Weddings, Loans, Diamonds, History and Stock Affinity Schemes – A Carousel of Who’s Who in Chabad
Lost Messiah, July 14, 2016
Diamond Joe’s bankruptcy filing reflects a colorful cast of characters, listed as creditors and shareholders. The relationships are incestuous (we may mean that quite literally). See the attached PDF.here We opine that he is anything but bankrupt, rather his money has been in meticulously careful and calculated transactions, transferred or “loaned” to other entities, either within his immediate family or without, within his Chabad family or without or within his Jewish “charitable” family or without. We have been fairly certain that following the money leads back to New York and to Israel, to Singapore and to India and we would not be surprised if we found links to Angola. For now… that is only speculation.
Diamond Joe Gutnick seemed to have had a penchant for giving loans or taking loans from Chabad Synagogues. According to Chabad belief, giving loans is a Mitzvah. We are not even going to go on a rant about that; but will let it be. “Rabbi” Gutnick’s $10M loan from a Chabad Synagogue presided over by his son-in-law’s father, another major Chabad Rabbinical figure Rabbi Krynsky, seems a bit odd. However, Gutnick’s daughter is married to Rabbi Krynsky’s son, so perhaps not. After all, Rabbi Krynsky was referred to by Newsweek as one of the most influential rabbis in the US. Or, maybe the loan can be attributed to Chabad’s charitable lending as a generally accepted practice (no comment).
In March of 2008, Failed Messiah published an article entitled “Gutnick, Chabad, Aish, Alleged Stock Market Affinity Schemes.” That article was one of many on the subject of Gutnick, Chabad and its rather shady financial practices and Gutnick’s involvement.
In that article, Rosenberg lists a veritable treasure trove of names, which we had been trying to piece together, involved in Gutnick-related schemes. For instance, we had asked one of our sources if there was a connection between Murray Huberfeld and Diamond Joe. If one goes on the theory of diamonds, New York, Platinum Partners, and Leviev, certainly there must be a connection. We were thinking Chabad, perhaps, but were not so sure.
Rosenberg seems to have substantiated our theory, the most relevant we have highlighted in red:
“It allegedly worked this way:
A struggling publicly traded U.S. company with few shares outstanding issues millions of new shares to acquire a foreign company with little operating history and no reported profits. The U.S. company’s shares rise as press releases promote the acquired company’s technological prowess. If the technology companies succeed, all will make money. But even if the shares subsequently fall to $2 or $3, company insiders could reap millions because of the huge blocks of cheap shares they own.
Also part of the schemes are large amounts of stock purchased by religious charities, including Chabad and Aish HaTorah, used to artificially bid up the stock price. In some cases, the stock may be ‘gifted’ to the charity by an insider who ‘buys it’ in the charity’s name. Then, when the time is right, the insiders – and the charities – dump their stock. Soon after, the shares drop dramatically in value, leaving many non-inside investors with huge losses.”
“Among those company insiders are alleged to be these people:
- David Bodner and Murray Huberfeld of Broad Capital, a New York City investment firm. Both have histories of investment fraud, and each has a conviction for possessing a false ID’ with the intent to defraud. They went on to get in trouble with Charles Kushner. Download norcrown_trust_federal_reserve_board_agreement_bodner_huberfeld_kushner.pdf
- Their wives, Naomi Bodner and Laura Huberfeld.
- David Rubner, the former head of Israel’s ECI Telecom.
- Rabbi Irwin Katsof and Aish HaTorah’s Jerusalem Development Fund.
- Herman Jacobs, Satmar hasid and owner of Allou Healthcare. He later pleaded guilty to corporate fraud in an unrelated scheme.
- Rabbi Sholom Duchman the head of Colel Chabad, Chabad’s major social service organization in Israel (although it is based in Brooklyn). Colel Chabad was started by the first Chabad rebbe, Schneur Zalman of Liady.
- Rabbi Joseph Gutnick, the late Chabad-Lubavitcher Rebbe’s ‘special emissary’ to Israel and the head of what may be the biggest affinity scheme of them all – Gutnick’s mines.
- The late Lubavitcher Rebbe himself”
“And, of course, who helped artificially inflate Gutnick stock value the most? The late Rebbe, who publicly promised Gutnick would find diamonds.
Here’s what Aish HaTorah has to say about Bodner and Huberfeld:
When it comes to cultivating religious charities, and drawing them into stock deals involving tiny companies, Murray A. Huberfeld and David B. Bodner seem to be without peer. “Mssrs. Huberfeld and Bodner are among the top philanthropists in the Jewish world,” says Rabbi Irwin G. Katsof, executive vice president of the Jerusalem Fund of Aish HaTorah in New York City. “There are organizations waiting in line to see them.””
ALL IN THE FAMILY…
WEDDINGS; Rivkah Gutnick, Shmaya Krinsky
Rivkah Gutnick, a daughter of Rabbi and Mrs. Joseph Gutnick of Melbourne, Australia, was married on Tuesday to Rabbi Shmaya Krinsky, a son of Rabbi and Mrs. Yehuda Krinsky of Brooklyn. Rabbi Chaim Gutnick, the bride’s paternal grandfather, performed the ceremony in Stuyvesant Park in Manhattan.
Mrs. Krinsky, 18, was until recently a teacher’s aide at the Associated Beth Rivkah Schools in Brooklyn, of which she is a graduate. Her father is the chairman of Great Central Mines in Melbourne and a philanthropist.
Rabbi Krinsky, 23, received his ordination in April from the Central Lubavitch Yeshiva Tomchei Timimim in Brooklyn. His father is a secretary to and the chief spokesman for Rabbi Menachem Mendel Schneerson, the grand rabbi of the Lubavitch Hasidim, in Brooklyn.
Hasidim, haredim – these are your rabbis. Are you not ashamed?
Read all of the Barron’s investigative reports in pdf:
Other articles mentioned in this post: