Posted on 07/20/2015 4:40:07 PM PDT by ponygirl
BullionDirect, Inc. has filed a petition for Chapter 11 bankruptcy. The case is 15-10940-tmd in the U.S. Bankruptcy Court of the Western District of Texas (Austin). Noteworthy is that BullionDirect, Inc. now has only one direct, Dan Bensimon (President, Chief Restructuring Officer and Sole Director). I find this encouraging.
It also only lists 11 unsecured creditors in the list of the 20 largest unsecured claims. This may be due to the fact that it is a Chapter 11 (e.g. Kitco's CCAA/bankruptcy filing did not include customers as creditors, as their storage customers did not appear on their balance sheet).
But then it shows an estimated 5,000-10,000 creditors. It shows assets of $10M-$50M, and liabilities of $10M-$50M.
There is not a huge amount of information here, but it looks promising to me given the circumstances.
Let me guess: They were holding Germany’s missing gold?
Supposedly gold dropped because China dumped a lot of what they've been buying on the market.
Maybe they need cash to prop their imploding markets?
Does this mean people bought precious metals from them and don’t have them?
I am not familiar with this company.
I have been wondering about the impact of China losing, what was it, $3.2 Trillion dollars of value?
Crazy stuff.
Yes. If you are one that buys gold and silver as insurance rather than investment now would be a good time to buy, I’d think.
Buyers and sellers both have been experiencing delays over 28 days for the past few months. According to blogger, it’s uncertain if this is due to hedging, a supply problem, or just poor fulfillment.
Or perhaps a Ponzi Scheme that has run its course?
Dunno.
Kind of hard to imagine buying something and then leaving the store without the goods in hand. Hard for me, anyway.
Never bought anything online, eh?
BBB: Precious metal dealer racks up complaints
Posted: Sunday, July 12, 2015 6:00 am
By Heather Massey
http://www.oaoa.com/news/business/article_9b4f9824-284e-11e5-b4f5-8f11c5e7faea.html
“Complainants claim that they have ordered products from Bullion Direct, but the product has not been received after several weeks, despite their payment being processed. Disputes also claim consumers have sold products through the Bullion Direct exchange and the product was delivered, but the consumer never received the payment promised. Additionally, consumers report to BBB that they contracted with Bullion Direct to store their previous purchases but were unable to reach anyone and get their product out of storage.”
[Unless they made good on those, they probably need to list those folks as creditors.]
That would be my guess as to the outcome. We’ll see.
Not any metals. Biggest thing was a laptop computer from a large and reputable computer company.
Investing is different - I don’t expect to take delivery of a piston or a gear or headlight if I buy Caterpillar stock.
If I buy a book online, and the seller doesn’t ship it, my credit card guarantees that the money will be returned to me.
If I buy gold online, and instead of gold, they send me a certificate and “store” my gold, then go bankrupt, I’d be out of luck. I’d be added to the unsecured creditor list at the back of the line and almost certainly get nothing.
I wouldn’t be surprised if the IRS was cross checking the creditor lists against other databases that they have.
They cost more up front but they seem to hold their value and I don't really see the same types of fluctuations that I've seen with regular bullion.
Same here.
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