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I ran into Nicholas inside the WSE's main building, standing alongside the panicking general public all do to his bank I then proceeded to see about 15 to 20 avators standing around him, obviously upset about their missing money, yelling questions and comments at him. Nicholas then agreed to answer some of my questions I had for him. (All quotes are edited for spelling and others comments are removed.)

I first asked Nicholas if he feels any passion at all for the people who have lost their money in his bank. Nicholas stated that :
[17:24] Nicholas Portocarrero: People have not lost most of their funds
[17:24] Nicholas Portocarrero: They will only lose most of their funds when a) they panic and sell
[17:24] Nicholas Portocarrero: or b) my investments actually fail.
[17:24] Nicholas Portocarrero: The first is under their control
[17:24] Nicholas Portocarrero: the second has not yet happened
This was the first comment that seemed to worry me. Even if he was telling the truth, it seemed like he was expecting it to eventually happen as he said NOT YET.

Then I was curious of what Ginko’s old interest was since it’s new dividend/interest quarterly payment was only 3% quarterly. This is 12% per year. After asking this, I got comments from over 7 avators, from numbers between 80%-100% compounded yearly. Nicholas then stated:
[17:24] Nicholas Portocarrero: it went from around 4% to around 100%
Does anyone remember when Ginko was paying an amount that wouldn’t equal 4% per year?

When another avator asked why Nicholas wouldn’t release his investments:
[17:24] xxxxx xxxxxx: why won't you fully disclose who you are?
And Nicholas responded with a childish
[17:24] Nicholas Portocarrero: Why should I?

After this an avator named ThaBiGGDoGG Richez came by and started making comments towards Nicholas. After a few minutes passed, Nicholas started to comment about ThaBiGGDoGG Richez:
[17:25] Nicholas Portocarrero: He made deposits a minute before interest payment
[17:25] Nicholas Portocarrero: and withdrew a minute after
[17:25] ThaBiGGDoGG Richez: thats your own fault for having a system like that
[17:25] ThaBiGGDoGG Richez: dont think i was the only one who ever did that
[17:25] Nicholas Portocarrero: You were the most persistant
[17:26] Nicholas Portocarrero: I know Big Dog, which is why I didn't simply lock your account up
After this was said, many started to ask why he didn’t close this “glitch” that big Dog used to take money.
[17:26] Nicholas Portocarrero: You didn't break any rules.
I was them approached by multiple avators who believed this was a possible loophole how Nicholas “legally” allowed his employees, alts and himself to take money from the bank without breaking any rules.

Later on in our conversation, I asked “Nicholas, Do you feel you are legally responsible for all the money that has been paid into your bank?” Nicholas replied:
[17:26] Nicholas Portocarrero: define legally responsible

The conversation then went towards talking about the actual bond on the exchange:
[17:27] Nicholas Portocarrero: I intend to buy them all back at up to L$1 per bond
[17:28] Nicholas Portocarrero: I just can't promise when
[17:28] You: UP TO... does that mean you feel you should be paying back people less then the amount they paid you?
[17:28] Nicholas Portocarrero: Yes, I am.
[17:28] Nicholas Portocarrero: If they wish to accept less in order to get paid first, I see no problem.
[17:29] Nicholas Portocarrero: It is not illegal, not immoral and not unethical.
[17:30] You: You don’t consider it immoral to lock others money up and when they want out, they need to take less then fair value?
[17:30] Nicholas Portocarrero: No Bob, I don't. Not given the circumstances.

Many investors asked me to ask him at what date would they be able to get their true value of their shares, Nicholas responded:
[17:32] Nicholas Portocarrero: The date would be a lie
[17:32] Nicholas Portocarrero: Because no date exists
[17:32] Nicholas Portocarrero: I can give you a random date
[17:32] Nicholas Portocarrero: but that is all it would be.

When asked at what price Nicholas is currently buying up shares at the regular market price (.15L/share) , he told us:
[17:32] Nicholas Portocarrero: No, I have a buy order at L$0.10
[17:33] Nicholas Portocarrero: I intend to buy as many bonds for as little cash as possible
[17:33] Nicholas Portocarrero: so stop asking that

As other avators started to argue, the conversation went back to how Big Dog would add money at right before interest was paid and right after he removed his money. Nicholas said:
[17:34] Nicholas Portocarrero: you exploited a loophole BigDog. You didn't brake any rules, but you clearly took money that you had no actual right to.
[17:34] ThaBiGGDoGG Richez: thats not FRAUD if he designed it not like that
[17:35] Nicholas Portocarrero: right bigdog. and what else was involved in the design of ginko financial
[17:36] Nicholas Portocarrero: NOT a guarantee that people could not lose
[17:36] Nicholas Portocarrero: so if anybody is going to complain about the current situation

I then asked Nicholas if he truly thought it was fair that someone that paid him 10000L was being offered 1000L currently by him.
[17:36] Nicholas Portocarrero: YES I DO BOB.
[17:36] Nicholas Portocarrero: If they want to take less
[17:36] Nicholas Portocarrero: There is no thing wrong with it.
[17:37] Nicholas Portocarrero: in order to get paid first
Later on he said:
[17:42] Nicholas Portocarrero: I am buying at the cheapest possible to benefit everyone

When asked why Nicholas never fixed the Big Dog glitch:
[17:38] Nicholas Portocarrero: because the loss was small and a fix would disturb countless others.
[17:38] Nicholas Portocarrero: it wasn't worth fixing
Nicholas and Big Dog then got in an argument about how many people had been using the “glitch when Nicholas said:
[17:41] Nicholas Portocarrero: that is why I know you BY NAME
[17:42] Nicholas Portocarrero: if there were thousands
[17:42] Nicholas Portocarrero: how the fuck would I recall your name?

Nicholas then made a comment that seemed to scare me more then any other. Nicholas basically states that even if he stole the money, it wasn’t fraud.
[17:45] Nicholas Portocarrero: In fact, even if I HAD taken the money to buy a sports car, which I did NOT do, there was no fraud.

As many people know, Nicholas does own about 34% of HCL, the company that owns and runs the WSE. Many have wondered how Luke, the creator of the World Stock Exchange, would allow this to happen. I was curious if their was any special treatment going on for Nicholas. Nicholas refused to answer the question stating:
[17:46] Nicholas Portocarrero: Ask Luke.

After I left the scene, I was Imed by Nicholas and told:
[17:55] Nicholas Portocarrero: You being completely ignorant of economics and ethics.
[17:55] Nicholas Portocarrero: Yes, I am being at the cheapest price piossible, that is a fact.
[17:55] Nicholas Portocarrero: Your interpretation on the other hand, is not.

My final question for Nicholas was what type of car all these investor’s funds bought him J… He responded:
[18:03] Nicholas Portocarrero: I don't have a car.
And a list of comments stating I was unfair in my review of the incident.

Now it is all up to you to decide, scam or just a setback?