iTalk Inc. (fka TALK)

[Huggy Bear]

TALK CEO David Levy and Steven Ivester business dealings. Appears Ivester sold his "assets" in ITG to iTalk in 2014.

http://apps.fcc.gov/ecfs/document/view?id=7521071822


Ivester has an interesting back round.

The Securities and Exchange Commission (Commission) announced that on April 13, 2009, it filed a civil injunctive action against Osvaldo Pitters, Terrell J. Kuykendall, and Steven M. Ivester in connection with a financial fraud involving VoIP, Inc., a defunct Internet telecommunications provider formerly located in Altamonte Springs, Florida. The Commission's complaint, filed in the United States District Court for the Southern District of Florida, alleges that Pitters, VoIP's former Chief Financial Officer, and Kuykendall, the former General Manager of a VoIP subsidiary, recorded fictitious sales when it became apparent that the subsidiary would not meet VoIP's revenue projections in 2004 and the first quarter of 2005. Pitters and Kuykendall recorded sham transactions with third parties, thereby inflating the subsidiary's revenues. Pitters further provided false sales journals and fictitious invoices to VoIP's auditors during its audit for fiscal year 2004. As a result, VoIP filed a Form 10-K and two Forms 10-Q with the Commission that overstated the company's revenues by more than 40%.

The complaint further alleges that Ivester, VoIP's former Chief Executive Officer, was aware the subsidiary was struggling financially, but did not question the suspiciously high revenue figures. By November 2004, Ivester knew the subsidiary had generated $400,000 or less in revenues since its acquisition by VoIP, and that unpaid vendor bills and technical problems with VoIP's voice-over-Internet systems were hindering sales. Yet Ivester did not question the consolidated figures showing the subsidiary had generated over $790,000 in additional revenues before the end of 2004, and that its revenues had increased again substantially in the first quarter of 2005. In addition, the Complaint alleges in 2004 and 2005, Ivester sold more than four million shares of VoIP stock and that he failed to report the sales transactions with the Commission by filing the required Forms 4 until December 2005.

http://www.sec.gov/litigation/litreleases/2009/lr20999.htm

The Commission also announced that on April 15, 2010, United States Magistrate Judge Edwin Torres entered a Final Judgment of Permanent Injunction and Other Relief by consent against VoIP’s former chief executive officer, Steven M. Ivester, in the same case. Ivester neither admitted nor denied the allegations of the complaint in the consent. The Final Judgment imposed a permanent injunction on Ivester against future violations of Sections 17(a)(2) and (3) of the Securities Act, Section 16(a) and Rules 13a-14 and 16a-3 of the Exchange Act. It also ordered Ivester to pay $122,082, which consists of disgorgement of $55,018, $12,064 in prejudgment interest and a civil money penalty of $55,000.

https://www.sec.gov/litigation/litreleases/2010/lr21499.htm