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I first met Foran through some mutual friends at a party and did some displays for his Time Share business in Broadbeach approx 10 years ago.
At that time he also had a business called ViaCreme ( Viagra for women) and another called Global Rewards (free air trips to Bali if a product was bought)...dubious...
Later he was to threatened to be sued by Pfizer for promoting Via as Viagra for women and by Ansett Airlines as they owned the name Global Rewards.He changed the names a little to keep trading.
He also told me he had a video rental business in the UK but was forced out because he was renting illegally copied videos he had made and was caught by the police.
I started actually doing business with him in approximately 2000 when he began selling NIGHTSKY CEILINGS
For $25,000 you could buy an agreement that allowed you to copy his (copied from the US originator) procedure for making a ceiling look like the nightsky using glow in the dark paint.
I was making a certificate, a demo poster, and car magnets and car rear window stickers for the "night sky business buyers"
He sold approx 60-80 business agreements.
Foran would come to my home 4 times a week to talk business and discuss how to improve Nightsky
In 2002 he began HUMITECH and stopped, virtually with me at least ,any NIGHTSKY sales.
I was now doing the signwriting (car wraps) on the vehicles used by the Humitech franchisees
After approx. 35 franchises had been sold,
Foran still came to my home/business 4 times a week to discuss Humitech business
Foran approached me approx June 2005 to invest in Humitech as I was considering investing in a property.
He convinced me that Humitech was a fantastic investment as he had sold approx 35(now 45) franchises at $100,000 each and had opened in Singapore and soon to open in China. My parner Susan was witness and privvy to all this information.
Foran needed my money to finance Singapore. However, I wanted at least HALF of it here on the GoldCoast.
He had told all Aus. Franchisees and myself that Sing was the Jewell in the crown and was making a fortune from many hotels such as Raffles, The Swiss Club, the international flower markets, big import export companies, trucking companies and high rises, amongst many others, such as cruise ships, The Australian Armed Forces,Compass and Spotless ( Compass & Spotless are Australia's largest catering companies who amongst other things cater for the football/shows such as the Ekka and state shows and the big mining companies)
He also told us of an impending deal with Westinghouse India, who wanted to include Humitech panels in all refrigerators manufactured there. I would receive benefit from that deal as it was made through the GoldCoast office and as I had an interest in that office I was included in the moneys received because of my involvement.
Foran was still coming to my home 4 times a week to discuss Humitech with me
I loaned him $200,000 (less bank charges of about $5,000 that I had to pay anyway) on the condition that the equivalent amount loaned would be SECURED by the Humitech panels in use at the time of possible termination.
Also Foran agreed to pay the difference in my home loan repayments so this loan would not actually cost me a cent.
After seeking a solicitors expert advice. (I was sent to Nelson by the rep from Solutions Finance, Nichole , who helped me borrow this $200,000 from the equity I had in my home through Barnes Home Loans who uses the Adelaide Bank)
The solicitor suggested that the contract was "not the best contract he had seen" but, as Rod Foran was a long-time friend, he thought that all would be fine, anyway I had the Humitech panels as a surety.Nelson said nothing about the fact that there would be a problem later on if I tried to recover these panels if non payment occurred .
He also thought at the time he may buy a franchise for his ex-wife, but I contacted him a couple of weeks later and he had changed his mind. This input from him, which I paid ,for was taken by me as his educated advice and I acted on it.
He was also impressed with the deal that Foran had promised to pay the difference in my mortgage payments and this loan would not cost me anything
Around December 07 a NZ partner became involved and Foran promised me the if a name change took place(humico)
It was only to raise money from existing franchisees and would NEVER affect me or my position with the loan I made to him.
Susan is also a witness to this promise.
On the 19/3/07 I emailed Foran and suggested we discuss the fact that now my loan to him was not working and due to interest hike I was actually going backwards in relation to the money he was paying on the difference in my home loan repayments. I had also asked repeatedly ( at least 10 times)for balance sheets from GoldCoast and Singapore and was told they were coming ....but they never did.
I have since spent $25,000 trying legally to recover this money(The only retirement funds I have...I am 60) to no avail. He drives a Range Rover Vogue,, Lives in a million dollar apartment next to the beach and the last I heard was involved in Atlas Media..internet porn
Foran refuses to speak to me and is a violent man
He has sent Bikeies to threaten me with violence if I persue my quest to get this stolen money back
I must point out that This guy is a scammer and has done this to many people and will probly move on soon...to the US
$187,134.49AUD (comprised of the balance outstanding on
1. On or about 1998, I met Patrick Rodney Foran (“Foran”) through mutual friends.
2. Shortly after meeting Foran in 1998, he engaged my sign writing business for the purpose of preparing displays for a time share business that he then owned. Over the course of time, Foran and I became close friends.
3. In 2000, I became a supplier of signage in a company which Foran was a Director, Nightsky Ceilings (“Nightsky”). Between 2000 and 2002, Foran regularly visited my home on a social basis and to discuss his expansion plans for Nightsky.
4. I supplied all his advertising material for the nightsky franchisees(they were not signed to any franchisee contract but operated as such)..
5. On 15 May 2002, Humitech Holdings Pty Ltd ACN 100 555 995 (“Humitech”) was registered in Queensland. A company in which Foran either was or held himself out to be a Director.
6. Shortly after Humitech’s registration, Humitech, through Foran, engaged the services of my sign writing business to produce sign writing (car wraps) on the vehicles that were used by Humitech franchisees.
7. In may 2005 I advised Foran that I was considering investing in real estate property, however, I advised him that in order to do so I would need to re-finance my home.,
8. On or about June 2005, Foran suggested to me that I should invest in Humitech as opposed to real property. Foran advised me that Humitech was a sound investment, due to it having sold approximately thirty-five franchisees at a cost of $100,000.00 each and it was planning to open subsidiaries in Singapore and China. AND NEW ZEALAND
9. Foran advised me APPROX April 2005 that Humitech required additional funding in order to finance the opening of the Singaporean division.
10. Singaporean arm opened approx MAY 05.. Chinese arm never opened
11. Foran advised me JULY 06 that the Singaporean division of Humitech was performing exceptionally well due to having secured lucrative contracts with The Raffles hotel, The Swiss Club, international flower exporters, as well as several importers/exporters. Foran further advised me that Humitech had secured large contracts with the Australian Armed Forces, trucking companies, cruise liners, and Compass and Spotless catering , amongst others.
12. Foran advised me SEPT 06 that there was an imminent contract with Westinghouse India for the insertion of Humitech Panels in all refrigerators manufactured by Westinghouse in India. Foran advised me that I would be entitled to share in the profit of the Westinghouse contract due to the deal having been negotiated out of Humitech’s Gold Coast office.
13. MAY 05 I advised Foran that I was considering loaning the sum $200,000.00AUD to Humitech subject to the loan being secured against Humitech Panels, to which Foran advised that he was agreeable. I advised Foran that in order to obtain the $200,000.00AUD that I would need to re-finance my property. As a further inducement to the loan, Foran advised me that Humitech would cover any shortfall in my mortgage repayments in order to ensure that I did not incur any financial detriment due to having taken out the mortgage.
14. On or about June 2005, I contacted Adelaide Bank Limited (“Adelaide Bank”) for the purpose of refinancing my home at 23 Currumburra Road, Ashmore.
15. On 11 July 2005, Adelaide Bank mailed to me the mortgage and loan documentation advising that my home (subject to settlement of the loan) would be refinanced to the value of $336,000.00AUD.
16. On or about MAY 05, Humitech’s solicitor and then shareholder, Ivan Poole, drafted an Agreement between myself and Humitech for the loan (“the Agreement”).
17. On or about 5/AUGUST 2005, I attended the offices of solicitor Clarence Boyd Nelson (“C. Boyd Nelson”) for the purpose of having the mortgage and loan documentation explained, and to obtain advice on the Agreement. I advised C. Boyd Nelson that I was refinancing my home in order to obtain the $200,000.00AUD loan.
18. During the course of the attendance, I was advised by C. Boyd Nelson that although the Agreement was not the best that he had ever seen (or words to that effect), that it would probably suffice in light my long-term friendship with Foran and that in any event, the Loan was secured against Humitech Panels. C. Boyd Nelson did not recommend to me that I register a charge over the Humitech Panels, or advise me as to the potential difficulties that I may encounter in attempting to obtain the Humitech Panels in the event of default by Humitech. I was further advised by C. Boyd Nelson that the terms of the Agreement were so favourable that he would consider buying a franchise or loaning money to Humitech on the same terms?? for his ex-wife I Do not have any reason to believe that this may been in jest
19. A couple of weeks after the attendance at C. Boyd Nelson’s office, I telephoned C. Boyd Nelson to confirm his interest in purchasing a franchise/investing in Humitech (did Foran ask you to do this? NO ), only to be advised that he had changed his mind (did C. Boyd Nelson elaborate as to why he changed his mind? NO ).
20. On 23 August 2005, the finance settled, with the total funds made available by Adelaide Bank being $336,000.00.
21. On or about 23 August 2005, Foran attended my home to collect the $200,000.00 bank cheque made payable to Humitech for the loan.
22. HAVE A LETTER FROM MACGILVRAYS SOLICITORS CONFIRMING HUMITECH RECEIVED $194,185.75 ON 23 AUGUST 2005.DISBURSEMENTS FAXED TO FFRENCH 25/8/08
23. On 10 October 2005, the Agreement was executed by myself and Foran on behalf of Humitech.
24. What happened between 10 October 2005 and 19 March 2007? …Nothing. Every time I asked for figures I was fobbed off. My questions were never answered
25. On 19 March 2007, Foran along with Anthony Lee registered Humico Pty Ltd ACN 124 480 477 (“Humico”). Approx Early April I expressed concern to Foran that the Agreement was between myself and Humitech as opposed to Humico, only to have my fears allayed by Foran’s representation that the loan would not be affected and that it was merely an attempt by Foran to raise money from existing franchisees. (Please elaborate on this point – as clearly it would not “raise money from existing franchisees”, instead it would open up the possibility that Foran would offer Humitech and Humico franchises in competition with each other). (Was there any discussion about the transferring of assets from Humitech to Humico?). NO.. HUMICO WAS A NEW WAY WITH MORE TO OFFER THE FRANCHISEES. THEY HAD TO PAY MORE BUT WOULD RECEIVE MORE BENEFITS. I WAS NOT PRIVVY TO THE BENEFITS BUT WAS PROMISED IT HAD NO EFFECT ON MY LOAN.
26. On 19 March 2007, I emailed Foran requesting a meeting to discuss the fact that due to the increase in interest rates, the monies being paid by Humitech were not covering the difference in the mortgage. The email further contained a request for a copy of balance sheets for both Humitech and its Singaporean division. (When else did you request copies of the balance sheets??). (Did you ever have any discussions with Foran in which he explained/justified why he was not paying you in accordance with the terms of the Agreement? FORAN REPEATEDLY TOLD ME “IN A FEW MORE MONTHS I WOULD RECEIVE GREATER BENEFITS AND WHY SHOULD I WORRY BECASE HE WAS PAYING THE DIFFERENCE IN MY LOAN” AND IT WAS COSTING ME NOTHING.
27. Please describe the events of note between 19 March 2007 and 1 May 2007. SEE ITEM 26. HE IGNORED ALL EMAILS AN IF I GOT HIM ON THE PHONE HE WOULD STALL SAYING BIG THINGS ARE HAPPENING SOON
28. On 1 May 2007, I advised Foran in a telephone conversation that I wished to terminate the loan. (What did Foran say in response?). He ignored me and I sent an email and he ignored that also.
29. Approximately when did Foran make his comments about the terms of the Agreement being the cheapest loan that you could have hoped to obtain NEVER…. I SAID TO FORAN IT WAS THE CHEAPEST loan he could ever obtain
On 19/3/07 I emailed Foran confirming that in accordance with our conversation of 1 May 2007 that I wished to terminate the Agreement due to personal and financial reasons. The email further made mention to how I was willing to offer “a very cheap loan” for almost two years due to our friendship, however, could not afford to continue with the Agreement. (Was a response received?). NO SEE EMAIL BELOW 19/3/07
Hi Rod, how are you and Kim and family? well I hope..
How did all go in Sing. Are you selling it?
Hows the Gold coast and BetaGrip going...
Rod, need to know whats happening with my loan
I am in some financial difficulty myself and need money for my tax etc.
I need this money rather urgently so I have something for my future.
ive been worried about it for some time now and really need to have some positive
forward cashflow from it because as you know I am going backwards with my loan
I made for you.
Im hoping we can work out a plan to make this a more regular payment as we discussed
Maybe we need to have a meeting about this at your earliest conv.
cheers
mal
30.
31. Due to not receiving a response from Foran, I engaged the services of Geoff Provest of Provest Law. JULY 07
32. On 5 September 2007, Geoff Provest wrote to Foran advising that due to Humitech’s failure to adhere to the terms of the Agreement that I owed approximately $215,000.00 on my mortgage. The letter further requested copies of all balance sheets for Humitech for the period since 10 September 2005, details of the Humitech/Humico restructure, and Foran’s thoughts as to how the Agreement could be amended. The letter did not demand repayment of the loan.
33. Foran responded to Geoff Provest advising that he would provide the requested documents/information on 23 September 2007.
34. On 27 September 2007, Foran emailed me the requested statements. See email att
35. On 30 September 2007, Foran telephoned me and advised that the Singaporean division of Humitech was being sold and that the proceeds of same would be provided to me. (Did he say how much Singapore was selling for? What amount did he say you would receive?). $300,000 was the sale price. HE TOLD ME I WOULD BE FULLY REPAID FROM THAT FIGURE
36. Did anything of note occur between 30 September 2007 and 29 February 2008?///???????????????????????
37. On or about 29 February 2008, I telephoned the Chief Executive Officer (“CEO”) of Humico (MIKE LEES) ANTHONY LEES BROTHER and was advised that Humico would adhere to the terms of the Agreement between myself and Humitech. (Is there anything in writing from the CEO in this regard?). NO, I ASKED REPEATEDLY AND WAS NEVER ANSWERED
41. On my instructions on 7 August 2008, Ffrench Commercial Lawyers sent a letter of demand (“the letter”) to Humitech and Foran personally. The letter stated that unless I received the loan, shortfall of monies received on my mortgage, interest accrued on the mortgage and legal costs to date) or the delivery of 2,000 unused panels (which are valued at approximately $100.00AUD each) within 14 days of the date of the correspondence, that legal proceedings would be commenced against Humitech and/or Foran personally without notice.
42. On 20 August 2008, Ffrench Commercial Lawyers received a facsimile from Ivan Poole (Consultant, McLaughlin’s Solicitors) marked “without prejudice” advising that he acts for Humitech, denying all allegations, and advising that Humitech “has no assets and is in no position to make any payment and will not be doing so”.
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