Axcess investors: See the update at the bottom of the post.
Back when I first noticed that the SEC and CFTC had said Canadian televangelist were alleged finders 
in an alleged 14 million dollar ponzi scheme, I was confused about a May 22nd court date in California for Gordon Driver. That date seemed to come and go without notice. Â
I remain appalled that 100+ people in religious communities can be so harmed, and we carelessly pretend it’s business as usual.  Religious affinity fraud is common and on the rise, I wonder if we become desensitized to those who have lost. Refusing to listen, understand and inform is not acceptable.
Gordon Driver had been ordered by Judge Wright of the California Central Federal District Court to show up May 22nd.
He didn’t. Thanks to readers I know that now. While my contacts in the US are not able to use the California Court site; thanks to investors, we know the Mr. Driver is due back before Judge Wright August 4th, 3 pm.
This is where things get interesting again.
Mr. Driver didn’t show up to court in May, however he did show up before Judge Wright June 5, 2009.
For the 100+ investors interested in this alleged ponzi scheme civil case, and with gratitude to investors who attended; here is a summary of what happened in court June 5th. Any mistakes are mine.
The SEC had two lawyers present. The CFTC had a lawyer. The FBI attended. Mr. Driver showed up without representation.
Judge Wright asked him why he didn’t show up to court in May.
Driver told the judge he had paid a lot of money to a lawyer, who was refusing to represent him because he couldn’t pay.  He told the judge he was in a 30 day extension granted by the SEC for him to get a lawyer and he had just reached an agreement with the regulators.
He had asked for 5 thousand dollars to be released from one of his bank accounts so he could pay for a lawyer, but also that he was waiting to see if he could get a public defender.
He didn’t understand the legal terms so he didn’t want to answer questions.
Judge Wright suggested a 10 day extension for Gordon Driver to get a lawyer and said it was reasonable to release funds so Mr. Driver could get a lawyer. Okay.
Running theme here, isn’t there? This surfaced in April. Solidified in May. It is now a June event we’re observing. No lawyer. After the defendant and judge had their say, it was the lawyers turn. Needless to say the SEC and CFTC lawyers were not keen on the unfreezing funds part.
The SEC lawyer wanted Mr. Driver to show he couldn’t get a lawyer. If he could prove he was unable to get a lawyer, then a release of funds was acceptable. However the SEC legal counsel requested immediate notification of someone on retainer, and requested information on where Mr. Driver would be so disclosure could begin. The CFTC lawyer was also opposed to Mr. Driver dipping into any bank account or assets, given that they believed that the money they had ordered frozen was from investors. Why should investors money be used for defense?
Mr. Driver got to respond. While I don’t doubt he has read the charges against him, I have become convinced this is how a pathological gambler rationalizes events.
He said he had shown proof to the regulators that he had a trading account and he had made money in 2 weeks of trading. Okay.Â
I was not present, I am assuming he isn’t deliberately hanging himself here, that this supposed trading account which supposedly made money was active prior to the OSC cease order in April and the charges being laid by the SEC and CFTC in May.Â
He also said he was a professional blackjack player, he’d been in Las Vegas, won in blackjack and had about 37 thousand in said account. Okay.
The person taking notes wasn’t clear on the exact amount, and no time frame was given. Attorneys turn.
The CFTC lawyer reiterated any money in accounts was investors money. He didn’t believe some of Drivers money was frozen because bank accounts had been dumped into with Canadian and US investors funds. The CFTC lawyer wanted Drivers future lawyer to provide receipts.
The plaintiffs (SEC & CFTC)Â needed time to research further assets and hidden money. A proposal had been sent to Mr. Driver by the CFTC, but it was not discussed in the June hearing. Gordon Driver said he needed an attorney to explain it to him. It was the judges turn.
Judge Wright ordered a 60 day extension with conditions.
The SEC and CFTC were to be notified as soon as Mr. Driver got a lawyer, and discovery was to get underway.
The investor taking notes used the term ‘immediately’ a few times in this exchange.
This is where I personally think from reading the notes there appears to be a moment of terrible clarity for the defendant. Just a quick break, a blink in the mental, emotional and spiritual clouds until familiar patterns kicked back in.Â
Gordon Driver told the judge he was concerned because he had previously been told discovery could lead to criminal charges and he wanted to know what his rights were. Okay. It was the SEC attorneys turn.
The hearing was for the injunction of Driver and Axcess, the lawyer acknowledged it was not uncommon for criminal charges to come about as investors sought restitution. Okay.
I believe a couple of investors have spoken to authorities because they said they were going to. I do not know who they are, or whether they have spoken to US or Canadian investigators.
Given Crossroads CEO Doug McKenzie’s June interview with Marantha News and the Crossroads Board of Directors statement in June, I’m assuming both investors are talking on both sides of the border.
I do not know how many investors were watching this hearing, the note taker noted a gentleman named Steven Rutledge introduced himself to some investors. Steven Rutledge is David Rutledge’s brother and a cousin of Ron and Reynold Mainse.
Back to the June hearing, it was Gordon Drivers turn.
He asked Judge Wright to unfreeze a personal bank account since he had a wife, five kids and needs. He told the court he wasn’t hiding anything, he had no off-shore accounts hidden from the CTFC. His Canadian account had 1 thousand dollars. Okay. The judge wrapped it up.
“You and Berny.You will have to play more black jack and make some money.”
Canadians watched Earl Jones, a Montreal man accused of a 50 million dollar ponzi scheme do his perp walk outside a Montreal courtroom last week. Some of the tension and the steam in a case involving fraud gets let off outside a courtroom. Montreal police could have ushered Mr. Jones out the back door, but the emotional catharsis for investors reacting to a police wedge and perp walk can be a release valve for a community.
When Gordon Driver left the California courtroom June 5th, some investors ran after him. As the witness says, it was as if they hadn’t been in the courtroom, he said that if they weren’t here, they’d all be in Hawaii by now and he said he loved them.
What has happened since?
The day before this hearing, Jim Cantelon, dressed in black, with a black backdrop made his announcement on 100 Huntley Street that Ron and Reynold Mainse “will not be appearing on any Crossroads programming or otherwise represent Crossroads for the time being as they focus their energies on certain matters in their personal lives.” Gordon Driver responded to someone he knew years ago from Crossroads Christian Communications here at BDBO. Investors have emailed, former employees have emailed.
IÂ have no idea if Mr. Driver has complied with the court requests, if anyone does know, they haven’t spoken publicly since June 5th.
The CEO of Crossroads Christian Communications released a statement and gave a brief interview to Marantha News.  The Board of Directors of Crossroads Christian Communications released the information an audit of the organization had been completed. Ron and Reynold Mainse are not back on-air at 100 Huntley Street. Their father publicly implied media was gossiping. A few media outlets picked up wire copy implying Crossroads Christian Communications was a church. No one corrected the error.
I want to thank the investor who is taking notes, to bear witness is a responsibility and a gift, and I respectfully ask investors giving and receiving information from California to please stay in touch.
Reporters are tripping over themselves to cover Earl Jones, a Montreal man currently charged with four counts of fraud and believed to have scammed investors out of 50 million dollars.Â
Like the two men named by the OSC in Axcess Automation/Funds, Earl Jones didn’t have a licence to handle other people’s money either.
There is no media covering of what is happening in California.  Axcess investors are on their own, this will probably be a long legal process, and the reality is that media may never pay attention. Regardless, I believe Christians have a responsibility to learn, speak and help others. I don’t think lack of coverage is a measure of importance for those of us who need to learn.
I think it is critical every single person who has been involved with Mr. Driver have the opportunity to know what is unfolding. I have no reason to believe everyone who cares about what is occurring in California Central District Court between Gordon Driver and the CFTC/SEC are informed.Â
There has been enough loss, especially the loss of trust, community and transparency.
It’s a long weekend, the weather is good, if your comment doesn’t appear, not to worry.
I’ll get to it, sunshine calls.
Update: Just got an email from California. The guy says the hearing is not on August 4th and says that comes from Gordon Driver. I need someone in California who has access to the Justis data base. Anyone?
I’ll correct information when I’m wrong. If the hearing is not this week, when is it?
Update: The court appearance was postponed and moved to August 17th. This has to be ripping people apart who need information, and my heart goes out to investors. What I’m receiving from California is so confusing it’s pathetic.
To put it as simply as I understand it, Gordon Driver was expected to get a lawyer in May.Â
He was ordered in June by the judge to get a lawyer.Â
This weeks court appearance would probably have been a quick hearing to prove he had one, so the lawyer would be paid and this case could move forward.Â
The court is not going to release funds on the defendants terms given the charges.
That could not be clearer.
 You read the notes above and it’s clear Gordon Driver has been given a fair and reasonable request to comply. Â
What is known to be left/frozen is investors money, and the plaintiffs have made it clear they aren’t sure there are not funds/accounts and money they have found or that has been disclosed. There are rumours about new monies being found that were not frozen, but with the confusing information coming out, I can’t in good faith put them up at this time.
August 17th, 1:30 is the next court date. The question I have is, will Mr. Driver have a lawyer?
Update: Nope. More here.
Bene, excellent work!
What I have notice with the Jones investors (not so with the Driver investors) they are organized. They immediately set up a website that had an email address and set up a meeting for all investors. On the news last week, I saw them picketing. At least one group is out there telling the Canadian Government they are not happy. What about the Driver investors??? What are you doing? This is not okay, you have rights too. Tell the truth, tell your story, just do it!
Now another ponzi scheme appeared in Montreal. What is going on in Canada??????????? The Government needs to get busy!!!!!!!
Hi Walter: Off topic, we’ve discussed this. – BD
Walter… keep on blogging… I appreciate your wealth of information.
MenchMayer After Roy Aldrich and others were robbed by a ponzi scheme by the Straders of Lakeland I started to do an extensive research on Prominent Evangelicals in North America especially TV Evangelists and found out that all of them hid their salaries and their total compensation because they had no integrity whatsoever and the latest being Todd Bentley!
Do an engine search on Liars And Perjurers in Revival
In my book Not Innocent I wrote
As a denomination, the Assembly of God has not accepted responsibility for the actions of their prominent members in their organization. It has done nothing to bring justice and healing to the real victims in these cases. Instead, they it has chosen to console and comfort the aggressors, the noble ones, and the perpetrators of the crimes. The victims were mostly elderly people, who didn’t have the physical strength or financial resources to fight back and recover what they lost.
The other fact of the matter is that because of the accurate reporting of the Ledger and The Tampa Tribune, in central Florida, in 1994-95, concerning Daniel Strader, Alice Faye Redd, the Assembly of God ministers and pastors and what went on at Carpenter’s Home Church, many people were justifiable upset with those who piously talked about God from their high places but behind the scenes did hypocritical things. As a result, they wanted nothing to do with God or Christians. What was not right and unfair was that such a small number of people should do so much damage to other people’s lives and to the Kingdom of God?
The Tampa Tribune ran a typical story in June 1996, about a Pastor in Lakeland who lied on his resume to get his pastoral job. He stated he had two degrees, which was not true. When the pastor was exposed he didn’t resign but stayed on and caused the church to split. We were to learn the hard way about how a church split is often the result of a crooked and corrupt pastor. This was true in Lakeland and was nothing new. It had happened long before we arrived in Florida.
In like manner, the hierarchy of a denomination can become equally corrupt and crooked. However, when you have a church organization made up of honest and God-fearing people, full of integrity and accountability, it doesn’t matter which system predominates. When an organization is made up of dishonest and corrupt people, it still doesn’t matter which system is in operation because it will affect everyone. The same holds true for all forms of government both State and Federal.
We live in a day and age where many religious Christian organizations and churches been exposed, have tumbled and fallen because of financial mismanagement and serious accusations, that have been made by the media about some of the leaders and directors of these nonprofit organizations and corporations. Independent ministers have become offensive to the secular world and to some Christians, and we are sure there will be others. There have even been grand jury investigations and indictments of people such as Jim Bakker and Dr. Henry J. Lyons – men we would never have believed would have committed sexual and financial improprieties.
The St. Petersburg Times and the Tampa Tribune reported almost daily about “Lying Lyons.†The “Born Again†Rev. Henry Lyons, former head of the National Baptist Convention, was sentenced to 5 ½ years in prison for his convictions on state charges of racketeering and grand theft. Lyons, 57, had been one of the most influential black religious leaders in the United States, overseeing one of the largest church organizations of African-Americans.
Lyons was convicted in February 1999 of swindling more than $4 million from companies that wanted to market life insurance, credit cards and cemetery plots to his convention members. Prosecutors said Lyons padded the convention’s mailing list with names randomly selected from phone books across the country. Even a grand dragon of the Ku Klux Klan was on the list.
Judge Schaeffer ordered Lyons to pay $2.5 million in restitution to the companies who bought his phony mailing lists and to pay $97,000 for the cost of the state probe into his dealings. Lyons and his alleged mistress, convention publicist Bernice Edwards, were accused of spending much of the ill-gotten money on a lavish lifestyle, including fancy cars, jewelry and a pricey waterfront home. Edwards was acquitted on state charges, but she pleaded guilty in federal court to tax evasion.
A few weeks after Lyons was convicted in state court, he resigned as head of the National Baptist Convention. He pleaded guilty to federal charges of tax evasion, fraudulent activities and lying to officials.
On his income tax, as a preacher, Lyons only declared $ 110,000 as gross and $ 20,000 as net when $ 4.5 million went through his hands. We were to find that integrity among preachers in America was almost nonexistent, especially when it came to money!
Don’t know if you have seen this, but here is a letter Reynold Mainse sent out by email a week ago to try to explain the situation from his point on view. Frankly, the more I read it, the more annoyed I get by it. But would appreciate getting other’s perspective.
—————————–
Hi Family and Friends,
I am sending this email to only those I know personally.
Many people are wondering… “What’s up with the Mainse brothers and this investment…ponzi ? Why are they not hosting 100 Huntley Street?… What really happened?
I wrote the attached PDF to bring clarity to a situation that has become full of assumptions and misrepresentation. The questions many people have… newspapers, blogs, water-cooler talk, church lobbies, etc are all surrounding the particulars of what has turned out to be a bad investment and apparently a ponzi scheme. As this will now become a public document, I have been very careful to lay out the clear truth and am willing to substantiate what I have said.
The attached PDF should answer many questions and hopefully be one of the keys to getting out of this difficult valley we find ourselves in.
Be Blessed and thanks for your prayers,
Be Blessed
Reynold Mainse
——
Dear Family and Friends,
If you live long enough, you know what it feels like to be lied to,
cheated or taken advantage of… and in reflection or at present you
know the pain and suffering that comes with that.
I want to take this opportunity to share with you, our family and friends, the great disappointment and suffering Kathy and I, along with others, have experienced in the last several weeks. To those of you who already are aware of the situation Kathy and I find
ourselves in, we thank you for your prayers and kind words.
Out of respect for our relationship, I don’t want to be vague, and therefore, this letter is a bit lengthy. Thanks for taking the time to read it.
On May 15, 2009, I was totally shocked to learn that we along with many others had beenhurt by what is now alleged to be a deceitful investment scheme – a very long and elaborate con. My mistake was in trusting someone I believed to be a friend. I believed the words of this person that I have known for years and this apparent deception has led me down a path that has brought pain to many, as well as my family. What appeared to be a wonderful investment opportunity that would help my family and strengthen the Lord’s work is turning out to be quite the opposite. What a shock to read my name in the SEC report and the newspapers in the same paragraph where the word ponzi scheme is written. I suppose being somewhat high profile; the newspaper reporter felt it necessary to name my brother and me as some of the investors and as people that were used by this trader to introduce some people to alleged scam.
I am filled with regret and am greatly disturbed that I told some family and friends of what I thought was a great blessing. Several of them in turn asked to meet with this person to find out details about this opportunity, and that resulted in some of them investing and subsequently some of them losing their investment. There were five relatives and ten Friends that I am sad to say I first introduced into this opportunity. I should have gone to great lengths with due-diligence getting the proper help to critically look into my investor friend’s activities and this opportunity. Unfortunately, I cannot wind back the clock.
This investor person said he wanted to help my family as well as strengthen the ministry that God has led Kathy and me into by giving us a percentage out of the profit that he was making for his role as the trader. As I did not have much money to invest in the first place, I thought this offer was a further blessing. However, I came to find out over a year later that one apparently needs a license to get any compensation when it comes to the stock market. The monies I did take out, I gave to charities and others in need. The primary charity I gave to was Heaven’s Rehearsal where Kathy and I have been volunteering since 2005 as co-chairs. We still drive the same two cars and live in the same house but find ourselves in the worst financial position we have ever been in.
I have been one of the many people interviewed by the OSC (Ontario Securities Commission) as they have been trying to gather information on this trader. I was happy to help in any way I could. I appreciate their directive to stop abuses to the system and to protect people from being cheated and taken advantage of. By the way, I must clear up a misconception held by some – There are NO allegations that I was involved with or had any knowledge of the wrongful conduct of the trader. I am grateful to say that those
relatives and friends that I introduced to what I thought was a great opportunity are not holding me responsible for any losses they might have realized. They have all been gracious and kind. In fact, I feel that our relationship will be deeper as we “together†are
going through something that is painful.
Please realize that the sadness in our hearts is not about our financial position, but for our friends and family who have been hurt. As well, our concern is about our relationship with you and others and how this might affect the ministries we have been called to serve.
Before God and you, my friends, I assure you that my motives were pure and that I had the best intentions for everyone involved. It has always been my desire that the Kingdom of God is strengthened and people are blessed. It appears that my name has been dragged through the mud of someone else’s making. All truth-be-known… – I have not compromised my integrity and continue to look for God to redeem this situation. What was intended for evil, I believe, God will turn to good.
During the upcoming months of further investigation, it has been determined that it is best that I do not host 100 Huntley Street. I am confident that God is working and leading me to a place where I can to a greater degree express His heart of love for His people. This difficult season is developing in me understanding and compassion for others who have suffered as a result of deception and loss. I feel this refiners fire will accomplish all that God desires. My faith has grown stronger during this time. I am encouraged by the biblical story of Joseph. God allowed Joseph to go through far more difficult times than I will ever have to go through. He was rejected and falsely accused, and yet the valley he went through led him to a place of great blessing and God’s plans being fulfilled.
I cannot begin to tell you the degree of sorrow and remorse I feel over these circumstances. We remain in fervent prayer day and night over this situation. I have repented before the Lord for not discerning truth from a lie and for any negative fallout.
Please join us in prayer for the Crossroads 100 Huntley Street Board as they are doing their very best. Also, pray for the others who have been hurt by this scheme. Let us also pray for this investor person and for his family.
Thank you so much for the support Kathy and I feel through your love and prayers
In God’s amazing embrace of love,
Reynold Mainse
Pingback: 100 Huntley Street/Crossroads, alleged ponzi scheme timeline at Bene Diction Blogs On
Dear Bene,
Thank you!
Investors what now??
Dear What to do?
All investors need to get Organized! The Joans investors had a website set up with only an email address. What a great idea!
You need to go to the Canadian police with your story.
Some suggestions for your story:
- Detailed Statement, including how you got to know your Financial guy, what you were told concerning the investment, detailed chronology of events and it should be lengthy and detailed concerning all involvement
- Copies of all documentation Investment
- Copies of bank documentation including cheques front and back confirming payment and which account your money was deposited
- spreadsheet detailing all money paid and money received with dates and interest rate
- IMPACT STATEMENT, very important… how will this impact you and your family.
HOW DO I KNOW THIS? I am living it, with another Financial Guru. It takes time, but they do sometimes manage to recover money and put these guys away for a while. At least it’s something.
I think the government needs to also be held accountable for this. But that’s a different subject for another blog topic.
I feel your pain!
Thanks MenchMayer:
Great advice.
As the shock wears off the the US proceedings drag on, organization is important. I’m moving your comment up into this
good news post.
http://www.benedictionblogson.com/2009/08/06/attention-axcess-automationfund-investors/
Pingback: Gordon Driver/Axcess California civil court case update at Bene Diction Blogs On