Frequently Asked Questions Re Web Portal and Claims
(Updated - March 9, 2009)

These FAQs are presented to provide investors with the status of the case and to help investors understand the claims process instituted by the Receiver. For a printable version of this FAQ sheet, download here.

What happened to the Investor Web Portal?

            The Receiver shut down the web portal as of May 3, 2008, due to ongoing security threats. The web portal will not be reopened. To make changes to your name, email address or physical address, please contact the Receiver's office by mail at 7777 Alvarado Road, Suite 712, La Mesa CA 91941, by facsimile (619 465 9288) or by email at tfl@tlennonfor12dailypro.com. Changes cannot be made by phone. You will be required to provide your username (email address) and web portal password to confirm the change.

When was the deadline to submit claims against 12DP?

           The Court established January 31, 2008 as the last day to establish a claim against 12DP via the web portal or by submitting a proof of claim to the Receiver. Investors were given notice of the Bar Date on three separate occasions prior to January 31, 2008 by email. This Notice of the Bar Date was also posted on the Receiver's website. Accordingly, it is no longer possible to accept or dispute claim amounts via the web portal or by submission of Proof of Claim documents.

How do I see the Receiver's MIMO calculation of my claim? (For explanation of MIMO, see answer to this question below)

            Because the Bar Date for accepting or disputing the Net MIMO amount has passed, the details of the calculation of your claim are no longer available for review. Back to top

While the web portal was active, what did it mean if my Net MIMO Amount was a negative number (shown by parenthesis)?

            This means that your investments in 12DP exceeded the distributions from 12DP to your Internet account. You will have an allowed claim in this amount if you clicked the "Accept" box for your report(s). You may also have an allowed claim as a result of the Receiver's recommendations to the Court concerning those accounts where the investor failed to take action or where the "Accept" intent was not recorded due to hardware and/or software deficiencies in the investor's computer connection to the portal. Nevertheless, if the Receiver, after review of your claim determined that certain reports did not belong to you, he objected to your claim. If an objection was filed, you would have received an email from counsel for the Receiver indicating that the Receiver objected to your claim and the basis. All objections were sustained by the Court. The Orders sustaining the Receiver's objections are posted on the website as Omnibus Orders 1 through 4. Back to top

While the web portal was active, what did it mean if my Net MIMO Amount was a positive number?

            This means that the distributions from 12DP to your Internet account exceeded your investments in 12DP. You will not have a claim unless you disputed your report(s) and submitted a proof of claim and supporting documentation before the deadline set by the Court and the Receiver determined that you did indeed have a claim against the 12DP. If the Receiver believed that the documents you submitted were insufficient to establish a claim, the Receiver objected to your claim. If an objection was filed, you would have received an email from counsel for the Receiver indicating that the Receiver objected to your claim and the basis. All objections were sustained by the Court. The Orders sustaining the Receiver's objections are posted on the website as Omnibus Orders 1 through 4. Back to top

When will I get my money?

            Once all disputes regarding MIMO claim amounts have been resolved and a Distribution Plan has been approved by the Court, a Pro Rata distribution (for an explanation of "Pro Rata", please see below) will be made to investors. Unfortunately due to the problems in the financial markets, the Receiver has had a difficult time finalizing the methodology to make distributions. Consequently, at this time, the Receiver anticipates that distributions will be made in the second quarter of 2009. Back to top

Will I get all of the money I paid in? How much will I get?

           The amount of funds which will ultimately be distributed to investors is not known at this time. The Receiver has recovered 12DP funds as directed by the Court and continues to pursue other sources of funds. Recovered funds are held in money market accounts with interest accruing during the case. However, at this time, the Receiver does not anticipate that a100 percent distribution will be made; rather, the Receiver believes that it should be in the 25 to 30 percent range. Back to top

What Does MIMO mean?

            MIMO (or Money-in, Money-out) means actual funds invested in 12DP by you and distributions from 12DP that were frozen in your account at StormPay and reversed back into the 12DP account at StormPay on or about February 7, 2006 ("Money-in"), less all payments of principal, interest, commissions or other amounts paid to you (including credit card chargebacks or reversals of electronic fund transfers) on account of your investment in 12DP ("Money-out"). Back to top

What does Pro Rata mean?

            A Pro Rata distribution means that all investors with allowed claims will receive a distribution that is the same percentage of their allowed claim amount. The percentage is determined by the amount of funds available to be distributed to investors (after payment of all administrative costs) divided by the total dollar amount of all allowed claims. Back to top

How will the claims be paid?

            The Receiver is currently investigating various means of transmitting distributions to investors, including electronically, so that investors can access their distributions via e-mail. However, due to the problems in the financial markets, the Receiver may recommend that checks be sent to investors. The Receiver intends to seek approval of a means of transmitting distributions as part of his Distribution Plan. Back to top

How do I recover amounts that were in my StormPay account when it was frozen?

            The Receiver understands that on or about February 7, 2006, StormPay, without the authorization or consent of 12DP, Charis Johnson, or any 12DP investors, reversed investor accounts at StormPay with positive balances back into the 12DP account at StormPay. Although these reversals were unauthorized, investors have been given credit for the amounts reversed by StormPay in the calculation of their respective claim amounts. Accordingly, the amounts reversed have been treated as "money-in" for the purposes of the Receiver's "money-in, money-out" (or "MIMO") calculation. Thus, investors' claim amounts have been increased by the amounts reversed back into the 12DP account by StormPay.

The receivership established by the Court covers only 12DP, its subsidiaries and affiliates. StormPay is not affiliated with 12DP. Neither the Receiver nor his counsel can advise investors regarding their legal rights, if any, with respect to StormPay or other third parties. Investors should consult their own attorney with respect to these matters. Back to top