Kris,
For consideration to post at CIADRUGS .... (1)
article below with heading "What Did The White House Know And When Did It, the
CIA and the FBI Know It" (2) followed by e-mail to come "box cutters found on
grounded American Airlines 767 in SAN DIEGO -- and recall Flight 93 pilots were
trained in San Diego (3) followed by e-mail from today's New York Times! (4) and
e-mail that contains an article linking Elgindy to KLA.
My SEC research (Chicago) slops over now to
9-11and into Dan's work.
Best,
Lois
----- Original Message -----
Sent: Saturday, May 25, 2002 6:25 AM
Subject: brother works .....
Dan,
My gosh. Elgindy's brother WORKS IN THE WHITE
HOUSE. Below details he took shorts in strategic stocks.
![[ Silicon Investor ]](javascript:void(0);) |
|
|
|
|
|
SI Mail
SI NavigationHomeSite Map------------------ChartsCheck EmailCustomizeFAQFREE RegistrationMarket InsightMarket ToolsMembership Sign-UpMessage CenterNetSearchNewsPeopleMarksPeopleSearchPortfolioForecast Your PortfolioQuotesReal-Time
ChartsStock
ScreenerStockTalkStockTalk SearchSubjectMarks
| |
|
|
|
|
|
|
mmmary,
This is a little more detail on the 9/11 accusations. Note the bold. The
way I read it he was trying to liquidate the long positions.
TSX member Global wired Elgindy money to Lebanon
TSX Venture
Exchange *TSX
Shares issued 0 May 26 2002 close $.000
Friday May
24 2002 Street Wire
by Brent Mudry
In the first detailed
revelation of advance Sept. 11 knowledge, the U.S. government suggests
controversial California short Amr Ibrahim (Anthony) Elgindy, an important
client of Vancouver brokerage Global Securities, might have been tipped
off about Osama bin Laden's Sept. 11 terrorist attacks on the World Trade
Center in New York and the Pentagon in Washington, and tried to dump his
shares the day before.
The stunning, and unproven, allegation was made
Friday morning at a detention hearing in San Diego by Brooklyn Assistant
United States Attorney Ken Breen of the Eastern District of New York. The
Sept. 11 comments formed part of the government's successful argument that
Mr. Elgindy poses a serious flight risk, and he was denied bail.
Mr.
Breen also presented verbal evidence to Magistrate Judge John Houston of
Mr. Elgindy moving funds offshore, including $700,000 transferred to
Lebanon, and the fact that the short gave directions for his Web site
operation to start sending profits to Lebanon. (All figures are in
U.S. dollars.) While Stockwatch reported Thursday that Mr. Elgindy bought
a hotel in Lebanon two months ago, citing an unconfirmed source, Mr. Breen
did not mention the hotel in court.
Court testimony showed that Global
Securities was a major origin of these offshore transfers.
Mr.
Elgindy's San Diego attorney, Jeanne Knight, told the court that her
client was buying a vacation home in Lebanon. The government presented no
written documentation in court detailing Mr. Elgindy's financial dealings,
including his offshore transactions, or any other details of the case. Mr.
Breen was in transit back to New York after the California hearing and
could not be reached for comment. Ms. Knight was not able to return calls
from Stockwatch.
Mr. Elgindy, born in Cairo, has lived in the U.S.
since age two or three, according to U.S. authorities, but he retains dual
American-Egyptian citizenship. To bolster its flight-risk argument, the
government suggests he might have been tipped off about the arrests
Tuesday of several associates in Albuquerque, N.M. When police searched
his house, the fax machine held documents giving power of attorney to Mr.
Elgindy's wife to dispose of his assets.
Mr. Elgindy's brother, Khaled
Elgindy, is a Washington-based Arab American activist involved in Islamic
affairs and Amr Elgindy himself has shown a charitable interest in Muslim
issues, but there is no evidence that either are connected to, or in any
way condone, the cause of Mr. bin Laden, his Al Qaeda network or any other
terrorist organizations.
"What we have going for us is the moral high
ground," Khaled Elgindy told a Washington panel discussion on "How to
Discuss Jerusalem with the American Public." Mr. Elgindy said that while
the Jewish lobby has the art of manipulation, the skills and the
experience, the Arab Muslim community has the "weapons" of truth and
justice in its arsenal.
The San Diego court revelations are
particularly striking as one of Anthony Elgindy's most important and
trusted brokers is Art Smolensky, the founder and chairman of brokerage
Global Securities, and Mr. Smolensky is a prominent member of Vancouver's
Jewish community.
According to the government, Mr. Elgindy phoned one
of his brokers on Sept. 10 and requested the liquidation of a $300,000
trust account in the name of his children.
Mr. Elgindy is charged only
with securities fraud related offences, none of which relate in any way to
terrorism or treason.
"The allegations under investigation, Your
Honour, consistent with how I described them, which is as part of risk of
flight and certainly not something that's charged at this time, but the
investigation is continuing, is that on September 10th, in the afternoon,
Mr. Elgindy contacted his broker at Salomon Smith Barney, the broker who
was in charge of Uniform Gift to Minor trust accounts in the names of Mr.
Elgindy's children, and he asked the broker to liquidate those accounts,
and he made a comment predicting the market was going to drop to 3,000 at
a point in time when the market was at approximately 9,600," Mr. Breen
told the court.
"He was unsuccessful in doing that because it was late
in the day, he didn't have authority to do that because the accounts were
trust accounts. But certainly something that could be taken from his
attempt in that regard is that perhaps Mr. Elgindy had pre-knowledge of
the September 11th attacks and, rather than report it, he was attempting
to profit from that information."
The Dow Jones Industrial Average
closed at 9,600 on Sept. 10, plunged to 8,700 when trading resumed after
the Sept. 11-related market halt, and bottomed out just above 8,100 a week
later.
The judge told the court he would "disregard" the implication
that Mr. Elgindy might have known in advance about the terrorist attacks,
either in specific or in general.
Prosecutor Mr. Breen told the court
that, with Mr. Elgindy's illicit access to FBI and grand jury databases,
he would have been privvy to a report, an "FBI-302," describing an FBI
interview with the Salomon broker who was in contact with him that day.
"That was accessed by Mr. Royer (a former FBI Special Agent in league with
Mr. Elgindy) and the information provided to Mr. Elgindy."
Judge
Houston asked if this interview related to Sept. 11.
"Regarding Mr.
Elgindy's attempt to make those trades on September 10th. And again, this
is not something that at this point in time we have sufficient evidence to
charge, and it may never be charged, but, to the extent that it's relevant
here, it's relevant to the risk of flight and that Mr. Elgindy is
potentially facing more serious charges," stated prosecutor Mr. Breen.
The court was told Mr. Elgindy made the Sept. 10 calls to his Salomon
broker at about 12:00 or 12:15 pm Pacific time. Mr. Elgindy and his
assistant had a series of conversations with the broker, asking him to
liquidate the accounts, which had an approximate value of $300,000.
"In the course of the communications between the broker and Mr.
Elgindy, Mr. Elgindy indicated or predicted that the market was going to
drop to 3,000. There was no time frame for that context. But the evidence
shows, and this 302 indicates, that Mr. Elgindy did have a meeting
scheduled with the broker the next day but that he was calling on the 10th
in order to try to effect this transaction," Mr. Breen told the court. The
prosecutor confirmed the broker contacted the FBI with the
information.
The federal prosecutor then traced out financial
details regarding the flight risk assessment.
"Mr. Elgindy, as the
Pretrial Services report indicates, does have significant foreign ties,
including dual citizenship in Egypt. In addition that that, we've
determined that he's transferred approximately $700,000 to Lebanon in a
series of wire transfers, some of which came from Canada where Mr. Elgindy
kept one of his securities accounts at Global Securities."
Two wires
were identified: a $125,000 transfer on Nov. 24 and a $300,000 transfer on
Feb. 13. "I've been advised by our forfeiture people that they've found
additional transfers that total approximately $700,000, but I don't have
that specific information."
"In addition to that, in February 2002,
the defendant gave instructions to somebody who he was business partners
with as to his website, that Mr. Elgindy's portion of the profits in the
website should be sent by wire directly to Lebanon instead of to Mr.
Elgindy here in the United States," Mr. Breen told the court.
"In
addition to that, in April 2002, the defendant transferred the assets that
he had in accounts in Canada from his brokerage accounts into a company
that was set up in Beirut, Lebanon."
"In connection with the
defendant's arrest, there was a search that was done at his business and
at his residence and, during those searches, the agents found what I would
describe as a getaway stash -- $43,000 in cash, gold jewelry, coins, and a
loose diamond, along with a passport. They also found on the fax machine
that the defendant had been tipped of the arrest shortly before it,
presumably by somebody who is in New Mexico, where two defendants were
arrested earlier in the day," states Mr. Breen.
The prosecutor also
pointed out that Mr. Elgindy was on probation for his insurance disability
compensation fraud, and that his stock fraud offences were during this
probation period, while he also "has a history of drug abuse, including
cocaine and marijuana."
"Mr. Royer, after being Mirandized, provided
information about Mr. Elgindy and, in fact, indicated that it was likely
that Mr. Elgindy would have drugs in his house. He didn't, although our
position on that is because he had time to prepare for the arrest and the
search, that he easily could have disposed of those," Mr. Breen told the
judge. While no drugs were found, ammunition was located in the Elgindy
residence, which is a probation offence.
Defence counsel Ms. Knight
presented a better picture of her client.
"A flight risk is someone
who is a fugitive or a head of a big drug organization or someone who has
a lot to lose by staying here. Mr. client is a U.S. citizen. His wife is
present in court, as she usually is, Mary Faith Elgindy, who was born in
Louisiana. They have three beautiful sons ... His mother is a pediatrician
in Chicago. His father's a professor. He has brothers -- a brother that
works in the White House. All of his family are professionals."
Ms.
Knight also pointed out that the liquidation of Mr. Elgindy's children's
college fund accounts was executed on Sept. 18, and while he had
$2-million in the market himself at that time, his accounts were not
liquidated then. The defence lawyer stated Mr. Elgindy moved his brokerage
account "to Yukon Territory, Canada, not Beirut, so my concern is part of
this is just smacking of racial profiling."
Mr. Breen countered these
points. "The address given for the Yukon corporation is a Beirut, Lebanon
address, so I'm not sure what counsel means by that. The two million in
stock, Your Honour, what he had invested were short positions that would
only benefit from that kind of event. What he did is liquidated the long
positions that were vulnerable to that kind of news."
Judge
Houston notes the pretrial services report indicates that Mr. Elgindy
travels to Canada four or five times a year, to Kosovo and Macedonia once
or twice a year, and he was last in Egypt, a country which he needs no
visa for, in November. "The court also notes that, and finds that you have
a home in Lebanon." Mr. Elgindy was deemed a serious flight risk and
denied bail.
(c) Copyright 2002 Canjex Publishing Ltd. http://www.canada-stockwatch.com
|
|
|
|
Enter symbols or keywords for search: |
|
QuotesStock
TalkChartsNewsPeople
Symbol
Lookup
Subject Titles Only Full Text This Subject Only |
|
Go to Top
|
| Terms of
Use
Got a comment, question or suggestion? Contact Silicon
Investor.
|
logo_0714.gif
