On Monday, prosecutors filed papers to begin the process of finalizing the default of more than $14 million seized from Bank of America accounts controlled by Golden Panda Ad Builder President Clarence Busby and his daughter, Dawn Stowers.
A court clerk today entered a default notice for a total sum of $14,045,598.07.Â The notice clears the way for the government to take final control of the money.
Golden Panda had five Bank of America accounts, including one that contained precisely $6 million. The company operated in launch phase for only eight days, although Golden Panda also operated in “prelaunch” phase, recording nearly 20,000 members in weeks.
Here is a list of the Golden Panda accounts and the default amounts:
(1) $2,282,999.72 seized from account #[deleted by this Blog] at Bank of America, in the
name of Clarence Busby Jr. and Dawn Stowers, DBA Golden Panda Ad Builder Deposit Account;
(2) $1,112,978.42 seized from account #[deleted by this Blog] at Bank of America, in the name of Clarence Busby Jr. and Dawn Stowers, DBA Golden Panda Ad Builder Operating Account;
(3) $1,642,039.08 seized from account #[deleted by this Blog] at Bank of America, in the name of Clarence Busby Jr. and Dawn Stowers, DBA Golden Panda Ad Builder Cashout Account;
(4) $6,000,000.00 seized from account #[deleted by this Blog] at Bank of America, in the name of Golden Panda Ad Builder;
(5) $3,007,580.85 seized from account #[deleted by this Blog] at Bank of America, in the name of Golden Panda Ad Builder.
In court filings, Clarence Busby said Golden Panda was born in April 2008, on a Georgia fishing lake, after discussion with AdSurfDaily President Andy Bowdoin.
â€œAs a social courtesy to Bowdoin, I asked a pastor friend of mine, Rev. Charles Green, if he might bring his boat and join me in inviting Bowdoin on a relaxing fishing trip,â€ Busby told U.S. District Judge Rosemary Collyer. â€œI imagined that operating ASD involved a lot of stress, and I had heard Bowdoin liked to fish. I also wanted a respite from work. The invitation was extended and Bowdoin agreed to join us.â€
â€œOn April 11, 2008, we fished at a lake in Brunswick, Georgia for a day. On that Day Bowdoin surprised me by recommending that I start a Chinese version of ASD,â€ Busby said.Â â€œBowdoin suggested that I organize the business without him. He said, â€˜I canâ€™t handle the business I already have,â€™ stating that I should be the one to create, own, and operate this Chinese version of ASD.”
In his court filings, Busby said he didnâ€™t know Bowdoin â€œhad prior run ins with the lawâ€ and had been arrested in Alabama for defrauding investors.
Busby did not say if he told his fishing partner about his own run-ins with the law: The Securities and Exchange Commission said Busby defrauded investors in the 1990s.
â€œ[T]he Commission alleged that Busby violated the antifraud provisions of the securities laws by offering and selling investment contracts in connection with three different prime bank schemes,â€ the SEC said.
â€œUsing misrepresentations and omissions in each of the three schemes, Busby raised money for purported trading programs in â€˜prime bankâ€™ notes by fraudulently representing to investors that the investments were risk-free and that the ventures would pay returns ranging from 750% to 10,000%. In total, Busby raised nearly $1 million from more than 70 investors. None of the investors earned the exorbitant returns promised by Busby,â€ the SEC said.
Busby settled the case with the SEC in May 1998 by agreeing not to break securities laws. Ten years later, he once again found himself a central figure in a securities scheme, right next to Bowdoin.