The Iraqi Currency RV is it for Real?
I can’t help to think about all the Iraqi dinar cash speculators that are out there in the world. There must be thousands of people speculating on Iraq’s currency all expecting a return of thousands percent on a revalue that may in fact never occur.
They have bought into something that is perpetuated by an aggressive army of Iraqi dinar dealers and dinar forum owners working together to manipulate and deceive unsuspecting persons who otherwise really don’t know any better.
People who live paycheck to paycheck and who at the moment of weakness fall prey to a savvy and populated dinar forum and directed to a street smart dinar dealer. A dinar dealer that knows the talk however, really doesn’t know the law.
After spending 30 days on a dinar forum you too after awhile eventually become an expert. Expert at things like buying stocks through an illegal proxy company owned by a private bank in Iraq. Expert at sending hard currency using American delivery companies back to Iraq. Expert at convincing others that this investment is a sure thing and bash anyone else that doesn’t have your same point of view. Even if the proof is right there in front of them.
You have to defend your position on this investment because you just enabled your mother, fathers, aunts and uncles and maybe your friends and associates on this investment. They all spent hundreds and thousands of dollars on Iraqi dinars and at times maybe in the back of your mind there is some doubt that maybe this is not going to go as according to plan. They bought the dinar because of you. Because you heard it on the news or you read it on a dinar forum that you could become a millionaire and profit very handsomely.
Just as soon as it rv’s!!
You searched on the Internet and found hundreds of dinar dealers selling the Iraqi dinar and your thinking to yourself surely this can’t be illegal because they wouldn’t be selling it. You read on the dinar dealers web sites that they’re registered with the U.S. Treasury office. And your thinking to yourself again this surely is got to be legal. The U.S. Treasury knows about this particular dinar dealer as you read the certificate on the web site and you not knowing that the U.S. Treasury office has no oversight or investigators to ensure currency dealers are abiding by the host countries banking and currency laws.
The U.S. Treasury office is leaving the enforcement up to the individual states as you seen in last week with the Attorney General of Illinois filing lawsuits against several dinar dealers. This is just the start of it and I am sure more suits will follow as state regulators and Attorney Generals educate themselves on the Iraqi dinar currency laws.
There are several reasons to believe the Iraqi dinar is not supposed to leave the countries borders of Iraq. In Feb 2007, a Wardens Message was sent from the American Embassy to all U.S. Citizens. The Wardens message advised all Americans to not remove Iraqi dinar currency from the country of Iraq.
A Wardens message is designed to warn Americans of potential security risks who are living and working inside Iraq. Not for warning Americans about currency speculation. The Government of Iraq realizes they have a problem with currency speculation and advised the American Embassy to issue a Wardens message to all Americans. In doing this Iraqi government officials expected to slow or stop the speculation on their currency.
The Baghdad International Airport (BIAP) has several large billboards that warn about the removal of Iraqi dinar currency from Iraq and doing so will result in being placed on the black list and possible banned from the country.
Another example is the CPA Laws and the Central bank laws that specifically state no Iraqi dinar currency will leave Iraq and then later amended to only Iraqi citizens can remove 200,000ID for business incidentals.
If all these measures and notices are in place in Iraq, what makes you think the dinar you currently bought from a dinar dealer is legal to have in your possession outside the borders of Iraq?
They haven’t done anything yet with the currency because they have other more important things to worry about. Such as, staying alive. The passage of certain bills that is due in front of the Iraqi Cabinet and the Parliament. Militias that are roaming and creating havoc against the Iraqi people. And many other matters the GoI and the Central bank of Iraq are dealing with at this moment.
Later this summer the Baghdad Stock Exchange is scheduled to open market trading for the first time to foreigners. Many are expecting an RV so that they can cash in their Iraqi dinar they have bought and held on to for a little over three years or less. An rv is not expected to happen even with foreigners trading in the Baghdad Stock Exchange for the remainder of the year.
Again is the RV for real?
Your comments welcomed.
Comments
If what you say is true about it not being legal to take dinar out of Iraq how do you explain Chase selling dinar?
I would think that Chase, being part of J.P. Morgan would know the law as J.P. Morgan was instrumental in re organizing the CBI.
Posted by: Frank | July 1, 2007 8:33 PM
Interesting that the ISX and ISC have known for a year of Warkas proxy program- yet
Warka is allowed to keep trading
No articles mention their violations or penalties
June Reed has been personally notified of Warkas proxy a month ago and Warka continues to trade
Seems to be hairsplitting that foreign company's ISX shares held in company name (by proxy) -not in individual name- is any different than the proxy company Warka uses.
With foreigners being allowed to hold shares in their name Aug 2, one would expect this issue to be resolved prior to that date or not?
Posted by: bob | July 2, 2007 11:16 AM
Frank - The issue is under review by the U.S. Secret Service because of other regulated service providers.
Posted by: American Contractor | July 3, 2007 9:13 AM
Bob - Where other companies are actively trading in the market Al-Warka is a bank first and as such reports to the Central Bank of Iraq (CBI) for regulatory control first. Al-Warka's brokerage company is a department of the bank therefore its losses in the market is the banks losses.
Those losses put Al-Warka banks balance sheet below the authorized base value set by the CBI. The proxy company is a corporation which is owned by Al-Warka bank, therefore when the value of the stock purchased by the proxy company dropped by half, that line item of Al-Warka banks budget had a negative impact on the banks liquidity.
Why do you think the CEO of Al-Warka Bank Saad Al-Bunnia, withheld the documents requested by the CBI for their yearly banks audit. That failure to comply caused the CBI to levy a fine against Al-Warka Bank of one million dinar a day for each day not in compliance. That adversarial situation existed for the better part of 16 months.
Please notice was it not a fact that Al-Warka bank did not post its much needed splits until late this year. Of course Al-Warka bank, failed to advise their clients that either of these issues existed. What most people seem to have difficulty grasping is that the Iraqi's are not the only people who have access to members of the CBI.
Please keep in mind I'm not here to bash Al-Warka Bank, I have better things to do with my time, however, I do owe my own countrymen and woman the benefit of the access I have to the relevant ministries, agencies and departments.
Most people might not be pleased with what I have to say but remember an informed investor is a successful investor.
Posted by: American Contractor | July 3, 2007 9:15 AM
Hi,
Well as the CBI from day one has been having auctions selling their dinars for hard currency, to help pay for the rebuilding of Iraq.
Let us not forget Presidential order number 130330 or something like that, States that all American people have the same rights to invest in Iraq as a Iraqi has.
As for Warka Bank they had the save to find a way around a minor prob and have done well from it, they do not tout for customers it is us going to them, a comment from a dinar site, In the 3 years of dealing with the Warka bank, no one to his knowledge has been turned over by them, or had any money sent there been lost.
Warka is the only bank in Iraq that offers this service and I think anyone who is not in on it, will be sick as a dog, when you see the money to be made,
you can buy shares in Iraqi banks for pennies, check out the price of two banks shares here in the UK,
Barclay share price £696.00
52 week high £790.00
HSBC share price £915.00
52 week high £1,028.00
HSBC has the controlling shares of a Investment Bank in Iraq, Dar El Salam Bank, they only had it for two weeks when they sold off 12% of the bank, and I have never seen a number with so many zero's on it.
So I do not give a flying f.......as I will be buying shed loads of bank shares.
Ohh yea come to daddy
Posted by: Steven | July 4, 2007 11:40 PM
Well I do know for a fact that the dinar is being sold in Chase which we all know is owned by JP Morgan.
And alot of the comments that I have read i just feel is alot of people just posting stuff which is NOT true facts.
So i guess it wont happen this year 2007 but I hope it will happen in 2008. Alot of people I do know from all over the world on the thread web sites have made the investment in the Dinar. It has to revalue.
Why you ask
Well i feel we went in to iraq for 2 reasons
1) to remove Saddam and
2) to help that country get back on its feet.
What would it be like if the US went in to iraq and the dinar did not come back to where it was before Saddam took power which was at $3.35 in 1970's , or at least to $.35 which is where when Saddam was in power the dinar was valued at.
Posted by: David | December 16, 2007 3:12 PM
I AM A CANADIAN.IF ITS WRONG TO HAVE IRAQ DINAR OUTSIDE ITS COUNTRY,WHY IS IT THAT I PURCHASED MY IRAQI DINAR FROM A CHARTER BANK IN CANADA. CIBC BANK
Posted by: eric | January 12, 2008 9:19 PM