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Pastimes : Discuss ATEL - ACCESSTEL INC
ATEL 0.00Sep 7 1:26 PM EST

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To: StockDung who started this subject4/14/2003 5:29:10 PM
From: mmmary1 Recommendation   of 130
 
fRANCOIS GOELO SUED BY SEC FOR SECURITIES FRAUD. FURTHER VINDICATION FOR THETRUTHSEEKER AND THE "ZSUN 8"!!!

SEC SUES EIGHT INDIVIDUALS AND FOUR ENTITIES IN STOCK MANIPULATION

The Commission announced today that it filed a civil action against
eight individuals and four entities for their conduct between April 1999
and July 2000 relating to the price manipulation, unregistered sales,
unreported stock ownership, and touting of securities issued by
BluePoint Linux Software Corporation (BluePoint), a publicly traded
company located in Evansville, Indiana.

The Commission's complaint, filed in the United States District Court
for the Southern District of Ohio, alleges that Aaron Tsai (Tsai) formed
a shell company called MAS Acquisition XI Corporation in 1996 and made
false filings with the Commission to conceal his true ownership and
control of MAS shares and to make it appear that the shares could be
later sold without a registration statement in effect. According to the
Complaint, on February 17, 2000, MAS acquired a Chinese Linux company
and changed its name to BluePoint. On the same day, Michael Markow
(Markow) and his company Global Guarantee Corporation, Francois Goelo
(Goelo), Yongzhi Yang and his company, K&J Consulting, Ltd., and Ke Luo
and his company, M&M Management, Ltd. (collectively, the Promoter
Defendants) bought 3.75 million shares from Tsai for $250,000, or a
little more than $0.06 per share. The Commission alleges that the
Promoter Defendants acquired over 90% of BluePoint publicly traded
shares without reporting their ownership in any Commission filing.

The Commission further alleges that the Promoter Defendants along with
the participation of Sierra Brokerage Services, Inc. (Sierra) and its
two employees, Richard Geiger and Jeffrey Richardson, (collectively, the
Broker-dealer Defendants) worked in concert to create artificial trading
activity and to manipulate the share price of BluePoint from $6 to a
high price of $21 on the first day that BluePoint shares were traded on
March 6, 2001. The Promoter Defendants and Broker-dealer Defendants
dominated and control the BluePoint market that day. At all relevant
times, Tsai, the Promoter Defendants, Sierra and Richardson sold or
offered to sell shares in BluePoint without a registration statement in
effect, and Tsai and the Promoter Defendants never reported their sales
of BluePoint securities and the change in their ownership.

The Commission also alleges that Jerome Armstrong engaged in illegal
touting of BluePoint on March 6 and after because he promoted BluePoint
on the Raging Bull internet site, which carried hundreds of posts about
BluePoint without disclosing the compensation he received from Markow
and Goelo in return for his posts.

The Commission has charged: (1) Tsai, the Promoter Defendants, Sierra,
and Richardson with violating Sections 5(a) and 5(c) of the Securities
Act of 1933 (Securities Act); (2) the Promoter Defendants and Broker-
dealer Defendants with violating Section 17(a) of the Securities Act and
Section 10(b) of the Securities Exchange Act of 1934 (Exchange Act) and
Rule 10b-5 thereunder; or in the alternative, Markow and Global
Guarantee Corporation with aiding and abetting the other Promoter
Defendants' violations of these provisions; (3) Sierra with violating
Section 15(c)(1) of the Exchange Act and Richard Geiger and Jeffrey
Richardson with aiding and abetting that violation; (4) Armstrong with
violating Section 17(b) of the Securities Act; (5) the Promoter
Defendants with violating Sections 13(d)(1), 13(d)(2), and 16(a) of the
Exchange Act and Rules 13d-1(a), 13d-2(a), and 16a-3 thereunder, and
Tsai with violating Sections 13(d)(1) and 16(a) of the Exchange Act and
Rules 13d-1(a) and 16a-3 thereunder. The Commission is seeking
permanent injunctions, disgorgement of ill-gotten gains with prejudgment
interest, and civil penalties from all defendants.

[SEC V. Sierra Brokerage Services, Inc., Richard Geiger, Jeffrey A.
Richardson, Aaron Tsai, Michael E. Markow, Global Guarantee Corporation,
Francois Goelo, Yongzhi Yang, K&J Consulting, Ltd., Ke Luo, M&M
Management, Ltd., Jerome B. Armstrong, USDC, Southern District of Ohio,
Civil Action No. CV03-326] (LR-18088)...
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