It has been a long time; my memory has also faded. The few people I would
trust to shed light on events leading up to this catastrophe are dead. Poole
"Sid" <***@T-Online.de> wrote in message news:firstname.lastname@example.org...
It's been such a long time since all this happened, so please excuse
me if I'm a little rusty regarding the events of the past.
Post by "" <x>
Stewart's website states that AMORC admitted Stewart did nothing wrong.
THIS IS NOT TRUE. Gary Stewart started the story that Christian Bernard
"admitted" he knew Stewart did nothing wrong. He had it posted in an
interview he had placed on Cathari's site. Since then he found someone to
claim they know someone who claims to have heard this at the hearing. The
truth is AMORC realized their suit was a hole in the ocean they were
throwing money in, and dropped the suit. They did not sue him for fun; they
did not sue him just to get rid of him; they wanted the $750,000 which his
financial advisors took, returned. The contract he signed with the
"advisors" was convoluted enough that it was impossible to prosecute them
for taking the money. This is why he gets away with calling it a "payment".
It was not a payment; it was more of a payoff. He admitted it was not a
payment on this newsgroup. If you look at what the financial advisors were
supposed to do, as told by Gary Stewart on this newsgroup, you will discover
THEY DID NONE OF THOSE THINGS. Moreover most of the projects could be done
for free i.e. setting up credit card accounts for AMORC members and a life
and health insurance benefit plan. Not even a contract analyst for the
federal government could justify a $750,000 payment for the little bit the
"advisors" did. Mostly they palled around with the ex imperator, ant tried
to convince the board of directors to give them money for projects others
would do for free.
I'm not going to get caught up in Stewart's bait and switch program, and
argue irrelevant minutia. I don't care if CB wanted to be Imperator; that's
not germain. I don't care if the European Grand Masters wanted Stewart out;
that's not germain. The truth is Gary Stewart's "financial advisors" took
$750,000 from AMORC and did nothing to earn the money. Gary Stewart got his
hands on $3,000,000 of AMORC's money, (a lot of hardworking AMORC members
earned that money and donated it to AMORC) and he put $2,500,000 in a bank
in a foreign country under his own name, not AMORC'S. If you can't see
something wrong with this, you are such a fool, AMORC is better off without
What you have described is 'embezzlement' pure and simple. Are you
telling me that in the US one can get away with embezzlement?
and embezzlement = a criminal case. It was a civil case.
It only becomes a criminal case if a state or federal prosecutor will agree
to take the case on. If they feel it may be tough to win the case, or if the
case is not very glamorous and they are busy, or if they feel the injured
party was so stupid they deserved to be taken, then they will simply ignore
the case. Then the injured party has to bring a civil suit.
In the United States, a gang of thugs can beat you almost to death while the
police watch, and you have no recourse against the police for not protecting
you. Nor do prosecutors have to prosecute if they don't want to.
As for IRS, they have their own courts and judges. They can only get
involved in a case if taxes are involved. Since Gary Stewart was removed and
the money in Andorra retrieved, they had nothing to prosecute.
the powers that be within the Order have the moral courage and
gumption to inform the members the truth in the first place. Instead
of letters sent to a few officers stamped 'confidential' and full of
half truths and rumors & gossip from the so called 'H' letters? When
was the first 'H' letter posted?
I don't remember the H letters. But I remember some others that were
circulated. Most were full of half truths and innuendos. There were letters
from both sides defending Stewart and condemning him. These filled the void
because the officers were withholding information. You may remember the
regional monitors and grand councilors were called to San Jose to get an
explanation of what happened, and look at all of the documentation. They
were supposed to go to the affiliated bodies to explain the events. They
didn't. This is what angered me. They had information about what had
happened but wouldn't tell. Some thought Stewart would get back into office
somehow; I know one who was loyal to Stewart because she'd been given
membership in the MCE. As Grand Councilor she controlled the official flow
on information to the region I was in. So we got no information, except the
How many signatures did one need to get the loan of $3,000,000 from
I don't know and don't trust the answers I've been given.
This is one area where Gary Stewart gets deceptive. There was something he
called a Notice of intent to borrow. I think this was the approval of the
board to set up a margin account so it would be possible to borrow against
their assets. It was not an authorization to borrow money, no matter how
many people signed it.
When was the insurance cover taken out in the case of
possible legal action? Planned??? premeditated???
They've always been bonded. If Vern would come back on he can tell you about
a case in the sixties or fifties where the treasurer of the St. Louis Lodge,
had a gambling problem and gambled all of the Lodge funds away. The bonding
company paid the loss and took legal action against the man responsible.
This is what bonding companies do.
I think this is what happened:
I think there were two types of bonds; a blanket bond which covered all of
the officers of the affiliated bodies and a position schedule bond where
they bonded specific corporate officers, who were in a position to get their
hands on much larger sums of money. This is where the legal problems would
have started with the bonding company. The financial advisors were not
corporate officers, so they were not covered by the bond even though they
took the money. To get the money back the bonding company had to go after
Gary Stewart as a bonded officer, and show he was directly responsible for
them taking the money. Since he didn't have the money the bonding company
had no chance of recovering from him, so they wanted out of the situation.
Now it gets more complicated depending on how the corporate minutes were
written and how the contract with the financial advisors was written.
The contract was ambiguous enough that Gary Stewart and the financial
advisors were able to claim the money taken was a payment. A year after the
incident, AMORC had to file a tax return and probably used a form1099, to
show the disbursement of the money. This is what Gary Stewart is claiming
makes it a payment. It's simply the type of legal trick used in American
Was the case not worth something in the region of $36,000,000 ( $36
million!!!). Talk about dumb and stupid. They had manouvered
themselves into a corner and didn't stop digging their own hole!!!
Then proceed to put member's money into it.
I think that number must have come from adding the value of all of the real
estate owned by AMORC around the world. It's the first time I've heard it. I
think the stupid part was how they treated the members; they lost thousands.
Extracts from the original Constitution of the Grand Lodge of AMORC
Article II.-Section 6A "All matters within the official cognizance and
concern of the Order are divided into two classes, namely: Doctrinal-
Ritualistic and Administrative. The Administrative is divided into two
branches, Legistative and Judicial."
Why take the case to court without first going through the proper
According to the court documents, Gary Stewart had secreted $2,500,000 in a
bank in Andorra, and left AMORC off the account. He would not reveal the
account name or number when they first asked him. I think the $750,000 had
already disappeared. So there was an urgency to the situation.
In Article V.-Section 10 it is quite clearly stated that "All members
and subordinate bodies of the Grand Lodge shall use every means within
the Order for the adjustment of any controversies or perplexities. The
members of the Order or any subordinate bodies thereof shall not seek
redress in the courts for any complaints or grievances untill such
member or such subordinate body has exhausted its rights in the
tribunals of the Order. The seeking of redress in the courts, without
first exhausting its rights in the established tribunals of the Order,
shall automatically cancel all rights of membership in the Order and
all rights granted by the charter to the subordinate body."
They were all members of the Order.
Are you telling me they did not know their own C&S etc of the Order?
More light on this please.
As I said before, I know your intentions are honorable and you would have
followed the Constitution and Statutes, and expected others to do the same.
I can't explain AMORC'S actions or excuse them in some areas. I know in
your own situation, you were not treated fairly; but I think you can be
fairly loud and intimidating in a public meeting. You may have scared the
regional officers, who no doubt reported back to the Grand Master.
You and I and the other heirarchy members had a right to know what happened,
and were only following our oaths when trying to discover the truth.
Unfortunately human nature got in the way; people from top to bottom thought
it was in their best interest to hide what happened from the light of day.
It created a terrible stench.