Stormpay Controversy Episode 3

StormPay vs 12DailyPro? Really? Because, that's what it's starting to look like... 12DP have released yet another statement concerning their account at StormPay:

Stormpay Manipulations - by Charis - 12DP Admin at 2006-02-02 13:22:46
From what we can tell, it seems that StormPay may not have in their bank account enough funds to cover the withdrawal we requested and thus could possibly be using the account suspension as a smoke-screen for their inability to pay us our requested funds.

It seems they may have fabricating the existance of some kind of investigation and suggesting that our account has been 'frozen' in an effort to deflect attention from their ability to pay us. We have verified that none of our other payment processing accounts, nor our bank accounts has been frozen. Those accounts are perfectly fine. We find it very curious that the only financial account we have open that is currently frozen is with a company that has found one excuse after another to pay us a large deposit we requested weeks ago.

We assume their tactic is to breed fear among members in an attempt to get them to place chargebacks so they only have to pay out to individual members in small amounts at a time and thus NOT have to pay us the large lump sum that we requested beacause they mau not have the funds in place to cover such a large withdrawal.

We are still researching and gathering information and will provide more as we have it.
Last change at 2006-02-02 16:16:46

About 3 hours later, 12DP released another announcement:

Stormpay Developments - by Charis - 12DP Admin at 2006-02-02 16:42:15
We have done some additional research and as you may have noticed, we have come to some decisions regarding our current issues with Stormpay.

We did everything we could to meet and live up to StormPay's blackmail attempts on Monday. We removed EMO, a payment processor with who we have a very solid relationship. At StormPay's demand, we completely eliminated all choice for our members of payment processors and put our business in a very difficult postition. After all of that, it seems that we have been betrayed.

The existance of 12daily Pro has profited StormPay over the course of the months perhaps more than any other of their clients or users combined. They seem to now have a problem with autosurf; we find it curious that they didn't have a problem with taking our money. We have learned that StormPay has suspended many other autosurfs as well witin the past couple of days. It appears they may also be sending out libelous answers to members questions about why we were suspended.

We want to let you know that we have decided to become proactive in this matter, after a full day has passed with no explanation from them of why our account has been suspended. Our attorney has submitted a letter to their attorney via email explaining our postion and requesting a response. Barring a legitimate explanation by Stormpay within a timely manner, we will be filing immediate legal action to recover all our funds by legal force if necessary so we can meet our responsibilities to all of our StormPay members in a timely fashion. We will update you on the progress of this matter. We promise to fight them to the death for money that rightfully belongs to you and us.

In the meantime, since our account has been locked, we cannot at this time make any StormPay payments. We also have been denied by StormPay the withdrawal of funds that we earmarked for the funding of our EMO account. So, this evening we will have to weigh a lot of factors in determining how we will structure a recovery plan for our Stormpay funds as well as determine an ammeanable and fair payment schedule for all members with currently pending withdrawals.

We will have some answers for you on this by midday tomorrow.

In the meantime, we have enabled EMO upgrades again, staff will be focusing on support tickets and the launch of the new program hopefully later tomorrow.

We need you all to understand that this is a very difficult situation which we never could have predicted. There will be a lot of change and uncertainty in the coming days. But know we are doing all we can to insure that StormPay does not bring this program down nor take advantage of members that we have spent months caring for.

We completely understand that you are all concerned as we are as well. We ask for your support and patience at this time. Rest assured we are here working our butts off for you. You can help by not creating more work by staff with support tickets about these issues. We will update the membership as a whole as developments arise in the member news area, so please check it often for new postings.

We will not let anyone destroy this program that our staff and all of you have worked so hard to build.

NOW is the time when we PROVE we are pros!

Charis
Last change at 2006-02-02 16:49:25

There has yet to be a statement from StormPay. So, what's going on?

Well, there are probably two ways to look at it:

1. Stormpay is stalling for time. 12DP has a large account, a real cash cow. And very difficult to payout, if 12DP decides to switch to alternative processors. StormPay hasn't responded to 12DP. That's not a good sign. In fact, if it's true, that's very bad customer service!

2. 12DailyPro is stalling for time. 144% return in 12 days (22 days if you count the processing time) is very high. Some of the earnings will HAVE to be from new members, i.e. part-ponzi.
Here's an interesting article I found via MMG's forum.
http://newsnet.byu.edu/story.cfm/58189
http://newsnet.byu.edu/video/23170/video.asx (video)


Or perhaps there is a THIRD scenario... StormPay AND 12DailyPro in cahoots? Unlikely. Other autosurfs that use StormPay appear to be affected as well.


Other links of interest:
http://forums.12dailypro.com/smf/index.php?topic=23659
http://forums.12dailypro.com/smf/index.php?topic=24207.0
http://forums.12dailypro.com/smf/index.php?topic=23779
http://forums.12dailypro.com/smf/index.php?topic=24183.0
MMG 12DailyPro Discussion
HYIPDiscussion

MatrixWatch.org - an old discussion on StormPay
GetPaidForum.com - another StormPay discussion

Previous post: StormPay Controversy Part One and Part Deux

What do YOU think?