - I wonder if there's any way he could be fined or prevented from sending unsolicited emails to people who are no longer his clients in the future?
 
Ironhalo - do send it and be sure and copy in ASIC and SICAG forum
I have been trying to think of appropriate responses to Manny -note we not have his email address and one for Julie too . . .
 

Similar threads

TiminOz
The dynamics of money and TIME: crimping cashflow for a period
Replies
3
Views
869
TiminOz
TiminOz
BossMan.
The planning of a portfolio
2
Replies
29
Views
1K
Value Collector
Value Collector
basilio
Ozempic: Magic Pill or Devils Bargain?
Replies
10
Views
2K
sptrawler
sptrawler
ducati916
February 2025
2 3 4
Replies
64
Views
6K
ducati916
ducati916
Garpal Gumnut
Mayfair 101/Mayfair Platinum
2
Replies
35
Views
5K
Dona Ferentes
Dona Ferentes
Top