Tempted by promises of quick, vast returns, people gave him cash
It is not often that people get a chance to learn how to make money from an honorary professor, doctor, academic and “millionaire” mentor. Robert Fletcher promises his followers such a unique opportunity, and more.
But here’s the rub: some of his onetime followers say he’s nothing but a swindler and they want a criminal investigation launched.
His promise of a 200 percent return on investments is as credible as accounts of the Loch Ness Monster in Scotland, according to at least four participants of Fletcher’s Global Systems Training programs. They have formed a group to expose what they call “the fraudulent ways” of Robert Thomas Fletcher III.
The press service of Fletcher, 45, an American citizen, denied the accusations in a statement. “Some people aren’t happy with GST and Robert Fletcher’s training,” the statement said. “Anyone who has problems or complaints can call our call center or send us an email. Our management team will solve your problem as quickly as possible.”
Fletcher’s accusers held a news conference on Nov. 17, charging Fletcher with running a classic pyramid scheme that has defrauded $20 million from Ukrainians.
In the United States, Fletcher has deeper troubles than mere accusations.
According to the U.S. Securities and Exchange Commissionwebsite, a federal court judge ruled in August that Fletcher violated anti-fraud and registration provisions of the nation’s securities laws. The court ordered him to pay more than $5 million in fines and penalties.
The Ukrainian group said Fletcher, whose U.S. biography is sketchy, is running a scheme similar to the one for which he ran afoul of federal securities laws. “We appeal to the Interior Ministry, State Security Service of Ukraine, and general prosecutor to investigate the affairs of Robert Fletcher under article 190 of the Criminal Code for committing fraud and to take under their personal control all of [his] activities,” they said in a statement.
Vitaliy Khibovskiy, a leader of a non-government organization, said Fletcher “offers people eager to learn how to make money investment opportunities in non-existing business projects like time shares in a limousine company, shares in the construction of Swedish-style winter cottages or a coal mine located in Luhansk.”
Tetyana Kovtunova said she was attracted to the seminars because she was interested in expanding her existing business. She chose a “fast track” course for $3,000 since it gave her the opportunity to invest in Fletcher’s projects with 200 percent returns on investments. Kovtunova said she gave $20,000 under a contract of debt signed by Fletcher, which was never returned.
Another participant, car-parts dealer Hennadiy Ryadyanskykh, said he along with four others formed the 100,000 Club. According to Ryadyanskykh, Fletcher promised a 200 percent return within 13 months to persons or groups of people who invested $100,000. Ryadyanskykh contributed $17,000 as his share and has not received a kopeck since Aug. 26 when the contract of debt expired.
In the United States, there have been at least 14 companies listed with Fletcher as president, secretary or treasurer. But they all appear to be insolvent.
Fletcher appears able to quite literally charm people out of their money, Khibovsky said. “He is the master of all trainers in Ukraine because he knows how to talk to housewives and how to talk to already successful businessmen,” he said sarcastically. “Fletcher creates a euphoric atmosphere of wealth at the seminars. You see a limousine parked outside of the training hall, he waltzes into the room with blonde locks of hair dressed in a suit.”
Many also may not have known about his police record.
Fletcher was caught with a fake Ukrainian passport on Nov. 9, 2007, when he attempted to cross into Russia by train. He spent 10 days in jail and was released on bail for $6,400, and later paid a small fine. In June, the Dniprovsky precinct police station in Kyiv determined that Fletcher had used a fake Ukrainian passport to marry his wife, Olha Dubrovska, in Dnipropetrovsk, in August 2007. He used the same passport to register his residence in Kyiv on Sept. 29, 2007.
Khibovsky’s group has submitted 33 statements with original contracts of debt with Fletcher to the State Security Service for investigation. The information then went to Kyiv’s Holosiyivskyi police precinct.
Meanwhile, on the Global Systems Training website, Fletcher remains a helpful genius whose advice makes people richer. “More than 1,000 people tripled their income and 17 people became millionaires in the first year of training,” it said.
But, Fletcher’s victims say, the better advice is this: If a deal sounds too good to be true, it is.
