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The Fall of JJPTR - Aldric Chang (alphaplay)

Tan KW
Publish date: Tue, 25 Apr 2017, 06:00 PM
Tan KW
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April 24, 2017 

Original article- http://www.alphaplay.com.sg/the-fall-of-jjptr - Aldric Chang

 

JJPTR has fallen!

A few months ago, we wrote an article to highlight potential issues with JJPTR that points to the possibility of it being a Forex ponzi scheme. On 20th April 2017, investors of JJPTR suddenly found that they could not log into their accounts or contact JJPTR staff and upon visiting the JJPTR offices, found them shuttered.

After a few days of silence, the founder of JJPTR Johnson Lee finally spoke up. Read on to find out what he said, what we think and what we recommend investors of JJPTR to do.

Disclaimer – Alpha Play does not want to judge other businesses, but we will present some observations and facts for our readers to make their own conclusion.

What Is JJPTR?

JJPTR stands for 解救普通人 (Saving the Ordinary People). It is a Forex investment company based in Malaysia. Founded by self-professed Forex trading guru Johnson Lee, it claims of a noble mission to help ordinary people make a passive income through Forex trading.

 

Basically, an investor simply has to open an account with JJPTR, deposit some cash into their designated bank account and every month he will make a returns of 20% on his invested capital.

 

The Problem With JJPTR

As we are Forex educators, many of our readers wrote in to ask us what we thought about JJPTR. In reply, we wrote an article here which listed our observations and concerns about the company. Among a long list of concerns, the most alarming will be that of several countries naming JJPTR on their respective Investors’ Alert Watchlists. Philippines’s Security and Exchange Commissions even went as far as to warn the public not to get involved with JJPTR or recommend it to friends and family or risk getting jailed.
 

The Fateful Day $500 Million Ringgit Was Lost

On 20th April 2017, JJPTR investors suddenly found themselves unable to log into their accounts. Their emails and phone calls to JJPT staff went unanswered and upon visiting the JJPTR offices, found them shuttered.

 

Then after a few days of silence, the founder of JJPTR Johnson Lee finally spoke up.

Johnson claimed that JJPTR’s trading account was hacked into and the perpetrator lost all their money in the space of a few hours, while his traders were supposed to be on duty but happened to be sleeping!

He apologized for the problem and claimed that he was silent for a few days as he was trying hard to ‘resolve’ the ‘problem’. He also begged the JJPTR members to rally behind him during this very difficult period and to not call the police as it may result in the other JJPTR accounts being frozen by the authorities.

In case you are wondering, the amount we are talking about is 500 million ringgit or US$110 million.

Let’s examine his claims below. But before that, watch a video of the aforesaid ‘losses’.

 

Examining Johnson Lee's Claims

Our first question is why? What is the motivation behind this ‘hack’?

 

To deduce the motivation we have to work backwards from the aftermath – that 500 million ringgit from JJPTR’s trading account was lost, not through theft, but through trading.

The reason why the money could not be stolen directly is because money in a brokerage firm can only be transferred out to a bank account of the same person / company that registered with the broker in the first place.

So the money was lost through trading, according to Johnson Lee and as exhibited by the video above. Essentially he is saying that somebody took the trouble to hack into his trading account and in the space of a few hours lose 500 million Ringgit.

His reason? Somebody hates him and JJPTR so much that they want him to fail and was willing to risk a long jail term by hacking into JJPTR’s trading account, lose a cool 500 million Ringgit and not get anything out of it.

Interesting. Let’s go over this once again.

Somebody hacked into JJPTR’s trading account not to steal $500 million Ringgit but to lose it all through trading. Presumably because somebody hates him and JJPTR so much.

There a few major loopholes with these claims.

#1 – We are talking about 500 million Ringgit, not 500. If somebody can be bothered to take the trouble to hack into JJPTR’s trading account, we believe that the main motivation would be to get the money and not because they hate Johnson Lee and JJPTR so much.

#2 – As seen from the video, the ‘hacker’ literally lost at every single trade. Think of it this way. This fella must be a genius! In Forex, if you are not thinking and you simply set random trades, you stand a 50% chance of the trade going either way because there are really only 2 directions your trade can go. Which mean that you stand as much of a chance to win a trade as well as lose one. It is just not logical and possible that he loses every single trade without having any being floating winning trades!

#3 – Again, we are talking about 500 million Ringgit, not 500. It is a hell lot of money to move about within a few hours! We would love to know which broker can provide that kind of liquidity. Now let’s assume that JJPTR is using some high level broker not commonly known to the retail traders because of the sheer amount JJPTR is trading. In that case, is it not fishy that this high level broker doesn’t flag out the chain of suspicious trades that the hacker was taking? Conversely, if JJPTR is using a common retail broker, there is no way it can provide that kind of liquidity!

 

What We Think

We consider the possibility that JJPTR may have been a Forex ponzi scheme from the very beginning of its inception. That means – a company that is structured to look like it is generating income through Forex trading, but is really just using money from investors who come in later to pay off investors who come in earlier. Once the investors stop coming in, the game ends.

 

If JJPTR is indeed a ponzi scheme, we believe that it was very well designed based on several points.

Johnson Lee always appears in in JJPTR events and behaves in a very friendly manner to all JJPTR members. He builds up this relationship with JJPTR investors so that they cannot find it in them to persecute him when he stabs them in the back. After all, how can this nice, friendly person be a con artist? Well, many ponzi schemes have charismatic leaders whose members refuse to believe are scammers. Many victims even continue to defend them long after the law has persecuted these scums of the earth. Such is the power of mind control!

True Case Study – A very famous ponzi scheme disguised as a Baccarat investment company called Sure Win 4 U had a very flamboyant founder who not only dared to show his face, spoke well and was even a Dato (a traditional Malay honorific title conferred by the Malaysian government)! 

It takes very little to begin investing with JJPTR. In fact, we believe that this is one of JJPTR’s clever strategies to get in the numbers (more people can invest) and so that investors will not feel the pinch when their money is lost.

Food For Thought – A lot of ponzi schemes bait people to join by setting a very low investment quantum. They do this to make investors feel that it is a very small sum to lose and that if the company is a scam job then it would be asking for more. Incidentally, the really legit investment firms are the ones which ask for much higher investment quantum! After all, the average person who is usually a con artist’s key target market usually will not have a lot to invest. A second way ponzi schemes bait suckers is by giving them a commission for introducing friends to invest. This was precisely how Aureus Capital and Maxim Trader operated.

There are a few kinds of Forex ponzi schemes that have swiped away billions of dollars from unsuspecting investors.

  1. The unsophisticated Forex ponzi scheme that simply asks investors to park their money with the company. Once it is time to go, the operators simply disappear.
  2. The more sophisticated Forex ponzi scheme that sets up a phony brokerage firm and pretends that it is an independent establishment – just so that it can convince investors that their money is ‘safe’ with a broker and the operators cannot simply disappear with the money. Well guess what? The broker belongs to the scammers too! Example – Maxim Trader. You may not believe it, but a brokerage firm can be set up easily using the services of this company. Also, MT4 trading records can be changed easily if you own the brokerage firm!
  3. The even more sophisticated Forex ponzi scheme that throws lavish parties and hires celebrities to desensitize the investors. After all, how can such a powerful company be scammers right? Well, guess who is paying for all these?
  4. Does it not seem strange that Johnson Lee is begging people not to go to the police when somebody had committed a crime and hacked into the trading accounts? Shouldn’t he be going to the police himself so that whoever the perpetrator is can be tracked down?

 

 

Why Is Johnson Lee Not Running Away If He Is Guilty?

These are a few possibilities.

 

  • He wants to see how far he can string people along and convince them not to make police reports. Without police reports, the police will not take action and he will get away scot-free with a cool 500 million Ringgit!
  • There may be an opportunity for him to do a Part Two! He is now asking for members to rally behind him and to support JJPTR in this time of trouble so that JJPTR can make a comeback. That can only mean investing some more money into JJPTR so that he can trade for everybody again. Already there are many members online pledging to do so for their beloved ‘boss’ Johnson Lee!
  • There is also the possibility that there will be a plot twist where he claims later that the money have been recovered in order to gain even more confidence with existing JJPTR members and people contemplating to join JJPTR. Pulling off such a stunt will almost certainly cause an influx of new participants!

 

 

This Is What JJPTR Investors Can Do

We suggest that JJPTR investors demand the following from Johnson.

 

  1. Ask Johnson Lee to reveal which brokerage firm JJPTR is registered with. Check online to see if this broker is registered with any reputable security exchange. If not, question Johnson why this broker was used in the first place (because there is a high possibility that the broker was set up by JJPTR in the first place if it is unheard of).
  2. Assuming JJPTR can prove that it is using a broker and that you are satisfied that this is a bonafide and reputable broker, demand that Johnson logs into the broker’s account directly through the broker’s website (not through the MT4 trading platform because it can be faked!) and ask to see the trading records. If it is a bonafide broker, the trading records results can usually be seen here. Don’t settle for a printout or screen capture because those can be easily faked!
  3. If JJPTR declines either of these requests, we highly recommend that you make a police report wherever you are. Johnson Lee is trying to dissuade you from making a report by saying that the authorities will likely freeze all the accounts and it will prevent him from being able to use the remaining funds to rebuild the company again. Well, if his claims are genuine, he should not be afraid to divulge which broker JJPTR is using and to show you the trading records from within the broker’s website. And if he is afraid to do so, you should consider reporting JJPTR because the authorities will only take action if people start reporting!

 

 

In Conclusion

After sharing all the above, we prefer that you make your own judgment on whether JJPTR is a scam or not. Our thoughts are that we should not assume something is not a con job just because it is a registered business entity, the founder dares to show his face or speaks well, it holds expensive gala events and it doesn’t set a high minimum investment criteria.

Good luck to all the JJPTR victims and we hope that you make the right decision!

 

http://www.alphaplay.com.sg/the-fall-of-jjptr/

Discussions
Be the first to like this. Showing 19 of 19 comments

Bruce88

everyone including those "investors" knew that was a Ponzi scheme,just praying it won't collapse the near future...LOL

2017-04-25 19:44

Jason Lim

LOL.

2017-04-25 20:00

Apollo Ang

wise men says,only fools rush in

2017-04-25 20:16

gohkimhock

都是一個貪字..

2017-04-25 20:22

Surewin123

gg ah, i need to change name d.

2017-04-25 20:46

Surewin123

im not ponzi scheme leader, pls trust me.

2017-04-25 20:46

Surewin123

i3, how to change my account name?

2017-04-25 20:47

greatful

Would it be possible they are the one who hack themselves and transfer the money out and cheat "investors"? Possible? I have no idea.
The next to blow might be "Barrel 2 U"? Possible?
Actually I heard a lot but not really understand. I have no extra money to "invest". I'm old man, cannot withstand this high risk high return "investment". If one day I got lottery, I will probably "invest" 10% of the lottery won.

2017-04-25 21:13

Ehome009

Very well written article. I take my hats off to the writer, kudos!

2017-04-26 00:21

ant123

use demo account n claim himself very pro in investing

2017-04-26 00:23

Apollo Ang

report to police to freeze his passport

2017-04-26 01:29

noobnnew

The beloved Johnson Lee once claim that he dont use any brokerage house because it is too expensive on the charges. In contrarily, they themselves are their own broker.

2017-04-26 09:32

VenFx

拿去 抢毕 就是了。

2017-04-26 09:36

Sony12

Frankly i joined earlier and lucky that able to cover my 1000 USD just 1 month before this happen. As I remember when login to JJPTR website, the 500 million are count in USD.

My thought is Johnson Lee withdraw all 500 million out and claimed their account been hacked. While the members are in panic mode, he simply use 80% or 400 million to refund or pay back the gap to members. See most member already got back their money just like me, so refund is not applicable to most members, he don't even need spend that much like 400 million.

This act can build a good image of him and show his JJPTR have responsibility, his money game are good one. With that, either he can use the rest 100 million for his own investment or come out with a total new scheme just like JJPTR.

2017-04-26 10:33

Jonathan Keung

500 Million lost in trading. you mean anybody can hack and trade the Co's account money. He thinks everybody out there is a fool. Just charge him and put him in jail

2017-04-26 11:25

Aldric Chang

Hi, I am the original author of this article- http://www.alphaplay.com.sg/the-fall-of-jjptr = I hope you credit me fairly. Thank you. - Aldric Chang

2017-04-26 11:30

Bizfuneng

Posted by Aldric Chang > Apr 26, 2017 11:30 AM | Report Abuse

Hi, I am the original author of this article- http://www.alphaplay.com.sg/the-fall-of-jjptr = I hope you credit me fairly. Thank you. - Aldric Chang
------------------------------------------------------
Aldric Chang - thks for hiliting and also the education.

2017-04-26 11:49

TanTeeHean

How about IFOGX?

2017-04-26 22:39

Aldric Chang

Here's my take on what Johnson Lee of JJPTR will be up to next -
http://www.alphaplay.com.sg/jjptrs-new-plans-announced/

2017-04-27 01:09

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