This website and public campaign is part of my relentless pursuit for the prosecution and conviction of Forest Capital’s owners, John Fox, Marty Helfand, Donald Kennedy and their complicit co-conspirators. Help us stop Forest Capital and their owners from defrauding others!

A complete historical timeline of PPG’s daily events was created to show the relationship between PPG and Forest Capital. A statement of each event along with the corroborating evidence is attached for each day’s event. The agreements, documents, letters, reports, emails, call transcripts and spreadsheets have all been provided to show irrefutable proof of Forest Capital’s fraud.

Using Forest Capital’s own accounting records, a breakout of each wire is provided to forensically show the “Advances” to PPG on a transaction by transaction basis applied against payments Forest Capital had directly received. We are using their own accounting reports against third-party bank statements and utilities payment reports as verification of the payments Forest Capital has directly received. As you will see in one year alone, Forest Capital understated over $8.8 million dollars of payments they received. The numbers could not lie!

People’s Power & Gas (“PPG”) was deliberately destroyed by Forest Capital’s owners who “disguised financing” to then embezzle $15,926,439.75 million dollars. Forest Capital’s owners and co-conspirators systematically took control of the company’s cash flow, customer payments and accounting records to control the company and cover up their deceit, fraud and embezzlement. Forest Capital became the first recipient of PPG customer payments regardless if they provided PPG an advance or not. Utility payments went directly into Forest Capital’s bank account that only they could view and control. Forest Capital understated $8,800,390.46 million dollars of payments they directly received in 2013 from PPG customers.

The motive is clear and the numbers can’t lie. Forest Capital is in the arbitrage of interest business. Evidence clearly shows that Forest Capital must have planned to defraud either their lenders, clients, or both as money they borrowed seems to have cost them more in interest and fees than the amount they were charging PPG!


This website postings are regarding a company I founded; People’s Power & Gas LLC (“PPG”), and its business relationship with Forest Capital, LLC (“Forest”). This company was initially funded by myself with roughly $4.5 million dollars from proceeds of a previous energy supplier I started, built and sold. I have notified and provided written statements to the FBI, DOJ, NMPD, AG’s office who seemingly are going to let Forest Capital’s owners get away with this. The previous attorneys and accountants involved have either been in disbelief or complicit in Forest Capital’s multiple frauds and their actions have only served to obstructed justice and vex numerous courts of jurisdiction.

The following contains the facts, evidence and events which explain how Forest Capital LLC embezzled $15,926,439.75 from People’s Power & Gas LLC. This conclusion is based upon verifiable information with corroborating evidence and shows the communication and documents for each financial transaction throughout the relationship between PPG and Forest. Every wire sent between, or on behalf of either entity is included with Forest’s accounting errors identified and explained. There is absolutely no ground or evidence to consider Forest a creditor of PPG. There is only cause for the arrest and prosecution of Forest owners and co-conspirators who have obstructed justice as criminals who have all engaged in multiple Federal offenses.


People’s Power & Gas, LLC is a Delaware company formed on December 23, 2010 to be an electricity and natural gas supplier. PPG is a financial and physical energy procurement company that purchases, trades, and hedges the commodities on our customer’s behalf and for profit. The company has a financial incentive to be a low-cost provider compared to the regulated utilities for saving residential, commercial and municipal customers money each month. PPG also could offer service to the regulated utilities by bidding to purchase power on their behalf. In other words, PPG’s was to be the load serving entity in select states for the utilities and an alternative supplier to provide customers choice in another. PPG was serving customers in several states including Maine, New Hampshire, Massachusetts, Rhode Island, Connecticut, New York and Delaware. PPG also had approvals or pending approvals in Ohio, Pennsylvania, Washington DC, Montana, Florida, Maryland, Georgia and California. The goal was to always provide the best service and the most savings for our customers while ensuring the company also has a clear and sustainable path for continued profitability.

To be an energy supplier like PPG, the company had to have agreements with Independent System Operators (“ISO”), who act as the energy grids platform. Generators put power on through the ISO’s and suppliers like PPG take it off. PPG applied to the New England ISO, New York ISO, PJM ISO, Midwest ISO and California ISO. Pipeline agreements are required and storage setup for natural gas, and additionally we needed to forecast, schedule, and trade daily the deviated or unbalanced loads with other natural gas suppliers. There are varying licenses, agreements, approvals, strict risk policies and procedures, and regulatory and compliance filings that are all required, with some approvals contingent upon others for a supplier to operate. PPG was also one of the roughly 440 companies worldwide to be approved as a market maker on the Intercontinental Exchange (“ICE”) which we had not yet used but were learning about. Furthermore, PPG had approvals with each state’s Public Utility Commission, the regulated Utilities, the Federal Energy Regulatory Committee (“FERC”), New England Power Pool (“NEPOOL”), dozens of other counterparty agreements or ISDA’s to trade with and an Electronic Data Interchange (“EDI”) system between PPG and the regulated Utilities. PPG worked with several Utilities like the New Hampshire Co-op, Central Maine Power, Bangor Hydro, Delmarva, United Illuminating, Yankee Gas and PSNH, UNITIL, Con Edison just to name a few, who further herein are referred to as the (“Utilities”).

ISOs have requirements for Financial Assurance which are also called FA or Collateral. Each ISO requires this financial guarantee to allow an electricity supplier to purchase power. Public companies can pledge or post stock as collateral. PPG is privately held which seemingly put us at a competitive disadvantage who invariably must post cash as the form of Collateral. That was the primary reason I choose Forest over other options at that time.

The Utilities track our customer usage and send the data to the corresponding ISO for the aggregate of our customer’s hourly usage. The ISO tell suppliers apart based upon load asset zonal ID’s and then will charge the Real-Time rates on the aggregate of our customer’s usage, unless the supplier scheduled hourly Day Ahead rates or had a bilateral transaction for a specific price and zone for a pre-purchased quantity of megawatts per hour. Depending on the ISO, the wholesale cost of power to pay may be weekly or bi-weekly on an aggregate basis of our customer consumption. Posted Collateral is calculated against the weighted average of the aggregate of your customer’s base load. The ISO’s have a Customer Asset Management System (“CAMS”), which is the software systems provided to each supplier within the ISO. In CAMS, PPG can forecast, schedule Day Ahead hourly loads and see the aggregate of our customer base usage and energy cost which again correlates with posted Financial Assurance cash accounts held in BlackRock and TD Wealth accounts.

In the normal course of business, the Utilities will invoice, collect and pass along PPG’s portion of a customer’s electricity bill. The Utilities are the transmission and distribution charges and PPG is the generation portion of the electricity bill. However, each State and/or Utility has a different schema for operating. That is reflected in the guiding agreements between each Utility, Commissions and PPG.

There is an Electronic Data Interchange (“EDI”) with each Utility. It is a synchronized system between PPG and the Utilities. This EDI software system is provided by EC Info Systems (“ECI”) which acts as a third-party verifier between everyone. ECI’s system tracks customer usage and payments by each Utility per metered customer. After synchronization, it is an automated service that allowed PPG and Forest to have search functions to see new billed invoices, the payment dates and amount that each Utility sent directly to Forest Capital’s bank account.

PPG customers were invoiced by the Utilities and remit payment to each Utility. The difference for the customer is they pay PPG’s retail rate per kWh as determined by PPG, and our company name appears on their electricity invoice as the generation supplier. Except for the Long Island Power Authority (“LIPA”) in New York, this process is reversed. PPG provided the consolidated invoice and then PPG passed the LIPA portion onto LIPA as the customer’s authorized agent.

In certain states, the Utilities paid Forest Capital every month for the previous month’s billed customers, whether the customer had paid their electricity bill or not. Those are called, “purchase of receivables” (“POR”) states such as United Illuminating in Connecticut or Con Edison in New York. In other states, the Utilities would remit payment to Forest when they get paid. They are simply referred to as “paid when paid” states such as Delmarva in Delaware or Central Maine Power in Maine.


Forest Capital provided a Master Factoring Agreement (“MFA”) with People’s Power & Gas LLC (“PPG”) and a Validity Guarantee (“Guarantee”), along with other addendums to the MFA originally dated on the 21st of May 2012. Forest is a finance company who provided an advance on receivables (“Accounts” or “Advance”) for specific Utilities under the terms of the MFA. This practice is typically called factoring when dealing with ordinary goods or forfeiting when dealing with capital, commodity, or bulk merchandise. While Forest Capital deems themselves a factor, for reference, the process most closely resembles forfaiting with extended finance terms with energy for the commodity of goods sold. Regardless of the specific choice of term for the role as forfeiter or factor, this fiduciary role undertaken by Forest Capital was to enable PPG to obtain Advances to further fund its growth.

When factoring receivables, traditional factors like Forest Capital would charge their interest and fees on the amount of a total invoice. Forest interest and fees was to be calculated on deployed funds, not the gross invoice totals like traditional factoring arrangements. With a new gross invoice for $100 and the Advance amount of 85% is $85 on that invoice. Traditional factors would calculate their interest and fees on the $100 but in this MFA, Forest may only calculate their interest and fees against the $85. This also shows the difference in arrangement between traditional factoring of receivables and why the Advance % matters because those finance companies interest is calculated on the gross invoice regardless if they advance 50%, 70%, or 90%. In PPG and Forest agreement, Forest could only charge interest on the deployed funds, if Advanced, not on the gross receivable. Forest agreed to advance 90% of billed invoices and match 50% of any posted cash collateral at the ISO’s. Per the MFA, Forest was supposed to have deployable funds available upon request up to $10,000,000 for PPG as an Advance.

Forest Capital would receive Utility payments regardless of whether they had previously provided an Advance to PPG on invoices, or not. A pledged Citibank lockbox account (“Lockbox”) was set up to allow only Forest to withdraw from the account. Those Lockbox deposited funds had to pass through Forest and was setup in anticipation of future financing for the LIPA market. Forest had the sole authorization to make withdraws of customer payments which they swept out from the account almost daily. It was mostly for PPG’s non-auto pay LIPA customers who sent payments directly into the Lockbox. Other auto-pay and/or double-billed customer payments went to a different PPG Citibank account. Double-billed customers are generally the larger commercial users who directly paid PPG for generation and LIPA for delivery separately.

The Unfactored portions that Forest receives are from customer payments that are LIPA’s portion, taxes and from any invoice that Forest had not provided PPG an Advance on. According to the MFA and June 1st, 2013 LIPA rider between Forest and PPG, Forest was supposed to pass through all Unfactored funds they received within 5 days to PPG as part of the transactional waterfall. Forest repeatedly breached this part of the agreement by not passing through funds timely, or at all.

The Rebate portion is the difference after Forest deducted the previously advanced principal and fees from the payments received. According to the terms within the MFA, section 3.1.1, “Remittances will be paid to you (PPG) weekly.” As further defined by Forest to PPG within the accounting software they used called Factor Fox, Rebates are defined as “the amount due from the Factor (Forest) to a Client (PPG) after a factored invoice has been paid by the customer (Utility). It is calculated as Amount Received minus Advance plus Fees.” A significant portion of the Rebate has not been provided and what was provided is reflected as part of an Advance for PPG which Forest calculates as owed by PPG to be paid back to Forest. The Rebate portion of a wire sent from Forest, is not a debt owed back to Forest Capital as their inaccurate accounting reflects.

Mike Kates, CPA was PPG’s CFO & Controller who made our QuickBooks journal entries to show Advances PPG supposedly owed and would apply payments against principal only when told to by Forest Capital. Mike’s statement was what Marty Helfand of Forest Capital wanted it this way so that our accounting records would coincide with theirs. They further would both inaccurately reflect the gross amount of any wire as a debt owed back to Forest Capital, although the wire was a combination of Rebate, Unfactored pass through, Taxes and then Advances.

PPG hired Citrin Cooperman (“Citrin”), an accounting firm, on September 16th, 2013 to do a financial review of our books and records. Citrin was hired at that time because I suspected something was wrong and no one seemed to know or understand how Forest was accounting for its entries. PPG needed an outside accounting firm’s professional perspective to figure it out and detect errors, starting from the beginning of 2012. Forest Capital’s fraud should have been uncovered then.

On March 4th, 2014, Forest Capital’s audit firm Stout, Causey & Horning (“SCH”) requested a PPG employee to sign to acknowledge that as of December 31st, 2013, PPG owed Forest Capital a total of $3,507,209. PPG was then able to show that the Utilities had paid Forest more than what they claim is owed and that Forest owes PPG according to their own auditors from SCH (exhibit #2 below). With a quick response, seemingly without even a review, RMF replied to PPG’s attorney calling the discrepancy difference from the Over Advance and Collateral Advances and that PPG still owes the same amount. Although it is proven from third party statements that Forest received $5,914,756.86 between January 1st, 2014 and April 15th, 2014, Forest and RMF disregard the irrefutable proof and insist the amount what PPG owes is unchanged despite failing to produce any evidence to support these claims. RMF then provides fictitious Forest accounting statement that clearly reversed several large principal payments (exhibit #3 below).

Unfortunately, Citrin Cooperman was again retained after SCH’s report in 2014 to now perform a forensic accounting report on PPG. However, since Citrin did not uncover Forest’s fraud in 2013, which would have saved PPG, their new engagement in 2014 only permitted Citrin to seemingly protect themselves from malpractice due to their incompetence and gross negligence in 2013. Citrin seemed to drag their feet, put one guy on our case who worked off and on for almost a year. With pressure to deliver, Citrin then provided a “draft report” that they repeatedly said would be the same as their final. Although this report was still favorable for PPG and shows Forest Capital owed PPG roughly $2M, it was not forensic accounting on a transaction by transaction basis and simply calculated money in agasint money out while they further provided Forest additional credit as a worst case scenario. Even payments from utilities Forest received, never provided PPG any advance on, but passed through to PPG their own money, Citrin would reflect that as a debt owed back to Forest Capital!

Citrin had been paid $77,200 at the time of them providing the “draft report.” Alan Schachtner of Citrin added roughly another $60K to the bill around that last month and even included an amount due now for his possible testimony later while refusing to provide the “final report” otherwise. Seemed and felt like extortion as Citrin knew I did not have another $60K. Citrin also knew how important it was to me and the impact it would have in PPG’s involuntary bankruptcy case agasint Forest. Although I did not agree with their methodology, it at least was favorable being a second accounting firm to prove that Forest owed PPG. It further would have forced PPG’s trustee to investigate my dispute of Forest Capital’s false proof of claim. Instead of Citrin fulfilling their obligation, making a difference and helping their client, it felt like extortion with their overbilling and refusal to provide the final report without the word “draft” across it.


On December 2nd, 2013, an agreement to allow PPG an “Over Advance” if requested and at Forests sole discretion for growing the company by purchasing new customers through an acquisition. PPG had recently purchased customers from competitors in Maine and New Hampshire and was in discussions to purchase another group of customers in Massachusetts. However, after the agreement was signed on December 2nd, Forest seemed to call all Advances thereafter an Over Advance. The Over Advance amount Forest seeks repayment for is completely fraudulent. Forest preemptively liquidated the company by creating a fake Advance for money that PPG did not request or receive. Then Forest created another fake Advance to pay themselves off for that previous fake Advance from the few days prior. Continuing, another few days later, Forest then created another fake Advance to pay themselves for that previous one, so on and so on, and called them all “Over Advances.” These fake transactions further compound the supposed debt, and was a transactional Ponzi Scheme for the embezzlement of PPG’s funds. As you can see on Forest’s own Factor Fox accounting reports, just on December 23rd, 2013, Forest paid themselves on this day $1,687,703.73 from new PPG invoices. Forest provided just enough actual Advances to satisfy the ISO’s and PPG until they deliberately defaulted PPG on the 23rd and then let PPG become terminated with the NEISO on December 24th, 2013.

To show the brazen extent of which they will go, Forest Capital continues to say they provided PPG an Over Advance and that amount still owed is $1,729,668.45. They go further by showing the fake Over Advance repayments totaling of $1,347,659.77 which they have reflected as an adder to principle debt PPG supposedly owes, not a deduction for payment against principle. Please see to verify in the tab “RMF & FC Statements” in the new PPG DOP Accounting report. According to ECI reports, PPG had new available receivables to Advance against totaling $3,326,566.22 in new Billed invoices although Forest would further receive an additional $159,538.10 in taxes and other charges for a total of $3,486,104.33 for the month of December 2013. Also, according to the new PPG DOP Accounting report, Forest received payments in December 2013 that are 3rd party verified totaling $2,178,688.91 from Utilities sent directly to Forest’s bank account. This fictitious accounting and Over Advance was created by Forest to embezzle funds, defraud and create financial duress for PPG and myself.

On December 23rd Forest withheld funds to not send in time to the NEISO which caused PPG’s termination as a market participant on December 24th, Christmas Eve morning. On December 23rd at last minute before funding, Forest demands that Eileen Routhier of PPG to acknowledge the inaccurate allocation of ISO’s collateral before they would send the ISO payments that day. Eileen used my stamped signature and sent the form to Forest. Unbeknownst to me on the morning of the 24th, PPG was already in default because Forest did not send the NEISO payment the day prior, on December 23rd. Forest was aware of this requirement to send the payment to cure the default by 10am. Forest did not send the required NEISO wire unless I signed another document that they provided to be put on PPG’s letterhead. The document was for their security interest in Collateral accounts. Having no other option to the unreasonable demand, we sign and send it to Forest. That then was not enough; John Fox wanted proof that PPG had sent this letter off to the ISO’s. The result of the delay was further delay as a contrived tactic to ensure PPG’s termination at the NEISO. Forest had again forced PPG to sign documents under duress that they needed for their later use in court filings. John Fox stated later that day in an email regarding the overdue payment that caused the termination “sorry, it was not deliberate.”

On January 3rd, 2014, John Fox promised to PPG employees and myself, that we can be rest assured that Forest will help “resolve the situation” and they will continue to fund for our power costs, and has our best interest in mind. That’s until that day comes when the weekly payment is due at the NYISO. Forest created a letter of authorization so they would be able to communicate directly with any counterparty on PPG’s behalf, including the ISO’s, Banks, Utilities and State Commissions, etc. I disagreed to sign the letter and email correspondence shows that John Fox was upset with my decision to not sign that letter on January 7th, 2014, and refused to even send funds needed to stay in business within the New York ISO or PJM ISO. Call transcripts and multiple emails were sent in a final plea asking Forest to live up to the agreement and send the required NYISO payment on January 13th, 2013, but they would not. Before this, I went to NYC to meet with John in person, just the two of us. He made it clear to me that he wanted PPG to withdraw or we should just default in the NYISO. Forest seemed to want PPG to default in the NYISO and for it to appear to be PPG’s fault.

After losing roughly 34,000 customers two weeks prior in New England from the Christmas Eve default, PPG managed to get back in good standing so we could operate again. You can see emails from several Utilities in New England that said PPG is now ready to re-enroll customers in January 2014. Then, an unexpected and unwarranted letter on January 15th, 2014 was sent to BlackRock, who held PPG’s collateral at the NEISO, from Jeff Wurst of Ruskin Moscou Faltischeck P.C. This tortuous letter, with inaccurate statements of the facts caused the NEISO to default and again terminate PPG. Transcripts show that on January 27th, 2014, John Fox was put on a three way call with between PPG and the NEISO in the effort to ask John to release the temporary restraining order that Forest falsely filed against PPG and BlackRock, otherwise PPG would again be terminated from the NEISO. The NEISO explained that by impeding their ability to allow access to BlackRock, would put PPG in breach of the ISO’s agreement. John asked if the termination can hold off while he talks to his attorney. The NEISO representatives said the reason for this courtesy call was that time was almost out and they needed something in writing within 4 minutes. John agreed over the phone but he would not send an email confirmation in time, which would have saved PPG from the last termination. PPG loses all the new load asset ID’s it just received and again is terminated.

Attorney Jeff Wurst at Ruskin Moscou Faltischeck P.C. has been crucial in perpetuating Forest Capital’s fraud. I am alleging that Jeff Wurst of RMF is more than just Forest’s attorney; he is a complicit co-conspirator, obstructionist, and a vexatious litigator. RMF preemptively helped Forest and planned to benefit from the litigation through either Forest’s takeover of PPG or in bringing down of it. RMF created documents for anticipatory events to be signed while under duress to use thereafter in legal proceedings. RMF frivolously filed for emergency restraining orders. RMF wrote emails and letters making false allegations with baseless claims to bully and intimidate. RMF filed another frivolous lawsuit against Utilities that PPG worked with, included Northeast Utilities, Yankee Gas and PSNH, although Forest had never provided an Advanced on any Yankee Gas accounts. RMF sent a letter to the Maine Public Utility Commission while PPG was trying to get approval for all Maine PPG customers switched back. RMF sent this letter after the Stipulation and falsely stated that PPG has granted them a security interest in all assets, which includes the return of any deposits. This is clearly inaccurate, intentional and tortious intervention to successfully deter the MPUC from working with PPG. RMF’s goal was to make sure that there was no way PPG could continue operating as the correct accounting would eventually be discovered and to do everything possible to stop any legal defense.

The included evidence clearly highlights Forest Capital and/or their Attorneys actions which include embezzlement, tortious intervention, breach of fiduciary duties, extortion, obstruction to justice, collusion, theft, unjust enrichment, conversion, a Ponzi scheme, perjury and bankruptcy fraud. Forest and RMF colluded by collaborating in the preemptive creation of documents for the later use within fabricated events to put PPG under duress. With Forest being the first recipient of funds, it gave them exclusive control to not Advance or even pass through PPG’s own funds placed them in a position whereby they could demand the signing of documents as extortion. Some of the demands you will see are not the normal course of Forest’s business, which puts into question if they intended the takeover of PPG as an option. The anticipatory documents and events show a breach of fiduciary duties stemming from ambiguous control agreements so that Forest can limit or subjectively advance and then outright refuse Advance or to even pass through and provide PPG’s their own money. While Forest states they have my best interest in mind, on multiple occasions they tortuously intervened between PPG and its employees, customers, ISO, Utilities, State Utility Commissions and other counterparties. The evidence suggests that John Fox, Suzanne Fox, Marty Helfand, Debbie Baseman and Don Kennedy of Forest Capital are knowing participants who either individually, or together committed fraud and the embezzlement of funds, breached their fiduciary duties, committed perjury, manipulated documents and lied in bankruptcy. According to a private investigator, Forest undisclosed and still uses the M&T Bank account #1696 that was for PPG customer payments. Due to their fraud and deliberate plan to put PPG out of business, Forest owes the money they embezzled from PPG and for the company’s value.

Summary of Forest Capital’s Fraud –

The bank statements, utility payment reports and numbers do not lie. Forest Capital’s embezzlement of PPG’s funds has been proven and is irrefutable. As part of the evidence, we show the original Forest emails with the attachments, which are statement from their own accounting software, Factor Fox that further shows the breakout of funds from each wire sent. Then those Advances are calculated only against third party statements so that anyone may verify payments directly received by Forest Capital’s bank accounts. Forest extorted PPG with repeated demands while under clear duress before they would fund or even provide PPG their own money that Forest was withholding.

There is only the facts that show Forest owes PPG. Use SCH’s 12/31/2013 audit report against payments received after the report, Forest owes $2,481,452.28 to PPG. Use Citrin Cooperman’s accounting draft report, they show $2,136,977.00 is owed to PPG. Even use Forests own numbers that RMF provided, Mike Kates CPA on 5/30/2014 shows that Forest owes $1,675,149.80 to PPG and that is without knowing about the payment amounts RMF omitted and/or added instead of subtracted, as previously explained. Now run Forest Capitals own numbers from their Factor Fox accounting software reports. When you run actual Advances as Forest shows, against verifiable third-party payments that Forest has received directly into their bank accounts, Forest Capital LLC owes $15,926,439.75 to People’s Power & Gas LLC.

In 2013 Forest’s theft became particularly egregious. Forest Capital understated PPG’s collections every month in 2013. The shortfall total is $8,800,390.46. The almost $9 million-dollar difference is from the payments Forest shows they received in their own accounting records and what the Utilities and bank statements show Forest has actually received as payments.

Even before contracting the right to factor LIPA receivables, Forest kept a significant portion of Unfactored PPG and LIPA pass through. What Forest had passed through to PPG was listed as debt owed back to Forest. This is fraudulent, proven and is very clear according to their own accounting records. Payments were made on a customer’s behalf to LIPA after it was received by the customer which was also made regardless if PPG had received it from Forest. The LIPA pass through was to be paid upon payment received as part of our standard operating procedures so that each transaction was handled only once for efficiency and to mitigate errors. Without Forest passing through the Unfactored funds, they initially created our negative cash flow. Accounting shows and is proven from bank statements that PPG has passed through about $4,297,713.00 of LIPA portion to LIPA on a paid customer’s behalf.

While only recently revealing the full extent of Forest’s theft, PPG had several funding issues caused by Forest as first seen in an email I wrote on May 6th, 2013. I express my concern about not being able to budget and plan my own financials in advance if PPG does not know that Forest is going to fund. Forest funding issues show them not funding as PPG expected along with Forest admitting to withholding funds throughout 2013. On 4/29 John Fox email admits to withholding a total of $1,450,000 of PPG’s funds between LIPA and ECI Utilities. On 5/17 Forest shorts wire to PPG for $56,037.96. Forest emails show funds withheld 5/24 to 5/30. On 5/30, an internal email shows that Mike Kates believes Forest accounting is inaccurate. On 6/6/2013 I again question Forest about not Advancing to PPG and threaten to find another lender. On 6/28, there are more concerns of Forest not funding. On 7/25 Forest was supposed to match PPG’s Collateral. On 8/19 Forest says they have never funded for PSNH or Bangor Hydro customers although they had been receiving all the payments and apparently not passing through to PPG. And on 12/23 and 12/24 we had the planned default and extortion as they force PPG to sign more forms both days. Just to name a few as there are a dozen more examples of shortfalls in PPG DOP Accounting report.

Forest created a fictitious concept of “Over Advance” to solidify the notion of PPG’s indebtedness. John Fox offered and then provided PPG an over advance agreement which I signed on December 2nd, 2013. This was because I bought two other companies’ customers with both my own and PPG’s money and Forest knew I was in discussion to purchase another company in Massachusetts. As of 12/2/2013, Forest proceeded to then just call all Advances, Over Advances to charge PPG more money in interest and postured in the plan to call it a PPG breach of MFA. As the records show, it is now known and proven that no Over Advance was ever provided. To show the extent of Forest’s accounting manipulation, the payments on Over Advances totaling $1,347,659.77 from a following Over Advance, in Forest’s accounting are reflected as an adder to principle debt PPG supposedly owes, not a payment deduction against principle debt. I further proved that same month, a total of $3,326,566.22 in new PPG Billed invoices were available to provide an Advance from. Forest further unaccounted for the additional money that they would also receive from taxes and other charges totaling $159,538.10. A total of $3,486,104.33 Forest would receive for the month of December 2013. Also, 3rd party verified payments totaling $2,178,688.91 show that the Utilities sent directly to Forest’s bank account although it is believed that Forest received at least $2,807,501.75 from PPG customer payments in December 2013.

On the 12/23/2013 Factor Fox report shows that Forest paid themselves $1,687,703.73 out of PPG’s billed invoices. Forest Capital themselves created their own internal transactions and called them Over Advances to falsely compound debt they say PPG owed to try and cover up their embezzlement. Forest took an advance that would go to pay off a previous advance from a few days prior, then request another advance to pay that one off, so on and so on. Advances were fictitiously created by Forest and this transactional Ponzi scheme was to create further financial duress for PPG and myself by exacerbating what was said to be owed while Forest extracts as much money from the company for themselves as possible. Forest further was defrauding their own lenders they borrowed from while saying the funds are for PPG’s behalf. Forest preemptively liquidated PPG by creating these fictitious advance requests to also not pass any unknown funds they withheld that PPG was questioning. This month of December 2013 is a Ponzi scheme created to defraud PPG, myself personally and Forests own lenders.

It is proven that Forest reversed amounts it received that should have been used to pay down debt, however adding it on multiple occasions whereby it could not be considered an accident. In the RMF provided accounting report, in December an astounding total $1,552,472.25 was reversed and added instead of subtracting against what PPG supposedly owes. Forest even conspicuously omitted FA payments they received in January 2013 for $525,000 as the $393,750 of Forest portion is left blank and the remaining you can see in the RMF provided wire report from M&T, that Forest writes that wire was added to the Over Advance amount as debt. The $285K Forest received in March from BlackRock is added as debt, not subtracted against the supposed principle owed. Due to the multiple times payments are reversed to become debt owed to Forest, this could only be another deliberate attempt to defraud.

Forest blatantly disregards the automatic stay by continuing to bill, collect and cash PPG customer checks even after the initial request to have relief from the automatic stay was denied. I proved that John Fox committed perjury by then lying in his declaration to get the relief of stay. Forest says they did not have access to ECI and I have clearly explained the impossibility of that being true above. You can also see that it was Forest was the one billing even during the automatic stay on 6/4/2014 invoices with their logo on them saying it is on PPG’s behalf.

Forest false accusations appear to be used consistently as a diversion tactic in the effort to cover up their wrongdoing. You can see in another Forest client court cases that they make seemingly similar false accusations against other clients. Forest makes baseless false accusations, made threats of pressing criminal contempt charges all to cover up their theft of funds and tortious intervention, as seen from the Forest/RMF letters to LIPA and to the MPUC. The 4/24/2014 email from PPG’s attorney Sharon Churchill responded showing unfounded accusations were without evidence while Sharon shows evidence that Forest is the one in breach of the Stipulation. Forest blamed PPG for not having access to systems but it was Forest who locked PPG out of the Factor Fox accounting software. Forest told UMAC that PPG was billing and cashing customer’s checks until we proved it was Forest by showing the clearing account numbers where a perfect match to an account that only Forest has access to withdraw funds from in the 3/29/2014 email. UMAC was the exclusive agent to invoice and collect payments according to the Stipulation, which is why they blamed PPG.

The numerous lawsuits Forest filed has ultimately backfired. After the confusion come clarity. The motives of Forest further become known as the other lawsuit details indicate inconsistencies within Forest’s overall story. According to the transcripts, John Fox of Forest admits in his testimony to intentionally transferring debt from one paid client’s invoices to PPG’s invoices in the apparent attempt to compound supposed bad debt. Apparently, part of Forest’s plan was to defraud their own lenders while making PPG the reason. Forest admitted the improper accounting was done without their lender CoFund’s knowledge or approval.

Motive is further found from simple math as Forest Capital could not survive mathematically alone off the arbitrage of interest charges. Forest makes money from the difference in interest fees between the cost of borrowed funds being their cost of goods against the interest fees they charge and collect from their clients, like PPG. According to Master Participation Agreements (“MPA”) between Forest and their lenders, Forest was borrowing at rates up to 24% and lending to PPG at 20.25%. Forest planned to embezzle funds from PPG as they knowingly were borrowing more than they were charging. Forest could not survive without planning to defraud their clients since court records now show that they are in the negative interest of arbitrage business.

The lenders of Forest Capital have since put them into bankruptcy court in Maryland. Forest has compounded the supposed debt owed by PPG from 3 separate lawsuits for the same funds that Forest has filed a proof of claim for in PPG CT bankruptcy. It appears to falsely misconstrue the true representation of Forests accounts payable so that they would appear to be solvent while converting from the Chapter 7 to an 11 so they could take control of the proceedings and supposedly stay in business. Forest used their same MD attorney to be their trustee who then expediting the chapter 11 bankruptcy, bullied their lenders attorneys with threats of sanctions and then Forest Capital closed its doors anyways after the chapter 11 was complete.

Forest Capital lied in their MD bankruptcy, committing perjury and bankruptcy fraud by omitting the M&T bank account # 1696. I provided an investigator’s report that shows the bank account is still open with the last deposit made on 8/22/2016 for $6,298.94. Forest seems to sweep the account’s funds to a zero balance once payments are cleared in the M&T 1696 account, as they previously did with the Citibank Lockbox for PPG’s LIPA customers. Forest Capital LLC with an address that is the same as their accountants in Maryland, seems to now be operating a successor company called Forest Capital Management LLC in Chicago, IL and offers companies wealth management services and financing options. Forest Capital LLC also seems to be a successor company of Rockland Capital LLC where all three of the same owners, John Fox, Don Kennedy and Marty Helfand were owners of and provided their clients factoring of receivables.

I believe that Forest’s Attorneys are complicit co-conspirators who obstruct justice for unjust enrichment. They are knowingly and actively helping Forest cover up the fraud, have tortuously intervention, caused an obstruction of justice, breached PPG’s automatic stay and vexatiously litigate with contingency fees paid against the successful collections against Forest Capital’s clients. The contingency fees are explained by RMF in their 01/18/2016 letter to Forest Capitals lenders who also misrepresent the timeline for discovery requests as RMF themselves already missed the deadline. RMF helped Forest with the anticipatory documents to defraud PPG and knowingly filed frivolous lawsuits and continue to defend Forest to protect themselves from being implicated in Forest’s fraud.

A complete historical timeline of PPG’s daily events was created to show throughout their relationship with Forest Capital. An explanation of each event is provided along with attachments to show the corroborating evidence of each day’s event and written statements made. The agreements, documents, letters, reports, emails, call transcriptions and spreadsheets are all provided for proof and verification.

A daily run rate was created that shows a gross wire that Forest Capital sent against the verified payments Forest Capital had directly received. Again, using Forest Capital’s own accounting records, a breakout of each wire is also provided to forensically show the “advances” to PPG on a transaction by transaction basis. There is nothing from Forest that has been or could be provided to contradict these facts as we are using their own accounting reports against third-party bank statements to show the payments Forest Capital had directly received.


Below is what you see in the PPG DOP Accounting Report. This 10/18/2013 example is one of about 130 emails with attachments from Suzanne Fox from Forest Capital. The attachments are from their Factor Fox accounting reports to show the wires components. This real example shows Forest paying $34,838.36 to cover the cost of power with them sending the wire directly to the NEISO. The wire was consisting of PPG’s own funds from Rebate and Unfactored. These funds are NOT an Advance; it is Forest simply paying something on PPG’s behalf with PPG’s own money. This is evidence from many examples of wires showing that not all wires were Advances. By Forest having the Rebates and Unfactored portions as tools, they could scalp from the invoices and categorize it as Escrow and calculated it as debt owed. The debt would compound to eventually create a negative cash flow when it surpasses a company’s margins and unless they were replaced or more money was put into the company, it would eventually be under financial duress. Forest and RMF then tried to do a “workout” with me as they have done with their other victims while trying to cover their tracks by using the anticipatory documents in legal proceedings to vexatiously litigate, defraud, slander and file frivolous lawsuits.

WHY has Forest Capital been able to get away with this? All of this evidence has been provided to the NMPD, FBI, AG, DOJ, PPG’s Trustee. The PPG accounting report only uses verifiable third party data which includes bank statements and utility payment reports against Forest Capital’s fraudulent accounting. All the statements are attached within the accounting report to verify the irrefutable corroborating evidence. For the full accounting report and bank statements, please contact David Pearsall, [email protected].

We will continuing to post updates here for the world to view our relentless pursuit for prosecution and conviction agasint Forest Capital’s owners and their co-conspirators. We are grateful for your continued interest, information, suggestions and ongoing support. Thank you!


Rodney ``John`` Fox, CEO


Marty Helfand, CFO


Donald Kennedy, Partner