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18 July 2003



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 COLUMNISTS: HANK
Outside 'InsideCostaRica'
Hank is a freelance contributor. The opinions expressed here are his own and do not necessarily reflect the opinion of insidecostarica.com. 

Write Hank at:
sky_boy@swbell.net

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Enrique’s Business, Part Two
• The Brothers’ Secret somewhat illuminated but not exposed


By Hank, ICR Columnist


Just like Star Wars, these episodes appear out of order.

While my “Private Group” will be fortunate enough to receive “Part One”, readers of Inside Costa Rica get “Part Two” for starters.

Not that long ago, a trip to Mall San Pedro to retrieve a manila envelope filled with cash was a common and monthly occurrence for many.

Now, “The Brothers” has an almost mystical ring…

The OIJ and the Pacheco Administration have been very successful in eliminating all High Yield Businesses from the Tico Scene. After successfully causing the demise of the Grand Daddy of them all; “The Brothers”, others soon followed the path of perish and after the last one, including a rather spectacular method of The Vault’s Roy Taylor to leave this planet, this tropical rainforest paradise finds itself without a means to make a descent return on the almighty dollar.

The reason for this is simple; while banks and regulated financial institutions “purchased” the allegiance of higher-ups in the Costa Rican Administration, Enrique Villalobos was building churches and behaving like a Christian.

This is not politically correct!

While attending church and kissing babies during election runs is not only expected but also mandatory, the greasing of palms has historically been a way to further one’s self and one’s business.

Because the Latter Day High Yields were bad imitations of The Brothers, I will not waste time or words. Let me just say that the majority of them made one fundamental mistake; they offered what The Brothers did as an investment opportunity and than had to scramble to make ends meet. For some they pretended “Gambling”, others cited “Chickens” as there Golden Source.

No, I am not kidding. Those of you who invested with the “Old British Guy”, know exactly what I am talking about…

Principally chicken shit…

The Brothers, on the other hand, were involved in a very lucrative and profitable business. At some point, about 24 years ago, the Master Mind of the three brothers concluded that with added capital, lenders could profit along with them at the tune of 3 percent per month.

Not a bad deal at all.

Now, let me warn you here: the Truly Lame of Brains, the Spectacular Idiots, The Shallow Seekers of Sensation will only ask a single thing and one thing alone: “How do they manage…?”

It is like having to deal with a baffled bystander who is asking the magician: “How do you do that…?”

They would not hesitate to approach Bill Gates and demand the Windows Source Code. Or, as already stated in the past, ask for a written recipe of Coke’s Secret Formula.

These idiots, there are so many of them…

Recently I was told by a kind gentleman who bought me dinner, that he would never consider entering into a business opportunity that pays less than six percent a month. A simple factoring outfit makes about that much. Throw in some overhead, regulatory hassles and a greedy oversight agency, and you are lucky to take home half of that amount.

So, what do you do when you are smart and ahead of the pack?

You eliminate these burdening factors. You find a place that is friendly to your kind of operation and you set up shop.

People will learn about your honesty and integrity, and they will seek you out.

Then you build and grow your business and live happily ever after…

Or do you?

Look, all three brothers; Enrique, Osvaldo and Freddy were equally involved and equally reliable. While Freddy was and remains in the Fort Lauderdale area, his siblings were in the Nine Degree of Latitude regions.

I do want to talk to the parents someday, Enrique and Osvaldo – sure, but “Freddy”? What is up with that?

Yes, it is his legal and given name.

It sucks to be an outcast; maybe that is why they kept him abroad…

Freddy managed to do a wonderful job distributing checks from his Florida Base. Through Whitney and AmTrade Banks, he managed to get funds to Gringo Investors while the Omnipotent IRS was never the wiser.

When using his home as a source became too bothersome, Pak Mail was the answer!

The checks continued to go out but from an anonymous source, this time.

A while back, I drove by the last address that was known. Next to the most beautiful Sam’s I had ever laid eyes on was the Sending Source of Envelopes filled with Happiness. Every damn Wal-Mart or Sam’s elsewhere is square and built from cinderblocks.

This one was bricked.

Yes! It has a brick front and the whole parking lot is tree lined and landscaped. Go see for yourself: University Drive in Coral Springs.

Freddy has managed to stay out of sight during all this. He strikes me as the Smart One. He probably is also “The Communicator Extraordinaire”. Communicating with the “other” sibling quite often and in depth.

The Fall Guy, Osvaldo, went under the knife last week. To force some sympathy out of a judge, he had grown a week’s worth of facial hair and wore crumpled garb. This rewarded him with an extended absence from San Sebastian Prison and allowed him to remain in the lavish luxury of the Clinica Biblica.

It’s all relative, you know…

The surgery was necessary and the target area shall remain untold; no reason to embarrass this already Job’d Bro, let’s just say it took balls, all right?

All brothers were and are equally involved in the business. If one of them says that “they did not know…” something or anything, they are pulling our mutual leg. Hard.

While Enrique was obviously in charge, they all know how, where, when and what went down.

It was an ingenious plan and set-up. But it was one that required lots of cash, very hard work, constant monitoring and extreme discipline. Because, believe it or not, the margins of profit were razor thin.

This is why the Villalobos Bunch did not wear, drove, ate, drank or behaved like the Cuban. They had “been there and seen that” but decided that such behavior would never sustain solid business and endurance.

Funny thing is, nothing bad and illegal went on. Even though many investors assumed that drug trafficking and money laundering were a definite possibility, it was none of that.

Grey areas in the financial law and international opportunities were taken advantage off to no end, but no one was harmed and no criminal acts took place…ever!

Yes, it did put regulated financial counterparts at a disadvantage. These other enterprises did not have the opportunity nor did they possess the creativity required to sail these uncharted waters and boy, it still pisses them off to no extend!

Another reason why our bro’s are in the trouble that they are in…

You see; true creativity is a form of art that cannot be controlled. It is probably unwise to compare Enrique’s art with that of, let’s say, Maplethorpe or other controversial extroverts but the fact is that neither could flourish while being a victim of regulatory control and limitations set by government bodies without imagination.

Throw in a good amount of self-protectionism and cartel-like control, and you have the picture.

When left alone, this kind of creative brilliance was a true from of art and history has shown its success and endurance. With the “help” of the government it finally shriveled up and succumbed.

Because I am no fool, I will not disclose what my comrades and I have discovered.

A certain prosecutor is known to read everything that is written here and on the Internet and there is no reason to start throwing meaty bones at Bad Doggies…

Other shady characters jump at the opportunity to feed this bad government and none of these traitors must be allowed to profit in any way.

But I will say this; even though it appeared to be a pyramid at times, it really was not.

Yes, it did require a continued interest of new clients and added capital to grow, but it could sustain itself without this. It would however be “level”, meaning that there would be no growth.

Even common and regulated companies experience a pyramid-like scenario.

Take, for example, good old America On Line.

In the beginning Hey Days of Internet Mailings and Cyber Sex, this company experienced growth beyond comprehension.

At times new subscribers joined at the rate of literally thousands per hour! With all these new subscribers paying an initial and monthly subscriber fee, AOL accumulated mountains of Cold Cash without having provided any service yet. Service that would be sustained by future subscription collections already secured by contracts and agreements between itself and the many, many subscribers.

Would anyone call AOL a Pyramid Scheme because of this?

Well, the Lame Brains would but normal people understood what was going on.

When the stormy waters calm, you will be given the chance to partake when the time is right. And the time has to be exactly perfect. We will not compete with our original benefactors. There is no way that we would ever disadvantage any of The Brothers by stealing what rightfully belongs to them.

However, if it turns out that they will never ever be given the chance to Do The Voodoo That They Did So Well…well, then we just may.

After initial groundwork of six months a possible and very similar business might well arise like a phoenix from the ashes of Mall San Pedro. When this happens, you will know.

It will not be Costa Rica, unless a nuclear device is used to cleanse the corruption. It seems that it will take that or some higher power to put this struggling nation back on the right track.

In the words of the Mighty Martha Stewart: “The objective is not to lower myself to your level but to raise yourselves to mine”

Take that, Abel!

Hank



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