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After 15-month Study, Wall St Analyst Finds Clinton Foundation To Be Madoff-scale “Fraud”

New York investor and Wall Street whistleblower Charles Ortel, who gained notoriety in 2008 for correcting assessing the problems with GE’s financials before it’s stock crashed in 2008, joined Dan & Amy this morning to discuss his findings after a 15-month deep dig on the Clinton Foundation. What he found and the conclusions he draws are startling and are sure to impact the POTUS campaign.

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Dan Proft: Good morning, Dan and Amy. Donald Trump has tweeted his reaction to the crash of that Egypt airplane overnight that was travelling from Paris to Cairo. Amy Jacobson: I hope he was sensitive. Dan Proft: He tweeted, “Looks like yet another terrorist attack. Airplane departed from Paris. When will we get tough, smart and vigilant? Great hate and sickness!” We don’t know that yet, but certainly there are some indicators that something other than pilot error or mechanical error were at play with the crash because there was no distress call that has been reported to this point, and there was communication with the pilot, and then the pilots went dark and they went into the Mediterranean. Amy Jacobson: And 2 minutes after they last spoke with Greek Aviation Authorities, one of the pilots checked in 2 minutes after that, when they went into Egyptian airspace. The plane went 90 degrees right, then 360 degrees left, and then it just disappeared off of the radar screen. Dan Proft: So we don’t know for sure yet, we’re updating this as information becomes available, but we’re particularly thinking about the Egypt airplane crash that was bombed out of the sky with tourists that were vacationing in Sharm el Sheik last year, Russian tourists, and then Russia subsequently banning Egypt air from its airspace. You have to at least contemplate the possibility of a terrorist attack, so we’ll continue to update that as we know. But turning to the Clinton Foundation, and this is going to be an issue that reasserts itself in a general election. So all the talk last year into the fall in that book by Peter Schweizer, “Clinton Cash” came out, about the Clinton Foundation; it’s curious accounting, it’s curious relationships, the funding that it accepted; that Hillary Clinton and Bill Clinton had agreed as a predicate to Hillary being elevated to Secretary of State; they had agreed with the Obama administration that they would not accept; all kinds of questions, including, basically, the FBI investigation looking into her e-mail server. Also, a lot of reports suggesting that they are also looking into how she used the Secretary of State’s office in connection with the Clinton Foundation. Was she leveraging the office to do the bidding of the Clinton Foundation? A lot of questions here; Charles Ortel, who is an investor and a financial analyst, gained recognition back in 2008 for correctly identifying the problems with GE’s financial statements. He has now set his sights on the Clinton Foundation and he spent the last 15 months investigating the financial reporting of the Clinton Foundation. Let’s find out what he found out. We welcome to the show Charles Ortel, private investor based in New York, financial analyst. Charles, thanks for joining us, appreciate it. Charles Ortel: Thanks for having me on. Dan Proft: So what were some of the highlights from your year plus investigation into the Clinton Foundation? Charles Ortel: Well, it’s actually a pretty sad set of findings. You start with the fact that a presidential charity actually is the perfect vehicle for fraud, because who would suspect that anything operated by a former president, whatever your politics may be, would allow itself to be submitting documents to the federal government and then to all the states - including your own state of Illinois – that are false to materially misleading and then raising billions of dollars, choosing to declare only some of those as incoming receipts? So what I did, I actually am interested in setting up a new business, caring for people who believe this country is exceptional, who have wealth and want to keep it, and who want to find good charities in which they’ll send some money. I decided hearing about the Clinton Foundation; it was so complicated that I had to look at its papers, just understand what was really going on. And last year I reached the conclusion that it was a fraud. And I wrote an article for [inaudible] and I began then putting detailed reports up on my site, www.charlesortel.com. And then I started contacting state authorities, and nothing happened. And it finally reached the point where I said this is such a big fraud. People are sending money into this thing as we’re on the radio right now. They solicit using the internet, they haven’t corrected their false and materially misleading forms, and I’ll give an example of somebody that’s been defrauded, very famous person – I may not pronounce his name properly – is Fred Eychaner. Dan Proft: Sure, in Chicago, yeah. Charles Ortel: Starting in 2004, his very well run foundation called the Alphawood Foundation, all of these papers are publically available, shows that foundation gave money to an entity called Clinton Foundation, HIV-AIDS initiative Inc, which was never formerly approved as a charity; and these grants are substantial. And the money then went supposedly into China to fight HIV-AIDS. Chinese charity fraud policies are severe; death is the penalty. And if you’re not registered properly in the United States, you cannot possibly be registered properly in China, and that’s just one small example. We’re talking there about less than 10 million cumuli into the Chinese example. Amy Jacobson: Well, Charles, before we dig any deeper, just remind us again, who benefits from the Clinton Foundation? Who has been helped by them? Charles Ortel: Well, it’s virtually impossible to say, because foundations of this size are required to provide an audit, a real audit, not a fake audit, and these audits generally are quite tough. You check and double check that the amount sent by the foundation was received by the foundation. This entity which started October 23rd 1997 has never gotten a real audit. So they like to claim that the biggest operation is fighting HIV-AIDS, but that operation was never lawfully authorized anywhere. And there are big holes in amounts that people claim they’ve sent; the biggest donors to the Clinton Foundation is a group in Switzerland, which says it sent 600 million dollars to the Clintons for this operation, the HIV-AIDS. The entity that performs that group, that work, that initiative, is based in Boston, and had its license to operate involuntarily revoked on March 31st 2008. As the Clinton Foundation was receiving from the Swiss thing 700 million dollars of which about 100 million disappeared in the period 2007-2008. So nobody seems to have done a cross checking that you can do, that I’ve been doing for the last 15 months. UNITAID, which is that donor, publishes public financial statements which are online. And the Clintons are online and they don’t foot. The Gates Foundation has given money. Its disclosures do not foot. Governments have given money. Those disclosures do not foot, and actually, this is an Illinois issue. Bill Clinton is the honorary chairman of the American India Foundation, another fraud that has recently held a fundraiser in Illinois, even though it had its license to operate revoked twice. I happen to know Bruce Rauner, I’ve spent some time with him. He’s a great guy, and I think he may have the problem that many states have, that the apparatus, the regulatory apparatus of these charities is controlled by Clinton allies. Dan Proft: Right, like Lisa Maddigan, the attorney general here, in terms of any investigation, in terms of improper paperwork, or as you suggest, the dissolution – or never filing paperwork – of charities and so the oversight there. It’s interesting, so Fred Eychaner is a left-ist donor and philanthropist, and this American India Foundation in Illinois. Is this just the case like the Clintons have said in the past when they’ve had to refile tax returns, “A little sloppy book keeping”? Little sloppy book keeping, maybe we didn’t file the right papers, you know, blame the accountant game, but all the work is real and all of the money that’s been received has been put to good use; is that possible? Charles Ortel: It is absolutely impossible. Let me give you another piece of the puzzle. A central figure in these frauds is someone who’s spent time in your city, a man called Rajat Gupta, who is Chairman of McKinsey, and who’s spent some time in prison recently for insider trading. He began to get involved with the Clinton Foundation and the American Indian Foundation in January 2001, and the public record shows clearly that Rajat Gupta was working with Vinod Gupta – no relations – of InfoGroup, and that’s the case where InfoGroup, this Vinod Gupta guy looted money from a public trading company and sent it through an LLC corporation in Nevada called Mind Spirit into the hands of Bill Clinton, Chelsea Clinton and Hillary Clinton, before 2002-2008; and that is a matter of public record. So Rajat Gupta was also centrally involved as a co-chairman of the American India Foundation, and I’m trying to get people to put these links together. This is a matter of grave concern, to me personally, because I care about good charities; I hasten to add that I’m not interested in elected politics. I don’t like either party, I don’t like the Clintons, I don’t like the track record; I’m not a political operative, I’ve no interest in being in any government role whatsoever. I just feel it’s actually the poor people, bottom 80% of this country, gives the most to charity, and they expect a charity with the president’s name on it to be run properly. And so I want to make sure this thing is exposed, I want to make sure that people who are guilty of fraud are punished mercilessly, and I think this should be a good example to make sure people around President Obama, when he operates the charity that’s being set up in your city, that they are operated scrupulously; because the presidential charity do a lot of good work if it’s run properly. Dan Proft: Are you suggesting that what the Clinton Foundation effectively is is like the charitable version of Bernie Madoff, that the money being sent is real, but all of the work is imaginary and it’s just being used for lavish lifestyles for Clinton Inc.? Charles Ortel: That’s exactly what I’m suggesting, and the scale is massive. It’s not simply the Clinton Foundation. In addition, Rajat Gupta and the Clintons have been involved with something called the Global Fund, which is gigantic fund that is a fraud; that is run with taxpayer money around the world. Rajat Gupta was chairman of that. There’s a 13 billion dollar fraud in Haiti. I’ve been on the phone recently with some aggrieved people in Haiti, and the record suggests that there the Clintons have been operating a massive scam and the people of Haiti are poorer than they’ve ever been. This is an area where I think people on the left and the right can agree that whatever the purpose of the charity, whether it’s progressive or conservative, a charity should be run as a charity, and not as a scheme to enrich insiders around the charity and government leaders who want to live high once they leave their government position. This is an awful track record, and the evidence is there, in the public domain, unlike Switzer stuff, you can find this just googling, as I have done. Amy Jacobson: It’s surprising that they’re not in jail. I mean, really. Dan Proft: Well… Charles Ortel, private investor based in New York; we’re going to be continuing to watch your work, because you do your one man investigation of the Clintons. Charlesortel.com is the website where you can get more details on everything that you’ve discovered through your research, and we look forward to speaking to you again. Thanks so much for your time. Charles Ortel: Anytime.

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