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HERE'S THE STUPID MOVIE THAT FNAT OR FIRST NATIONAL FILM COMPANY ACTUALLY MADE. I'M ONE OF THE ORIGINAL SHAREHOLDERS AND I CAN'T EVEN REMEMBER HOW MUCH I LOST BUT IT WAS QUITE A BIT. Phyllis Diller was one of the voices in it and I think Vincent Price but can't remember for sure,.. Can't believe I found this. BAD MEMORY!
FNAT: CUSIP suspended. FINRA deleted symbol:
http://otce.finra.org/DLDeletions
Looks like this thing is still trading.....
Dead illiquid stock, never to be revived.
jmo
True...but isn't great that a still trading stock lets you do that? It is still trading....you are correct on all your points about the previous ownership. We are looking forward....this is a shell...
This is a perfect shell takeover. Everyone is in jail, plus you can still trade it.
Worthless Share Writeoff only.
jmo
DEAD hijacked scam.
jmo
NO officers. NO directors. NO offices. Nothing at the FNAT scam.
Hows that for facts???? LMAO
jmo
FNAT- ZZZZZZZZZZZZZZ, same old dated claims, and zero facts about FNAT...
Of course I only speak for the USA....I don't follow 'THE CANUCK DAILY'...
lololololololololol
Want Facts?? Google it. Hijacked Shell. Thats FNAT. And the info is readily available for anyone with half an inkling and a computer.
Sooo Easy to find info about this scam.
LOLOLOL
jmo
Of course no facts, evidence, etc....but thanks for a factless post on FNAT..
Hijacked Shell with ILLEGAL shares.
Thats the definition of a Dirty shell ... and that is FNAT!!!
LOLOLOLOLOLOL
jmo
That is the definition of a shell...lmaoooooooooooo
Perfect scenario for a pick up....and KABOOOOOOOOOOOOMMMMMMM
As put, no debt, no illegal shares coming.....unreal....that is perfect!!!!!!!!!!!!! Clean shell like I have been sharing...
Thanks for the semi informative opinion post, although that post contains absolutely zero facts it does cover that this is a clean shell.....
Anyone who bought a ton of shares from an offshore company thinking they cut corners gets what they deserve, illegally buying = no shares to cash in on...lololololololololol.....
Illegal Shares were issued when HIJACKED. Those are never coming back and forever make this shell dirty.
And it has NO, NONE, NADA, NIL, NYET operations.
lmao
jmo
LMAOOOOOOOO......FNAT, No longer hijacked, they got caught was the newzzzzzzzzzzzz.....Clean Shell, ready to be picked up and KABOOOOOOM.......
ZERO, absolutely ZERO proof of illegal shares issued as they would have been eliminated during investigation or was all that overlooked, lolzzzzzzzzzzzzz .....Just the FACTS, not false bloated fictional claims...
JMHO....
lololololololol
RED is the color of this Scam. Losses persist.
lol
jmo
"Almost" for FNAT.....has lookers...lololololol
Nothing will stop it...lmaooooo..I'm just here for the fireworks.....mine will be green....
Still a hijacked shell with ILLEGAL shares issued.
No officers, No directors and NO operations.
jmo
It's done, FNAT is a shell...REAL DD..
Old news is old news...lolololol...
Gonna pop , they all do.....!!!!
Want to see the court case and charges against this Scam and its officers??
A little real DD will reveal that!!
LMAO
jmo
Almost NEVER trades. Just a dead scam.
LOLOLOL
jmo
Zactly...a FNAT post with no basis of any facts or figures... off course unless 'too many' is now a fiscal term....
The post supports no facts, no names, no trail.....hmmmmmm.....
This FNAT puppy is clean or it would have been delisted after all the investigations if it was a scam...
lolololololol
of course JMHO.....
FNAT is trading...lmaooooooooo.....and listed, of course in the USA....not sure about Canada but does that even matter????????
Old boring news about the hijacking scheme.....they got caught....
This shell will KABOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOM.....
JMHO
.....lolololol....
FNAT - False Statements, inaccurate assumptions, and flat out lies just follow many equities around.
I have no idea about Canuck land as I trade in the lower 48's...so in that case, who cares what they do up there on those puny exchanges, lolzzzzzzzzzzzzz.....
Now if there is screaming about it, then you really need to question the sources you obtain your information from while you do your DD...
Too many Illegal shares issued on this scam for it to ever be considered clean.
lol
jmo
Wrong. The shell is not clean and the SEC said as much.
Huge fines and penalties outstanding.
jmo
Wrong. The SEC Suspended it. Charged it and sent its officers to prison.
No one left in this hijacked shell.
jmo
FNAT - I always wonder why false statements are made on purpose as towards FNAT.... Whilst the scam artist who tried to hijack FNAT is gone, this a clean shell.....
Can't wait for it to be picked up...Will take a while though with the scam artists thinning out on these....
FALSE...
False statement... FNAT is trading...just no volume..... Everyone needs to do their own DD as listening to these kind of statements can lead you easily to make the incorrect trades.
IMHO...except for the FACT it isn't suspended....
lololololol...
SEC suspended Scam, Hijacked Shell. No Operations.
Just a dead scam with no volume.
jmo
So is the Lotto, like FNAT until it comes in.. ...
Lololololol..
DEAD is the word actually. as in FNAT is a Dead Scam.
lolol
jmo
Glad I left some Lotto coin in this....payoff will be saweeeet...
Going to be a huge surprise when this thing sells and goes Kabooom...
Waiting for word on this shell....quite quiet...
Not much you can get your hands on when they are in the grey market..... Just hanging out waiting for someone to pick up the shell....
LOTTO, IM WAITING ALSO, WHEN WILL FNAT EXPLODE..DO YOU HAVE ANY DD..THKS
Usually someone does that to draw interest...fat finger trades any decent broker will reverse if you report it immediately...
Good lesson to be learned for FNAT...
Have to let go of a trade you got your azz handed to you on and move on to the next trade. You become bitter and resentful. It grows in one until they become something that isn't pleasant by any measure. Don't wait for bad things to happen to you to realize to let go. Exhibit A of something happening to someone that makes them realize that. The one characteristic in people that are generally happy, lets them let things go as they already realize what life is really about. bar none all can learn from this as HRCT is another one people can't let go of...
When the FNAT shell goes up for sale it will be too late to get the low shares....can bounce to .001 in a flash...
Should start showing some shares soon being traded as others realize what this shell can do.
Sensible...Realization of the important things in life, enjoy now. This isn't it...
I was always taught, live every day like it was your last.
Good luck.
I might be a fortune teller with that nudge FNAT got there...
If I can sell at .001 I'll be dancin' in da streets..
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FNAT - CLARIFICATION
* TRADES ON THE AMERICAN STOCK EXCHANGE AND IS TRADING TO THIS DATE.
FURTHER UPDATES TO COME AS WE DISCOVER VARAFIABLE FACTS WITH NO OPINIONS.
FACT LIST:
* FNAT IS TRADING AND DOES TRANSFER SHARES AS SEEN IN LAST TRADES.
CONTACT YOUR INDIVIDUAL BROKER FOR FURTHER INFORMATION. AS ALL NON BIG BOARD EQUITIES, EACH BROKER HAS IT'S OWN POLICIES ON TRADING EACH INDIVIDUAL EQUITY.
* AMTD AND ETRADE AMONG THE GENERAL LIST OF BROKERS DO TRADE THIS EQUITY.
OTHER BROKERS NOT LISTED ALSO ARE TRADING THIS EQUITY.
* STOCK ROSE FROM .0001 TO .001 WHICH WOULD CLEARLY INDICATE AS A FACT FNAT IS AN ACTIVE EQUITY
* KNOWLEGE OF PAST OWNER LISTED IS UNVERIFIED WITH ANY FACTS AT THIS POINT IN TIME.
FNAT Security Details
Market Value1 | $46,025,450 | a/o Jan 30, 2015 |
Shares Outstanding | 46,025,450,000 | a/o Jan 28, 2009 |
Float | 6,025,450,000 | a/o Jan 28, 2009 |
Authorized Shares | 50,000,000,000 | a/o Jan 28, 2009 |
Par Value | 0.005 |
Shareholders of Record | 20 | a/o Jan 28, 2009 |
Ex. Date | Record Date | Pay Date |
---|
|
Short Interest | 0 (-100%) Jun 28, 2013 |
Significant Failures to Deliver | No |
Securities Transfer Corporation |
Reporting Status | Dark: Alternative Reporting Standard Deregistered a/o Feb 25, 2008 |
Latest Report | Jun 30, 1999 10-Q |
CIK | 0000853832 |
Fiscal Year End | 12/31 |
OTC Marketplace | Grey Market |
SIC - Industry Classification | 4841 - Cable and pay television services |
Business Status | Development Stage Company a/o Jan 30, 2007 |
Incorporated In: | DE, USA |
Year of Inc. | Not Available |
Employees | 1 a/o Jan 16, 2007 |
Somsak Injan | President |
Somsak Injan |
THE FOLLOWING IS FOR CANADIAN TRADERS/RESIDENTS
TRADING IN CANADA ONLY - FNAT IS LISTED AS AN AMERICAN
COMPANY AND TRADES ON THE AMERICAN STOCK EXCHANGES,
USLESS IF YOU TRADE IN AMERICA EXCEPT FOR NASTALGA
PURPOSES. ONTARIO EXCHANGE HAS ZERO EFFECT ON
AMERICAN EXCHANGES OR ANY OTHER THROUGHOUT THE
WORLD. INFORMATION CONCERNING OTHER COMPANIES ALSO
CONTAINED NOT AFFILIATED WITH FNAT!! BRING SOME MILK
AND COOKIES IF READING FURTHER.
SPOILER ALERT, ONLY THE CHARGES, NO RESULTS LISTED.
CANADA EXCHANGE ONLY BELOW:
UPDATE: October, 2009
https://online.regalsecurities.com/Meridian/0910worthless.html
UPDATE: April 6, 2010 SEC wins Ban against Boock and other defendants by default.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=48738934
UPDATE: April, 2010
Ontario Securities Commission
des P.O. Box 55, 19th Floor CP 55, 19e étage
valeurs mobilières 20 Queen Street West 20, rue queen ouest
Commission de l’Ontario Toronto ON M5H 3S8 Toronto ON M5H 3S8
IN THE MATTER OF THE SECURITIES ACT,
R.S.O. 1990, c. S.5, AS AMENDED
- AND -
IN THE MATTER OF
IRWIN BOOCK, STANTON DEFREITAS, JASON WONG,
SAUDIA ALLIE, ALENA DUBINSKY, ALEX KHODJIAINTS
SELECT AMERICAN TRANSFER CO.,
LEASESMART, INC., ADVANCED GROWING SYSTEMS, INC.,
INTERNATIONAL ENERGY LTD., NUTRIONE CORPORATION,
POCKETOP CORPORATION, ASIA TELECOM LTD.,
PHARM CONTROL LTD., CAMBRIDGE RESOURCES CORPORATION,
COMPUSHARE TRANSFER CORPORATION,
FEDERATED PURCHASER, INC., TCC INDUSTRIES, INC., FIRST NATIONAL
ENTERTAINMENT CORPORATION, WGI HOLDINGS, INC.
and ENERBRITE TECHNOLOGIES GROUP
STATEMENT OF ALLEGATIONS
(Section 127)
Staff of the Ontario Securities Commission allege the following in respect of the Respondents:
I. THE RESPONDENTS
1. Irwin Boock, Stanton DeFreitas, Jason Wong, Saudia Allie, Alena Dubinsky and Alex
Khodjiaints (the “Individual Respondents”) are all residents of Ontario and are
connected to each other through a complex scheme of securities fraud involving: a) the
creation of fraudulent shell corporations by way of “corporate hijackings” as described
herein; and b) the issuance of fraudulent or false securities in those corporations; and c)
the trading of the fraudulent or false securities by the Respondents in Ontario and
elsewhere.
2. Select American Transfer Co. (“Select American”) is a Delaware corporation that was
established by Boock, DeFreitas and Wong in April 2005. Select American was operated
as a transfer agent, primarily by DeFreitas, using aliases and nominees until May 2007,
when it ceased operations due to cease trade orders issued by the Commission.
3. Compushare Transfer Corporation (“Compushare”) is also a Delaware corporation that
operated out of Toronto as a transfer agent. Compushare was incorporated by Boock in
September 2006 and was operated by him using aliases and nominees until May 2008,
when it ceased operations due to cease trade orders and other regulatory action by the
Commission.
4. By virtue of the corporate hijacking scheme described herein, the following entities are
fraudulently created U.S. corporations, the securities of which were quoted for trading on
the Pink Sheets LLC in the over-the-counter securities market in the U.S.:
(a) LeaseSmart, Inc. (“LeaseSmart”);
(b) Advanced Growing Systems, Inc. (formerly, The Bighub.com, Inc.) (“Bighub”);
(c) NutriOne Corporation (“NutriOne”);
(d) International Energy Ltd. (“International Energy”);
(e) Pocketop Corporation (formerly, Universal Seismic, Inc.) (“Pocketop”);
(f) Asia Telecom Ltd. (“Asia Telecom”);
(g) Pharm Control Ltd. (“Pharm Control”);
(h) Cambridge Resources Corporation (“Cambridge Resources”);
(i) WGI Holdings, Inc. (“WGI Holdings”);
(j) Federated Purchaser, Inc. (“Federated Purchaser”);
(k) First National Entertainment Corporation (“First National”);
(l) TCC Industries, Inc. (“TCC Industries”);
(m) Enerbrite Technologies Group Inc. (“Enerbrite”)
(collectively, the “Issuer Respondents”).
5. Select American and Compushare acted as the transfer agents to the Issuer Respondents
and were the primary vehicles through which the corporate hijackings and share
issuances were carried out.
6. Dubinsky and Khodjiaints operated trading accounts in Ontario in 2006 and 2007 for the
purpose of receiving and trading fraudulent or false securities in a number of the Issuer
Respondents.
II. THE FRAUDULENT SECURITIES SCHEME
A. Corporate Hijacking
7. The corporate hijacking scheme used to perpetrate securities fraud with respect to the
Issuer Respondents was carried out in the following manner:
(a) Corporate documents were filed with the relevant Secretary of State in the U.S.
(either Delaware, Nevada, California or Florida) to incorporate a company with
the same name as a defunct public issuer. Typically, the directors, officers and
registered agents listed on the corporate documents were either fictitious identities
or nominees and the purported corporate addresses for the newly created entities
would be mailbox locations obtained through UPS or other virtual mailbox
providers;
(b) Shortly thereafter, amendment documents were filed with the relevant Secretary
of State to effect a name change of the newly created entity and a consolidation of
the company’s shares in the form of a reverse stock split;
(c) Subsequently, steps were taken to obtain a new CUSIP number for the renamed,
newly created entity as if it was the successor company to the defunct public
issuer; and
(d) Documents containing false representations were then filed by the transfer agent
with NASDAQ to obtain a new trading symbol for the renamed company and to
effect the reverse stock split of the company’s shares on a 1 for 1,000 basis.
B. Select American Transfer Co.
8. DeFreitas, Boock and Wong are the founders of Select American. Between April and
August 2005, DeFreitas and Wong operated Select American jointly and were the
directing minds of Select American.
9. Between April 2005 and July 2005, Boock, DeFreitas and Wong, acting individually or in
concert, usurped the corporate identity of a number of defunct public issuers using the
corporate hijacking scheme described above, including but not limited to LeaseSmart,
Bighub, NutriOne and International Energy.
10. Boock, DeFreitas and Wong, using Select American as the vehicle, caused the companies
to obtain quotations for trading on the Pink Sheets as if they were the legitimate defunct
public issuers whose identities had been hijacked and, further, caused the companies to
issue fraudulent shares as if they were the shares of the defunct public issuers.
11. In or around August 2005, Wong left Select American. Following Wong’s departure,
DeFreitas operated Select American using aliases and nominees. The day-to-day
operations, however, were run with the assistance of Saudia Allie, a friend of DeFreitas’
who was employed as the office manager of Select American.
12. Following Wong’s departure, Boock and DeFreitas, acting individually or in concert,
created additional fraudulent shell companies for which Select American acted as the
transfer agent, including but not limited to Pocketop, Asia Telecom, Pharm Control and
Cambridge Resources.
13. Following their incorporation, Boock and DeFreitas used Select American as the transfer
agent to these entities to obtain quotations for trading on the Pink Sheets as if they were
the legitimate defunct public issuers whose identities had been hijacked and, further,
caused the companies to issue fraudulent shares as if they were the shares of the defunct
public issuers.
14. In certain cases, Boock and DeFreitas also caused these companies to set up false web
sites and issue false or promotional press releases as a means of creating a market for the
fraudulent shares.
15. Boock and DeFreitas also sold some of the fraudulently created shell companies to third
parties who were seeking to “go public” by way of a reverse takeover or reverse merger
with an existing privately-held company. More particularly, DeFreitas sold NutriOne and
Cambridge Resources to third parties in Montreal and Boock sold International Energy to
a third party in Florida and Pharm Control to a third party in Ontario. In other cases,
however, the fraudulent shell companies were purely vehicles for DeFreitas and Boock to
issue and trade fraudulent securities.
16. In her role, Allie participated in and facilitated the fraudulent scheme by assisting
DeFreitas in operating Select American, including by preparing the fraudulent share
certificates for the shares of the Issuer Respondents for which Select American was the
transfer agent. In preparing the share certificates, Allie knowingly and fraudulently
signed the share certificates in a manner that purported the shares to be authenticated by
the officers and directors of Select American. Allie knew the officers and directors of
Select American to be either aliases or nominees.
C. Compushare as a Vehicle for Additional Shell Companies
17. Between August 2006 and March 2007, Boock used Compushare as a separate vehicle
through which to perpetrate securities fraud. In that period, Boock created the following
fraudulent entities: WGI Holdings, Federated Purchaser and Enerbrite.
18. Using Compushare as the vehicle, Boock then caused the companies to obtain quotations
for trading on the Pink Sheets as if they were the legitimate defunct public issuers whose
identities had been hijacked and, further, caused the companies to issue fraudulent shares
as if they were the shares of these defunct public issuers.
19. In certain cases, Boock caused these companies to set up false web sites and issue
promotional or false press releases as a means of creating a market for the securities.
20. With respect to Enerbrite, Boock acted together in concert with Wong in incorporating
the initial fraudulent entity in September 2006, which was initially named IDF
International but which was renamed Compliance Resource Group and was merged with
and further renamed Enerbrite following the sale of the entity as a shell company by
Boock.
21. In addition to selling this predecessor shell to Enerbrite, Boock sold the predecessor shell
of Federated Purchaser to third parties for the purposes of a reverse merger.
D. Cease Trade of Select American and Continued Operation of Compushare
22. In or around April 2007, DeFreitas caused Select American to be sold to a third party in
Montreal. Shortly thereafter, on or around May 18, 2007, the Commission issued
temporary cease trade orders in respect of Select American and others, including
DeFreitas and the fraudulent shell companies identified above for which Select American
was the transfer agent. Following the cease trade orders, Select American ceased
operations.
23. Boock, however, continued to perpetrate securities fraud using Compushare as the
vehicle to carry out corporate hijackings and to issue and trade securities of the hijacked
entities.
24. In December 2007 and February 2008, respectively, Boock incorporated First National
and TCC Industries. Compushare acted as the transfer agent for both entities and, using
Compushare as the vehicle, Boock caused these entities to obtain quotations on the Pink
Sheets and to issue fraudulent shares for trading in the over-the-counter securities market.
E. Cease Trade of Compushare
[B]25. On May 5, 2008, the Commission issued temporary cease trade orders against Boock,
Compushare and others, including the fraudulently created entities for which
Compushare acted as the transfer agent. Following the cease trade orders issued by the
Commission, Compushare ceased operations.[/B]
F. Trading by Individual Respondents
(i) Trading by Wong
26. For his involvement in the scheme as described above, Wong primarily received
fraudulent shares in lieu of compensation, including shares of LeaseSmart, International
Energy, Asia Telecom and Pocketop.
27. Between February and March 2006, Wong sold the fraudulent shares of LeaseSmart he
had received through a corporate trading account held at RBC Direct Investing Inc.
(“RBC”) and controlled by him.
28. Subsequently, between November 2006 and February 2007, Wong sold the additional
fraudulent shares he had received in International Energy, Asia Telecom and Pocketop.
These trades were made through a separate corporate trading account at RBC controlled
by Wong.
29. In November 2007, Wong received additional compensation from Boock in respect of his
involvement in the scheme as described herein.
(ii) Trading by DeFreitas – The Franklin Ross Accounts
30. Between November 2006 and May 2007, DeFreitas operated approximately 48 nominee
accounts at Franklin Ross, a brokerage firm in the U.S. DeFreitas opened and operated
the accounts purportedly as a “foreign affiliate” to the firm (the “Franklin Ross
Accounts”). DeFreitas was recommended to Franklin Ross by Wong.
31. A number of the Franklin Ross Accounts were opened by DeFreitas solely for the
purpose of trading in fraudulent securities of companies for which Select American was
the transfer agent.
32. In at least 23 of the 48 Franklin Ross Accounts, DeFreitas engaged in a wholesale
liquidation of fraudulent securities in LeaseSmart, Bighub, International Energy,
NutriOne, Pocketop, Asia Telecom, Pharm Control and Cambridge Resources as well as
others for which Select American was the transfer agent and which exhibited the same
pattern of fraudulent corporate history.
33. The proceeds of trading from these 23 accounts totalled over USD $750,000 in 2006 and
over USD $2.3 million in 2007. All of the trading proceeds were transferred to bank
accounts in Ontario that were controlled and owned by DeFreitas.
(iii) Trading by DeFreitas and Boock – The Scottrade Account
34. In January 2007, using fraudulent and deceitful means, DeFreitas and Boock caused a
corporate trading account to be opened at Scottrade, a retail brokerage firm in the U.S.
that offers discount brokerage services online, in order to trade additional fraudulent
securities (the “Scottrade Account”). The Scottrade Account was opened in the name of
For Better Living Inc., a company created by DeFreitas and Boock using aliases and
nominees.
35. In February and March 2007, DeFreitas and Boock caused share certificates representing
millions of fraudulent shares in International Energy, Asia Telecom, Pharm Control and
Universe Seismic to be issued by the respective entities and to be deposited to the
Scottrade Account. Using the online trading services of Scottrade, Boock sold the
fraudulent shares from Ontario between February and October 2007.
36. In July 2007, using fraudulent and deceitful means, DeFreitas and Boock caused
approximately $120,000 of the proceeds of the trading in the Scottrade Account to be
transferred to them in Ontario.
(iv) Trading by Dubinsky and Khodjiaints
37. Alena Dubinsky and Alex Khodjiaints are residents of Toronto. Dubinsky is the
girlfriend of Khodjiaints. Their involvement in the scheme is described below and
includes: a) fraudulent and manipulative trading of shares of a number of the Issuer
Respondent; and b) participation in an illegal distribution of those shares.
• RBC Account
38. In June 2006, at the instruction of Khodjiaints, Dubinsky opened an account at RBC in
her name.
39. The account was operated and maintained by Dubinsky and Khodjiaints between June
2006 and March 2007.
40. Between July and September 2006, millions of fraudulent share certificates were issued
to Khodjiaints in Dubinsky’s name, including shares of: BigHub (42.5 million),
Leasesmart (30 million), El Apparel (the fraudulent predecessor company to NutriOne)
(12 million), Universal Seismic (the fraudulent predecessor company to Pocketop) (1.8
million) and International Energy (.25 million).
41. At the time, Boock and DeFreitas controlled the issuance of shares in these companies
and caused the shares to be issued to Khodjiaints in Dubinsky’s name.
42. At the instruction of Khodjiaints, Dubinsky deposited the shares to the RBC account, a
significant number of which were sold by December 2006. All of the sales were carried
out by or at the instruction of Khodjiaints.
43. Around that time, RBC expressed concerns to Dubinsky regarding the questionable
nature of the securities and the trading in the account.
44. As of December 2006, the only activity in the account at RBC had been: a) the delivery
of over 100 million securities in entities whose securities were quoted for trading on the
Pink Sheets, all of which had Select American as the transfer agent; and b) significant
selling activity with respect to the shares.
45. In March 2007, RBC advised Dubinsky that it was restricting the account due to its
concerns regarding the securities and the transactions in the account.
• HSBC Account
46. In February 2007, as a result of the difficulties in trading in the RBC account, Khodjiaints
instructed Dubinsky to open a trading account at HSBC Securities (Canada) Inc.
(“HSBC”).
47. As with the account at RBC, Dubinsky opened the account at HSBC in her name.
48. In March 2007, at the instruction of Khodjiaints, Dubinsky deposited millions of
fraudulent shares of the Bighub (10 million), LeaseSmart (10 million), International
Energy (289 million) and Universal Seismic (the fraudulent predecessor to Pocketop) (1.5
million), all of which had also been traded in her account at RBC. In addition, Dubinsky
deposited millions of shares of Pharm Control and Asia Telecom to the account.
49. At that time, Boock and DeFreitas controlled the issuance of shares in these companies
and caused the shares identified above to be issued to Khodjiaints in Dubinsky’s name.
50. Once the shares were deposited, Khodjiaints proceeded to engage in manipulative trading
in respect of the securities, and in particular in respect of the shares of Pharm Control and
Asia Telecom.
51. Over a 5 day trading period between March 7 and 13, 2007, Khodjiaints sold
approximately 40 million shares of Pharm Control, which represented virtually all of the
Pharm Control shares issued to him in Dubinsky’s name. Khodjiaints carried out the
selling following an intensive period of promotional press releases by or on behalf of
Pharm Control.
52. The sales of Pharm Control as identified constituted approximately 40% of the total
volume of trading in Pharm Control on those days.
53. With respect to the securities of Asia Telecom, most of the trading occurred on 4 separate
days within a 6 day period between March 7 and 14, 2007 and consisted of selling large
quantities of shares on days when Asia Telecom had made press releases containing
promotional information regarding its purported business.
54. In that 4 day period, Khodjiaints sold approximately 60 million shares of Asia Telecom,
which represented virtually all of the Asia Telecom shares issued to him in Dubinsky’s
name.
55. The sales of Asia Telecom as identified constituted approximately 25% of the total
volume of trading in Asia Telecom on those days.
56. In addition to the fraudulent and manipulative nature of the trading by Khodjiaints, the trades in the securities of Pharm Control and Asia Telecom were trades in securities not previously issued. Neither a preliminary prospectus nor a prospectus had been filed with the Commission and no receipts had been issued by the Director to qualify the trading ofthese securities in Ontario.
57. On or around March 12, 2007, Dubinsky sought to withdraw $400,000 in trading
proceeds from the account. HSBC did not allow the withdrawal due to its concerns
regarding the questionable nature of the securities and the trading that had been carried
out in the account.
58. As of March 19, 2007, HSBC restricted the account and any remaining securities were
not sold. As of that time, very few securities remained in the account.
59. During the operation of the account at HSBC, the only account activity was: a) the
delivery of hundreds of millions of fraudulent shares in entities quoted for trading on the
Pink Sheets for which Select American acted as the transfer agent; and b) the virtual
wholesale liquidation of those shares on successive or near successive days following the
issuance of promotional press releases by the company.
60. The total proceeds generated from the trading in the account at HSBC (attributable
almost entirely to trading the fraudulent securities of Pharm Control and Asia Telcom)
was approximately $1 million. The trading was the most profitable trading of all the
trading across Canada in these securities.
61. The trading in the account was fraudulent, manipulative and constituted an illegal
distribution in which both Dubinsky and Khodjiaints participated.
BREACHES OF THE ACT
62. With respect to each of the Individual Respondents, by their involvement in the securities
scheme described above, each of them has engaged in acts, practices or courses of
conduct relating to securities that they knew or reasonably ought to have known resulted
in or contributed to a misleading appearance of trading activity in, or an artificial price for, the securities contrary to subsection 126.1(a) of the Securities Act (the “Act”) and,
further, perpetrated a fraud on persons or companies contrary to subsection 126.1(b) of
the Act.
63. In addition, Dubinsky and Khodjiaints, in trading and carrying out acts in furtherance of
trading in the securities of Pharm Control and Asia Telecom as described above,
participated in an illegal distribution of those securities contrary to section 53 of the Act.
64. With respect to the Issuer Respondents, by virtue of their status as instruments for
securities fraud and by virtue of their fraudulent corporate history, it is contrary to the
public interest that their securities trade in Ontario’s capital markets.
65. With respect to Select American and Compushare, by virtue of their status as vehicles for
securities fraud, it is contrary to the public interest that they be permitted to trade or act as
market participants in Ontario’s capital markets.
66. Such further and other allegations as Staff may advise and the Commission may permit.
DATED this 16th day of October, 2008.
http://www.osc.gov.on.ca/documents/en/Proceedings-SOA/soa_20081016_boocki.pdf
THIRD TRANSFER AGENT SHUT DOWN
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U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 21243 / October 8, 2009
SEC v. Irwin Boock, Stanton B. J. DeFreitas, Nicolette D. Loisel, Roger L. Shoss, and Jason C. Wong, Birte Boock, and 1621566 Ontario, Inc., Civil Action No. 09 CV 8261 (S.D.N.Y) (DLC)
SEC Charges Five With Dozens of Fraudulent Corporate Hijackings and Unregistered Offerings of Securities and Names Two Relief Defendants
On September 29, 2009, the United States Securities and Exchange Commission filed a civil injunctive action against Irwin Boock, Stanton B. J. DeFreitas, and Jason C. Wong, all of Ontario, Canada, and two Houston-based attorneys, Roger L. Shoss and Nicolette D. Loisel, charging them with having violated the antifraud and registration provisions of the federal securities laws by effecting dozens of corporate hijackings and making unregistered offerings and sales of shares. The complaint also names as relief defendants Boock's wife, Birte Boock, and a company of which she allegedly was the sole officer and director during the relevant period, 1621566 Ontario, Inc.
http://www.sec.gov/litigation/litreleases/2009/lr21243.htm
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