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Jay, excellent point. That person can't be a whistle blower.By the by how was patch introduced to him??
A whistleblower would have reported illegal activity to the regulators and authorities. This guy has an obviously different agenda than the service of justice
You are right about the document...whether it is authentic, complete and what other reports are used to figure out the Air shares. But those CEDE transactions surely look hoky!! Probably, one may need the NOBO list as well...this report list all the B/Ds and the number of shares each B/D has of SPNG. But the issue with this report is that it is just a snap shot!!
The other issue facing SPNG is the Sales numbers. Mosko has to act quickly and save face, I believe by the end of the month. Otherwise, like it or not business is going to rapidly decline and the brand is going to taste awful. IMO.
for those that like numbers, I have some analysis and info from the SPNG's share issuance document............Bottom line...there appears to be a huge amount of air shares and that will be the case whether M&M survive or not!! So here it is....
OS Calculation, first pass:
1. Number of CEDE shares Issued & Cancelled 927,394,379
2. Number of CEDE shares Issued 1,878,816,720
3. Number of Individual/Entity Shares Issued 374,859,486
4. Number of Individual/Entity Shares Issued & Cancelled 442,466,999
Therefore, the OS count is equal =1+2+3 (4 is not counted as it is included in 2)3,181,070,585
OS Calculation, second pass, with correction:
1. Unaccounted number of CEDE shares Issued & Cancelled on 11 June, 2009 747,975,479
(as there were no Individual/Entity shares issued on 11 June, 2009)
2. Total number of CEDE shares Issued & Cancelled 927,394,379
3. Correct number of CEDE shares Issued & cancelled to be considered 179,418,900
in OS count = 2-1
4. Number of CEDE shares Issued on 11 June, 2009 1,595,092,979
5. Ref. to 2, number of Individual/Entity shares Issued & Cancelled on 9,500,000
11 June, 2009 (National Financial Services)
6. Similarly, Unaccounted number of CEDE shares Issued on 11 June, 2009 1,585,592,979
7. Total number of CEDE shares Issued 1,878,816,720
8. Correct number of CEDE shares to be considered in OS count = 7-6 293,223,741
9. Number of Individual/Entity shares Issued 374,859,486
Therefore the OS count after taking UNACCOUNTED CEDE shares 847,502,127
into consideration is = 3+8+9
OS as given in SPNG's quarterly filing dated 28 Feb 2009, page F-16 722,866,061
Total number of UNACCOUNTED CEDE shares Issued Plus 2,333,568,458
Issued & Cancelled = 1 + 6
Estimated number of Naked Shares given by Buyins.net 2,200,000,000
I was wondering about that definition. Thanks for clearing it up and for the info. But doesn't FINRA say that all short trades indicated in the daily data conforms to the Short Rule definition as defined by FINRA??
Why have the daily short sales decreased over the last 2 days???
what's intriguing is that R&H has access to all those financial transactions...except the deposit of the SPNG share distribution/sale by Acacia Investments and yet have remained quiet!!!
this facility may be useful for reporting fraud against spng and/or financial crooks committing investment fraud. notice, the FBI gets involved....
http://www.ic3.gov/default.aspx
The Internet Crime Complaint Center (IC3) is a partnership between the Federal Bureau of Investigation (FBI), the National White Collar Crime Center (NW3C), and the Bureau of Justice Assistance (BJA).
IC3's mission is to serve as a vehicle to receive, develop, and refer criminal complaints regarding the rapidly expanding arena of cyber crime. The IC3 gives the victims of cyber crime a convenient and easy-to-use reporting mechanism that alerts authorities of suspected criminal or civil violations. For law enforcement and regulatory agencies at the federal, state, local and international level, IC3 provides a central referral mechanism for complaints involving Internet related crimes. read more >>
Filing a Complaint with IC3
IC3 accepts online Internet crime complaints from either the person who believes they were defrauded or from a third party to the complainant. We can best process your complaint if we receive accurate and complete information from you. Therefore, we request that you provide the following information when filing a complaint:
* Your name
* Your mailing address
* Your telephone number
* The name, address, telephone number, and Web address, if available, of the individual or organization you believe defrauded you.
* Specific details on how, why, and when you believe you were defrauded.
* Any other relevant information you believe is necessary to support your complaint.
File a Complaint >>
if they cancel out the 267 Million that RME owns then the OS will be more like 460Million!
the assets are not frozen. the company is operating..products are still being shipped out...all over the world. pretty soon you will wake up from your dreams, you will not know what hit you! stick around and watch the space...the NEWS~
hardly, the company is not gone. you'll be spending lot of monies soon!!
there is no proof!! you can take that to the bank! they/SPNG are not done till the jury says so!! what you and I say here at iHub has no bearing on the trial. In the end all financial crooks will be behind bars including those who keep pounding MBs.
me thinks resolving the SPNG situation is not a long term solution. finding out who and where the counterfeit certs are being printed, getting them behind bars or devising a scheme to identify and obstruct counterfeit shares would be the right thing to do. Obviously some TAs are involved in these counterfeit trades!!!
3B OS....LMAO!!! This trades like the public float is less than 100Million...on the other hand if 50% of the trades are short trades, the float must be 50 million or less!!! Soon that number will be in negative territory...wait a minute it is already in negative territory....2.5 Billion in naked/counterfeit shares.
OldTimer, I am not denying what you have read and it is what it is based on face value. These are all minor red flags. I truly believe that the SEC did not have access to their books and hence the BIG fallacy about SEC saying that RME was given 2.5 billion shares. That's a lie by the SEC. No Doubt 2.5 billion shares (in addition to 723Million) are circulating but it is not due to RME dumping. It is due to the Criminal Enterprise cashing out unregistered shares and yes they have made 250 million USD illegally. I think it is important that they are flushed out. Supporting this theory is that Buyins.net also estimates that NSS is about 2.2 billion..that was several months ago...it is now probably more than 3Billion now!!!! Tom who owns Buyins is no ordinary guy. He is an extremely smart individual ( I have had telephone conversations with him). His software collects all the trade transactions in a database and then applies Statistical inferencing algorithm to come up with the NSS total.Flushing out the NSS is a biggie.
I think, SPNG can go forward without M&M. The technology has been proven and there is exceptional market acceptance for their products. An besides the product are focused on multiple industry segments like Cleansing, Cosmetics, Medical, Agriculture, Footwear, etc. Also the technology patents are owned by Dicon.
Bottom line, NSS should be flushed out and it looks only the court can do it. SEC is literally impotent!!! And SPNG/DICON should move forward.
BigLug, thanks for the numbers. I am with you, let the TRUTH be exposed to all.
Mike, thanks to you too.
key in these words ...google search
'SA TRADING, INC.7567 VISTA MONTANA PL'
I have 3 posts limit...so I will not be able to reply to all!
otymer, I would like to think that I am not on koolaid but then these days I an sure what I breathe and drink!!
On a serious note, have you ever been through the jury selection process...if yes, you'll recall this question....
Q. Will your decision be based on evidence presented??
Now coming back to the SPNG situation, I see quite few instances where the SEC is making up...for example the share distribution numbers. Why do you think they did not drag the CPAs?? And why do you think they threw in the phrase 'obstruction of justice'?? It is because the sEC were not allowed to see their books.
And also it appears SA-Trading is active...
FDA-Supplied Establishment Information:
Establishment Registration Number: 3004551570
Company Name: SA TRADING, INC.
Address: 7567 VISTA MONTANA PL. (Map)
Address 2:
City: RANCHO CUCAMONGA
State CA
Zip / Postal Code: 91739
County: SAN BERNARDINO
Country: US
Establishment Operation Code(s): AA - Initial Distributor
Establishment Status Code: A - Active
Year of Most Recent Initial
or Annual Registration: 2006
FDA-Supplied Owner/Operator Information:
Owner/Operator Number: 9065960
Company Name: SA TRADING, INC.
Address: 7567 VISTA MONTANA PL.
Address 2:
City: RANCHO CUCAMONGA
State: CA
Zip / Postal Code: 91739
Country: US
Owner/Operator Phone: 626-831-1596
FDA-Supplied Official Correspondent Information:
Official Correspondent Name: MR. MICHAEL QIN
Company Name: SA TRADING, INC.
Address: 7567 VISTA MONTANA PL.
Address 2:
City: RANCHO CUCAMONGA
State: CA
Zip / Postal Code: 91739
Country: US
Official Corespondent Phone Number: 626-831-1596
Other Establishment Information:
Establishment Phone:
Fax:
General Email:
Web Site:
Company Brochure:
Keywords:
Company Description:
Services Offered:
About Us:
http://www.zapconnect.com/companies/inde...
Differentiation:
Finally. the latest perusal of the litigation shows no Michael Metter...does it mean he is no longer a person of interest to the SEC.???
i
And you would trust the SEC who get paid with tax payers monies, surfing porn all day!!! In addition they are on the payrolls of the hedgies. Don't trust anyone!! That's why the Courts are in existence! Right now I'll give the benefit of doubt to Mosko 7 Metter. Let the Jury decide with the evidence provided. Not you and me!!!
QID, no point engaging the other side...these points have been hashed out several times. Dicon is a wholly owned subsidiary of SPNG and by virtue of Dicon ownership, SPNG owns the technology patents. I believe they have patents on some packaging as well. All of these are documented in the filings, website sec.gov under SPNG.
Personally, I believe SEC has put all the onus on SPNG and is better to do it in court. And by the by, do you see the shorts covering?? I do.
BigLug, thx for the summary data......do have summary numbers for these entities....
1. Asset Management
2. AIT Capital
3. Wesley Equities
4. MAremmano
5. Diomede
1,2&3 are wholly owned entities of RME.
4&5 are known entities to RME i.e owners of 4&5 are buddies or related to owners of RME.
TIA
SPNG WILL MOVE FORWARD. SEC ATTORNEY RICHARD SIMPSON SAYS THAT SPNG WILL CONTINUE TRADING.
'THE GAME' HAS BEGUN. UNFORTUNATELY NEITHER SEAN PENN NOR MICHAEL DOUGLAS WILL MAKE AN APPEARANCE! HOWEVER WE HAVE POWERHOUSES LIKE THE SEC, FINRA, FBI, IRS AND MORE IMPORTANTLY MOSKOWITZ & METTER. JUST SIT BACK AND WATCH IT PLAY OUT.
ACCORDING TO THE SEC, BETWEEN 24 JUNE 2009 & 13 OCT 2009, WORLD STOCK TRANSFER UNLEGENDED....
1. 24 JUNE 2009, SHARE CERTIFICATE # 3864 = 34,000,000 SHARES TO RME.
2, 29 JUNE 2009 & 10 JULY 2009, SHARE CERTIFICATE #S 3901,3902,4001 = 10,000,000 SHARES TO RME.
3.BETWEEN 24 JUNE 2009 & 13 OCT 2009;
300 MILLION SHARES WERE DISTRIBUTED TO ASSET MANAGEMENT CORP, AIT CAPITAL & WESLEY EQUITIES, ALL WHOLLY OWNED ENTITIES OF RME.
2.2 BILLION SHARES WERE DISTRIBUTED TO RME.VERY ODD, THE 'OS' WAS ALREADY 2BILLION IN EARLY JUNE.
MY QUESTION....HOW COME THE SEC DOES NOT HAVE THE SHARE CERTIFICATE NUMBERS FOR THE ABOVE 2.5 BILLION SHARES????
SOMEWHERE IN THERE BIGFOOT IS STOMPING!!!!!!!!!
SEC SAYS THE OS IS ~ 2.99B. WHERE DID SEC GET THIS NUMBER...WAS IT FROM DTC'S SECURITY POSITION REPORT?? DOES NOT LOOK LIKE THEY GOT IT FROM SPNG'S BOOKS! MOSKO INDICATES THE OS IS 723M IN NEW YORK TIMES. SO THERE IS A DISCREPANCY OF 2.2 BILLION SHARES. WHERE ARE THOSE 2.2BILLION SHARES?? FOR SEC TO PUBLISH OS WITHOUT LOOKING AT SPNG'S BOOKS IS A NO NO. SEC TRYING TO PUNCH OUT THE SMALL GUY IN THE NAME OF 'OBSTRUCTION OF JUSTICE'....SOUNDS MORE LIKE MANIPULATION OF JUSTICE.
FINANCIALS BY END OF THE MONTH AS STATED IN THE NEW YORK TIMES 6 MAY2010.
http://www.nytimes.com/2010/05/06/business/06place.html?ref=business
Market Place
S.E.C. Charges SpongeTech With Fraud
By FLOYD NORRIS
Published: May 5, 2010
o
If the Securities and Exchange Commission and the Justice Department know what they are talking about, then Steven Y. Moskowitz is a very good liar.
On Tuesday, Mr. Moskowitz, the chief financial and chief operating officer of a penny stock known as SpongeTech Delivery Systems, insisted in an interview in his office that suspicions about his company were completely unfounded.
The company, which only a year ago was advertising at sports stadiums around the country, was being investigated by the S.E.C. for no good reason, as far as he was concerned.
On Wednesday, he and Michael Metter, the company’s chief executive, were arrested by F.B.I. agents. They were charged with conspiracy to commit securities fraud and with obstruction of justice. The S.E.C. filed civil fraud charges against them and the company.
The suits accuse SpongeTech, which makes sponges infused with soap, of falsifying its financial reports by claiming sales to nonexistent companies. They say the two executives led a large “pump and dump” scheme that allowed insiders to distribute 2.5 billion shares of stock while denying that the shares existed.
“Investors were deceived into believing that SpongeTech was a successful business, while SpongeTech and its senior executives were illegally dumping shares into the market,” said Christopher Conte, an associate enforcement director for the commission.
Loretta E. Lynch, the United States attorney in Brooklyn, said the defendants were charged “with executing a bold scheme to portray SpongeTech as a company that was performing at a level far above reality.” She added, “The audacity of their scheme was matched only by their obstructive efforts during the course of the S.E.C.’s investigation.”
SpongeTech may never have been a successful business, but it did buy a lot of promotions at sports stadiums and on broadcasts. Last year, the company says, it had deals with at least 30 teams, in baseball, hockey, basketball and football. The S.E.C. says some of those deals were financed through the illegal sales of stock. Some of the teams and stadiums have sued SpongeTech for not living up to its obligations.
On Tuesday, sitting in a conference room in SpongeTech’s offices, across the street from the Empire State Building, Mr. Moskowitz offered a series of statements that were directly contradicted by the government’s accusations.
That the S.E.C. was interested in the company was old news. The commission temporarily suspended trading in the stock in October, but allowed it to resume after 10 days. In December the company said it had been notified that the enforcement staff planned to recommend to the commission that a suit be filed, but that there had been no public developments since then.
In the interview, he said that the S.E.C. was investigating only two things.
The first was that the company had given a different profit figure in a news release than it gave in an S.E.C. filing. He said the S.E.C. filing, made later the same day, was correct, and that his lawyers had told him there was no need for a corrective news release, given that the S.E.C. filing had already corrected it.
The second issue, he said, concerned sales of stock by persons who had done so using legal opinions — saying the shares were freely tradable — whose accuracy the commission evidently doubted. He said he did not know who the lawyers or the shareholders were. None of the shares, he added, were sold by the company’s officers or directors, or by entities associated with them.
He added that the company had 723 million shares outstanding, just as it had reported in the last financial statements it filed with the commission, in April 2009.
He said the company’s profit claims would be vindicated later this month, when it filed overdue audited financial statements.
The commission’s suit and the federal charges, filed in Federal District Court in Brooklyn, contradict almost everything Mr. Moskowitz said. The S.E.C. put the number of outstanding shares in SpongeTech at almost three billion.
The commission says some of the legal letters in question were supposedly signed by a nonexistent lawyer who used the name David Bomart and also used the same fax number as Mr. Moskowitz. It said the stock was sold by RM Enterprises, a company controlled by Mr. Moskowitz and Mr. Metter, and that Mr. Moskowitz fired SpongeTech’s stock transfer agent when it demanded a meeting with Mr. Bomart.
After the S.E.C. began investigating and asked for ways to contact SpongeTech’s major customers, the suit says, RM Enterprises hired George Speranza, whom the S.E.C. describes as a consultant “who operates the Internet stock hype site, ‘nohypenobull.com.’ ” He was assigned to create false Web sites and false office listings for the fictitious customers, the S.E.C. said. He was also named as a defendant in the S.E.C. case.
SpongeTech shares, which traded for more than 28 cents last summer, when the promotion was at its height, fell 3.4 cents to seven-tenths of a penny in over-the-counter trading on Wednesday. More than 177 million shares were traded.
If the government accusations are correct, then the company should rank as among the most aggressive penny-stock frauds ever.
Two weeks ago, it filed a suit in New York state court seeking $100 million from The New York Post, which has aggressively covered the company’s disputes with sports teams, and from a hedge fund manager and others the company said were involved in a “short and distort stock manipulation scheme” to drive down the price of SpongeTech stock.
“SpongeTech has been, and continues to be, greatly injured in name and reputation including, inter alia, public opinion of SpongeTech as a company and an investment vehicle is unfavorable and the company and its executives have suffered contempt, ridicule, aversion, shame and disgrace among others in their community and in the business world, among citizens of the state of New York, the nation and the world,” the suit asserted.
A call to SpongeTech’s office seeking comment on Wednesday reached a message saying the phone line was temporarily out of service. Mr. Moskowitz did not respond to an e-mail message. He and Mr. Metter were released by a federal magistrate Wednesday afternoon on $2 million bond each, secured by property.
JURY TRIAL DEMANDED. EITHER THE JURY FINDS M&M GUILTY AS CHARGED OR FINDS SEC IS FOS.LET THE SYSTEM WORK ITS WAY OUT.
Switzerland.
well it really looks like David taking on Goliath. let me see what is happening...had Steve given all the documents to SEC and the SEC did not help out then Steve, really could not have taken SEC to court. So what Steve did was answer at arms length all the questions SEC put forth in a manner that the SEC would engage him court........this is similar to an employment/separation agreement with your employer wherein one signs that one cannot sue your former employer. So what one does is to behave in a manner that one's former employer engages one in court(given that one feels the former employer did one wrong doing). We'll see what happens......if Steve is going to set up an argument all of them will have to come to court...I am thinking FINRA, IRS, etc..
loan guy, can you explain why the daily volume as recorded by yahoo finance looks to be out of sync....the daily volume looks more than what they actually closed at.
http://finance.yahoo.com/q/hp?s=SPNG.PK+Historical+Prices
TIA
Patchman, I'll mark this post! But if I were M & M , I would think twice, whether to spend the rest of their time in Jail or with Family!!!
And they would do this under the watchful and investigative eyes of the SEC, especially so after having been served the Wells Notice....Patchman, your statements sound dubious....
Just remember, just because you see a name brought into a company does not mean that all is legit. As a point of reference to that comment, consider how CMKX brought in Robert A. Maheu as a consultant. It was all presented as a “sting operation”. Maheu being a Google recognizable figure associated with the federal govt. added color to that theory. In the end, Maheu was nothing more than an advertisement to shareholders with no real responsibility to the company but to sell his name in order to hype the fraud. D&T was the same type advertisement and so is Reilly. There is nothing Reilly brings to the table now as he has no means to manufacture the data that Robison requires to file the delinquent filings. The papers are either their or they are not.
Companies restate earnings and switch accountants all the time. They do not go a year delinquent in their filings each time they face this same issue. How hard is it really to audit a $5 Million business (2008)? Really, how many employees were there? How many purchase orders were there?
Reilly, their financial consultant came on board in Dec...right?? to work with M &M and R&H!!! Any idea why they did that??
In SPNG's case, common will survive as there is no 'debt'...Preferred, notes payable, bonds, convertible notes , etc. If it files for BK, it will be for securing WC and paying of the most critical liabilities. As the company is growing, securing WC from ABLs should not be a problem as long as the assets are of Quality. Most serious concern I have is unpaid salaries as this will hinder production and hence growth.
A voluntary BK and reorganization..YES. But in SPNG's case, IMO, it will not be needed as they don't have debt, monies owed to IRS can be negotiated to be paid over time ( I have seen penny stock companies do this) and finally, consider this suspension as good as BK for reorganization. The law suits will take care of themselves as the company is growing (one new product every month for the rest of the year!). I believe the market penetration is deep as they have a plan to introduce new products periodically and enter different industry segments.
Bankruptcy can be a very good thing for any company. Very common for companies to come out of "protection", much stronger.
BETTER THAN THAT ....THE TECHNOLOGY HAS BEEN PROVEN, MARKET PENETRATION IS DEEP, THERE IS HIGH DEMAND FOR THE PRODUCTS AND SPNG IS MOVING FORWARD. AND, OYE, SPNG OWNS THE PATENTS FOR THE TECHNOLOGY.
So you think the IRS can freeze assets without a court order?
Why would you be looking to Buy when you think SPNG is heading towards Bankruptcy?? Looks like a Gap between your thought and would be action!!!
Are they really having cash flow problems??? Not having finnancing from a Bank is non-issue (imo) as there are plenty of 2nd tier financial institution that do asset based financing quite readily.
Are you really serious about BK...even after reading their recent PR which states that public filings will validate their growth. And why would Walmart & other retailers do business with SPNG if they knew SPNG is heading towards BK?
I guess the question in your mind should be will the Wells Notice be settled soon??? If this is Yes & imminent, then SPNG is a buy. IMO.
Probably, that's the reason it is taking them so long....to clean up all the financials, inclusive of DICON acquisition!! Do you think DICON assets were managed properly?? I can say this..that the plant manager was hired to make MFG more efficient. Anyways, I am surprised M&M gave you quite abit of info!!
this is my last post...good chatting with you.
Sure, I knew I was going to get this response...so here it comes...
But I have very serious concerns regarding -
The OS - YES; Dicon - Absolutely; Mosky's personal investments - YES; No Shareholder Letter - LOLOLOL YES; The Wells Notice - OMG Yes; Metter's bankruptcy - Yes; Unpaid employees and on and ob and on. I'll stop there.
You have a concern on transparency/filings, etc. or you have info that prove otherwise what is stated in their most current filing???/
with date & time.....that would be of value!!!
Can they post on a weekend??/////
fourK, nice piece of work...excellent stats. Time will tell soon! Info in black & white is more reliable. Go SPNG.