authority to do those things in connection with such servicing, administration, and collection activities
which it may deem necessary in order to maximize the rental…. Client shall furnish the Servicer with
powers of attorney and other documents necessary or appropriate as required by the Servicer to enable
the Servicer to enable the Servicer to carry out its servicing and administrative duties hereunder.”
32. According to the YUCATAN and RHI marketing literature, Option 3 of the Universal Lease
provides a multitude of advantages to more traditional investments. The most prominent of these, as
demonstrated during a promotional power point presentation delivered by KELLY, is that the Universal
Lease Program provides a far superior rate of return than most other investments. A second claim is that
the Universal Lease is supported by “debt-free” resort properties, and that as a result the YUCATAN
Docket No. S-03539A-03-0000
Agreement is bundled with the Universal Lease promotional and application materials, and is the single
management company identi ied for servicing YUCATAN’s various resorts.
have signed the Management Agreement with WORLD PHANTASY, the investors are allegedly eligible
to receive a 9 percent per annum return on their investments for the life of the Universal Lease Program,
presently set at 25 years. The investors have no functions or responsibilities following their investments,
and YUCATAN, RHI and WORLD PHANTASY purportedly develop new and/or manage existing
rental units to generate the profits that support the investors’ investment returns.
investments are fully safe and secured.
31. Once investors have made their investments in YUCATAN’s Universal Lease Program, and
29. Neither YUCATAN nor RHI disclose any financial relationship with WORLD PHANTASY
or indicate whether either company is entitled to receive a percentage of this servicing agent’s
only listed means under which investors can earn the promised 9 per cent rate of return on their Universal
30. The “Universal Lease Management Agreement” states: “The Servicer shall have full power and
To select WORLD PHANTASY as the servicing agent, investors are instructed to complete a