Revolutionary Concepts Inc (fka REVO)

[Krysti]

REVO is a scam stock,Lantern. Plain and simple.

It has no underlying business, and exists to make money by creating and selling shares.

The 10-Q shows that all of the real action is detailed in the convertible loan notes that Carter and Ali issue to themselves and associates. Selling those loan notes is how Carter and Ali meet their costs. It's also how they dispose of shares without filing an SEC Form 4.

The associated investors are all directly linked to Rainco, which is Ali's main company (and which he still controls). Those inside investors convert the notes into shares, at a huge discount, and then sell them to retail buyers. The direct link to Ali means that they know when a PR is to be issued to spike volume in the stock.

The 10-Q spells it out. In the month of January REVO issued 43m shares to settle debt and interest totaling $35k. That translates to a pps of $0.0008.
Source: REVO 10-Q for Q2 at pages 15-16 http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=10182329

Those shares, which became unrestricted in August, can be sold at a profit, even if the share price falls into the triple zeroes. So, REVO is a one-way bet for those 'investing' through Rainco.

By contrast, to the pages of detail about the sales of convertible debt, the 10-Q contains virtually nothing about the underlying business. And reports nothing new from the 10-Q for Q1.

To answer your question, directly: Ali and Carter are able to get away with this level of deception because there are people who ride on the back of their deception. Those trader/investors feed the deception. For example, they spread rumors by 'speculating' which $50bn company is the licensee. They do this, despite knowing that the licensee is a front for Ali and Carter to hide behind. They do it, so that they can offload their shares to newbies, and greedies, who are drawn in when the stock is pumped by 'news'.

The Market Makers depend on the volume of share trading, particularly the spikes created by speculative 'news'.

So long as REVO doesn't make the deception too obvious it stays below the SEC radar. And the SEC has bigger targets to chase.

It's no more complicated than that.