I met Scott Mallick/aka Scott Smith in San Pedro, Ambergris Caye, Belize in December of 2007. He introduced me to his project, i.e., the development of a luxury resort complex on the island he had purchased adjacent to San Pedro, Belize. Scott offered me the opportunity to become involved in the development of this project and he subsequently offered me a job to serve as his assistant in this regard. To demonstrate my commitment to both the project and to Scott personally, since that time, my family and I invested US$2 Million in the project. From 2010 to 2015, I referred numerous friends to Scott and his project with the result that they invested an additional US$21 Million. With the investment help of my late friend from church, Mr. Harold W. Buirkle, in May of 2011, by agreement with Harold, we were to construct Star Island consisting of 5 villas on one of the islands that Scott owned with the understanding that Scott would rent the villas similar to what the owners of neighboring island, Cayo Espanto, had been doing for 15 years. Scott made a contract with Harold to construct and rent the finished Star Island villas within a twelve-month period. Scott failed in his obligation, not only in completing the building on time, but he also failed as well in renting them out. Scott also promised that he would transfer the land into a newly formed corporation, but he failed to do that as well. In addition, Scott represented that he would transfer shares to all investors who had invested in Star Island, but Scott failed to do that as well. Scott represented that he intended to purchase an island from Jeff Gram of Cayo Espanto. As to proper due diligence, not only did Scott fail to retain a proper attorney to perform the title search with respect to the owner of this island, he instructed Harold to wire US$2 Million for the purchase of the island and Scott never returned the money when the purchase of the island was not consummated. Scott also sold Cove home to Harold, San Pedro Block 7 Parcel 5083, which Harold paid for in cash and Scott never transferred the property. He never disclosed that there was a bank loan. The property is in foreclosure at Atlantic International Bank. When Harold would ask for accountability, Scott always made promises, but failed to deliver. Scott repeated this pattern with other friends, such as Peter, Ken, Barbara, and others. Meanwhile, very little on-going construction was taking place and remaining funds were being diverted by Scott for non-project-related purposes, including personal purposes: 1) A New Mercedes 2014 S550 2) 63ft Ocean Super Sport Yacht 3) 100ft Broward Super Yacht and 4) a fake art collection (jade and ivory) to impress investors. In 2014, with the project seriously lacking in on-going investment funds and totally stalled out in terms of continued construction, Scott randomly met a bikini model whom he decided to marry after a few short months of having met her and he ran off with her to Honduras using investor funds which made investors extremely nervous because he still owned the entire Island and all the construction that had been completed to that point and he had failed to transfer any ownership, as promised, to investors before disappearing. I witnessed Scott opening approximately 20 off-shore companies with no attorney or accountant to oversee each transaction. One might conclude that this was an interesting shell game designed to con investors out of their hard earned money. At the age of 54, Scott changed his name from Scott Tracy Mallick to Scott Zeus Smith. We can only wonder what his true motives were. Was it an attempt to move away from certain liabilities? And who takes the name Zeus intentionally unless for ego sake to be some Greek god? For example, the Star Island company was formed and the land (San Pedro Block 7 Parcel 5472) was supposed to be transferred into this company, and the capital raised was supposed to have a use of proceeds, accounting, quarterly reports, transparency, etc…. There was no such accountability or responsibility to fulfill this promise by Scott.u200b Another tactic by Scott was to use promissory notes to complete his project. To date, Scott has not paid one single promissory note back, he has not made one single interest principal payment, and he has not made a single interest payment. Scott has signed and received funds for over 15 promissory notes. One of the main reasons that Harold and Peter have so many shares promised to them on paper is because after all the failed investments and promissory notes, Scott made more promises that other investors including a hotel would not invest because Harold and Peter had such large debt position. Scott therefore offered shares and big payouts. The problem is that there is no reasonable way of delivering on that promise except if some large operation would invest in his island project. I delivered more friends with regard to building large portions of his island; however, they were uncomfortable with Scottu2019s business practices. Sandy, Edson and others are willing to testify to these facts. The bank accounts at Atlantic International Bank (Caribbean Estates Realty, Inc u2013Acct# XXXXX4326) and Atlantic Bank (Caribbean Cove Development – Acct# XXXXX7913) are under Scottu2019s direction and control. The digital signature that Scott is claiming fraudulent with Peteru2019s promissory note is the same digital signature that he accepted the funds and never wired back. It is the same digital signature that he accepted for Edward who is now having to settle with on another financial issue of failed promises. The share agreements themselves are problematic because: 1) the only assets owned by the Nevis Company (Caribbean Estates Realty, Inc (CERI)) to date are: a. a Cove with 18 subdivided lots San Pedro Block 7 Parcels 5075-5092, b. Parcel 5473 where the Beach Club is and Beach Estates, c. Parcel 5472 which is Star Island d. And parcel 6125, undeveloped property a. The other land parcels are misrepresented in the share agreement as owned by CERI when they are NOT owned by CERI: i. San Pedro Registration Section Block 7 Parcel 4051 ii. San Pedro Registration Section Block 7 Parcel 4052 iii. San Pedro Registration Section Block 7 Parcel 4053 iv. San Pedro Registration Section Block 7 Parcel 4055 v. San Pedro Registration Section Block 7 Parcel 4056 vi. San Pedro Registration Section Block 7 Parcel 4057 vii. San Pedro Registration Section Block 7 Parcel 4058 viii. San Pedro Registration Section Block 7 Parcel 4070 ix. San Pedro Registration Section Block 7 Parcel 4071 x. San Pedro Registration Section Block 7 Parcel 4060 xi. San Pedro Registration Section Block 7 Parcel 4061 xii. San Pedro Registration Section Block 7 Parcel 4062 xiii. San Pedro Registration Section Block 7 Parcel 4063 xiv. San Pedro Registration Section Block 7 Parcel 6126 xv. San Pedro Registration Section Block 7 Parcel 6127 xvi. San Pedro Registration Section Block 7 Parcel 6128 xvii. San Pedro Registration Section Block 7 Parcel 6129 xviii. Eagle Ray Caye u2013 18.064 acres situated on Caye North of Long Caye, Belize District bounded as shown on Plan No. 856 of 2007 and Parcel of land 8.144 acres situated at a Caye North of Long Caye bounded as shown on Plan No. 10 of 2009 2) Scott has double labeled the so called u201cFounderu2019s Stocku201d with Harold as part of the first 25% (which would be 12,500 shares of the 50,000 authorized shares) at $2000/share with a three times payout. He sold Edward the same so called u201cFounderu2019s Stocku201d redefined as part of the first 15OO shares at $5000 per share with a five times payout. Scott has committed serious financial and corporate fraud which I could only see and understand once I left him and began to compare notes with other concerned investors.
San Pedro, Other Belize