Steve Klein: Adviser to Romero and JZ Knight Directs Fraud

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Steve Klein: Adviser to Romero and JZ Knight Directs Fraud

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WA: Adviser to Romero and JZ Knight Directs Fraud, Refuses to Prove Credentials
steve klein bto bio
Second in series on RSE International
June 30, 2014
by Melissa Genson

inShare1

An adviser to both Yelm-based Democratic Party mega-donor JZ Knight and Democratic Thurston County Commissioner Sandra Romero has repeatedly refused to prove his public claim that he once held “several executive positions in the airline industry.”

A Democratic Party supporter, “airline executive” Steve Klein actively campaigned for Democrat Mary Hall in her victorious 2013 race for Thurston County Auditor.

JZ Knight was Sandra Romero’s largest campaign donor in 2012. Knight recently donated $65,000 to the Thurston County Democrats.

JZ Knight appointed Steve Klein as Director of her investment scam RSE International in 2007, on those same credentials.

Klein ran for mayor of Yelm in 2005, stating he was “known in the corporate world for getting things done” with an “open door policy.”

He received 22% of the vote.

Longtime Thurston County political activists state that Steve Klein used those same impressive credentials in his campaign for mayor, and he refused to provide evidence of them at that time, as well.

Steve Klein also refuses to prove his claims that he has bachelor’s and master’s degrees in business administration.

Using his credentials as a former “airline executive,” Klein publicly sells his advice and commentary on finances, investing, the stock market, gold, the Federal Reserve, energy, utilities, real estate, taxes, politics, and more.

Klein primarily uses his credentials, advice, and commentary to promote JZ Knight and her credibility in business and finance.

JZ Knight travels the world selling everything from investments, advice, live shows, books and videos, based on extraordinary claims about her own credentials, as well as the credentials of her organization’s management.

Steve Klein has joined JZ Knight on her world travels and sales pitches, promoting her influence and abilities.

Echoing Klein, JZ Knight calls herself the “greatest kept secret in corporate America.”

Click here for the audio of JZ Knight’s claim that she is the “greatest kept secret in corporate America,” while also claiming that she makes extraordinary amounts of money giving advice and forecasts to 3M, Google, and Apple.

3M has denied Knight’s claim about them. The other corporations have not yet responded.

Washington State law prohibits false and misleading claims in business.

JZ Knight has retained the unflagging support of the Democratic Party since her $65,000 donation earlier this year, in spite of nearly two years of negative publicity resulting from videos showing Knight’s bigotry and profanity, and recent reports of business fraud and other illegal activities.

Knight states “F-ck God’s chosen people,” and adds that Jews have earned enough cash to have paid their way out of the g-ddamned gas chambers by now. She says that Mexicans breed like f-cking rabbits and aren’t worthy of conscious thought, and that all gay men were once Catholic women.

In response to the negative media, Thurston County Democratic Party chairman Roger Erskine stated:

“JZ Knight is a very good strong Democrat, and she totally supports our platform and our goals, and I think that’s good enough.”

Celebrity Friends and Dark Secrets
JZ Knight has spent decades pitching one phony scam after another, based on her lies and fake credentials.

JZ Knight’s longtime corporate agent Robert Hoffman and JZK Legal Affairs Manager Mike Wright also lied about having professional credentials.

Both Hoffman and Wright continued to lie about their credentials while under oath, in various court cases related to RSE.

Knight’s scam victims say that they lost their money because they relied on Knight and her advisers who claimed impressive credentials, particularly since they appeared to have close ties to government officials. Some say they lost their homes and their families because of these swindles.

These scam victims also say that they were also heavily influenced by Knight’s celebrity endorsers like Salma Hayek and Linda Evans, and by the longtime support from wealthy foreigners like South Africa’s Rebecca Oppenheimer Capezio of the DeBeers diamond fortune and Bermuda’s Renee Webb.

Webb resigned from Bermuda’s top government after multiple scandals and reports of corruption, and after defending deceitful actions to John Stossel while he was at ABC News 20/20.

Knight’s victims speak on condition of anonymity, because they fear legal action and other reprisals from Knight and her organization. They have signed secrecy contracts with Knight.

JZ Knight Appoints Steve Klein as Director of RSE International, Inc.
In 2007, JZ Knight and her phony CPA Robert Hoffman pitched a pricy investment scam to her followers who would agree to sign a secrecy contract, and could prove that they had enough cash. That secrecy contract was in addition to an earlier one that they had already signed to attend RSE events.

That investment scam was RSE International, Inc. In her pitch, JZ Knight offered to sell her business Ramtha’s School of Enlightenment (RSE) to her followers who could contribute a minimum of $100,000.

RSE International‘s board of directors also included Robert Hoffman and Mike Wright, who both lied about their credentials under oath.

Knight sweetened her investment offer with a fraudulent claim about a movie deal with the highly successful producers of The Secret, as well as a fraudulent claim about a major tax credit.

The Secret‘s representative Laura Reeve flatly denies any kind of association with JZ Knight, JZK, or RSE International.

JZK's Application for CDFI Tax Credit, Claiming To Be an SBA New Market Venture Capital Company
JZK’s Application for CDFI Tax Credit, Claiming To Be an SBA New Market Venture Capital Company

Knight also told her potential investors that they would get a 30% New Markets Tax Credit.

However, U.S. Treasury documents show that Knight intended to keep any such tax credit for herself, rather than pass it on to any hoodwinked investors in RSE International.

In Knight’s attempt to get that tax credit, she lied to the U.S. Treasury that she was a New Markets Venture Capital Company.

In her sham investment proposal, Knight wrote:

“In the event that something does happen to me, I will have shaped the RSE Organization in such a way that trusted and experienced individuals can carry on the business of the school as well as continue with the teachings, creating new books, movies.”

As one of her trusted and experienced individuals, JZ Knight appointed former “airline executive” Steve Klein as Director of RSE International.

Washington State corporation records show that RSE International only stayed on their books for a year.

In 2012, however, JZ Knight led her crowd in a toast to the future of RSE International–hinting she would be bringing it back. Click here to see a video of this toast.

Knight has made no known statement about changing the future leadership of RSE International, including its “airline executive” Director, Steve Klein.

How Do These Scams Keep Happening?
Since the Bernie Madoff scandal, the Securities and Exchange Commission (SEC) has tightened rules for public investment offerings under their jurisdiction.

Many citizens believe that the government has sufficient oversight on private securities offerings like RSE International, as well.

However, the SEC has actually loosened rules for small, private corporations like RSE International.

Most of the oversight of these private ventures is under the control of each individual state, and the reporting requirements are fairly lax.

JZ Knight’s scam victims have stated their belief that Knight’s close ties with local government officials meant that her business dealings would be safe and reliable.

Some officials, like Nevada Secretary of State Ross Miller, take this issue seriously and actively advise citizens about risks of private security offerings like RSE International.

On June 26, Bloomberg Business Week reported a groundbreaking empirical study about how ethical business decisions compound over time.

The study found that “Just one small ethical lapse can snowball into big trouble.”

Bernie Madoff himself said the same thing about his own massive scam:

“Well, you know what happens is, it starts out with you taking a little bit, maybe a few hundred, a few thousand. You get comfortable with that, and before you know it, it snowballs into something big.”

Part 3 of the story of RSE International covers Democratic Thurston County Commissioner Sandra Romero’s connections with JZ Knight, and the impact of New Zealand citizen journalist David McCarthy on Thurston County.


WA: Adviser to Romero and JZ Knight Directs Fraud, Refuses to Prove Credentials
Second in series on RSE International
http://souththurstonjournal.com/2016/03 ... edentials/
(** Note: Watchdogwire is now souththurstonjournal.com)
But he has nothing on at all, cried at last the whole people....
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