Found Deceased Australia - Melissa Caddick, 49, Sydney, NSW, 12 Nov 2020 #7

[Sophist]

Hi all,
I’ve been following this and it’s fascinating, first time posting and I would like to thank you all for a most informative thread. Does anyone know how much of the missing funds have been accounted for? I’ve seen some figures of her lifestyle spending but nothing that would account for all that is missing, am I correct here? I would have thought you could have purchased Dover Heights, Edgecliff, a few holidays, a fancy car, jewels and dresses plus some with those kind of missing funds, so where has it ALL gone?
I personally don’t believe suicide at all in MOO ...

 

[SLouTh]

Hi all,
I’ve been following this and it’s fascinating, first time posting and I would like to thank you all for a most informative thread. Does anyone know how much of the missing funds have been accounted for? I’ve seen some figures of her lifestyle spending but nothing that would account for all that is missing, am I correct here? I would have thought you could have purchased Dover Heights, Edgecliff, a few holidays, a fancy car, jewels and dresses plus some with those kind of missing funds, so where has it ALL gone?
I personally don’t believe suicide at all in MOO ...

Hi Sophist and welcome to the thread....

I have done some figures with the information available from the ASIC Affidavits (I haven't finished them yet, a lot of money does appear to have been spent, but there appears that some of the money could still be missing, dependent on what Gleeson / Jones have found in Shares Portfolio's etc )

But I shall start with the Property Costs
****** Please note these figures are worked out per annum based on averages of 6 Dover Heights and 4 years Edgecliff
From the information in the Affidavits

Dover Heights Property Costs

Initial Deposit - $2Million
Mortgage payments -$23,487.77 / month From 2014
$281,853.24 per Annum
For 6 years ...... $1, 691,119.44 Mortgage Repayments

Rates WAVERLEY Council
$1,169.71/ quarter
$4678.84 / Annum
For 6 Years $28,073.04

Total Cost of Dover Heights 2014 -2020 - $3,719,192.48
Still owing on the mortgage of Dover Heights 3,879,553.07
Mortgage payments -$23,487.77/month


Edgecliff Property Costs

Deposit $1Million
$10,086.59 / month Edgecliff From 2016 Mortgage Repayments
$121.039.08 Per Annum
For 4 years $484,156.32

Body corporate fees (Edgecliff)
$4,708.00 Quarterly
The Body Corporation Fees for Edgecliff are $18,832/ annum (on top of the Mortgage Payments)
Body Corporation Fees for 4 years - $75,328.00

Council Rates
$816.37 Quarterly
$3265.48 / Annum
For 4 years $13,061,92

Living Expenses Parents
Plus Parents @ $4000 / month - $48,000 / Annum
Over period of 4 years $192,000.00

Total: $1,764,545.92
There is is $1,726,000.00 Owing on the mortgage
Repayments of $10,086.59 / month


GRAND TOTAL PROPERT COSTS (including parents living expenses) - $ 5,483,738.40
****** Please note these figures are worked out per annum based on averages of 6 and 4 years

I haven't included the insurances or water expenses which include the following:

Landlord Insurance (Edgecliff) $330.00 Annually
4 Years $1320.00

Home & contents insurance $5,398.00 Annually (Dover Heights Property? )

Water $300.8 Quarterly - I think this is for Edgecliff Property ($1203.20 / annum)

Water $5, 569 .01 ? for Dover Heights ? per annum???? or Quarterly??

There are other insurances that are not specific enough to list here... however if anyone has noticed any other property expenses please add....

All IMO and taken from statements in the Affidavits to at least give us a good starting point..... on Investor's money spent on properties......

 

[SLouTh]

Further Expenses Calculated - Money Spent on Luxury Goods
****** Please note these figures are worked out per annum based on averages from what information is available in the
ASIC Affidavits

Luxury Shopping over 2 1/2 years

Caddick AMEX A/C during the period 18 December 2017 to 16 August 2020.
LUXURY GOODS - Canturi Jewels 187,650.00
LUXURY GOODS - CHANEL 48,588.00
LUXURY GOODS - COSMOPOLITAN SHOES 52,548.00
LUXURY GOODS - DIOR 229,277.84
LUXURY GOODS - FARFETCH 45,600.65
LUXURY GOODS - HUGO BOSS 917.00
LUXURY GOODS - LOUIS VIUTTON 17,777.23
LUXURY GOODS - MYTHERESA 7,535.50
LUXURY GOODS - NET-A-PORTER 39,757.69
LUXURY GOODS - OSCAR DE LARENTA 14,180.19
LUXURY GOODS - VALENTINO 940.31
LUXURY GOODS - STOCKX 48,303.28

TOTAL Luxury Shopping on AMEX $693,075.69 over the period of 30months (2 1/2 years)
EQUALS - $23,103.52 / MONTH
EQUALS - $277,230.276 / PER ANNUM on Luxury Items from the AMEX Account

In addition, further spending on Luxury Items I reviewed the bank statements of the Qantas 3418 Account held in the name of Mrs Melissa L Caddick during the period 11 December 2017 to 8 August 2019. (20 months)

LUXURY GOODS - BERGDORF GOODMAN 17,617.37
LUXURY GOODS - CANTURI 48.400.00
LUXURY GOODS - CHANEL 12,615.00
LUXURY GOODS - DIOR 20,039.43
LUXURY GOODS - LOUIS VUITTON 16,258.99
LUXURY GOODS - NET-A-PORTER 10,325.52
LUXURY GOODS - VALENTINO 2,647.48

TOTAL $ 127,903.79
Divided by 20/months - $6,395.18 / Month
TOTAL per Annum - $76,742.27

Plus From another Bank account - period 9 August 2019 to 21 July 2020 (12 Months)
Luxury Goods - DIOR $29,190.00
TOTAL per Annum -$29,190.00

So calculating MC's spending on Luxury Items per /Annum since the 18 December 2017
$277,230.27 / Per Annum
$76,742.27 / Per Annum
$29,190.00 /Per Annum
EQUALS equals a Total $383,162.54/ Per Annum on Luxury Items .... (that is almost $32,000/month)

Hypothetically over an 8 year period 2012 - 2020 if Melissa spent at the same rate as above, the figure of Luxury Clothing / Luxury Goods would amount to $3,065,300.32

A couple of "Point's to Ponder" about the luxury Spending....
ASIC state they only seized $1M worth of Luxury Goods during the raid..... so did the spending escalate in the last 2 1/2 years or are some luxury items stored at another location???


****** Please note these figures are worked out per annum based on averages from what information is available in the ASIC Affidavits

All IMO to give some rough working figures on how much Investor's Money MC spent....

******THESE FIGURES ARE MEANT AS A GUIDE ONLY.

 

[SLouTh]

The Travel Expenses

****** Please note these figures are worked out per annum based on averages from what information is available in the ASIC Affidavits

18 December 2017 to 16 August 2020.
TRAVEL - ASPEN EXPENSES 35, 151 .23 TRAVEL- CHAUFFER 1,385.40 TRAVEL - CROWN 875.84 TRAVEL - ETOLL 1,621 .09 TRAVEL- FIJI 63,022.61 TRAVEL - FLIGHT CENTRE 108,586.45 TRAVEL - HONG KONG 18,877.08 TRAVEL-JETABROAD 5,783.06 TRAVEL-MELBOURNE 2,651.17 TRAVEL - NEW YORK EXPENSES 37,283.22 101 .88 TRAVEL - North of Nell 34,223.25
Total $309,460.4

Also 18 December 2017 to 16 August 2020.
TRAVEL-PERTH 183.37 TRAVEL-QANTAS 55,609.35 TRAVEL - TAXI 1, 164.64 TRAVEL-TOKYO 2, 141.54 TRAVEL-UBER 2,765.32 TRAVEL - US CUSTOMS 61.05 TRAVEL - WHISTLER EXPENSES 9,747.50
Total $71,672.77

11 December 2017 to 8 August 2019.
TRAVEL - ASPEN 1,004.51 TRAVEL - BERAMBING 1,990.00 TRAVEL - CHAUFFEUR 696.35 TRAVEL - FLIGHT CENTRE 20,526.00 TRAVEL - HONG KONG 516.23 TRAVEL- LIMOUSINE ASPEN 966.87 TRAVEL - NEW YORK 2,354.74 TRAVEL - NORTH OF NELL 29,024.31 TRAVEL - PERISHER 2,042.00 TRAVEL- PORT STEPHENS 2,500.00 TRAVEL - TAXI 174.99 TRAVEL-WHISTLER 33,526.62
Travel - Melbourne 145.95 Travel - Seoul 936.81 TRAVEL-Taxi 161.53
Total 96,587.91

Grand Total $477,721.08 sent over period of 30 months
Equals $15,924.03/month
Total/Per annum $191,088.43

Hypothetically travel expenses over an 8 year period 2012 - 2020 .... calculated on the averages above a total $1,528,707.46 was spent on Travel ....

All IMO to give some rough working figures on how much Investor's Money MC spent on travel and holidays....

******THESE FIGURES ARE MEANT AS A GUIDE ONLY.

 

[SLouTh]

Hi all,
I’ve been following this and it’s fascinating, first time posting and I would like to thank you all for a most informative thread. Does anyone know how much of the missing funds have been accounted for? I’ve seen some figures of her lifestyle spending but nothing that would account for all that is missing, am I correct here? I would have thought you could have purchased Dover Heights, Edgecliff, a few holidays, a fancy car, jewels and dresses plus some with those kind of missing funds, so where has it ALL gone?
I personally don’t believe suicide at all in MOO ...

BBM

A running total of MC's spending so far, from the figures posted above, and few additional expenses:
****** Please note these figures are worked out per annum based on averages from what information is available in the ASIC Affidavits

GRAND TOTAL PROPERT COSTS (including parents living expenses) - $ 5,483,738.40

EQUALS equals a Total $383,162.54/ Per Annum on Luxury Items .... (that is almost $32,000/month)

Hypothetically over an 8 year period 2012 - 2020 if Melissa spent at the same rate as above, the figure of Luxury Clothing / Luxury Goods would amount to $3,065,300.32

Hypothetically travel expenses over an 8 year period 2012 - 2020 .... calculated on the averages above a total $1,528,707.46 was spent on Travel ....

Private school fees - Calculated for High School only
Years 7 - 10 $37,386 / ANNUM
Years 11 -12 $38,862 / ANNUM (Including this year, working on grade 11 in 2021)
Uniforms $3000 / Annum
Total $176,406.00
Uniforms $15,000

Car Expenses (Not including payment or lease payment figures of AUDI and Mercedes)
CAR EXP - AAMI CTP 452.43
CAR EXP - BOB JANE 3,030.00
CAR EXP - CARSALES 115.00
CAR EXP - Petrol 20,732.78
CAR EXP - SERVICE NSW 5,054.65
Total - $29,384.86 over 30 months
Total per Month $ $979.49
Total per ANNUM - $11,753.95

Total Car Expenses $47,015.80 (Calculated for 4 years as ? Audi purchased 2016 when released.)
(Not including payment or lease payment figures of AUDI and Mercedes)


Insurance/s
Assuming these are all annual
West Court General Insurance 43,087.02
SUNCORPINSURANCE 13,095.50
ASTERON LIFE 13,378.37
Total - $69,560.89
Have calculated these over 6 years only - Since purchase of Dover Heights
Insurance Total (6 Years) $417,365.34

So far, a "Running" Total for all of the above equals $10,733,533.30 of cash spent..... (Investor's Money)

I have not calculated living expenses as yet ..... or other incidentals..... but please feel free to add if I have missed any major expenses.....

****** Please note these figures have been worked out per annum, based on averages from what information is available in the ASIC Affidavits. THESE FIGURES ARE MEANT AS A GUIDE ONLY. And don't include any figures for the AUDI or Mercedes as yet. All IMO

 

[Janeumayer]

Wanted to post this article about a San Diego, California businesswoman who just got 15 years for conducting a 400 million dollar Ponzi scheme. Emboldened, opportunistic women can exist anywhere.

San Diego woman sentenced for nearly $400M Ponzi scheme | Daily Mail Online

 

[stormbird]

A running total of MC's spending so far, from the figures posted above, and few additional expenses:
****** Please note these figures are worked out per annum based on averages from what information is available in the ASIC Affidavits

<RSBM>

I have not calculated living expenses as yet ..... or other incidentals..... but please feel free to add if I have missed any major expenses.....

Great work, SLouTh!

One of the expenses which wasn't shown in the affidavits (as far as I remember) was for "artworks": the article below says the home-and-contents insurance listed 19 of them. It wouldn't be possible to guess the cost, though, so I'm not suggesting it needs to get added to the list, just that it's an unknown at the moment.

- Four expensive artworks missing from Melissa Caddick's home, says liquidator, Sydney Morning Herald, 04 March 2021

 

[Trooper]

Great work, SLouTh!

One of the expenses which wasn't shown in the affidavits (as far as I remember) was for "artworks": the article below says the home-and-contents insurance listed 19 of them. It wouldn't be possible to guess the cost, though, so I'm not suggesting it needs to get added to the list, just that it's an unknown at the moment.

- Four expensive artworks missing from Melissa Caddick's home, says liquidator, Sydney Morning Herald, 04 March 2021

Super outline, Slouth.. So very well done...

My contribution.. the 'investment' she paid back to the woman from Cranbrook who got cold feet, and she also got $300.000.00 back as 'profit'.. ( of course, it wasn't as no investment was made, it was other peoples money put in the 'investment ' pool. This was window dressing, in case the woman blabbed, as folks often do when their antenna is aroused. )... so that's 2.5 million plus $300,000.00.

 

[Trooper]

Wanted to post this article about a San Diego, California businesswoman who just got 15 years for conducting a 400 million dollar Ponzi scheme. Emboldened, opportunistic women can exist anywhere.

San Diego woman sentenced for nearly $400M Ponzi scheme | Daily Mail Online

Welcome, Jane.. That's an interesting little insight into the workings of these schemes.. I was particularly interested in the bit where it says she ran it successfully for nearly 7 years, which , in my humble opinion, is about how long these things manage to keep running.. they cannot run forever, there is a tipping point. And the wierd thing is, this seems to be never taken into account by the scammers.. there never seems to be a workable plan B, and among all the scammers around, Melissa's plan B was truly extreme.

 

[MsLilly]

Super outline, Slouth.. So very well done...

My contribution.. the 'investment' she paid back to the woman from Cranbrook who got cold feet, and she also got $300.000.00 back as 'profit'.. ( of course, it wasn't as no investment was made, it was other peoples money put in the 'investment ' pool. This was window dressing, in case the woman blabbed, as folks often do when their antenna is aroused. )... so that's 2.5 million plus $300,000.00.

Wasn’t the total amount the Investors invested $30M but then MC returned $7M to investors - I assume that the amount she returned to the Cranbrook woman was included in the returned amount.

Which means by SLouTH’s calculations there is a shortfall of about $14M....where is the money?

Also, recently ASIC have stated that there are 74 Investors this is an increase of 10...wonder who they are.

Also, in SLouTH’s summary MC put a deposit of $2M on Dover Heights only 6 months after Maliver started.... the question is how did the Bank justify the mortgage...was due diligence done by the bank?

 

[SouthAussie]

Great work, SLouTh!

One of the expenses which wasn't shown in the affidavits (as far as I remember) was for "artworks": the article below says the home-and-contents insurance listed 19 of them. It wouldn't be possible to guess the cost, though, so I'm not suggesting it needs to get added to the list, just that it's an unknown at the moment.

- Four expensive artworks missing from Melissa Caddick's home, says liquidator, Sydney Morning Herald, 04 March 2021

Yes, there are a few grey areas.

How much monetary value was in the artworks?
How much did Melissa lose in her failed stock market dealings?
How much monetary value does the existing stock portfolio have?

 

[Estelle]

Yes, there are a few grey areas.

How much monetary value was in the artworks?
How much did Melissa lose in her failed stock market dealings?
How much monetary value does the existing stock portfolio have?

ART
After investigators went through Ms Caddick’s home and contents insurance policy, which listed her extensive jewellery collection and 19 pieces of artwork, they noticed that four pieces were missing.

Two works by Israeli artist David Gerstein are missing, including Exotic Birds, a brightly-coloured metal wall sculpture. Also unaccounted for are two works by Australian artist Adrian Lockhart. One was Diver, which was hanging in the upstairs dining area of Ms Caddick’s Dover Heights home, and the other was titled Washing off the sand.

https://www.smh.com.au/national/fou...k-s-home-says-liquidator-20210304-p577w3.html

So that leaves 15 paintings which could be sold.

As the paintings were not taken in the raid, IMO perhaps a family member has claimed them or even sold them since.

Value of Exotic Birds by David Gerstein Euros 3,500
▷ Exotic Birds - Paper Cut by David Gerstein, 2006 | Print | Artsper (934041)

Value of "Diver" by Adrian Lockhart
Value of "Washing off the sand" by Adrian Lockhart.
Adrian Lockhart is an Australian Postwar & Contemporary painter who was born in 1947. Their work was featured in exhibitions at the Gadfly Gallery. Adrian Lockhart's work has been offered at auction multiple times, with realized prices ranging from $52 USD to $470 USD, depending on the size and medium of the artwork. Since 2008 the record price for this artist at auction is $470 USD for Untitled (Still Life), sold at Lawsons in 2015.

As the missing paintings are not what I would call "expensive" paintings, and not what I would call done by well-known artists,
I doubt that the remainder would be worth more than $1,000 each on average. If someone has sold or stored them since, they
probably chose the most expensive ones. So if 15 paintings are left, I would suspect that the total value would be about $15,000.

 

[SLouTh]

Yes, there are a few grey areas.

How much monetary value was in the artworks?
How much did Melissa lose in her failed stock market dealings?
How much monetary value does the existing stock portfolio have?

From the ASIC Affidavit re MC's Share Portfolio - there were definitely some losses....

Of the remaining 14 shareholdings Ms Caddick still holds:
(a) four are still held with no sales made (determined by the total number of shares purchased, less the total number of shares sold);
(b) Ms Caddick has sold a portion of the remaining 1O shares as follows:
i. there was a gain from the sales for 6 of the shareholdings, totalling $857,099.03;
ii. there was a loss from the sales for 4 of those shareholdings, totalling $1 ,268,794.38.

This loss was driven by the sale of 8,000 Afterpay (APT) shares on 18 March 2020. (c) The net position for these 14 shareholdings was a loss of $411,695.35.

However Mr Gleeson / Jones may have found more than these?

In relation to the 47 shareholdings Ms Caddick no longer has:
(a) the sale price was greater than the purchase price for 21, resulting in a total gain of $454,556.40; 65
(b) the sale price was less than the purchase price for 26, resulting in a total loss of $1, 190,356.44;
(c) the net position for the 47 shareholdings was a loss of $735,800.04.

That is over $2Million lost in just those 2 examples ...

 

[Estelle]

Replying to MsLily's past post, my replies are underneath in italics.

Wasn’t the total amount the Investors invested $30M but then MC returned $7M to investors - I assume that the amount she returned to the Cranbrook woman was included in the returned amount.

I agree.

Which means by SLouTH’s calculations there is a shortfall of about $14M....where is the money?

I can only assume that the missing money goes way back to when Maliver Pty Ltd was incorporated or to 2009 when it has been stated that that was when MC's fraudulent activities began.

Also, recently ASIC have stated that there are 74 Investors this is an increase of 10...wonder who they are.

My guess is that ten of these are couples who are being counted individually or are latecomers to making a claim.

Also, in SLouTH’s summary MC put a deposit of $2M on Dover Heights only 6 months after Maliver started.... the question is how did the Bank justify the mortgage...was due diligence done by the bank?

IMO this is where all the trouble could have begun in 2014.

Ms Caddick’s own home, which she bought for $6.2 million in 2014, still has a sizeable mortgage. The NAB gave her a $4 million loan. In the seven years since she has only paid off $127,000 from the principal.

https://www.smh.com.au/national/fou...k-s-home-says-liquidator-20210304-p577w3.html

There are many issues here.

IMO MC would not have been able to attract the quality of investors she did, if she did not live in a luxury mansion with fabulous views of Sydney Harbour in the eastern suburbs and hold lunches and dinners there catered by her personal chef. Most people would have been impressed so that, in itself, built trust.

Also sending her son to a private school such as Cranbrook would have also impressed potential investors.

The cars would also have impressed and could have been left out in the street outside her house for each occasion.

MC would have made sure that she showed off about all these things to potential investors. This was part of her marketing strategy.

BUT the most worrying aspect is how on earth did MC obtain a $4.2m loan back in 2014 to buy Dover Heights for $6.2m?

The deposit would have been $2m so I am even questioning how she could have been able to save for that deposit.

The marital home of AC and MC was in Kensington and sold for $900,000 in about 2013. Was it mortgaged? MC had a young child so what was percentage of the sale of the home she received in the property settlement? A 70/30 split is the most a wife can usually expect if not working and has a young child. So she would have received at most $700,000 minus the mortgage. So how did MC save the extra $1.3m and support her ex-husband to go to university during those years?

1997 A Sydney fund manager was approached by a friend and asked to give Caddick a job. After the friend spoke highly of her, the fund manager gave her a mundane clerical job in the back office.About six months after Caddick started work, the fund manager’s accountant rang him to say there were several anomalies in the accounts. The accountant asked him to go down to National Australia Bank and check the cheques. At the bank, the fund manager found two company cheques worth $5000 and $10,000 with forged signatures. He went back to the office, asked Caddick if she had forged them, and when she said yes, his good nature got the better of him. Instead of calling the cops, he gave her a second chance. He simply asked her to leave immediately.Melissa Caddick: The timeline of her alleged frauds and disappearance (9news.com.au)

So MC got away with $15,000 in 1997 which I guess she could have invested in shares which made a profit. But did MC invest on behalf of others up to 2014? Otherwise how did she save the extra money to find the deposit of $2m in 2014 for Dover Heights? I can see how she might have saved about $1m but another $1m?

IMO MC used a mortgage broker to get the loan from NAB. As their work is based on commission from the value of the mortgage, they are highly motivated to find their clients the best mortgage. Commission on a $4m mortgage would have been very attractive so they would not necessarily checked the paper work that MC supplied to them and the NAB would have assumed that they had done that already. MC would have had to supply evidence of income, previous tax return, how she was going to service the loan and so on which was probably all faked with forged signatures.

The NAB gave her a $4 million loan. In the seven years since she has only paid off $127,000 from the principal.

https://www.smh.com.au/national/fou...-from-melissa-caddick-s-home-says-liquidator-
20210304-p577w3.html

But how do you also get away with only paying off $127,000 from the principal in seven years?

 

[Estelle]

From the ASIC Affidavit re MC's Share Portfolio - there were definitely some losses....

Of the remaining 14 shareholdings Ms Caddick still holds:
(a) four are still held with no sales made (determined by the total number of shares purchased, less the total number of shares sold);
(b) Ms Caddick has sold a portion of the remaining 1O shares as follows:
i. there was a gain from the sales for 6 of the shareholdings, totalling $857,099.03;
ii. there was a loss from the sales for 4 of those shareholdings, totalling $1 ,268,794.38.

This loss was driven by the sale of 8,000 Afterpay (APT) shares on 18 March 2020. (c) The net position for these 14 shareholdings was a loss of $411,695.35.

However Mr Gleeson / Jones may have found more than these?

In relation to the 47 shareholdings Ms Caddick no longer has:
(a) the sale price was greater than the purchase price for 21, resulting in a total gain of $454,556.40; 65
(b) the sale price was less than the purchase price for 26, resulting in a total loss of $1, 190,356.44;
(c) the net position for the 47 shareholdings was a loss of $735,800.04.

That is over $2Million lost in just those 2 examples ...

This loss was driven by the sale of 8,000 Afterpay (APT) shares on 18 March 2020. (c) The net position for these 14 shareholdings was a loss of $411,695.35.

On 20th March, 2020, Afterpay shares were worth $12.44 due to Covid lockdown but now they are worth $105.52! I sold mine at $80 each and have regretted it but made a great profit.

It mystifies me why MC did not even understand the basics of share investing - sell when in profit and buy when low.

 

[SouthAussie]

But how do you also get away with only paying off $127,000 from the principal in seven years?

I tried to explain this earlier ... but maybe this link will explain it better.


Initially, the homeowner's payment will be primarily interest, with a small amount of principal included. As the mortgage matures, the principal portion of the payment will increase, and the interest portion will decrease. This is because the interest charged is based on the current outstanding balance of the mortgage, which decreases as more principal is repaid. The smaller the mortgage principal, the less interest charged.

Why Do Most of My Mortgage Payments Start out as Interest?

 

[Estelle]

I tried to explain this earlier ... but maybe this link will explain it better.

Initially, the homeowner's payment will be primarily interest, with a small amount of principal included. As the mortgage matures, the principal portion of the payment will increase, and the interest portion will decrease. This is because the interest charged is based on the current outstanding balance of the mortgage, which decreases as more principal is repaid. The smaller the mortgage principal, the less interest charged.

Why Do Most of My Mortgage Payments Start out as Interest?

Thanks South Aussie. I have not had a mortgage since 1997 so I had forgotten about this. Before that, I had an interest only loan.

 

[Estelle]

Replying to MsLily's past post, my replies are underneath in italics.

Wasn’t the total amount the Investors invested $30M but then MC returned $7M to investors - I assume that the amount she returned to the Cranbrook woman was included in the returned amount.

I agree.

Which means by SLouTH’s calculations there is a shortfall of about $14M....where is the money?

I can only assume that the missing money goes way back to when Maliver Pty Ltd was incorporated or to 2009 when it has been stated that that was when MC's fraudulent activities began.

Also, recently ASIC have stated that there are 74 Investors this is an increase of 10...wonder who they are.

My guess is that ten of these are couples who are being counted individually or are latecomers to making a claim.

Also, in SLouTH’s summary MC put a deposit of $2M on Dover Heights only 6 months after Maliver started.... the question is how did the Bank justify the mortgage...was due diligence done by the bank?

IMO this is where all the trouble could have begun in 2014.

Ms Caddick’s own home, which she bought for $6.2 million in 2014, still has a sizeable mortgage. The NAB gave her a $4 million loan. In the seven years since she has only paid off $127,000 from the principal.

https://www.smh.com.au/national/fou...k-s-home-says-liquidator-20210304-p577w3.html

There are many issues here.

IMO MC would not have been able to attract the quality of investors she did, if she did not live in a luxury mansion with fabulous views of Sydney Harbour in the eastern suburbs and hold lunches and dinners there catered by her personal chef. Most people would have been impressed so that, in itself, built trust.

Also sending her son to a private school such as Cranbrook would have also impressed potential investors.

The cars would also have impressed and could have been left out in the street outside her house for each occasion.

MC would have made sure that she showed off about all these things to potential investors. This was part of her marketing strategy.

BUT the most worrying aspect is how on earth did MC obtain a $4.2m loan back in 2014 to buy Dover Heights for $6.2m?

The deposit would have been $2m so I am even questioning how she could have been able to save for that deposit.

The marital home of AC and MC was in Kensington and sold for $900,000 in about 2013. Was it mortgaged? MC had a young child so what was percentage of the sale of the home she received in the property settlement? A 70/30 split is the most a wife can usually expect if not working and has a young child. So she would have received at most $700,000 minus the mortgage. So how did MC save the extra $1.3m and support her ex-husband to go to university during those years?

1997 A Sydney fund manager was approached by a friend and asked to give Caddick a job. After the friend spoke highly of her, the fund manager gave her a mundane clerical job in the back office.About six months after Caddick started work, the fund manager’s accountant rang him to say there were several anomalies in the accounts. The accountant asked him to go down to National Australia Bank and check the cheques. At the bank, the fund manager found two company cheques worth $5000 and $10,000 with forged signatures. He went back to the office, asked Caddick if she had forged them, and when she said yes, his good nature got the better of him. Instead of calling the cops, he gave her a second chance. He simply asked her to leave immediately.Melissa Caddick: The timeline of her alleged frauds and disappearance (9news.com.au)

So MC got away with $15,000 in 1997 which I guess she could have invested in shares which made a profit. But did MC invest on behalf of others up to 2014? Otherwise how did she save the extra money to find the deposit of $2m in 2014 for Dover Heights? I can see how she might have saved about $1m but another $1m?

IMO MC used a mortgage broker to get the loan from NAB. As their work is based on commission from the value of the mortgage, they are highly motivated to find their clients the best mortgage. Commission on a $4m mortgage would have been very attractive so they would not necessarily checked the paper work that MC supplied to them and the NAB would have assumed that they had done that already. MC would have had to supply evidence of income, previous tax return, how she was going to service the loan and so on which was probably all faked with forged signatures.

The NAB gave her a $4 million loan. In the seven years since she has only paid off $127,000 from the principal.

https://www.smh.com.au/national/fou...-from-melissa-caddick-s-home-says-liquidator-
20210304-p577w3.html

Still owing on the mortgage of Dover Heights 3,879,553.07
Mortgage payments -$23,487.77/month

 

[Janeumayer]

Welcome, Jane.. That's an interesting little insight into the workings of these schemes.. I was particularly interested in the bit where it says she ran it successfully for nearly 7 years, which , in my humble opinion, is about how long these things manage to keep running.. they cannot run forever, there is a tipping point. And the wierd thing is, this seems to be never taken into account by the scammers.. there never seems to be a workable plan B, and among all the scammers around, Melissa's plan B was truly extreme.

Thank you Trooper! Ponzi scheme businesses are run every day on poor people trying to make a better living for themselves.

 

[Mr Murphy]

Wasn’t the total amount the Investors invested $30M but then MC returned $7M to investors - I assume that the amount she returned to the Cranbrook woman was included in the returned amount.

Which means by SLouTH’s calculations there is a shortfall of about $14M....where is the money?

Also, recently ASIC have stated that there are 74 Investors this is an increase of 10...wonder who they are.

Also, in SLouTH’s summary MC put a deposit of $2M on Dover Heights only 6 months after Maliver started.... the question is how did the Bank justify the mortgage...was due diligence done by the bank?

How many millions in the sons trust account? Was it a lazy 4?
This should go straight back into the asset pool...