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   Technology StocksAremisSoft Corporation (AREM)

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To: Arcane Lore who wrote (663)10/9/2001 7:53:41 AM
From: long-gone
   of 683
Friday October 5, 1:21 am Eastern Time
CORRECTED - CORRECTED-AremisSoft ex-execs' assets frozen by judge-SEC
In Oct 4 Washington story headlined ``AremisSoft, ex-execs assets frozen by judge-SEC,'' please read headline as ``AremisSoft ex-execs' assets frozen by judge-SEC.''

In first paragraph, please read ``.... froze the bank and broker assets of AremisSoft's former top executives....'' instead of ``...froze the bank and broker assets of AremisSoft ...''

In second paragraph, please read ``.... froze the assets of....'' instead of ``...also froze the assets of...''

(Corrects to show assets of company were not frozen. Also adds clarification from company lawyer in paragraph 3 and adds comment from company executive in paragraph 4).

A corrected version follows.

WASHINGTON, Oct 4 (Reuters) - A federal judge froze the bank and broker assets of AremisSoft's former top executives on Thursday, at the request of U.S. regulators who alleged the software maker overstated revenues and inflated the value of its customer contracts and acquisitions.

The Southern District of New York Court froze the assets of AremisSoft's former chairmen and chief executive officers Roys Poyiadjis and Lycourgos Kyprianou after the Securities and Exchange Commission alleged the men engaged in massive insider trading.

AremisSoft's assets were not frozen, the company's lawyer and chief executive officer said.

``The company is cooperating with the Securities and Exchange Commission and the U.S. Attorney's office in its investigation,'' George Ellis, AremisSoft's current CEO, told Reuters.

The New York-based company, which has offices in London, Cyprus and India, misled investors two years ago when it announced a $37.5-million agreement to automate Bulgaria's national health care system, the SEC alleged in its complaint.

The value of that contract was no more than $3.7 million, the regulator said.

The firm's Cyprus-headquartered Emerging Markets group, reported roughly $89 million of the total $120 million AremisSoft made in 2000 sales revenue.

But most of that $89 million were from sales that never took place, the SEC alleged, adding that AremisSoft also falsified its book and records to hide the fact that it was not getting cash.

Poyiadjis and Kyprianou also engaged in ``massive insider trading during the period of reported fraud'', the SEC said, selling millions of shares through offshore facilities.

The two men made around several hundred million dollars from those sales, SEC's Assistant Director for Enforcement Richard Sauer said.

The court order directs the men to pay back the money made from stock sales. The amount has yet to be determined.

The attorney for Poyiadjis declined to comment on Thursday's SEC complaint. Kyprianou does not have legal representation, the SEC said.

The New York-based company was delisted from the Nasdaq in August and now trades on the pink sheets. It last traded at 69 cents.

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To: long-gone who wrote (664)12/12/2001 11:48:03 PM
From: ACAN
   of 683
AREM has now gone up 150% in the last 2 weeks, just in case anybody still cares.


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To: ACAN who wrote (665)12/13/2001 12:07:19 AM
From: JohnD
   of 683
I'm sure there are some people who care. After all, the stock got so badly beaten, it is not worth selling unless you really need a loss this year. I suspect most have other stocks to sell, while we wait to see where this mess ends up, for the next few quarters~
JohnD-still holding AREM, in my IRA ;<)

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To: JohnD who wrote (666)12/13/2001 12:11:38 AM
From: ACAN
   of 683
Hi John; Me, too. Good luck to you. I certainly hope it's new direction pans out for you.


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To: ACAN who wrote (667)12/13/2001 12:33:19 AM
From: JohnD
   of 683
It has a lot of "panning" to do. This stock is (was) the bulk of my IRA. I see no viable option but to hang in there.<g>
Best of luck,

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To: benchpress550 who wrote (615)1/29/2002 8:08:49 PM
From: Sir Auric Goldfinger
   of 683
I know that you like to keep up on your largest holding, so I thought I'd pass this on. You do own a 100 lot of AhRheemYaSoft doncha?!?:

"AremisSoft Fires Auditor PKF After Reports Disavowed (Update2)
2002-01-29 18:22 (New York)

AremisSoft Fires Auditor PKF After Reports Disavowed (Update2)

(Adds AremisSoft seeking new auditor in fifth paragraph.)

Washington, Jan. 29 (Bloomberg) -- AremisSoft Corp. fired its
outside auditor, PKF, a month after the firm disavowed its audit
reports on the business-management software maker's financial
statements because of accounting questions.
Minneapolis-based AremisSoft has said it expects to restate
past results because it can't confirm $90 million of revenue
reported last year by its Emerging Markets Group. PKF, formerly
known as Pannell Kerr Forster, said last month its reports
affirming AremisSoft's 1999 and 2000 financial statements
shouldn't be relied upon by investors.
The auditor's disavowal was one of a series of blows against
the company, beset by investor lawsuits and government
investigations. AremisSoft also announced 150 job cuts last month,
and its shares have fallen to 83 cents, down 3 cents today.
AremisSoft's board, on the recommendation of its audit
committee, ``determined to dismiss'' PKF Jan. 23, the company said
in a filing with the Securities and Exchange Commission.
No replacement was named in the filing. A spokeswoman said
the company is still conducting a search. She declined to comment
further about PKF's dismissal.
Aside from the disavowal, ``to the knowledge of current
management of AremisSoft, there were no disagreements'' with PKF
that would have resulted in an adverse audit report the past two
years, the filing said. The company is requesting PKF to furnish a
letter affirming that statement.
AremisSoft has dismissed PKF at least once before. While
preparing to go public, the company replaced the firm with Ernst &
Young in May 1998. Then AremisSoft hired back PKF in December the
same year, before completing its initial public offering in April
1999, according to SEC filings.
While AremisSoft didn't name a new auditor in today's filing,
the company hired Deloitte & Touche LLP forensic accountants to
assist in its internal investigation of the overseas operations
beginning last August, according to the filing.
The subjects of the probe include operations in Cyprus and a
contract with the Bulgarian national health system, for which PKF
was able to confirm only $1.7 million of $7.1 million in revenue
recognized by AremisSoft.
Officials at London-based PKF couldn't be reached for

--John Rega in Washington (202) 624-1907 or
Editor: Arthur

Story Illustration: To chart the performance of AremisSoft shares
against broader markets: {AREM US <Equity> COMP <GO>}.

Company News:
AREM US <Equity> CN
5091Z US <Equity> CN
5092Z US <Equity> CN

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To: Sir Auric Goldfinger who wrote (669)1/29/2002 9:42:38 PM
From: benchpress550
   of 683
try options big boy....2. better look for another reason why your on my sh!T list. I give you a hint..... I HATE TWO FACED LIARS

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To: benchpress550 who wrote (670)3/25/2002 8:25:36 PM
From: Sir Auric Goldfinger
   of 683
AremisSoft Ex-Chairman Poyiadjis Indicted for Fraud. New York,
March 25 (Bloomberg) -- AremisSoft Corp.'s former
chairman and
co-chief executive, Roys Poyiadjis, has been indicted for fraud in a scheme
that cost investors at least $300 million,authorities said.
Federal prosecutors unsealed an indictment last month against
Poyiadjis, a British citizen now living in Cyprus, though they
didn't publicly announce it. The charge came to light in a case
filed Friday in which prosecutors say they are seeking to seize
$175 million in illicit profits diverted to two overseas banks by
Poyiadjis and co-CEO Lycourgos Kyprianou.
AremisSoft filed for bankruptcy on March 15. The maker of
business-management software has said it can't substantiate $90
million in revenue booked by its Emerging Markets Group. In
October, the Securities and Exchange Commission charged Poyiadjis
and Kyprianou with making more than $300 million in secret stock
sales while AremisSoft was reporting inflated revenue.
``While the public was being misled about the true nature of
AremisSoft and its revenues, Poyiadjis and Kyprianou capitalized
on that fraud by secretly selling millions of AremisSoft shares
through nominee corporations and offshore accounts,'' prosecutors
said in a civil forfeiture complaint.
U.S. prosecutors are seeking to seize funds held at Fleming
Bank and Standard Bank, both in the Isle of Man.

Inflated Revenue

A spokeswoman for Minneapolis-based AremisSoft didn't have an
immediate comment. Shares in the company, which in early 2001 was
worth more than $1 billion, rose one cent to 51 cents in afternoon
trading. The company's stock is now worth $20 million, though
under a proposed reorganization, all shares will be cancelled,
according to a filing with the SEC.
The SEC says Poyiadjis made about $175 million in illegal
profits from trading company stock in 2000, and Kyprianou made at
least $125 million. The two sold AremisSoft stock through offshore
entities after the company inflated its revenue, which drove up
the stock price, prosecutors said.
Prosecutors say AremisSoft inflated revenue by ``grossly''
overstating the value of its contracts, or even making them up,
and by exaggerating the size of several acquisitions.
In 1999, for instance, the company, then based in Westmont,
New Jersey, announced that it obtained a $37.5 million health
computer contract with the National Health Insurance Fund of
Bulgaria, authorities said. The Bulgarian government said last
year that the contract's value was actually $3.9 million.
Poyiadjis, who once lived in New York, hasn't responded to
the indictment, according to court records. There's no indication
in records that Kyprianou has been similarly charged. A spokesman
for U.S. Attorney James Comey didn't have an immediate comment.
In the forfeiture case, prosecutors say they've traced $175
million of the ``hundreds of millions'' that Poyiadjis and
Kyprianou ``stole'' to four accounts at the two banks. Prosecutors
want U.S. District Judge Thomas Griesa to authorize seizure of the

--David Glovin in U.S. District Court in New York at (212) 732-
9245, or at, through the New York newsroom
(212) 893-3665. Editor: Pinsley

Story illustration: For graph of AremisSoft stock, type
{AREM US <Equity> GPO <GO>}

AREM US <Equity> CN

NI Codes

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To: Sir Auric Goldfinger who wrote (671)3/26/2002 12:03:55 PM
From: benchpress550
   of 683
Good and I hope they go after your sorry ass next so you can a three way with bubba in jail.

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To: Arcane Lore who wrote (663)6/25/2002 10:48:07 AM
From: Arcane Lore
   of 683
From today's online NY Times:

3 From Software Maker Are Indicted


Three former executives with the software maker AremisSoft Corporation were charged yesterday with insider trading, money laundering and accounting fraud.

A securities fraud indictment filed in federal court in Manhattan accused the company's former co-chief executives, Lycourgos Kyprianou and Roys Poyiadjis, and its former president, M. C. Mathews, of conspiring to bilk shareholders out of hundreds of millions of dollars.

Mr. Kyprianou, 47, and Mr. Poyiadjis, 36, who would each face up to 20 years in prison if convicted, remain free in Cyprus, prosecutors said. Mr. Mathews, who would face up to 10 years, is free in India.

From 1999 through 2001, the three men reportedly inflated the company's stock by fabricating $90 million in fictitious earnings and announcing multimillion-dollar acquisitions of sham software companies. The plan resulted in $250 million in insider-trading profits, which were laundered through offshore bank accounts, court papers said.

Authorities said they had seized about $175 million of the illicit proceeds in bank accounts in the Isle of Man.

AremisSoft, a maker of software and Internet solutions for the manufacturing, hospitality, health care and construction industries, filed earlier this year for bankruptcy protection amid a Securities and Exchange Commission investigation and moved its headquarters from New Jersey to Minnesota.

Copyright 2002 The New York Times Company

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