Ray Goldberg Australia – Scamming Through Tyre Recycling
Ray Goldberg is a prominent scammer residing in Australia. Numerous reports indicate that he has scammed people in the US, Europe as well as in Australia by claiming to sell ‘tyre recycling equipment’.
He uses the names of other reputed firms as his own to seem credible. The list of his victims’ names is very long.
In the following review, you’ll learn more about him and why you should avoid dealing with him:
What Ray Goldberg Australia Claims To Be:
Ray Goldberg Tyre Recycling runs many websites and blogs. According to these websites, he is the CEO of Tyre Recycling Manufacturing Pty Ltd.
His firm claims to deliver turnkey tire recycling plants all over the globe. Ray claims to offer his recycling services and activities to as many people as possible.
His company even claims to manufacture state-of-the-art equipment including tread stripping machines, granule mills, primary & secondary shredders and demagnetizers.
Ray Goldberg claims that his professionals help his clients identify suitable layouts to enhance productivity and install the equipment effectively.
Another claim he makes is that his company, Tyre Recycling Manufacturing, reduces pollution by diverting tires from incineration and repurposing tire rubber.
On paper, these claims sound quite attractive. However, according to lawsuits and numerous reports, all of these claims are false.
In the next section of this review, I’ll shed some light on his history of defrauding others and how notorious he truly is:
What Ray Goldberg Australia Actually Is:
According to the complaint above, Ray Goldberg of Recycling Planet is an Australian citizen who defrauds people through his numerous companies.
The reviewer points out that Ray sells tire recycling plants which he never installs. In some cases, he ships incomplete and they don’t work at all.
Later, people reported that Ray Goldberg had started running this scam in the UK. Prior to that, he was defrauding people in the US through this scheme.
In the US, he even faced a lawsuit because of his nefarious schemes. His strategy to defraud people is simple:
- He uses the video footage of other plant manufacturers to seem trustworthy.
- Also, he uses the name of a reputed company to borrow their credibility.
- Then, he sells ‘tyre recycling plants’ which he never delivers.
- If he does, he ships them incomplete, missing vital equipment.
This way, he has been able to defraud people all around the US, Europe and Australia.
Ray Goldberg Australia Faced a Case for Fraud in the US:
In 2008, Paun Musgrave was a public accountant who got involved in a tyre recycling venture with Raymond Goldberg, the owner of an Australian firm called Rubber Solutions.
Raymond agreed to be the supplier of the necessary equipment. They agreed to form Dayton International Tire Recycling which was going to operate a facility in Troy, Ohio.
However, Musgrave was unaware of the fact that Ray Goldberg was accused of running scams throughout the globe and was a part of 9 failed tire-recycling ventures.
According to their agreement, Musgrave was 81% owner of Dayton International while the rest of the 19% was under the ownership of Intercontinental Trading British Virgin Islands or ITBVI.
ITBVI is the shell company of Ray Goldberg.
Intercontinental Trading British Virgin Islands is a BVI registered firm. It offers tax benefits, privacy and asset protection. It is involved in various arenas, like property, financial services, engineering and IT.
Paul Musgrave invested $300,000 in the company while Ray invested $350,000 in the form of ‘cost reduction’. This meant he discounted the purchase price of the equipment his company, Rubber Solutions would provide them with.
“Ray Goldberg Australia Took $1.3 Million Through Falsified Documents”
To finance the remaining $2.3 million purchase price of the tire-recycling plant, Paul applied for a loan. The guarantor of the loan was the Small Business Administration.
Then, Paul applied for a Letter of Credit with the bank to disburse the funds to Ray’s bank account in Australia. However, in the letter, Paul mentioned “partial shipments not allowed”.
In other words, if Ray Goldberg’s Rubber Solutions didn’t deliver all the parts in one shipment, Paul’s company did not have to pay him.
In 2009, a shipment arrived from Ray. It contained everything except a tire shredder, one of the most important pieces of equipment.
According to the case summary, Musgrave was livid.
This caused the FBI to start investigating the matter. While all of this was going on, Ray submitted a falsified packing slip to the bank, getting $1.7 million into his company’s account.
The $1.7 million Ray had taken from the company’s account were actually for the company’s equipment. Paul also lost his $300,000 investment.
Both Ray and Paul were indicted in 2011. Ray blamed Paul for everything and pleaded guilty to one count of misdemeanor and received probation, special assessment and restitution.
On the other hand, Paul proceeded to trial where they found that he had never revealed Ray’s ownership of ITBVI. Ray testified that Paul had instructed Rubber Solutions to fabricate invoices and showed cash flow from ITBVI into Dayton International.
However, the court noted that Paul Musgrave didn’t have any past convictions nor any history of criminal conduct.
“During the lawsuit, the Court put most of the blame on Ray”
The judge said Paul had been through 4 years of hell. He had already lost $300,000 and would have to pay $1.7 million in restitution. They noted that Paul had incurred significant legal fees and would likely lose his CPA license.
Although the judge understood that Paul had committed fraud they also realized that he never made any money from the failed venture.
Furthermore, the court put most of the blame on Ray Goldberg Australia. The judge said the court was offended to its very core by his conduct. According to the judge it was unfair that Ray simply entered into a plea agreement, receiving only probation while Paul received a more severe penalty.
Due to these reasons, the court rejected the one-day sentence against Paul Musgrave.
Ray Goldberg’s Feud with Rubber Solutions
Ray Goldberg Australia has run multiple companies in the past. He uses new names every once in a while to defraud others.
Currently, he markets himself as “Ray Goldberg Tyre Recycling”. However, he also used to run an Australian company called Rubber Solutions.
Now, the original company with this name is an American firm established in 1972. The company is still in business and clarifies on its website that it has no affiliations with Ray.
They have a dedicated page on their website saying Ray is running a scam group and has exposed the names of his firms:
- 123 Corp of Illinois
- Ray Goldberg
They point out that their company is not linked to the Australian firm in any manner.
The original Rubber Solutions invented the shear shredder which is quite popular in the recycling industry. Clearly, Ray used their name to further his scams and defraud others.
After seeing his history and the numerous reports, it’s obvious that Ray Goldberg is a fraudster. He has scammed numerous people all over the globe by claiming to sell ‘tyre recycling plants’ which he never delivers.
Avoid dealing with him or any company related to him!
Ray Goldberg is a notorious scammer in Australia who has defrauded people in the US and Europe. He runs Tyre Recycling as well as Rubber Solutions Pty Ltd.
- Related to a multi-million scam in the US
- Has been using the name of a different company to gain more victims