[NOTE: Reed Slatkin is described as a 'former Scientologist.' That's
not correct. Mr. Slatkin is and ever shall be a Scientologist and all
the attempts by the crime syndicate to disctance themselves from the
crook are doomed to failure - flr]
Scientologist took in millions
A former Scientologist did over 300 investors out of 22
million franks. Despite that he does not want to go to prison
Zurich, Switzerland
by Hugo Stamm
At the end of the 1980s and early 1990s Scientologists
caused financial damages of about 100 million franks
with partially fraudulent businesses. One of them, a
57-year-old attorney, former magistrate and
high-ranking bank employee, went before the superior
court on Friday. He had relieved German investors of 22
million franks, thereby earning himself two years nine
months prison from the district court.
The 40-year-old codefendant who was responsible for the
computer programming and had received six months
imprisonment in the first trial said it clear as a bell
about the proceedings, "If we would not have been
Scientologists, then we would not be standing here
today, that is guaranteed." With that in mind an
invisible "codefendant" who had not even
been accused was sitting on the bench with the other
defendants: the Scientology movement, which by many
votes was a central theme.
The primary reason: the dear money plays a dominant
role in the organization. Both accused were heavily in
debt so that they could pay the "church" 350,000 franks
and 450,000 franks respectively for courses and
services. Besides that the attorney had bought
worthless pictures of sect founder Ron
Hubbard for hundreds of thousands of franks and had
amassed debts of 3.5 million franks.
"Rothschild Bank" founded
Once the lead defendant had stumbled across a lavishly
gushing source of money there was no stopping him. He
sought out investors of hard cash for a Munich
businessman in southern Germany. In newspaper inserts
the two passed themselves off as the "Federal
Association of American Banks" and promised 9 to 10
percent interest. But behind that were only two offices
which bore the reassuring name of "Rothschild Bank."
From 1991 to 1994 the attorney took in
money, mostly cash, in Zurich, which he then
hand-carried to Munich. In return he reaped 600,000
franks in commission from his business partner. When
their cover was blown, the accomplice in Munich
vanished - and with him most of the
money. He has still not surfaced.
The 40-year-old codefendant had worked for his
Scientology colleague as a computer technician. The
district court viewed that as complicity and commercial
fraud and required the two ex-Scientologists to
compensate for the millions in damages jointly. They
appealed that because they regarded the sentence as too
much. The primary defendant asked the
superior court for a sentence reduction to a maximum of
18 months in prison suspended and the codefendant
wanted exoneration.
The accused lawyer asserted that he had completely
trusted his Munich business partner. He said he had no
suspicion that his partner could have embezzled any
money until shortly before the crash. His attorney had
stated there was a connection to the many courses which
his client had taken with Scientology: he said his
client had been strongly mentally influenced and had
learned to suppress doubts. Besides that the courses
were said to have strongly modified structural thought.
His codefendant and his attorney made an even stronger
case. They spoke of a loss of ability to differentiate,
of totalitarian systems and of inquisitorial
proceedings and brainwashing. The judges also asked
question after question about Scientology. But they
have not yet dismissed any part of the conviction.
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March 3, 2001
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