Is Private Investors Union (PIU) lying?

If Private Investors Union (PIU)'s story is to be believed, it took them one year to discover what Fair Share Investing (FSI) and other investment pool programs have already known for so long. 

Like PIU, FSI is a private pool program that invested in Wanda Lee Newby's forex trading corporation, Financia Investing. But unlike PIU, FSI knew the company was in trouble ever since December 2005.

FSI used to be part of FeederFund's portfolio, offering investors 7-8% monthly gross return. But in May 2006, Feederfund closed FSI to new membership after the latter ascertained that Financia Investing wasn't anymore paying as scheduled.

The FSI admin shared via email that he and the admins of other pool programs invested in Financia Investing knew since December 2005 that the company was in trouble.

All her other investors that I know of, stopped receiving money in Dec 2005. Actually Nov 2005 was last payment and Dec 2005 was missed payment and first sign of trouble.

- Fair Share Investing admin 

If that is the case, how come PIU reported problems only in December 2006? Does that mean it continued to be paid until November 2006, when it did not receive payment for its US$1.5 million withdrawal request?

On the first days of November 2006, we did request a withdrawal of funds of around 1.500.000usd, Wanda Lee Newby acknowledged reception of information and transfers was supposed to be received during December as expressed in the contract.

We called during December 13th, and we managed to communicate with Mr Gregory Dixon, he told us that he everything was ok and that Wanda Lee Newby was near Los Angeles visiting her friend "Cristabel". We asked about our withdrawal request and we were told that they have done that already on December the 8th, and that it should be about to arrive. We kept trying to contact anyone at Financia Investing Inc. during all the days of the December with no exception without any luck to confirm.

- From PIU's 47-page PDF report 

Or is PIU lying, when actually, it stopped receiving payments — together with other investors of Financia Investing — from November 2005 and not November 2006?

Here's an excerpt of a story from FSI showing how difficult it was to get payments from Financia Investing even back in mid-2006:

[The trader] promised to liquidate by June 2006 the rest [of FSI's investment]. June came and went with no communication. I waited a week then flew down to see her again. She wasn't answering her door. I gave up after a couple days and flew back.

She had said she would pay out in June, so I decided to leave her alone and see if she in fact does. She didn't. So in early July, I was calling her every day and emailing her and demanding to know what happened. Finally I made contact and it didn't go so well. Her partner says she is upset and ill, and that I should not be calling. But of course I need to know where the money is that was promised and never sent.

She asked for 10 more days on the 13th of July so that she could gather funds for a payment. Now on the 26th of July still no payment has arrived.

So while Financia Investing had millions of dollars of trading losses, the trader was deathly ill, and most, if not all, of the investors are having problems receiving money – is PIU claiming that from November 2005 until November 2006, it still continued to receive full and consistent payments from Financia Investing? Were they that lucky?

The point is if, like the other investors, PIU stopped receiving money since November 2005, why did they keep accepting deposits from investors during the entire year of 2006?

Did they continue to put this in Financia Investing although the company was already making losses and was not making payments to investors?

Or did they simply pocket all these deposits, closing PIU in January 2007 and pinning the blame on Financia Investing, when actually PIU already collapsed a year before that — at the same time other investment pools stopped receiving money from Financia Investing?

That's something to think about.

By the way, here are pictures of the trader Wanda Lee Newby and her partner Gregory Dixon. If you have information on Gregory Dixon, let the authorities know so we can all know what exactly happened to Financia Investing and whether there is a chance for investor funds to be retrieved.

Discuss PIU in the Private Investors Union thread in the PMT Forum (login required). 

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