Asset Management Group
August 7, 2001 - This morning at 09.00 a.m. the Securities and
Exchange Commission, Thailand (SEC Thailand) in cooperation with
the Anti-Money Laundering Office (AMLO) and the Royal Thai Police
(RTP) have conducted raids against the International
Asset Management Group at 8th and 11th Floors
of Q-House and at address 36/2 Convent Road Bangkok suspected of
being offices of unlicensed securities companies and may have engaged
in fraudulent activities against foreign investors.
The raids were conducted as a result of evidences obtained from
the AMLO. The documents indicate that SDD Consulting Group Co.,
Ltd. and International Asset Management Co., Ltd. who are registered
as legal entities in Thailand have allegedly solicited a large
number of foreign investors mostly Australian and New Zealand nationals
to invest in shares in another overseas markets and these investors
have suffered losses as a result.
Documents received from the AMLO also indicate that the group
has used Thailand as a center to make telephone contact to induce
overseas investors into making investment in another overseas markets.
Commission fees were also charged to foreign investors and either
investors have experienced difficulties in getting their money
back or that no further contact could be made with the entities
concerned. Such evidences indicate that the operations of such
entities are in contravention of Section 90 of the Securities And
Exchange Act B.E. 2535 which requires that the persons must be
licensed by the Minister of Finance and also Section 343 of the
Penal Code and Section 3 of the Anti-Money Laundering Act B.E.
Furthermore, evidences indicate that the group has frequently
changed its places of business and attempted to conceal its business
operations by renting virtual office to act as switch board facilities
to transfer calls to other locations. As a result, the SEC Thailand
has asked for cooperation from the AMLO and RTP in conducting the
raids and the seizure of documents or evidences.
Following the raids, evidences found that the group has ceased
operations at the Q-House address. Nevertheless, the authorities
have recovered evidences such as securities brochures advertising
the group as securities brokers and investment managers based in
Thailand, sales script and operating manual used to train marketing
officers and records showing that contact and orders have been
received from overseas investors. As a result, the SEC Thailand
is reviewing such documents with the view of filing criminal charges
against the group for operating securities businesses without having
licenses and for fraudulent acts against investors.
In addition, the AMLO has cooperated with the Immigration Office
in preventing the persons responsible in the management of the
group from leaving the country and has made an order freezing the
money deposited with the Thai commercial banks in the amount of
11 million baht. For further information on this issue, please
contact the AMLO at phone no. 66 2219 3636 or facsimile no. 66
The article referred to below was at www.time.com/time/asia/biz/magazine/
The erratic Danny Sterk, who was convicted of fraud in the U.S. before
launching a Bangkok-based venture called International Asset Management,
seems to have been among the most aggressive, precipitating a feud between
himself and the management of Pete's boiler room. While it is not known
whether Pete's story is an exaggeration, a number of boiler-room operators
confirm that hit men were hired to do away with Sterk.
Mr. Dan Sterk
Mr. Stephen Robert Casciola
90 & S.343
of the Penal
On October 19, 2001, the Securities and Exchange Commission, Thailand
(SEC Thailand) has filed criminal complaint against International
Asset Management Co., Ltd. (IAM) and 2 executives of IAM - Mr.
Dan Sterk and Mr. Stephen Robert Casciola - on the ground that
they conspired to conduct unlicensed securities businesses in Thailand
and engaged in fraudulent activities against foreign investors.
Following the raid on August 7, 2001 and further investigation
of documents seized from IAM including information and evidences
received from foreign complainants, the SEC Thailand found that
IAM has operated securities businesses without having licenses
and has fraudulently acted against foreign investors. In this connection,
IAM has used Thailand as a base to make telephone contacts to induce
foreign investors into making investment in another overseas market
and commission fees were charged to those investors.
Later on, foreign investors have experienced either difficulties
in getting their money back or that no further contacts could be
made with the entity concerned. Evidences indicated that IAM has
frequently changed its places of business and attempted to conceal
its business operations by renting virtual office to avoid direct
contacts from investors.
Moreover, IAM has also created false understanding about the prices
of securities that has been offered or sold to foreign investors
by referring to the prices that are quoted in the Bloomberg's website.
In fact, securities offered or sold to those foreign investors
are deemed to be "restricted securities" which have resale
As such, they have no liquidity and are not the same issues as
those non-restricted securities reported in the Bloomberg's website.
The prices of restricted securities may be lower than those of
non-restricted securities as investors were led to believe. In
this regard, such actions are considered to be a fraudulent act.
In case of Mr. Dan Sterk and Mr. Stephen Robert Casciola, they
are the incorporators of IAM, and directors who have authorities
to operate IAM and control IAM accounts. In this regard, they are
considered to jointly commit such offenses with IAM.
As such, the SEC Thailand has filed criminal complaint against
these 3 offenders on the conspiracy of operating securities businesses
in Thailand without having licenses and engaging in fraudulent
activities with the Office of the Economic Crime Investigation
Division of the Royal Thai Police for further investigation. Such
aforementioned activities are in contravention of Section 90 of
the Securities and Exchange Act B.E. 2535 with Section 83 of the
Penal Code, and Section 343 of the Penal Code with Section 83 of
the Penal Code.
Paul Richard Bell aka Dr. Richard King (NFA ID 0022445) was busted
in Australia as working for International Asset Management and
Trident International along with Danny Sterk and Stephen Robert
Casciola - restrained from leaving and subsequently convicted.
He pleaded guilty in the Brisbane Magistrates Court to 21 charges
laid by the Australian Securities and Investments Commission (ASIC)
in relation to his activities as a cold-caller operating out of
Thailand and the Philippines.
Promoted ChinaNet TV Holdings, Attegrity (owner Bob Wiles)