21st of December, 2005
I have been looking further into the start of FACT's damages bill and what numbers I have run so far indicates that this end bill will be very expensive for FACT. Up to now I have been wondering if their damages bill would be in the hundreds of thousands of pounds range or the millions of pounds range. I can now say that the latter is the correct answer.
The reason for this is that my business up until the day of this raid was subject to exceptional expansion. For example my gross income and resulting profit, between April 1998 and April 1999, expanded by 1338%. In other words my business had increased to slightly over 13 times it's original size during this time.
And in case you believe that this was a one off event, then from May 1999 to May 2000 my business income and resulting profit expanded by another 1468%.
Naturally from the end of May I had to suspend my old business in order to comply with law changes, build this new web site, and to implement VAT. Due to this three month break income fell somewhat, but my Global Domination Plan (on my Special Offers page) then you can see how successful this return was.
And then from October 2002 to October 2003, in other words up to the month before this raid, then my business income increased by 979%. I will have to soon work out my expansion rate more accurately than this quick method, but as you can see my business used to expand by about 10 times over just 12 months.
Even the months just before this raid showed large improvements. For example... August 2001 expanded by 28% over the previous month. September 2001 gained by a huge 56% over August 2001. And in the final month of October 2001 my business expanded by another 8%.
Since 8% was below what is normal then I will explain why this is, when at this point in time I had run out of GOLD2 cards and there was a longer delay with my wholesaler in getting in more. So I was out of stock for about two to three weeks before I finally received this batch of thousands of these cards just following this raid.
Not to mention that during these later months there was an ELVIS supply problem with this manufacturer, which mostly explains why even this 979% was a bit below what is normal. Anyway, since both these GOLD2 card and ELVIS supply problem had been resolved by early November, then so November, December and January would have shown large growth.
The reason for such rapid expansion was due to four aspects...
1. To maintain a high level of reputation with my customers.
2. To provide the lowest prices on the market.
3. To stock and sell the items that are in high demand with the customers.
4. And my usually secret number 4, and the real key to success, is to make the customers believe that they are getting a much better deal than what they really were. My insane Special Offers have applied here.
So there is my formula that explains why for three years my monthly income and profit had increased by over 10 times each 12 month period.
Another factor in all this is that just about all profit that my business did make was reinvested in my company to support these new items. This also meant that my business was not prepared to handle FACT's attack on it.
The first damage that they did cause was that I had to spend over slightly half of what backup funding I did have available to replace the items that had been seized. This was mostly contained in two areas beyond my usual business funding. The first of these was my available petty cash that I used to call "the brick". A large wad of money counted into £1000 groups, tried like this with elastic bands, and then tried all together with two elastic bands going in each direction.
The other funding was that not many weeks before this raid I decided to put some of my profit aside in order to eventually move house into a larger building more suited for my business. And it was fortunate that I had decided to do this, when this funding was later spent to speed up the recovery.
The second damage FACT did was that over half of all customers changed supplier just as soon as I had reported what happened, when despite my own profit thoughts then customers have a right to know if my business was subject to problems.
Even this 88.64% drop in gross income could have been recovered from over the next year or so.
However, the greatest damage that FACT did cause was to hold on to my accounts for 7 months. Had they returned them when they had promised then I could have quickly entered the delayed data, had my tax forms in on-time, and I would have had all the information that I needed in order to correctly control my company.
This alone would have made the damage caused during these 7 months a lot less, but the worst aspect was that now I had 7 month of sales and purchases to now enter. Or this was more correctly 8 months, when there was a following 2 months of chaos as I merged by business back together, minus the one month of data entered on my work to rebuild my accounts.
Naturally I had tried to get all the repair work completed by January 2003. And despite some extremely hard work and spending my remaining resources, then this was not physically possible. And thanks to invalid attacks by the HM C&E and the Inland Revenue, then that is why only now is this coming to an end.
Now if you recall my four points to explain my former record breaking success, then you can see that FACT's attack broke all four.
Number one was broke due to not having available time to ensure my customer happiness. Number two was broke when FACT removed my funding and locked the rest up in stock. And number three was broke when I now did not have available time to find out what items I should have stocked. And even number 4 was difficult due to lacking the financial information to make such plans.
Back before this raid it was true to say that I would have become a millionaire over the next 1 to 2 years. As even had my established exceptional growth continued, where I see no reason why not, then my company by 2004 would have been processing millions each month.
Even with a reduced expansion rate, below what my company has achieved, then the result is the same. This is in that FACT's damages bill, due to their false raid and holding on to my accounts, will be in the millions of pounds range. Hell, even if my business had not expanded at all, which would have been impossible, then this still makes for one very large sum.
Since for now I will assume that FACT will not desire to pay for what they did, then so will I expect that this damages claim will have to go to court. And I already know that they won't avoid having to pay up in the end.
In any case this early estimation will have to be carefully worked out into a pounds and pence end total. And to prove what my company would have achieved, had this false raid not happened, then so am I going to have to do substantial research into the larger market.
To give you another example of my pre-raid success then not too long before this raid I was approached by a person representing a group of financial investors who was wondering if I would like to manage a chain of high street stores. They had naturally seen how successful I was, when I was quite vocal about it (also one reason why FACT attacked me), where they had wanted me to manage their planned stores in order to turn their money into a much larger volume of money.
In the end I turned down that offer and explained to them that this hobby satellite reception market could not work this way, when the overheads from running such expensive stores would be too high, and the subject itself did not have mass consumer appeal in terms of the average person on the street. So even with my expert management, then it was an idea doomed to failure.
Not that being in charge of the operation of dozens of stores did not appeal to me, but I am more the person to conquer this planet and to rule alone you could say. There is no better motivation than when you benefit from it after all.
To give you an idea of why FACT did what they did, then following this law change in May of 2000, then organizations like FACT and STOP used this law to harass former (legal) piracy suppliers. Sometimes this action was valid, when more than a few people are ignorant of the law, but in all the other cases it is simply undue harassment in order to force them to cease.
In my case then I have been very into this law construction from start to end, where I have also spent quite some time in the past telling other people how they can do what they want within the limits that this law placed. Since I know this law very well, then so does my company follow it.
As I am sure that FACT was aware of this from before the raid, then what they were really after was to simply get their foot in the door. And the flawed investigation of the Maidstone Fraud Squad allowed this. Once they were in then so would they use any means possible to take out such a difficult target.
Their first action was to try and take me out by looking for illegal actions, when more than a few people will break the law knowingly or unknowingly, where bingo such an organization can now use this to take them out. In my case then they asked about Cable TV Piracy (I have never had cable TV), VAT Fraud (I am of course a VAT registered person), and this even stooped as a low as kiddie porn on my business computers no less!
What all this has to do with "ITV Digital Fraud" I don't know, but in any case they found nothing illegal in my life. You can thank my parents for that I guess, when I tend to be more legally friendly than even the Maidstone locals. :-]
And of course since their "ITV Digital Fraud" claim was nothing more than a fairy story to begin with, then that is why they only found public and private evidence highlighting the opposite. This therefore explains why they held on to my accounts for 7 months, when every other FACT victim I spoke to got a clone of their HDD back, but they held on to my accounts when this is all that they could do in order to try and take me out.
Very well that worked as well, when sometimes I have wondered why I put up with the resulting problems, but here I am still alive and well. Not to mention an anti-raid policy in order to stop this happening again.
Since I will soon be returning to my former business methods, no longer halted by this recovery, then I will have to very carefully plan how best to establish my market return. The key to this resumption is money, when money makes more money, where the Inland Revenue should soon pay me a tidy sum.
Then of course I will have to carefully see what is proving popular and to see how I can best make money from it. And like in my former working methods then this profit reinvested into my business fuels my rapid expansion.
So in many ways 2006 should be a year of rapid regrowth and should be the first year when my business is fully functional. And of course in the later half of 2006, or at worst in 2007, then I will have to spend some money in order to sue FACT. Well if these idiots are stupid enough to mess my company over, then they won't get out of paying for their stupid blunders.
And as I said before it could well be 2009 before I retake my rightful market place, but since this counter legal action should be big news, then maybe this time around such organizations will learn not to be stupid enough to try that again.
18th of December, 2005
Don't forget that the last postal day before Christmas this year will be Friday the 23rd of December. Although I would recommend that the earlier this week that you place your order then the more luck you would have to receive it before this holiday starts. In any case I should be working hard this holiday which means that there should also be a couple of dispatch days between Christmas and New Year.
I can only hope that I can have everything sorted out before January to be able to say that for the first time since November of 2001 that my business will be fully operational, but from what I can currently see then this may take a couple of weeks longer. In any case I will soon have it sorted out, where at least now I have the majority of the information that business needs to operate correctly.
As it happens just yesterday I started to do one task that I have never done before. As due to simple curiosity I started to work out how much FACT did damage my company. Since this is a stage two recovery event, then I will soon have to stop this task in order to complete stage one, but the results are certainly interesting.
For example I can now say that due to my customer's fear of my operational problems during these 7 months between November 2001 and May 2002 that they decided to take their business elsewhere. And last night I calculated my financial losses for just GOLD and GOLD2 card sales for just the months of November and December.
The real total that FACT will one day have to pay me for this "first damages claim" is £6,489.23. This is the profit that I would have made for these two months, for these two items, had they not attacked me with their false raid. Although this is not technically correct, when this is only based on the average of September and October sales and therefore does not include the additional sum from the on-going sales increase.
This first sum is only a minor figure in what will be their end damages bill. As without my accounts, that even my solicitor could not obtain from them, then my business could not operate correctly. Since customers took their business to other suppliers, then that made them stronger and my own company weaker.
I can also say that by about mid-January, following my business running along on it's pre-raid settings, that one or more other suppliers began to complete with my low prices. On the 1st of February I did adjust my prices to compensate, which caused a 73% sales increase, but unknown to me that then one or more suppliers did beat my price two weeks following. Had I this accounts information back at this point, then I could have adjusted my price a second time, when at this point it was the case that simply no supplier could keep up with my low prices.
So by February I had been taken out of the running, when FACT by their own free choice had maintained my business information needed by my company to correctly operate. Not to mention to sort out my taxes.
The end result of course is that by the time that I did get my now out-of-date accounts back, then FACT had destroyed 88.64% of my company, which in real terms means my business had regressed by over two years. Since my business had always gone from strength to strength, by supplying what the market needed, then it is without question that 2002 onwards should have been even better years than 2001. After all; 2001 was better than 2000, 2000 was better than 1999, and 1999 was better than 1998, when only this invalid raid had "whacked" my business and set me up for pain and suffering since.
You should begin to understand that this £6,489.23 sum is only a very minor figure in what will be FACT's damages bill, when the real major damage happened in the early months of 2002. That is what they did and that is what they will have to one day pay for, when they will certainly have no defense from my evidence.
Another factor in this is that this initial £6,489.23 financial loss, had I not lost it, would have been reinvested in my business to support new items. So this alone would have harmed my business growth and reduced my longer term income, when it was this financial recycling explained my large expansion up to this raid point.
Naturally, the future of this raid was that my funding became locked up in stock that was now only selling at 11.36% the pre-raid rate, where due to the much longer time to sell this stock, then this stock lost a lot of value or even became obsolete.
Well back in 2001 and 2002 FACT was made very clear that they had taken all copies of my accounts, where my solicitor was assigned the one main task of having them provide me with a copy. And it was certainly no mistake that my solicitor could not achieve this one simple thing, when FACT held on to my accounts just to harm my company.
Anyway, most of next year will be spent and on the one key aspect of how my business would have operated had not this invalid raid happened. Then I can compare it to the real figure to work out how much money FACT now owes me. From my current quick estimate then a six figure damages sum is likely. I have been wondering if this could go up to a seven figure sum, but I will only know that once all the totals are added up.
I have been thinking that there could be a faster method to calculate this damages bill. When instead of working out how many of each item should have been sold, then I could instead work out the profit percentage from the gross income. It is true to say that there is less profit on items over time, but supporting new items will always counteract this loss.
So once I know what my global pre-raid profit percentage was, by going through every item for a few months to produce an average, then so can I apply this profit percentage to future estimated monthly totals. This method could well be better, when being faster to do means that my counter legal action against FACT could begin in late 2006, instead of the expected 2007.
I guess that I should go get some legal advice on how best to work out damages. In any case FACT will owe me a shit load of money. And with my large volume of evidence against their fantasy "ITV Digital Fraud" claim, then I see no way how they can avoid paying up.
Although this does remind me of one thing. What I mean is that FACT employs people like ex-police officers in order to worm their way into the system and to use and abuse the law as they please. At this point I can now well understand why they did hold on to my accounts, and other business information, when this was a direct attempt to put me out of business. And indeed I am sure that such action can indeed totally destroy a company, when it did come close at one point for my one.
What I mean here is that to avoid further dirty legal tricks from FACT, then I am going to have to make sure that my legal team is up to the job of handling a powerful entity like the Federation Against Copyright Theft. And as is my way of doing things then I am going to have to read up on a few law documents myself.
In any case it will be time to pay hard-ball with FACT. No mercy and no compromise.
Apart from playing with some numbers then I have also started to assemble some counter legal evidence that will clearly highlight in court that I have never supported ITV Digital piracy. It is true to say that I did not shoot such people on sight, believing more in the education method, but I certainly never sold such cards (even during my former business) and I certainly did not provide any piracy support.
I could of course put such evidence on-line here, that would once and for all clarify my views, but as I said before FACT is going to be surprised with this evidence in one large blow to minimise their defence. Still, to give you one example, that I have mentioned before, then when ITV Digital keys were first posted to the Usenet, then I alone told this person why such keys should not be posted.
And I did that mostly because I was aware that such public use would cause a disruption to my service. As indeed I did have to spend quite some time later on putting such confused people on the path to salvation. So had I desired to defraud ITV Digital, then why did I try to stop such access codes being posted?
Well my counter evidence is now starting to be assembled, where this will instantly dismiss the ITV Digital fraud idea. Since FACT has also seen a lot of this evidence already, then that explains why I have already won the first battle with them, and why they would be crazy to add additional legal costs from a court case to this. Their choice of cause.
Anyway, since I have now waffled on for far too long concerning my troubles, then I will now go upload this latest news and to go do some real work.
Don't forget that Xmas is now just a week away, where if you feel in the need to buy something, then I am very sure that it would be quickly dispatched as all recent orders have been. And so soon will end the first year, since FACT did their evil thing, where I have not had to live on negative income. In other words this marks 2005 as the turning point in my business recovery, where 2006 should certainly be an interesting year. I think that I will be able to sue FACT in 2006, but if not 2006 then it won't be later than 2007.
I expect that I will do one more news update before this year ends. Normally I would close my business for the holiday, but that won't happen this year, which means that it should just be a happy Xmas message.