connolly properties total distributions - anatomy of a ponzi scheme

n s Lifetime Connolly Properties Estimated Returns 2008 CPI Net Returns # Monthly Estimated payments Estimated % of Estimated Estimated Final Average through Total Capital Estimated Actual Net After Inceptio Sales Price Investment Rate % Rate % May 2009 Distribution Returned Distribution Cash Flow Distribution Crescent Ave Inv. Group Oct-96 357,500 143,000 30 21.0 151 377,878 264 42,900 4,620 -38,280 Cypress House Sep-98 2,150,000 860,000 30 21.0 128 741,664 86 99,330 n/a n/a Tudor Arms Aug-99 1,006,000 402,400 26 19.0 117 745,446 185 104,624 10,556 -94,068 Beacon Village LLC Jan-00 2,475,000 990,000 20 16.0 112 1,478,400 149 198,000 40,467 -157,533 Settles Place Oct-00 1,350,000 540,000 20 16.0 103 741,600 137 108,000 -149,244 -257,244 Washington Crossing Jun-01 3,000,000 1,200,000 20 16.0 95 1,520,000 127 240,000 -31,328 -271,328 Sterling Apartments Aug-01 2,020,000 808,000 21 16.5 93 1,033,230 128 169,680 9,644 -160,036 Allentown Apartments Apr-02 6,780,020 2,712,008 18 15.0 85 2,881,509 106 488,161 95,417 -392,744 Parkside Village Trust Apr-02 1,780,000 712,000 17 14.5 85 731,283 103 121,040 -393,660 -514,700 Plainfield Apartments Mar-03 16,225,600 6,490,240 15 13.5 74 5,403,125 83 973,536 -638,652 -1,612,188 Prospect Harrison Trust Sep-03 10,845,100 4,338,040 15 13.5 68 3,318,601 77 650,706 n/a n/a Ritz Court Dec-03 1,854,000 741,600 15 13.5 65 542,295 73 111,240 8,370 -102,870 243 S Harrison Apr-04 2,050,000 820,000 15 13.5 61 562,725 69 123,000 n/a n/a 179 S Harrison Apr-04 2,150,000 860,000 18 15.0 61 403,286 47 95,202 n/a n/a Williamsburg Hickory Arm Oct-04 1,383,550 553,420 12 12.0 55 304,381 55 66,410 -89,819 -156,229 Fulton Towers Trust Jan-05 12,600,000 5,040,000 15 13.5 52 2,948,400 59 756,000 -522,048 -1,278,048 Cornell Pingry Arms Jun-05 8,650,000 3,460,000 12 12.0 47 1,626,200 47 415,200 30,057 -385,143 Central Ave Apts Trust Jul-05 1,450,000 580,000 12 12.0 46 266,800 46 69,600 11,468 -58,132 Green Brook Village Nov-05 5,835,000 2,334,000 12 12.0 42 980,280 42 280,080 7,631 -272,449 Liberty Arms Mar-06 6,275,000 2,510,000 12 12.0 38 953,800 38 301,200 20,540 -280,660 Mayfair Hall Trust Apr-06 2,050,000 820,000 12 12.0 37 303,400 37 98,400 -322,472 -420,872 Milton Terrace Sep-06 1,300,000 520,000 12 12.0 32 166,400 32 62,400 n/a n/a Executive Arms Jan-07 1,695,000 678,000 13 12.5 28 197,750 29 88,140 662 -87,478 Park Regency Feb-07 910,000 364,000 12 12.0 27 98,280 27 43,680 9,232 -34,448 Watchung Gardens May-07 7,500,000 3,000,000 12 12.0 24 720,000 24 360,000 5,080 -354,920 Livingston Apartments Jun-07 3,475,000 1,390,000 12 12.0 23 319,700 23 166,800 -119,051 -285,851 Netherwood Village Jul-08 8,100,000 3,240,000 12 12.0 10 324,000 10 388,800 142,486 -246,314 Grand Court Villas Jul-08 6,150,000 2,460,000 12 12.0 10 246,000 10 123,000 -13,262 -136,262 Siesta Park Sep-08 2,400,000 960,000 12 12.0 8 76,800 8 38,400 585 -37,815 Marshall Woods/Newport Jan-09 - 7,900,000 12 12.0 6 474,000 6 Hampshire Court Feb-09 - 2,200,000 12 - 0 0 0 Total $121,666,770 $58,065,112 $30,487,232 $6,066,530 -$1,893,479 -$7,960,009 Estimated distributions to David & Donna Connolly 3,300,000 Estimated investor distributions $27,187,232

Upload: dick

Post on 01-Oct-2015

13 views

Category:

Documents

5 download

Report

Download

Embed Size (px):

DESCRIPTION

This chart estimates the total return and loss of investors in properties managed by Connolly Properties, owned by David and Donna Connolly. There are two estimates used - the amount invested in each property and the rate of return over the lifetime of the property. Also, the results for 2008 are shown, using known cash flow from the majority of properties. Note that in 2008, Connolly's properties lost a total of about $8 million, AFTER distributions of $6 million. Not a single property had sufficient income to make the distributions that Connolly paid out to investors and to himself and his wife. Note also the typical Ponzi result in the Lifetime % Capital Returned column - those who got in early received all of their investment back, while those who got in in 2004 and later lost most to all of their investment.

TRANSCRIPT

ns

Lifetime Connolly Properties Estimated Returns 2008 CPI Net Returns# Monthly

Estimated payments Estimated % of EstimatedEstimated Final Average through Total Capital Estimated Actual Net After

Inceptio Sales Price Investment Rate % Rate % May 2009 Distribution Returned Distribution Cash Flow DistributionCrescent Ave Inv. Group Oct-96 357,500 143,000 30 21.0 151 377,878 264 42,900 4,620 -38,280Cypress House Sep-98 2,150,000 860,000 30 21.0 128 741,664 86 99,330 n/a n/aTudor Arms Aug-99 1,006,000 402,400 26 19.0 117 745,446 185 104,624 10,556 -94,068Beacon Village LLC Jan-00 2,475,000 990,000 20 16.0 112 1,478,400 149 198,000 40,467 -157,533Settles Place Oct-00 1,350,000 540,000 20 16.0 103 741,600 137 108,000 -149,244 -257,244Washington Crossing Jun-01 3,000,000 1,200,000 20 16.0 95 1,520,000 127 240,000 -31,328 -271,328Sterling Apartments Aug-01 2,020,000 808,000 21 16.5 93 1,033,230 128 169,680 9,644 -160,036Allentown Apartments Apr-02 6,780,020 2,712,008 18 15.0 85 2,881,509 106 488,161 95,417 -392,744Parkside Village Trust Apr-02 1,780,000 712,000 17 14.5 85 731,283 103 121,040 -393,660 -514,700Plainfield Apartments Mar-03 16,225,600 6,490,240 15 13.5 74 5,403,125 83 973,536 -638,652 -1,612,188Prospect Harrison Trust Sep-03 10,845,100 4,338,040 15 13.5 68 3,318,601 77 650,706 n/a n/aRitz Court Dec-03 1,854,000 741,600 15 13.5 65 542,295 73 111,240 8,370 -102,870243 S Harrison Apr-04 2,050,000 820,000 15 13.5 61 562,725 69 123,000 n/a n/a179 S Harrison Apr-04 2,150,000 860,000 18 15.0 61 403,286 47 95,202 n/a n/aWilliamsburg Hickory Arm Oct-04 1,383,550 553,420 12 12.0 55 304,381 55 66,410 -89,819 -156,229Fulton Towers Trust Jan-05 12,600,000 5,040,000 15 13.5 52 2,948,400 59 756,000 -522,048 -1,278,048Cornell Pingry Arms Jun-05 8,650,000 3,460,000 12 12.0 47 1,626,200 47 415,200 30,057 -385,143Central Ave Apts Trust Jul-05 1,450,000 580,000 12 12.0 46 266,800 46 69,600 11,468 -58,132Green Brook Village Nov-05 5,835,000 2,334,000 12 12.0 42 980,280 42 280,080 7,631 -272,449Liberty Arms Mar-06 6,275,000 2,510,000 12 12.0 38 953,800 38 301,200 20,540 -280,660Mayfair Hall Trust Apr-06 2,050,000 820,000 12 12.0 37 303,400 37 98,400 -322,472 -420,872Milton Terrace Sep-06 1,300,000 520,000 12 12.0 32 166,400 32 62,400 n/a n/aExecutive Arms Jan-07 1,695,000 678,000 13 12.5 28 197,750 29 88,140 662 -87,478Park Regency Feb-07 910,000 364,000 12 12.0 27 98,280 27 43,680 9,232 -34,448Watchung Gardens May-07 7,500,000 3,000,000 12 12.0 24 720,000 24 360,000 5,080 -354,920Livingston Apartments Jun-07 3,475,000 1,390,000 12 12.0 23 319,700 23 166,800 -119,051 -285,851Netherwood Village Jul-08 8,100,000 3,240,000 12 12.0 10 324,000 10 388,800 142,486 -246,314Grand Court Villas Jul-08 6,150,000 2,460,000 12 12.0 10 246,000 10 123,000 -13,262 -136,262Siesta Park Sep-08 2,400,000 960,000 12 12.0 8 76,800 8 38,400 585 -37,815Marshall Woods/Newport Jan-09 - 7,900,000 12 12.0 6 474,000 6Hampshire Court Feb-09 - 2,200,000 12 - 0 0 0

Total $121,666,770 $58,065,112 $30,487,232 $6,066,530 -$1,893,479 -$7,960,009Estimated distributions to David & Donna Connolly 3,300,000

Estimated investor distributions $27,187,232

Sheet1