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From: StockDung4/9/2008 5:01:26 PM
   of 121942
 
CMKM Diamonds players face stiff penalties in SEC suit
stockwatch.com

2008-04-09 14:53 ET - Street Wire

Also Street Wire (C-*ASC) Alberta Securities Commission
Also Street Wire (U-*SEC) U.S. Securities and Exchange Commission

by Lee M. Webb

CMKM Diamonds Inc.'s key players Urban Casavant and John Edwards, along with their nominees and other defendants, face the possibility of stiff penalties in a $64.2-million securities fraud lawsuit filed by the U.S. Securities and Exchange Commission (SEC) on April 7. (All amounts are in U.S. dollars.)

As previously reported, the SEC filed a 27-page complaint against 14 defendants including CMKM, Mr. Casavant and Mr. Edwards in the U.S. District Court for the District of Nevada.

None of the defendants has yet filed an answer to the SEC lawsuit and the allegations have not been tested in court.

According to the U.S. regulator, the defendants were involved in "a massive and complex scheme" to dump hundreds of billions of shares of CMKM on gullible investors during the fraudulent promotion of the Las Vegas-based pink sheet woofer from January of 2003 until May of 2005.

Other defendants include Mr. Casavant's nominees and general-purpose gofers Ginger Gutierrez and James Kinney, both of Las Vegas. In addition to serving a stint as CMKM's investor relations representatives, the SEC claims that the pair unloaded approximately 88 billion shares of CMKM and, after taking a cut, funelled the proceeds to Mr. Casavant and his family members.

Anthony and Kathleen Tomasso, a husband-and-wife team from the notorious paperhangers haven of Boca Raton, Fla., allegedly served as nominees for Mr. Edwards, a British citizen living in Las Vegas.

The SEC alleges that approximately 77.3 billion unrestricted shares of CMKM were issued to five entities controlled by the Tomassos, who promptly sold the stock and wired more than $2.2-million to Mr. Edwards and transferred substantial amounts of money to other of his associates. The Tomassos allegedly cut themselves in for approximately $648,500.

CMKM's accommodating Las Vegas transfer agent, 1st Global Stock Transfer, and its owner, Helen Bagley, are also named as defendants.

According to the SEC, Ms. Bagley received hundreds of thousands of dollars in suspicious payments from Mr. Edwards and the Tomassos and turned a blind eye to "obviously incomplete and suspicious and, in some cases, forged documentation" while issuing more than 589.7 billion shares of unrestricted stock to Mr. Edwards, Mr. Casavant, their nominees and others.

The now-defunct NevWest Securities Corp., a Las Vegas-headquartered three-monkeys brokerage firm used by Mr. Edwards, and three of its principals are also named as defendants.

The SEC claims that NevWest's chief executive officer Sergey Rumyantsev, a Russian citizen living in Las Vegas, its chief compliance officer and lawyer, Anthony Santos, and former broker Daryl Anderson, now living in Laguna Beach, Calif., saw no evil, heard no evil and definitely spoke no evil as Mr. Edwards opened 36 accounts and unloaded a staggering 259.9 billion shares of CMKM for proceeds of more than $53.3-million.

Over the entire period of the fraud, the approximately $2.58-million in commissions generated by Mr. Edwards's trades accounted for 35.7 per cent of NevWest's total revenue. Mr. Anderson earned approximately $2.3-million for handling the trades.

Rounding out the list of defendants is shady lawyer Brian Dvorak, who is currently living in Boulder, Colo., and who recently filed for bankruptcy protection.

According to the U.S. regulator, in return for at least $495,000, Mr. Dvorak held his nose and wrote hundreds of bogus opinion letters fraudulently authorizing the issuance of more than 606 billion unrestricted shares of the smelly promotion.

Dozy gatekeepers

In conjunction with filing the lawsuit, the SEC issued an April 7 press release commenting on the subpenny promotion and the gatekeepers who allegedly facilitated the fraud.

"The allegations in this case highlight the significant investor harm that results from abuses in the penny stock market," the acting director of the SEC's Los Angeles office Rosalind Tyson remarked.

"Although CMKM's stock sold for well under a penny a share, the defendants were able to reap millions in profits by conspiring to flood the market with billions of unregistered shares while falsely promoting CMKM's value," Ms. Tyson added.

Indeed, Saskatchewan native Mr. Casavant, who honed his touting skills on a number of Canadian mining plays before moving his act to Las Vegas after getting the boot from former Alberta Stock Exchange company Petro Plus Inc., brought a whole new dimension to the world of pink sheet promotions.

Instead of trying to run up the price of his pink sheet dog, Mr. Casavant simply devoted his efforts to generating enough demand among gullible investors to sop up the flood of subpenny stock as he peeled off hundreds of billions of shares for himself, family members and associates.

In the process, Mr. Casavant issued more CMKM shares than previously issued by any company on the planet. By the time the SEC yanked CMKM's stock registration in October of 2005, a staggering 703.5 billion shares were outstanding.

The head of the SEC's enforcement division, Linda Chatman Thomsen, also had something to say about the lawsuit, issuing something of a warning to so-called "gatekeepers" of the securities markets.

"The perpetrators of this massive scheme include several securities professionals and an attorney," Ms. Thomsen commented. "Today's action demonstrates that we will aggressively pursue individuals who ignore their obligations as gatekeepers to our markets and instead collude with their clients to violate the federal securities laws."

Canadian regulators, comprising a patchwork of provincial and territorial securities watchdogs with limited jurisdictional powers, have a remarkably dismal record when it comes to enforcing their nebulous gatekeeper rules and a similarly poor record in suing stock fraudsters and their accomplices.

The SEC, however, has been cracking down on companies and individuals for gate-keeping lapses and is much more aggressive, as well as more successful, in suing crooked market players, including Canadians. Indeed, many consider the SEC to be Canada's most respected securities regulator.

The U.S. regulator is seeking significant penalties against the defendants in the CMKM lawsuit, including Saskatchewan native Mr. Casavant.

The penalties

Among other things, the SEC is seeking judgments against the defendants enjoining them from future violations of securities regulations. That, of course, is pretty standard fare in securities lawsuits.

The U.S. regulator is also seeking an order permanently banning Mr. Casavant from acting as an officer or director of any public company. That, too, is a standard request in such cases.

The SEC further seeks judgments permanently barring each of the 11 individual defendants "from participation in any offering of a penny stock, including engaging in activities with a broker, dealer, or issuer for purposes of issuing, trading, or inducing or attempting to induce the purchase of any penny stock." That would effectively boot the defendants out of the market.

With the exception of CMKM, which is penniless and a company in name only, the regulator is also asking for civil penalties to be assessed against the defendants.

Perhaps of most concern to the defendants, apart from CMKM, the SEC is seeking disgorgement of "all ill-gotten gains from their illegal conduct, together with prejudgment interest thereon."

The regulator claims that Mr. Casavant pocketed approximately $31.5-million, Mr. Edwards made off with $26.4-million and Mr. Casavant's nominees raked in approximately $6.3-million.

Ms. Bagley might be on the hook for several hundred thousand dollars, including $344,000 she allegedly received from the Tomassos, who might be looking at disgorgement of approximately $650,000.

NevWest, which had its registration yanked last year, allegedly made approximately $2.58-million for its participation in the scheme, with $2.3-million going to former broker Mr. Anderson.

Mr. Dvorak allegedly received $350 for each of the hundreds of opinion letters he wrote and received at least $495,000 from Mr. Casavant and his nominees during 2004.

It remains to be seen whether the SEC, if it prevails in the case and is successful in obtaining the disgorgement orders, will be able to collect any of that money.

Saskatchewan sightings

Mr. Casavant, who allegedly pocketed the most money from the scheme, abandoned his "extravagant lifestyle" in Las Vegas and lit out for Saskatchewan after handing the company off to one of CMKM's biggest cheerleaders, Kevin West, last March.

Mr. West, who once touted CMKM as being conservatively valued at $64-billion and possibly worth as much as $1-trillion and praised Mr. Casavant as a godly man doing God's work in redistributing the wealth of the world, apparently had something of an epiphany after the Saskatchewan promoter took a powder.

Under Mr. West's direction and with the assistance of his Texas associate and lawyer Bill Frizzell, another former cheerleader and proponent of the ridiculous claim that the pink sheet company was the victim of naked short selling to the tune of two trillion shares, CMKM is suing Mr. Casavant for allegedly looting the company of $200-million.

Mr. Casavant, now living a less extravagant lifestyle and frequenting Saskatoon casinos rather than his favourite Las Vegas gambling dens, has not yet been served with the year-old CMKM lawsuit. He is also dodging other U.S. lawsuits and creditors.

Perhaps the SEC will be more successful in reeling the Saskatchewan promoter in.

Meanwhile, in an administrative action that points to the peculiarity, if not dysfunctional nature, of the Canadian regulatory system, the Alberta Securities Commission (ASC) has scheduled a hearing for April 9 to consider whether a cease trade order should be issued against CMKM.

The ASC action comes more than three years after the Saskatchewan Financial Services Commission issued a cease trade order against the company and almost 30 months after the SEC revoked CMKM's stock registration, ending any public trading of the shares.

Stockwatch will pick up its review of the SEC lawsuit and continue to follow developments in future articles.

The saga continues.

Comments regarding this article may be sent to lwebb@stockwatch.com.

(Further information regarding CMKM Diamonds and associated companies can be found in Stockwatch articles dated Oct. 21, 2003; June 22; Sept. 16 and 24; Oct. 1, 15 and 20, 2004; Feb. 11, 14, 18, 22 and 23; March 1, 3, 4, 7, 14, 15, 16 and 21; June 6, 8, 9, 10, 13, 14, 15, 16, 17, 20, 21, 22, 29 and 30; July 1, 4, 6, 12 and 13; Aug. 2, 5 and 9; Sept. 7, 12, 27 and 30; Oct. 24, 26 and 31; Nov. 7, 11, 22 and 25; Dec. 1, 6, 9, 15 and 22, 2005; Jan. 3; Sept. 29; Oct. 4, 2006; Aug. 30, 2007; and April 7, 2008.)



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Reader Comments - Comments are open and unmoderated, although libelous remarks may be deleted. Opinions expressed do not necessarily reflect the views of Stockwatch.

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Will there be in bloody jail time for this wanker?

Posted by Gordon Ramsay @ 2008-04-09 15:34

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From: StockDung4/9/2008 10:42:37 PM
   of 121942
 
Better Late Than Never…SEC Files Charges in CMKX Case

by Mark Faulk

Three and a half years after the company was delisted, and over two and half years after the NASD filed charges against NevWest Securities in the same scam, the SEC charged 14 individuals in the CMKM Diamonds fiasco. Although thousands of shareholders were jubilant over the news, for many it seemed to be a case of too little, too late, and raised many questions about who wasn’t charged and why it has taken the SEC so long to bring charges in this case.

On September 9, 2006, an attorney representing a group of thousands of CMKX shareholders sent a letter to the company asking that they take action against six individuals and one company who he claimed illegally sold hundreds of billions of shares of stock to unsuspecting shareholders. In his letter, Bill Frizzell cited 36 trading accounts set up by John Edwards at NevWest Securities, both of whom were charged by the SEC yesterday. He also named CMKX attorney Brian Dvorak, CEO Urban Casavant’s secretary Ginger Gutierrez, and James Kinney, who received billions of shares of company stock, in the first of two shareholders’ derivative rights letters that Frizzell would pen. Edwards, Casavant, Dvorak, Gutierrez, Kinney, and NevWest (along with three individuals from NevWest) were among those charged by the SEC yesterday, along with Edwards’ associates Kathleen Tomasso and Anthony Tomasso and transfer agent Helen Bagley. Bagley’s company First Global Securities and CMKM Diamonds were charged as well.

Although the charges said that Edwards, Casavant, and their cohorts pocketed “at least $64.2 million” in the scam, estimates based on the average price of stock at the time that it was sold show that over 50,000 CMKX shareholders were defrauded of an estimated $250 million dollars. It is one of the largest financial scams in the history of the stock market.

Notable on the list of those who weren’t charged was another company attorney, former SEC attorney D. Roger Glenn, who wrote opinions letters that allowed hundreds of billion shares to be sold into the market based on little more than Brian Dvorak’s claim that the issuances were legitimate. Glenn was named by Frizzell in a second shareholders’ derivative rights letter on March 26, 2007 as another individual who defrauded shareholders. A soon to be released book about the CMKX saga, entitled The Naked Truth: Investing in the Stock Play of a Lifetime, discusses Roger Glenn’s involvement in CMKX:

Bill Frizzell laid out his case against the man who most shareholders had heralded as a savior to the company when he came on board in June of 2004. It was the trumpeted entrance of Glenn that almost single-handedly triggered the massive price run that sucked in thousands of shareholders when the stock rose over a thousand percent in a matter of days…and then dropped back to its original price of one one-hundredth of a cent. He ended his list with the most damning fact of all, that “Mr. Glenn had authored 11 opinion letters in a three-month period resulting in the issuance of 300 billion plus shares,” which were immediately sold to thousands of unsuspecting shareholders by John Edwards, David DeSormeau, James and Jeannie Kinney, and a host of others.

Another individual who wasn’t charged by the SEC was former CMKX Chief Financial Officer David DeSormeau, who was singled out in Frizzell’s first letter and later sued by the current company and its new CEO, shareholder Kevin West, who was named to take over just before Urban Casavant fled to Canada. The Naked Truth discusses DeSormeau’s involvement and comments by yet another company attorney, Donald Stoecklein, during the May 10, 2005, SEC hearing to delist CMKX:

Based on an average selling price at the time, David DeSormeau would have “earned” somewhere around $30 million from the sale of the more than 92 billion shares issued to his companies. It was an incredible amount of compensation considering that in return the company got, as Stoecklein phrased it during the SEC hearings, “25 sheets of paper that is merely shareholders’ equity.”

Among the others who shareholders feel should have been named by the SEC include convicted felon Michael Williams, U.S. Canadian Minerals CEO Rendal Williams (who has reportedly fled to Switzerland), Nevada Minerals president Ed Dhonau, and Casavant associate Emerson Koch, who made millions for simply holding the claims to the 1.9 million acres of mineral claims that were used to entice prospective shareholders to invest in the company. The SEC has still not addressed charges that brokers failed to deliver hundreds of billions of shares of stock in addition to the 703 billion shares that company insiders dumped.

CMKM Diamonds under the direction of Kevin West and Bill Frizzell has filed lawsuits against DeSormeau, John Edwards, Urban Casavant, Michael Williams, Brian Dvorak, James Kinney, Ginger Gutierrez and others. They are working to recoup money stolen from the company and have plans to widen their net to eventually include everyone who they believe defrauded the tens of thousands of CMKX shareholders.

Brian Pugh of the DOJ wouldn’t comment on a joint investigation into CMKM Diamonds by the FBI, the DOJ, and the IRS. He said that any criminal investigation within those departments would have to originate from a grand jury. However, the Faulking Truth confirmed the ongoing investigation in an interview with FBI agent Ryan Randall in September of 2007.

The SEC press release left the door open to additional action by ending with the statement: “The SEC’s investigation is continuing.”

Shareholders can only hope that eventually, all of the major players in the CMKX scandal will face both civil and criminal charges, as well as lawsuits filed by the company itself.

And that, as always, is the Faulking Truth.

(Editor’s note: We will present a special two-hour edition of The Faulking Truth Show on www.toginet.com this Friday, April 11th, from 9-11 AM CST. Listeners are welcome to call in to the show on our toll free number at 1-877-864-4869. TogiEntertainment will conduct a drawing from among the show’s callers to give away six autographed copies of The Naked Truth: Investing in the Stock Play of a Lifetime. The book, authored by stock market reform advocate and writer Mark Faulk, has been updated to include this week’s events, and will be released sometime in May. The Naked Truth: Investing in the Stock Play of a Lifetime is available for pre-order at www.togientertainment.com )

To read additional excerpts from The Naked Truth: Investing in the Stock Play of a Lifetime, go to:

faulkingtruth.com

faulkingtruth.com

To read the SEC complaint in its entirety, go to:

sec.gov

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From: train_wreck4/10/2008 12:04:14 PM
   of 121942
 
Ex-Refco exec tells of commodities fraud

By Leslie Gevirtz, Reuters
NEW YORK — A former Refco executive, who said he helped hide multimillion-dollar commodity trading losses from clients, testified Monday that his bosses said "we're all in this together."
Santo Maggio, a top deputy to former Refco Chief Executive Phillip Bennett and former President Tone Grant, told how the trio deceived banks, foreign exchange traders, hedge fund executives and even top managers at investor George Soros' funds, six years before the 2005 collapse of one of the world's largest commodity brokers.

Bennett pleaded guilty in February to fraud and other charges stemming from the collapse, but Grant chose to stand trial.

Maggio, who was president of the Refco Capital Markets unit, pleaded guilty in December and agreed to cooperate with federal authorities in their investigation of Refco.

In a second day on the stand in U.S. District Court in lower Manhattan, Maggio described how the company was perennially short of cash after meltdowns in the late 1990s sank clients Refco had financed.

With money tight, Maggio routinely had to pick which obligation Refco would fail on.

"If we were down $100 million," he told the jury, he would look for a client that had a $100 million that needed to be delivered and "we would fail on his $100 million...

"Basically, we were behind all the time," Maggio said, his voice quavering. "It would be like musical chairs...There were a number of excuses you would make...the bank screwed up, my computers are out. There was a list of excuses for people at the back office."

When he complained of the stress of lying to his friends on Wall Street, constantly picking which accounts to shortchange, he says both Bennett and Grant reassured him, saying, "We're all in this together. We will come up with a plan."

Rumors spread that Refco was in trouble and Soros Fund Management, its largest client, called Maggio to say it was withdrawing its assets, which totaled about $260 million at the time.

Maggio arranged for a meeting in 1999 between Soros fund top executives and Bennett, Grant and himself. At the meeting, he testified, the Refco executives lied about not suffering any significant losses and offered to provide monthly financial statements to the fund. They urged the Soros Fund executives to call the head of the Chicago Mercantile Exchange clearinghouse, to verify that Refco had always met its settlement duties.

After checking with the CME, the Soros Fund agreed to keep its assets at Refco for the time being.

"We dodged a bullet. We dodged a missile," Maggio said.

In later testimony, Maggio admitted that he had lied under oath in various litigation and to the U.S. Securities and Exchange Commission.

Refco, once a global clearing house for derivatives that served more than 200,000 customers, collapsed into bankruptcy shortly after it went public in 2005.

Copyright 2008 Reuters Limited.

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From: StockDung4/10/2008 12:56:38 PM
   of 121942
 
Diamond mine scam netted more than $64-million: SEC

nationalpost.com
Chris Purdy, Canwest News Services Published: Thursday, April 10, 2008

SASKATOON - American securities officials have charged a Prince Albert man who headed a diamond mining company that allegedly scammed millions of dollars from investors around the world.
Urban Casavant, the 51-year-old former CEO of CMKM Diamonds Inc., was among 11 people charged earlier this week with fraud and other offences by the United States Securities and Exchange Commission (SEC).

The agency claims the group conspired to illegally sell unregistered stock -- 622 billion shares -and lined their pockets with at least $64-million from 40,000 investors between 2003 and 2005.

Urban Casavant, the 51-year-old former CEO of CMKM Diamonds Inc., was among 11 people charged earlier this week with fraud and other offences by the United States Securities and Exchange Commission (SEC).

Mark Faulk, an author from Oklahoma City, Okla. who has researched the case for two years for an upcoming book, believes the numbers are actually much higher.

He said Wednesday thousands of people across the U.S., Canada, Europe and Asia were actually swindled out of $250-million.

"This may be the largest fraud of its kind ever in the stock market," said Faulk.

Mr. Casavant is alleged to have personally pocketed at least $31.5-million while running the scheme out his home in Las Vegas.

Mr. Faulk said Mr. Casavant blew most of the money on his extravagant lifestyle, which included lavish homes and nights out drinking and gambling.

Mr. Casavant was a known "high-roller," who would often gamble more than $100,000 a night at various casinos, said Mr. Faulk.

Mr. Casavant grew up in Prince Albert and worked in the city as both a prison guard and U-Haul franchise owner -- before he moved on to bigger ambitions with mining and stock markets.

According to SEC court documents filed in Nevada, he controlled several private Canadian companies that later entered into a reverse merger with a public shell owned by John Edwards, a British man living in Las Vegas, and the alleged mastermind in the ensuing scheme.

CMKM was created in 2002 and claimed to have mineral rights for nearly two million acres covering northern Saskatchewan in the Forte a la Corne region, east of Prince Albert.

The SEC alleges the company issued the billions of shares of unrestricted stock with suspect and inconsistent attorney opinion letters.

At times, the shares were considered a bargain on the penny stock market.

"Although CMKM's stock sold for well under a penny a share, the defendants were able to reap millions in profits by conspiring to flood the market with billions of unregistered shares while falsely promoting CMKM's value," Rosalind Tyson with the SEC's office in Los Angeles, Calif. said in a press release.

The court documents allege the company had no meaningful mining operations or records. CMKM solely focused on issuing and promoting stock.

It's marketing machine allegedly included phony and misleading news releases. One release in December 2002 said the company had opened an office in Belgium to promote the "Casavant diamond brand."

The company, however, had not yet found a single diamond.

Another press release in early 2004 announced a discovery of kimberlite ore, in which diamonds are usually found. The site was named "the Carolyn Pipe," after Mr. Casavant's wife.

Mr. Casavant also hyped the company on the Internet and in one webcast interview said CMKM was ahead of schedule and "drilling 24-7 up in Canada."

His most effective promotion tool was the creation of a CMKXtreme team of motorbike and car racers that travelled to events across the U.S.

Hundreds of shareholders who attended the races visited a CMKM tent, where they where they could study a map of alleged mineral claims and watch a looped video of mining work.

One shareholder from Chicago, who brought his 11-year-old daughter to a race in 2004, said he was happy to shake hands with Mr. Casavant in the company's tent.

"(Casavant) said, 'We're driving truckloads of diamonds out of there.' And then he looked down at my daughter and said, 'Your daddy is going to be so rich.' "

The shareholder, who did not want to give his name, said he sunk about $7,500 into the scheme and convinced his brother to invest thousands as well.

He said the racing team was perfect for targeting novice investors in "middle-class America." According to the SEC, the company's racing team was extremely popular and did help increase stock transactions.

In the fall of 2004, over questions of accurate public information on the company, both the SEC and the Saskatchewan Financial Services Commission (SFSC) issued temporary cease-trade orders against CMKM.

The truth of much of the company's activities became public a year later, during an evidentiary hearing, and the SEC issued a final order de-registering the company's stock.

In March, 2007, Mr. Casavant resigned from CMKM. It's believed he returned to Canada.

Molly White, an SEC lawyer involved with the case, said Mr. Casavant has not yet been served with court documents. She could not confirm whether officials are having trouble finding him.

She explained the SEC charges are civil, not criminal. And if found guilty, Mr. Casavant and those co-accused in the case will not face prison time.

The SEC is seeking fines and the return of what's left of the stolen investment money, said White.

As well, the SEC is seeking an order preventing Mr. Casavant from acting as an officer or director of any public company in the U.S.

Mr. Faulk said he has learned the Federal Bureau of Investigation, Internal Revenue Service and the U.S. Department of Justice are also investigating the case, so criminal charges could be laid in the U.S. in the future.

Ed Rodonets with the SFSC office in Regina, said his group exchanged information with the SEC to help with the investigation.

He estimates there are at least 100 affected shareholders in Saskatchewan.

Faulk said some of the shareholders he interviewed threw a few thousand dollars into the company on a whim. Others "lost every single penny they had."

The scam cost some people their homes and marriages, he said. Some died while waiting for their diamond windfall.

CMKM, now based in Texas with a new CEO, faces several lawsuits. It has also launched its own suits to recover property and assets purchased with stolen investment funds so it can rebuild the business.

The StarPhoenix 2008

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From: anniebonny4/10/2008 6:22:48 PM
   of 121942
 
SEC v. Compass Capital Group, Inc., Mark A. Lefkowitz, Alvin L. Dahl, John R. Dumble, John C. Hopf, Kevin D. Romney, and Shane H. Traveller

U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 20525 / April 10, 2008
SEC v. Compass Capital Group, Inc., Mark A. Lefkowitz, Alvin L. Dahl, John R. Dumble, John C. Hopf, Kevin D. Romney, and Shane H. Traveller, Case No. 2:08-CV-00457 (D. Nev.) filed April 10, 2008
SEC Charges Compass Capital Group, Inc., its Principal, Mark Lefkowitz, and Former Officers and Directors of 21st Century Technologies, Inc. in Unlawful Public Offering and With Securities Fraud
The Securities and Exchange Commission today charged Compass Capital Group, Inc., Mark A. Lefkowitz, Alvin L. Dahl, John R. Dumble, John C. Hopf, Kevin D. Romney, and Shane H. Traveller with engaging in an unlawful public offering of the securities of 21st Century Technologies, Inc., a former Business Development Company; making materially false and misleading statements in the offer and sale of 21st Century's securities; and aiding and abetting reporting, record-keeping, and internal controls violations by 21st Century.

The Commission's complaint alleges that, in 2003, defendants Romney, Hopf, Lefkowitz, and Compass Capital employed a scheme to evade the registration requirements of the federal securities laws for a public offering of 21st Century securities. Purporting to act pursuant to a registration exemption under Regulation E of the Securities Act of 1933, these defendants structured a public offering in a manner that generated excess and unlawful proceeds and as a result, the offering failed to qualify for the Regulation E exemption. Further, these defendants fraudulently deprived the public of material information about Compass Capital's and others' roles as underwriters for the offering and how the underwriters were compensated for distributing 21st Century's securities.

In particular, the Commission alleges Compass Capital and its affiliates, including Lefkowitz and Hopf, bought shares at an undisclosed discount from 21st Century, with a view to distributing them in a public offering, thereby acting as undisclosed underwriters for 21st Century's public offering. As a result, the offering raised more than $5 million in a twelve-month period, the maximum amount permitted under Regulation E. The unregistered sales of 21st Century's shares therefore violated the Securities Act's registration requirements.

The complaint further alleges that Romney, Dumble, and Traveller violated the antifraud provisions of the federal securities laws by publishing materially false and misleading statements by 21st Century and that Dahl, Dumble, and Traveller aided and abetted 21st Century's reporting, record-keeping, and internal controls violations. 21st Century reported false and materially misleading valuations and descriptions of several of its portfolio investments and failed to devise and maintain a system of internal accounting controls sufficient to assure that only authorized transactions were executed and that transactions were recorded accurately.

The Commission's complaint also alleges that Lefkowitz and Compass Capital each acted as a broker and dealer in connection with 21st Century's public offering, although neither Lefkowitz nor Compass Capital was registered with the Commission as a broker-dealer

The Commission seeks a final judgment permanently enjoining defendants Lefkowitz, Dumble, Romney, and Traveller from violating Section 10(b) of the Securities Exchange Act of 1934 and Rule l0b-5 thereunder; permanently enjoining defendants Romney and Traveller from violating Section 17(a) of the Securities Act; permanently enjoining defendants Compass Capital, Lefkowitz, Romney, and Hopf from violating Section 5(a) and 5(c) of the Securities Act; permanently enjoining defendants Compass Capital and Lefkowitz from violating Section 15(a) of the Exchange Act; permanently enjoining defendants Dumble, Traveller, and Dahl from violating Section 13(a) of the Exchange Act and Rules 12b-20 (Dumble, Traveller, and Dahl), 13a-1 (Traveller and Dahl), 13a-11 (Dumble), and 13a-13 (Dumble, Traveller, and Dahl); permanently enjoining defendant Traveller from violating Section 13(b)(5) of the Exchange Act and Rule 13b2-1; permanently enjoining defendants Dumble, Romney, and Dahl from violating Rule 13a-14 of the Exchange Act, enacted as part of the Sarbanes-Oxley Act of 2002; permanently enjoining defendants Compass Capital and Lefkowitz, from violating Section 13(d) of the Exchange Act and Rule 13d-1; and ordering all of the defendants to pay civil penalties and disgorgement of any ill-gotten gains.

The Commission also seeks entry of an order barring Dumble, Romney, and Traveller from serving as officers or directors of any public company, and barring all defendants from participating in any future offerings of penny stock.

SEC Complaint in this matter

sec.gov

************

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From: anniebonny4/10/2008 6:24:56 PM
   of 121942
 
SEC v. Headstart Advisers Limited

U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 20524 / April 10, 2008
SEC v. Headstart Advisers Limited, 08 CV 3484 (DAB) (SDNY)
Commission Files Fraud Charges Against United Kingdom-Based Hedge Fund Adviser for Defrauding United States Mutual Funds Through Late Trading and Deceptive Market Timing
The Securities and Exchange Commission today filed a civil action in the U.S. District Court for the Southern District of New York against United Kingdom-based hedge fund adviser Headstart Advisers Limited (HAL) and its "Chief Investment Adviser," Najy N. Nasser. The complaint alleges that HAL and Nasser orchestrated a scheme to defraud mutual funds in the United States and their shareholders through late trading and deceptive market timing. HAL's advisory client, Headstart Fund Ltd., obtained approximately $198 million in illicit profits through this scheme, at the expense of U.S. mutual funds and their shareholders. The Commission named the Headstart Fund as a relief defendant.

The Commission's complaint names the following defendants/relief defendant:

HAL is an investment adviser based in London, England. During the relevant period, HAL served as the investment adviser to Headstart Fund. HAL was formerly known as Folkes Asset Management Ltd.

Nasser, age 39, is a resident of the Principality of Monaco. Nasser joined HAL in 1997 and has served as HAL's Chief Investment Adviser. Nasser is currently HAL's sole director. Nasser is a graduate of the London School of Economics with a master's degree in accounting and finance.

Headstart Fund was incorporated in the Bahamas in December 2001 as an open-ended company with limited liability.
The Commission's complaint alleges the following. From approximately September 1998 through September 2003, HAL actively traded U.S. mutual funds through Headstart Fund's accounts at numerous broker-dealers in the United States. HAL routinely engaged in late trading of U.S. mutual funds. HAL placed orders on behalf of its client, the Headstart Fund, to buy, redeem, or exchange mutual fund shares after the 4:00 p.m. Eastern Time (ET) market close while still receiving the current day's mutual fund price. This illegal practice enabled Headstart Fund to profit — at the expense of other shareholders in the U.S. mutual funds — from market events that occurred after 4:00 p.m. ET, but that were not reflected in the price that Headstart Fund paid for the mutual fund shares.

HAL and Nasser also used deceptive techniques to market time U.S. mutual funds. For example, HAL opened numerous accounts on behalf of Headstart Fund at various U.S. broker-dealers, and split Headstart Fund trades among multiple accounts to keep the size of the trades below a certain threshold that mutual funds monitored in order to conceal the extent of Headstart Fund's trading from U.S. mutual fund companies. HAL also used multiple accounts so that when a U.S. mutual fund company detected Headstart Fund's market timing and informed the U.S. broker-dealers through whom the trades had been placed to stop, HAL would simply transfer funds to a new brokerage account of which the U.S. mutual fund company was not yet aware, and then resume market timing within the same U.S. mutual fund company.

HAL, Nasser, and Headstart Fund benefited from this late trading and deceptive market timing at the expense of other shareholders in the U.S. mutual funds. Headstart Fund earned illicit profits of approximately $198 million from its late trading and deceptive market timing of U.S. mutual funds. HAL and Nasser obtained ill-gotten gains from the late trading and deceptive market timing scheme through, among other things, their receipt of performance and management fees for managing the Headstart Fund.

As a result of this conduct, HAL and Nasser violated Section 17(a) of the Securities Act of 1933, and violated, or aided and abetted violations of, Section 10(b) of the Securities Exchange Act of 1934, and Rule 10b-5. The complaint seeks as relief a final judgment: (i) permanently enjoining HAL and Nasser; (ii) ordering HAL, Nasser, and the Headstart Fund to disgorge their ill-gotten gains and to pay prejudgment interest; and (iii) imposing civil money penalties against HAL and Nasser.

SEC Complaint in this matter



sec.gov

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From: anniebonny4/10/2008 6:42:10 PM
   of 121942
 
Shane Traveller

Do you think that SEC action will restrict Shane's activity in the Truks and Caicos Islands???

Javelin/Peacock/Traveller/Sequoia International/GRXI/UCOI/Turks and Caicos Islands
By: anniebonny in FAKE | Recommend this post (0)
Sun, 25 Nov 07 2:19 PM
Boardmark this board | Franklin, Andrews, Kramer & Edelstein Msg. 06265 of 08975
Bet there was one heck of a meeting in TCI!!!!

November 20, 2007 - 9:10 AM EST
GTREX Capital Announces CEO Attendance at Environmental Conference in Support of Acquisition Strategy
GTREX Capital, Inc. (OTCBB: GRXI), a holding company with subsidiary operations in the travel distribution industry, today announced that Steven R. Peacock, consultant chief executive officer for the company, is attending an environmental conference hosted by the government of the Turks and Caicos Islands at which he is exploring additional acquisition opportunities for GTREX Capital. Gary Nerison, chairman of the company's Board of Directors, is attending the event with Mr. Peacock.
....
___________
Item 3.02 Unregistered Sales of Equity Securities.

From September 30, 2004 through March 30, 2005 Unico issued convertible

debentures ("Debentures") aggregating approximately $625,000 to Reef Holding,

Ltd. and approximately $467,500 to Kentan Limited Corp. that were unpaid, and in

default, as of February 9, 2006. The holders of the convertible debentures had

assigned portions of the Debentures to Blue Marble Investments, Outboard

Investments, Umbrella Holdings and Yanzu, Inc. Because Unico, Incorporated

failed to pay the Debentures when due, a total of ten (10) lawsuits were filed

by these Debenture holders against Unico, Incorporated in the Twelfth Circuit

(State) Court in Florida (Case Nos. 2006-CA-003385-NC, 2006-CA-001230-NC, 2006-

CA-001825-NC, 2006-CA-003067-NC, 2006-CA-001229-NC, 2006-CA-002111-NC, 2006-CA-

002597-NC, 2006-CA-003068-NC, 2006-CA-004264-NC and 2006-CA-003851-NC).

The Debentures provided that the principal amount and accrued interest were

convertible, at the option of the holders of the Debentures, into Unico's common

stock at a price per share equal to 50% of the closing bid price of Unico's

common stock as quoted on the OTC Bulletin Board on the immediately preceding

trading day prior to the notice of conversion.

Unico agreed to settle each action by issuing shares of its common stock to the

plaintiffs using a valuation of approximately 14% to 20% of the then existing bid

price of Unico, Incorporated common stock. These shares were issued pursuant to

Section 3(a)(10) of the Securities Act of 1933, as amended, after a hearing with

notice to, and an opportunity to be heard from, interested parties, as to the

fairness of each transaction, by a state court in Florida which specifically

determined, prior to declaring that the transactions were exempt under Section

3(a)(10), that the transactions were fair to the interested parties.

From February 9, 2006 until May 12, 2006, in connection with the exercise of

conversion rights by the holders of the Debentures and pursuant to the

litigation settlements, Unico issued an aggregate of 4,400,668,554 shares of its

common stock.

As a result of the foregoing events, shares of Unico's common stock were issued

to one or more of the Debenture holders on the following dates and in the

following amounts:

1. February 9, 2006 - 173,835,653 shares

2. March 2, 2006 - 325,804,830 shares

3. March 9, 2006 - 371,875,000 shares

4. March 23, 2006 - 526,704,636 shares

5. April 6, 2006 - 566,195,754 shares

6. April 14, 2006 - 599,041,095 shares

7. April 27, 2006 - 1,209,091,038 shares

8. May 11, 2006 - 628,120,548 shares

There were no underwriters involved in any of the stock issuances described

above, and there were no underwriting discounts or commissions paid. The stock

in each transaction was issued pursuant to Section 3(a)(10) of the Securities

Act of 1933 as "securities issued in exchange for one or more bona vide

outstanding securities, claims or property interests . . . where the terms and

conditions of such issuance and exchange are approved, after a hearing upon the

fairness of such terms and conditions . . . ."

As of the date of this report, there are now 4,899,096,450 shares of Unico's

common stock issued and outstanding.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the

Registrant has duly caused this report to be signed on its behalf by the

undersigned hereunto duly authorized.

UNICO, INCORPORATED

(Registrant)

Date: June 5, 2006 By: /s/ Mark Lopez

Mark Lopez

Chief Executive Officer
______________

Blue Marble Investments

BCM Cape Building

Leeward Highway

Providenciales

Turks and Caicos, BWI

Telephone: (649) 946-4514

Attn: Claudette Rigby, President
_________

Reef Holdings Ltd

BCM Cape Building

Leeward Highway

Providenciales

Turks and Caicos, BWI

Attn: Dale Peters
___________
Kentan Limited Corp.
BCM Cape Building
Leeward Highway
Providenciales
Turks and Caico. BMI
Att; Hugh O'neil
Telephone 649-946-4314
____________
I can pretty much guess where the other debenture holders are located - Yanzu, Outboard, Umbrella.
____________

And then we have all the Sequoia International debentures for the other Javelin companies - as addressed by the Derbs:
Posted by: DERBENSKI
In reply to: None

Date:11/21/2007 1:50:26 AM
Post #of 446

Javelin Play: Focus GRXI
Every once and a while a company will release a PR that leaves folks scratching their heads thinking “What the…..” Today was just one of those days and the company was none other than GTREX Capital, Inc. (GRXI)
Apparently, the CEO – Stephen R. Peacock - is looking for acquisitions for its subsidiary, Global Travel Exchange. Now get ready for this….By attending an environmental conference in the Turks and Caicos Islands! The conference is called, "Fostering a Green Culture in Small Island Nations,"
Now many of you are probably having a hard time trying to link up what a travel technology executive is doing attending an environmental conference. You should not feel alone, From reading the stock message board, nobody else seemed to get it either.
So is Mr. Peacock going SCUBA diving and deep sea fishing at an exotic island resort on the backs of GRXI shareholders? Most likely not. My guess is that there is some additional business included and the environmental conference is a secondary issue. In fact, it appears to be more like cover.
So what up? Here is my take. After Mr. Peacock’s company, Javelin Advisory Group got caught up in the “free trading share” BDC disaster, they had been looking for another loophole in the law. Apparently they found one, in Section 3(a)10 of the securities law.
Utilizing this loophole, Javelin Advisory Group companies have been issuing unregistered shares in lawsuit type settlements in the State of Florida, 12th Circuit courtroom in sunny Sarasota.
Starting in the fourth quarter of 2006, all of the Javelin Advisory affiliated companies have had claims filed against them for defaulted debt, which is settled at around 1/5 of market price on the defaulted debt. The plaintiff? In all cases it was Sequoia International.
In a true case of penny stock genius, nobody seemed to have the foresight to realize that it might look slightly strange if all the companies you were involved in were getting sued by the same entity.
Worse, a lawsuit posted by an investor on a stock message board exposed Shane Traveller signing as the representative of this Sequoia entity. This same signature also appeared on a Javelin managed company FCCN, this time as the CEO of Sequoia International.
So who is Shane Traveller? Shane is Steve Peacock’s long time partner in Javelin Advisory Group, who at least by printed report, had left Javelin at around mid year 2006. Shane currently resides as the interim CFO for FCCN.
So if the real reason for zipping off at the last minute to Turks and Caicos is not primarily related to the travel industry, what could be the other business being attended to? Here is a little tidbit. Sequoia is listed as having an address in the Turks and Caicos. So are numerous other entities that have used this same exclusion to obtain unregistered shares with Javelin Advisory Group related companies.
My guess is that other entities will start appearing utilizing the same legal exclusion other than Sequoia International with Javelin involved companies in the near future.
Here are the lawsuit lists against mostly Javelin involved companies along with today’s press release appended below.
Sequoia International

Case Number Uniform Case Number Party 1 / Plaintiff Party 2 / Defendant Filing Date Case Type
2007 CA 013222 NC
582007CA0132220000NC SEQUOIA INTERNATIONAL INC WELL RENEWAL INC 11/1/2007 Contract and Indebtedness - Circuit
2007 CA 012192 NC
582007CA0121920000NC SEQUOIA INTERNATIONAL INC FRANCHISE CAPITAL CORPORATION 10/11/2007 Contract and Indebtedness - Circuit
2007 CA 011858 NC
582007CA0118580000NC SEQUOIA INTERNATIONAL INC ACTIONVIEW ADVERTISING SYSTEMS INC 10/4/2007 Contract and Indebtedness - Circuit
2007 CA 011532 NC
582007CA0115320000NC SEQUOIA INTERNATIONAL INC HAZ HOLDINGS INC 9/27/2007 Contract and Indebtedness - Circuit
2007 CA 011147 NC
582007CA0111470000NC SEQUOIA INTERNATIONAL INC DOLL TECHNOLOGY GROUP INC 9/19/2007 Contract and Indebtedness - Circuit
2007 CA 011148 NC
582007CA0111480000NC SEQUOIA INTERNATIONAL INC TECHALT INC 9/19/2007 Contract and Indebtedness - Circuit
2007 CA 011040 NC
582007CA0110400000NC SEQUOIA INTERNATIONAL INC WELL RENEWAL INC 9/18/2007 Contract and Indebtedness - Circuit
2007 CA 010262 NC
582007CA0102620000NC SEQUOIA INTERNATIONAL INC FRANCHISE CAPITAL CORPORATION 8/30/2007 Contract and Indebtedness - Circuit
2007 CA 010212 NC
582007CA0102120000NC SEQUOIA INTERNATIONAL INC ACTIONVIEW ADVERTISING SYSTEMS INC 8/29/2007 Contract and Indebtedness - Circuit
2007 CA 008978 NC
582007CA0089780000NC SEQUOIA INTERNATIONAL INC WELL RENEWAL INC 8/1/2007 Contract and Indebtedness - Circuit
2007 CA 008979 NC
582007CA0089790000NC SEQUOIA INTERNATIONAL INC ACTIONVIEW ADVERTISING SYSTEMS INC 8/1/2007 Contract and Indebtedness - Circuit
2007 CA 008284 NC
582007CA0082840000NC SEQUOIA INTERNATIONAL INC HAZ HOLDINGS INC 7/18/2007 Contract and Indebtedness - Circuit
2007 CA 007086 NC
582007CA0070860000NC SEQUOIA INTERNATIONAL INC HAZ HOLDINGS INC 6/20/2007 Contract and Indebtedness - Circuit
2007 CA 005891 NC
582007CA0058910000NC SEQUOIA INTERNATIONAL INC WELL RENEWAL INC 5/23/2007 Contract and Indebtedness - Circuit
2007 CA 005892 NC
582007CA0058920000NC SEQUOIA INTERNATIONAL INC CLX INVESTMENT COMPANY INC 5/23/2007 Contract and Indebtedness - Circuit
2007 CA 005515 NC
582007CA0055150000NC SEQUOIA INTERNATIONAL INC WELL RENEWAL INC 5/16/2007 Contract and Indebtedness - Circuit
2007 CA 004918 NC
582007CA0049180000NC SEQUOIA INTERNATIONAL INC HYDROFLO INC 5/2/2007 Contract and Indebtedness - Circuit
2007 CA 004009 NC
582007CA0040090000NC SEQUOIA INTERNATIONAL INC HYDROFLO INC 4/12/2007 Contract and Indebtedness - Circuit
2007 CA 002774 NC
582007CA0027740000NC SEQUOIA INTERNATIONAL INC S3 INVESTMENT COMPANY INC 3/14/2007 Contract and Indebtedness - Circuit
2007 CA 002114 NC
582007CA0021140000NC SEQUOIA INTERNATIONAL INC GLOBAL TRAVEL EXCHANGE INC 2/27/2007 Contract and Indebtedness - Circuit
2006 CA 011599 NC
582006CA0115990000NC OUTBOARD INVESTMENTS
SEQUOIA INTERNATIONAL INC UNICO INCORPORATED 12/6/2006 Contract and Indebtedness - Circuit

Unico Incorporated, a Javelin involved company.
Case Number Uniform Case Number Party 1 / Plaintiff Party 2 / Defendant Filing Date Case Type
2007 CA 010209 NC
582007CA0102090000NC COMPASS CAPITAL GROUP INC UNICO INCORPORATED 8/29/2007 Contract and Indebtedness - Circuit
2007 CA 010210 NC
582007CA0102100000NC OUTBOARD INVESTMENTS LTD UNICO INCORPORTED 8/29/2007 Contract and Indebtedness - Circuit
2007 CA 007088 NC
582007CA0070880000NC OUTBOARD INVESTMENT LTD
COMPASS CAPITAL GROUP INC UNICO INCORPORATED 6/20/2007 Contract and Indebtedness - Circuit
2007 CA 005180 NC
582007CA0051800000NC OUTBOARD INVESTMENTS LTD
COMPASS CAPITAL GROUP INC UNICO INCORPORATED 5/8/2007 Contract and Indebtedness - Circuit
2007 CA 002497 NC
582007CA0024970000NC OUTBOARD INVESTMENTS LTD UNICO INCORPORATED 3/7/2007 Contract and Indebtedness - Circuit
2007 CA 001026 NC
582007CA0010260000NC OUTBOARD INVESTMENTS LTD UNICO INCORPORATED 1/30/2007 Contract and Indebtedness - Circuit
2006 CA 011599 NC
582006CA0115990000NC OUTBOARD INVESTMENTS
SEQUOIA INTERNATIONAL INC UNICO INCORPORATED 12/6/2006 Contract and Indebtedness - Circuit
2006 CA 011600 NC
582006CA0116000000NC COMPASS CAPITAL GROUP INC UNICO INCORPORATED 12/6/2006 Contract and Indebtedness - Circuit
2006 CA 010492 NC
582006CA0104920000NC UMBRELLA HOLDINGS
BLUE MARBLE INVESTMENTS
KENTAN LIMITED CORP
REEF HOLDINGS LTD
OUTBOARD INVESTMENTS
YANZU INC UNICO INCORPORATED 11/1/2006 Contract and Indebtedness - Circuit
2006 CA 010169 NC
582006CA0101690000NC REEF HOLDINGS LTD CORP
KENTAN LIMITED CORP
YANZU INC UNICO INCORPORATED 10/25/2006 Contract and Indebtedness - Circuit
2006 CA 010171 NC
582006CA0101710000NC COMPASS CAPITAL GROUP UNICO INCORPORATED 10/25/2006 Contract and Indebtedness - Circuit
2006 CA 010172 NC
582006CA0101720000NC UMBRELLA HOLDINGS UNICO INCORPORATED 10/25/2006 Contract and Indebtedness - Circuit
2006 CA 010173 NC
582006CA0101730000NC OUTBOARD INVESTMENTS UNICO INCORPORATED 10/25/2006 Contract and Indebtedness - Circuit
2006 CA 009619 NC
582006CA0096190000NC COMPASS CAPITAL GROUP INC UNICO INCORPORATED 10/12/2006 Contract and Indebtedness - Circuit
2006 CA 009620 NC
582006CA0096200000NC KENTAN LIMITED CORP
REEF HOLDINGS LTD CORP BLUE MARBLE INVESTMENTS UNICO INCORPORATED 10/12/2006 Contract and Indebtedness - Circuit
2006 CA 009621 NC
582006CA0096210000NC REEF HOLDINGS LTD UNICO INCORPORATED 10/12/2006 Contract and Indebtedness - Circuit
2006 CA 009020 NC
582006CA0090200000NC OUTBOARD INVESTMENTS
KENTAN LIMITED CORP
UMBRELLA HOLDINGS
BLUE MARBLE INVESTMENTS
REEF HOLDINGS LTD
YANZU INC UNICO, INCORPORATED 9/26/2006 Contract and Indebtedness - Circuit
2006 CA 008312 NC
582006CA0083120000NC COMPASS CAPITAL GROUP INC UNICO INCORPORATED 9/7/2006 Contract and Indebtedness - Circuit
2006 CA 008313 NC
582006CA0083130000NC BLUE MARBLE INVESTMENTS
KENTAN LIMITED CORP UNICO INCORPORATED 9/7/2006 Contract and Indebtedness - Circuit
2006 CA 008314 NC
582006CA0083140000NC REEF HOLDINGS LTD UNICO INCORPORATED 9/7/2006 Contract and Indebtedness - Circuit
2006 CA 008091 NC
582006CA0080910000NC UMBRELLA HOLDINGS AND OUTBOARD INVESTMENTS
KENTAN LIMITED CORP
YANZU INC
BLUE MARBLE INVESTMENTS UNICO INCORPORATED 8/31/2006 Contract and Indebtedness - Circuit
2006 CA 008094 NC
582006CA0080940000NC KENTAN LIMITED CORP
REEF HOLDINGS LTD UNICO INCORPORATED 8/31/2006 Contract and Indebtedness - Circuit
2006 CA 007516 NC
582006CA0075160000NC COMPASS CAPITAL GROUP UNICO INCORPORATED 8/17/2006 Contract and Indebtedness - Circuit
2006 CA 007517 NC
582006CA0075170000NC YANZU INC
OUTBOARD INVESTMENTS
BLUE MARBLE INVESTMENTS
UMBRELLA HOLDINGS
KENTAN LIMITED CORP
REEF HOLDINGS LTD CORP UNICO INCORPORATED 8/17/2006 Contract and Indebtedness - Circuit
2006 CA 004264 NC
582006CA0042640000NC YANZU INC
REEF HOLDINGS LTD CORP
BLUE MARBLE INVESTMENTS
KENTAN LIMITED CORP
OUTBOARD INVESTMENTS
UMBRELLA HOLDINGS UNICO INCORPORATED 5/10/2006 Contract and Indebtedness - Circuit
2006 CA 003851 NC
582006CA0038510000NC REEF HOLDINGS LTD
YANZU INC
UMBRELLA HOLDINGS
OUTBOARD INVESTMENTS
BLUE MARBLE INVESTMENTS
KENTAN LIMITED CORP UNICO INCORPORATED 4/27/2006 Contract and Indebtedness - Circuit
2006 CA 003385 NC
582006CA0033850000NC BLUE MARBLE INVESTMENTS
REEF HOLDINGS LTD CORP
YANZU INC
OUTBOARD INVESTMENTS
UMBRELLA HOLDINGS UNICO INCORPORATED 4/13/2006 Contract and Indebtedness - Circuit
2006 CA 003067 NC
582006CA0030670000NC YANZU INC
UMBRELLA HOLDINGS
OUTBOARD INVESTMENTS
BLUE MARBLE INVESTMENTS
REEF HOLDINGS LTD
KENTAN LIMITED CORP UNICO INCORPORATED 4/5/2006 Contract and Indebtedness - Circuit
2006 CA 003068 NC
582006CA0030680000NC YANZU INC
KENTAN LIMITED CORP
OUTBOARD INVESTMENTS
UMBRELLA HOLDINGS
REEF HOLDINGS LTD CORP
BLUE MARBLE INVESTMENTS UNICO INCORPORATED 4/5/2006 Contract and Indebtedness - Circuit
2006 CA 002597 NC
582006CA0025970000NC REEF HOLDINGS LTD CORP
BLUE MARBLE INVESTMENTS
KENTAIN LIMITED CORP
OUTBOARD INVESTMENTS
UMBELLA HOLDINGS
YANZU INC UNICO INCORPORATED 3/23/2006 Contract and Indebtedness - Circuit
2006 CA 002111 NC
582006CA0021110000NC UMBRELLA HOLDINGS
OUTBOARD INVESTMENTS
REEF HOLDINGS LTD
BLUE MARBLE INVESTMENTS
YANZU INC UNICO INCORPORATED 3/9/2006 Contract and Indebtedness - Circuit
2006 CA 001825 NC
582006CA0018250000NC UMBRELLA HOLDINGS
YANZU INC
KENTAN LIMITED CORP
REEF HOLDINGS LTD
BLUE MARBLE INVESTMENTS
OUTBOARD INVESTMENTS UNICO INCORPORATED 3/1/2006 Contract and Indebtedness - Circuit
2006 CA 001229 NC
582006CA0012290000NC YANZU INC
BLUE MARBLE INVESTMENTS
REEF HOLDINGS LTD
UMBRELLA HOLDINGS
OUTBOARD INVESTMENTS UNICO INCORPORATED 2/9/2006 Contract and Indebtedness - Circuit
2006 CA 001230 NC
582006CA0012300000NC KENTAN LIMITED CORP
COMPASS CAPITAL GROUP INC UNICO INCORPORATED 2/9/2006 Contract and Indebtedness - Circuit

______________

Sequoia International, Inc
Leeward Hwy, Providenciales

Turks & Caicos Islands

____________



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From: anniebonny4/10/2008 7:04:19 PM
   of 121942
 
Shane Traveller - AERP - Aero Performance

Wonder how long it will be before he steps down???

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, Shane Traveller, certify that:

1. I have reviewed this quarterly report on Form 10-QSB of Aero Performance
Products, Inc.;

(2) Based on my knowledge, this report does not contain any untrue statement of
a material fact or omit to state a material fact necessary to make the
statements made, in light of the circumstances under which such statements were
made, not misleading with respect to the period covered by this report;

(3) Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material respects the
financial condition, results of operations and cash flows of the registrant as
of, and for, the periods presented in this report;

(4) The registrant's other certifying officer(s) and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial
reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the
registrant and have:

(a) Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our supervision, to
ensure that material information relating to the registrant, including its
consolidated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such
internal control over financial reporting to be designed under our supervision,
to provide reasonable assurance regarding the reliability of financial reporting
and the preparation of financial statements for external purposes in accordance
with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and
procedures and presented in this report our conclusions about the effectiveness
of the disclosure controls and procedures, as of the end of the period covered
by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control
over financial reporting that occurred during the registrant's most recent
fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual
report) that has materially affected, or is reasonably likely to materially
affect, the registrant's internal control over financial reporting; and

(5) The registrant's other certifying officer(s) and I have disclosed, based on
our most recent evaluation of internal control over financial reporting, to the
registrant's auditors and the audit committee of the registrant's board of
directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or
operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant's ability to record, process,
summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal control over
financial reporting.

Date: February 13, 2008 By: /s/ Shane Traveller
Shane Traveller, Chief Financial Officer

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To: anniebonny who wrote (103278)4/10/2008 8:47:34 PM
From: StockDung
   of 121942
 
Shane H. Traveller Investor Relations:Geoffrey Eiten
------------------------------------------

Aussie Apparel Forms Independent Board Of Directors; Forms New Audit Committee
LOS ANGELES, June 4, 2003 (PRIMEZONE) -- Aussie Apparel Group Ltd. (OTCBB:AASI) announced today that it has restructured its board of directors resulting in a majority of its directors becoming independent. The new board of directors, which will be presented to the shareholders for ratification at the next shareholder meeting, now consists of three members, two of whom are independent. Mr. Bruce MacGregor, President & CEO of Aussie Apparel, will continue in his position as Chairman of the board of directors.

The two new individuals appointed to the board, effective May 31, 2003, are Shane H. Traveller and Scott Battenburg. Ms. GiGi Carrano, who had served as company secretary, resigned from the board of directors, also effective May 31, 2003. Ms. Carrano will continue her role as an executive assistant to the board and management team. The Company also announced that the board of directors has formed an Audit Committee consisting of Mr. Traveller and Mr. Battenburg, with Mr. Traveller serving as the Audit Committee Chairman. The newly formed Audit Committee will be responsible for confirming and working with the Company's independent auditor and will have an active role in ensuring that the financial statements accurately reflect the financial conditions of the Company.

Bruce MacGregor, Aussie Apparel's President & CEO, said, "I am pleased that we have been able to attract an independent board of directors of such high caliber. While very few Bulletin Board companies have voluntarily put an independent board of directors in place, we felt it would assist the company in maintaining its drive for excellence at every level. The full implementation of our plan requires that we surround ourselves with a team that has significant financial and operational expertise. By creating a seasoned and independent board of directors we put another strong brick into the foundation of our company which is a critical step in ensuring the continued trust of all of our shareholders."

Mr. Shane H. Traveller is a Certified Public Accountant who has served on several boards of directors and is presently also the Audit Committee Chairman for San Diego Soccer Development Corporation. Mr. Traveller previously served as President and Chief Operating Officer of Trimedyne, Inc., a medical device manufacturer, after serving as that company's Chief Financial Officer. Prior to Trimedyne, he was the co-founder and Chief Financial Officer of Pyro Shield, Inc., and Chief Financial Officer of Worldwide Investment Network, Inc. Mr. Traveller gained his public accounting experience working for Arthur Andersen, LLP and Corbin & Wertz, LLP, after obtaining his accounting degree from Brigham Young University.

Mr. Scott Battenburg is the Director of Financial Planning and Analysis for Virgin Entertainment Group, Inc., where he is responsible for financial and strategic planning as well as risk and inventory management. Before joining Virgin Entertainment, Mr. Battenburg was Chief Financial Officer of Razor USA, LLP and, before that, was Vice President of Financial Planning for The Money Store. Mr. Battenburg also held several positions with LA Gear, Inc., the last of which was Director of Sales and Marketing Analysis. Mr. Battenburg previously worked for KPMG Peat Marwick and has a degree in business administration from California Polytechnic State University, San Luis Obispo, CA.

About Aussie Apparel Group, Ltd.

Aussie Apparel Group is an emerging growth apparel company focused on the rapidly growing extreme-sports apparel market, both domestically and internationally, utilizing a multi-branded and multi-distribution channel approach. According to Sporting Goods Intelligence, the US sports apparel market was an estimated $19.08 billion at wholesale in 2002. The Company currently owns four brands, including Hot Tuna, which is focused on the surfing enthusiast, Xisle, a mid-tier label that targets both the surf and skate market, and Piranha Boy and Piranha Girl, directed at the children's market with surf inspired apparel for the mass-market. For more information visit: aussieapparelgroup.com.

Safe Harbor:

This release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The risks and uncertainties that may affect the operations, performance development and results of the Company's business include but are not limited to fluctuations in financial results, availability and customer acceptance of our products and services, the impact of competitive products, services and pricing, general market trends and conditions, and other risks detailed in the Company's SEC reports.

CONTACT: For Aussie Apparel Group, Ltd.
Investor Relations:
Geoffrey Eiten
(781) 444-6100, ext. 613
geiten@otcfn.com

Company information:
(562) 983-8045
info@aussieapparelgroup.com

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Keywords: TEXTILES, MANAGEMENT CHANGES

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To: anniebonny who wrote (103278)4/10/2008 8:49:39 PM
From: StockDung
   of 121942
 
Mr. Traveller gained his public accounting experience working for Arthur Andersen, LLP and Corbin & Wertz, LLP, after obtaining his accounting degree from Brigham Young University.

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