Seafarer Exploration Corp (SFRX)

[hedge_fun]

So where are the Form 4's? They filed none.......

since 2013 until recently, and the numbers simply don't add up. And remember, Kyle told the Judge this, and I would ask about the Form 4's when Kyle gets deposed next month.

THE WITNESS: No, sir, unless one of my brothers.
8 I've got three brothers, my parents, and my daughters.
9 And the only one that may have sold some stock for tax
10 reasons was my youngest brother.
11 THE COURT: How many shares might he have sold?
12 THE WITNESS: An insignificant amount, Your Honor.
13 THE COURT: Less than a thousand?
14 THE WITNESS: Oh, he might have sold --
15 MR. HUFFMAN: You've got to understand --
16 THE COURT: I realize it's a penny stock. Just
17 answer the question.
18 MR. HUFFMAN: Below a penny.
19 THE COURT: Yeah, I realize that.
20 THE WITNESS: He might have sold a million shares,
21 but --
22 THE COURT: That would be $10,000 -- less than
23 $10,000.
24 THE WITNESS: Yes. But he owns maybe between
25 20 and 30 million shares, maybe more.

https://www.scribd.com/doc/309769190/4-7-16-SFRX-vs-Volentine-Hearing

Their attorney Cliff Hunt sent me this in March.....

As someone who purports to have expertise in the realm of public companies, you are aware that whenever an officer, director or "affiliate" of a public company sells common stock issued by such company, a Form 4 must be filed with the SEC disclosing such sale. The public filings of Company demonstrate that neither Mr. Kennedy nor any member of his family has filed any Form 4. As such, they have not engaged in any sales that would require any such filings. Your allegation that the Company and Mr. Kennedy are engaged in a "pump and dump scheme" is at best, reckless and more probable, intentionally malicious.

I call it a pump and dump scheme for many reasons, but this is what the SEC says in bold.....

The charges stem from an SEC enforcement initiative focusing on two types of ownership reports that give investors the opportunity to evaluate whether the holdings and transactions of company insiders could be indicative of the company’s future prospects. Form 4 is a report that corporate officers, directors, and certain beneficial owners of more than 10 percent of a registered class of a company’s stock must use to report their transactions in company stock within two business days. Schedule 13D and 13G are reports that beneficial owners of more than 5 percent of a registered class of a company’s stock must use to report holdings or intentions with respect to the company. SEC enforcement staff used quantitative data sources and ranking algorithms to identify these insiders as repeatedly filing late. Some filings were delayed by weeks, months, or even years.

https://www.sec.gov/News/PressRelease/Detail/PressRelease/1370542904678

2 of the Form 4's filed in 2013 for Branscum were from transactions in 2011 and 2012. The 3rd was about 8 months after the transaction occurred in 2013. But there is nothing filed for 2014 or 2015, and SFRX says shares were issued.

https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001106213&owner=only&count-40

During the year ended December 31, 2014, the Company paid a fee of 2,000,000 restricted shares of its common stock to Dr. Robert Kennedy, valued at $29,000, in exchange for his participation as a member of the Board of Directors.

Page 27 here: https://www.sec.gov/Archives/edgar/data/1106213/000119983515000091/seafarer_10k-06335.htm

These are the missing shares. They aren't reflected in the latest Form 4's.

During the year ended December 31, 2015 the Company paid a fee of 8,000,000 restricted shares of its common stock to Mr. Branscum, valued at $48,000, in exchange for his participation as a member of the Board of Directors.

During the year ended December 31, 2015 the Company paid a fee of 6,000,000 restricted shares of its common stock to Dr. Kennedy, valued at $36,000, in exchange for his participation as a member of the Board of Directors.

Page 28 here: https://www.sec.gov/Archives/edgar/data/1106213/000119983516000734/seafarer_10k-16823.htm