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No agenda, P K G. Just the interest a passerby would have in a train wreck...or to be more accurate by way of example, the interest of one who survived the train wreck. The past is prologue in this case because the lying has continued unabated.
jc
No Ro, we can't keep repeating that...it's OLD...LOL
A walk down memory lane...Mast, "Protector" of the FreeHarbor Foundation:
Former water CEO blasted
July 8, 2006 Federal securities regulators announced Wednesday that they settled fraud allegations with the Apex-based water treatment company and its former chief executive, Dennis Mast.
But that was the same day the current CEO abruptly resigned, according to a regulatory filing. Neal Hill, a self-described "turn-around specialist" brought in to run HydroFlo, wrote in an angry resignation letter that the publicly traded company is on the verge of bankruptcy.
Hill quit Wednesday, three months after taking the $120,000-a-year position. He wrote that Mast exploits his majority ownership stake in HydroFlo to manipulate the company from behind the scenes.
Mast was charged in the spring by the Securities and Exchange Commission with issuing fraudulent news releases last fall that quintupled HydroFlo's stock price. He had resigned in April and was replaced by Hill.
The SEC alleged that HydroFlo falsely claimed to be providing water-treatment equipment in areas hit by Hurricane Katrina, touted a favorable analyst report without revealing the company had paid $19,500 for the coverage, and falsely claimed to have won a $210 million contract.
The announcements propelled the company's stock from 19 cents to above $1. The stock closed at 6 cents Friday.
HydroFlo shares are a penny stock. The term typically describes shares of companies with erratic financial histories that trade below $1 a share. Penny stocks are highly speculative and traded by a mechanism known as over-the-counter because they don't meet listing requirements of major exchanges such as the New York Stock Exchange.
In settling with the SEC, Mast agreed to pay a $100,000 fine and abide by a lifetime prohibition against serving as an officer or director of any public company, among other restrictions.
But according to Hill, Mast is flouting the agreement.
Coinciding with Hill's resignation, HydroFlo told the SEC that Mast tried "to coerce Dr. Hill into publishing favorable news to the public about HydroFlo's activities."
The notice charged that Mast is trying to inflate the company's stock price in a bid to raise capital. Hill also alleged that Mast had failed to alert the SEC and investors that four chief financial officers had quit the company in the previous year.
"Dennis, you induced me into coming to HydroFlo by multiple misrepresentations and misleading and false statements," Hill wrote in his resignation letter. "I am unwilling to serve HydroFlo's stakeholders any longer, if you expect me to be your 'yes' man."
Hill also wrote that Mast "continually exhibits a reckless disregard for the laws and regulations governing public companies."
Hill's resignation letter, dated July 5, was contained in a Form 8-K filed with the SEC.
Hill could not be reached for comment, and Mast did not return calls Friday. A receptionist at HydroFlo's office said that Hill no longer works for the company and transferred calls for Mast to his voice mail.
Mast's settlement with the SEC prohibits him from denying the SEC's allegations or even "creating the impression that the complaint is without factual basis."
He has to pay the $100,000 civil fine out of his own pocket. He is barred from seeking or accepting "reimbursement or indemnification from any source."
Mast was paid $2.1 million last year, according to HydroFlo's 2005 annual report. His base salary was $55,000. The rest of his earnings were listed as a bonus in the form of consulting fees paid to an entity identified as the FreeHarbor Foundation in Apex, of which Mast is listed as "Protector."
As of June, Mast controlled 50.5 percent of HydroFlo's shares, giving him a majority vote in the company's affairs. Hill accused Mast of using his influence to manipulate the election results at the company's annual shareholders' meeting last month by voting against a directors' proposal for restructuring the company.
"The situation simply is untenable," Hill wrote. "This company is bankrupt, but without a reorganization plan."
According to the 2005 annual report, HydroFlo reported a profit of $18.9 million in the 12 months that ended June 30, all attributed to "unrealized gain on investments." The company reported a gain of $21.5 million from the investments, offset by a loss of $2.6 million from operations. The entry for revenues is blank.
As I said they run the risk that no one will buy the paper they are printing. Kind of like paying a manufacturer to make you a million wax lips...they sell because damn fools just keep buying them, even though you run the risk that they won't sell. It sounds like you have been talking to George again. He was saying a lot of things over the phone that turned out to be out and out lies. Not mistakes...lies. Share structure was one of them. He said there would be no more increase in the O/S and in fact said that shares were actually being, and I quote..."returned to the kitty". That was a few hundred million shares ago. In fact I actually can't think of anything he ever did say about HYRF that turned out to be true. The only thing I can find in print that turns out to be true pertaining to this company is the SEC filing of Neil Hill's resignation letter to Dennis Mast.
Again, not wishing you any ill here, but talking to HG is a waste of phone time. This company has run afoul of the SEC for lying and running a pump and dump scam. That is the best third party opinion you will find. Read Dr. Hill's letter again then go back and retrieve the old "news" releases , bogus financial projections, bogus (paid) reports, and finally the releases that came out about the SEC busting them. Who is telling the truth ..Hill or Moore? What more do I really need to say? I know the kind of stuff you are hearing from Moore. Poor George , he can't help it, he just inherited all this mess, right? BULL BUTTER! He was a part of it, lock stock and barrel. Hill fired him right off the bat. As soon as Hill took a powder, Mast brought him right back in. This is nothing but a flim flam going all the way back to it's source...UTK.
jc
It's up to each subscriber. If they play the markets, they'll play them up and down.
True, if they are approaching a company as an investment they can lose money easily.We are an example of that route. In this case I am sure they are providing "equity financing" as evidenced by the swelling O/S. I doubt seriously they view this as an investment opportunity. They are buying dilutive blocks on the cheap and dumping them on the market. No way they can lose unless people flatly refuse to buy the crap.
Chris, what is your take on market maker activity regarding Spooz and pinks in general?
Thanks,
JC
Hang on and I'll post it for you.
LOL...a settlement trade just painted at 5:22
...back to .012
This is the strangest activity I've seen in a good while.
I went ahead and took 'em at .013
Got to go out now.
GL everyone,
jc
Not big, but buy order for 200,000 @.0125
It has not filled.
Thanks. I want to pick up some more, but being Scottish and frugal....
Thanks
Any body have Level 2? I don't have it for pinks.
Imperial...I think the MM's have a good thing going. Average daily volume has been outstanding . It is how they make real money...on the spread that is. I am sure they would love to see this continue to walk up.
CHICAGO--(BUSINESS WIRE)--Spooz, Inc. announced today their plan to provide SpoozToolz(TM) customers with order routing and trade execution through exchange gateways from Trading Technologies International, Inc. (TT). Access to TT's high-performance gateways will enable SpoozToolz customers to connect to over 20 derivatives exchanges around the world and to access the transaction and clearing services of over 110 brokers in the United States, Europe, Hong Kong, Singapore, Japan, China, Australia and Dubai.
Now, the question is, if the activity with the stock we are presently witnessing can be attributed in some degree to the demos being conducted in Chicago in one location, what might take place if demos are set up in all the locations mentioned above? And what if those demos commence once STv2 is up and running and subscriptions are being taken? Will professionals buy stock as well as subscribe? Some of you on this board are pro traders. Will this be something that pros will almost have to have in order to be on a level playing field? I mean if the guy in the cubicle next to you in going gangbusters and you aren't, where does that put you with management? ...Just wondering?
jc
Thanks. happy to be here.
I had buy orders in at .0075 and happy to admit it! Also happy they weren't filled. I am one of those odd balls that averages up instead of down. I managed to nibble off a few more at .0125 today. Thanks to the regulars on the board...you guys do your homework.
It would appear that the last of those were absorbed about 2+ weeks ago. Since then buying has exceeded selling by a wide margin.
jc
Bucks, just my humble opinion...It was not a matter of games but rather normal retail making market. The fact that orders went unfilled means there were no shares to fill them with ( no retail OR other shares if you get my drift) and no one was selling. And best of all, there appears no desire to fill buy orders with shorts. Just look at the two week chart...my word, those MM's have their work cut out with this one.
All just my opinion,
jc
Allie, I think you hit the nail on the head. I don't see MM games going on, just normal retail trading. In other words no new shares coming to the market. So we have to expect a lot of movement concerning the Bid and Ask. It's how retail market is made. The after hours tape shows me they were scrambling today.
Just my opinion...The 18 month chart is something to see. The 50/200 DMA's about to cross. If I had to adventure a guess, I would say people watching the demos have been taking positions. Just a guess.
jc
Thanks...we're getting there.
Thanks for the update.
True.
Thanks...that's the kind of third party input we need.
Thanks
Yes if you would, ask if there are any recent RegDex filings or if the company knows of any more shares out there that have had restrictive legends removed. Ask if they are increasing the T/a.
thanks
Wow, at this rate they will be one of their own collections clients. LOL What a POS....LOL
Ahhh...in which case...nice buy.
Ouch...big sell
That's what I show.
Yes, but they are struggling...LOL
I'm starting to feel like that scooter you are sitting on.
UTK sold because they new the stock was going to be diluted to oblivion and they were right. That is what affects people like you and me. The SEC called this a P&D scam and they were right too. I have been in and out of this stock from the beginning. If you trade it based on the assumption it is always going to come back down, you will make money.
jc
POS stock....LOL
You are very welcome.
P K G, UTK is the company that brokered the deal between Mast and the University of Wyoming for the license to the ARTI filter technology. ( Note that MARTI does not own the patent to the technology, that belongs to the U of W and Dr. Reddi, the inventor. UTK brokered the patent license agreement and received a large block of shares in the deal). UTK held those shares even through the fraudulent SEC period. But I found through filings that UTK sold all their shares when word hit us that HYRF was in talks with BCGU. It is obvious what UTK felt involvement with a hedge fund would do to their remaining share value. To get an idea of the condition things were in at or about the time UTK bailed read this letter from Neil Hill, then HYRF CEO to Dennis Mast. Dr. Hill filed this letter with the SEC:
July 5, 2006
EXHIBIT
Mr. Dennis Mast
HydroFlo, Inc.
2501 Reliance Avenue
Apex, North Carolina 27539
Reference: Employment Termination Letter
Dear Dennis:
This letter serves as an official notification of my decision to step down as CEO of HydroFlo, Inc. Following are my primary reasons: 1) Your decision to breech my Employment Agreement at the substitute annual shareholder’s meeting June 29, 2006. At that meeting you used your majority stake in HydroFlo stock to control the election results and vote against the Board of Director’s proposals for restructuring the organization, directly usurping my directives as CEO, and in conflict with SEC sanctions against you. 2) Your continual attempts at getting “upbeat” information to the public, strictly to maintain share price, when, if fact, there was no good news. This includes the attempt to do a reverse merger into Shine Holdings, which would artificially increase the stock price, so that you could raise additional capital, in direct conflict with SEC sanctions. Additionally, I have discovered that four CFO’s submitted their resignations to HydroFlo within the previous year, which was never submitted to the SEC under Form 8K, as required by law. If I had been able to uncover this information before April, I likely would not have taken the HydroFlo CEO position; thereby, eliminating the irreparable personal harm suffered by my family. 3) Your unwillingness to provide adequate funding for HydroFlo’s operations, a critical element in convincing me to accept the CEO position.
Dennis, as you know, HydroFlo’s current ratio is upside down, and you did not fund payroll in June. This situation simply is untenable. This company is bankrupt, but without a reorganization plan. My opinion is that Chapter 11 is the only scenario whereby corporate survival is possible, so that the company might maintain its only assets: its technologies and licenses. As you know, raising capital is next to impossible as long as we have the real and contingent liabilities associated with the shareholder suits related to the false statements made by you and George in 2005 and this year, and the SEC sanctions against you and the company.
Dennis, you induced me into coming to HydroFlo by multiple misrepresentations and misleading and false statements, and I am unwilling to serve HydroFlo stakeholders any longer, if you expect me to be your “yes” man; or if I am expected to be accountable to one shareholder who continually exhibits a reckless disregard for the laws and regulations governing public companies.
Mast, IMO, then set his buddy Moore in Neil's still warm chair and given the desperate straights the company was in did not follow Hill's recommendation of reorganizing the company under bankruptcy courts. In stead they turned to a hedge fund (BCGU) to print paper for cash. UTK saw the writing on the wall and bailed.
jc
******************************************************************
Many companies that have found their way to market via UTK have found their way into pump and dump fraud cases brought by the SEC. A little research will produce things like this:
UTEK Corp.
by Christopher Carey
UTEK Corp.’s latest quarterly report lists the value of its stake in Fuel FX International Inc. at $7.05 million. Some may question that number, given that there is no public market for Fuel FX’s shares, that its Web site lists no sales outlets or pricing information, and that its corporate headquarters is its chief executive’s house.
UTEK's headquarters in Tampa.The Florida-based technology transfer company (AMEX: UTK) valued its stock in Advanced Refractive Technologies Inc. at $4.8 million. That company has no revenue, reported just $286 in cash at the end of its most recent quarter and was in default on its debt, which is secured by the company’s assets.
A Sharesleuth.com investigation suggests that the stated values of the stock that UTEK received through its technology deals with numerous small companies should be examined closely. If so, the company’s financial results also should be scrutinized, because the shares are its chief source of revenue, and the value assigned to them is a major determinant of its earnings.
UTEK’s own share price has risen as the pace of its deal-making has accelerated. Its stock closed at $19.01 on Wednesday, up 38 percent for the year.
UTEK reported $21.6 million in revenue from the sale of technology rights in the three months that ended June 30, versus $1.5 million in the same quarter last year. It said net income from operations was $9.77 million, up from $28,713 a year earlier. Much of the additional revenue comes from companies whose stock is listed on the Pink Sheets or Over-the-Counter market. The shares of some of those companies trade in small amounts, when they trade at all.
Sharesleuth’s findings also raise questions about the level of due diligence that UTEK performed when approving technology transfers and alliances. Our analysis of the roughly 45 companies that have licensed technology through UTEK turned up no fewer than seven whose executives or large shareholders had previously been charged with violations by the Securities and Exchange Commission, the National Association of Securities Dealers, state regulators or other entities
The SEC recently brought fraud cases against two more of UTEK’s technology partners, HydroFlo Inc. (Pink Sheets: HYRF) and WebSky Inc. (Pink Sheets: WKYN). The SEC said HydroFlo and WebSky were involved in “pump and dump’’ schemes fueled by false announcements about lucrative deals.
An executive behind four other companies that did technology transfers with UTEK in its early years also wound up facing an SEC fraud suit. The case involved a fifth company that had retained UTEK to identify potential license acquisitions.
Still another person who has been chief executive of two more UTEK technology partners was targeted last year in an SEC investigation. A court filing said the SEC was probing whether a group of attorneys, accountants, securities transfer agents, consultants and others were working together to manipulate the share prices of small public companies through misleading fax blasts and spam e-mails( )
UTEK declined to comment on Sharesleuth’s findings. The company never responded to messages left by telephone and e-mail.
Was anything said about a building potential client list?