Department of Commerce and Regulation
For Immediate Release: March 19, 2001
From more information: Mr. Gail Sheppick, 773-4823

(Pierre) - David Volk, Secretary of the Department of Commerce and Regulation, is warning consumers about a fraud circulating throughout South Dakota involving a company called TriWest Investment Club ("TriWest") located in Belize, Central America.

Volk warns that the offer and sale of interests in TriWest violates securities laws. "Those who may be offering and selling these interests will be prosecuted for securities violations".

The minimum investment in TriWest is $1,000. TriWest pays members who solicit others to invest, a referral fee of $150.00 plus $15.00 per month for 12 months.

TriWest advertises that members around the world are presently earning 10% per month on their investment. TriWest claims that if a member simply left their $1,000 minimum investment with TriWest for 5 years (reinvesting it every 12 months), that $1,000 would grow to approximately $43,000. Another investment alternative offered by TriWest is the TriWest Growth Fund. TriWest claims that a $1,000 investment in this fund would grow to well over $250,000 in 5 years. TriWest claims the money is made by investing in "Bank Debenture Trading Bonds".

This kind of scheme has been around for a long time and goes by many different names: bank secured trading programs, high-yield investment programs, standby letters of credit and prime bank notes. The common denominator is that all are supposedly debt obligations guaranteed by the world's top 100 banks, or "prime banks". They are also pitched as secret-trading programs that the Rothchilds and Rockefellers set up years ago, which are only offered to the elite, says Volk

Don't be fooled by this fraudulent scheme; the term Bank Debenture may have the sound of financial safety, but there is no such investment says Volk. "Sooner or later the whole scheme will collapse leaving investors with empty promises." This is a typical "Ponzi" scheme where principal and interest payments to early investors are paid with funds raised from later investors to give the false illusion the investment is successful says Volk.

Investors should check with the Securities Division to see if a foreign investment opportunity is in compliance with the law. It may be the best investment decision you ever make, says Volk."

For further information, contact the Division of Securities by writing 118 West Capitol Avenue, Pierre, SD 57501 or by calling 605-773-4823.  The Division's website also contains information for consumers on purchasing securities.