Thanks for the link Saber...
because you actually have brought LESS credibility into Nord.
Take the time to read the whole document, and you will come to a gentleman by the name of Dr. Nicolas Mattossian, the supposed president of Great West Oil Corp. He was brought in as a consultant because of his 25 years of experience in the oil and gas industry...which is how the PR described him. Take about 20 minutes time and do a little research.
You will find that the same Dr. Mattossian, with the exact same credentials, also happens to be the Chairman of the board of a company named Dairy Fresh Farms. If you read his background there, there is no mention at all of Great Western Oil, but there are alot of other companies mentioned which he was associated with....one in particular being the Cedar Group.
Do just a little more research and you will find that Mr. Mattossian, as the president of Cedar Group, was sued by the shareholders of the company. And instead of trying to summarize the case for you I will let you read the allegations yoursel:
Stanford University Law School - Securities Class Action Clearinghouse
IN THE UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF PENNSYLVANIA
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JAMES B. SMITH, On Behalf Of Himself
and Others Similarly Situated
Plaintiffs,
v.
DOMINION BRIDGE CORP. (f/k/a CEDAR
GROUP, INC.), MICHEL L. MARENGERE and
NICOLAS MATOSSIAN
Defendants.
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CIVIL ACTION
Case No. 96CV-7580
(filed Oct. 7, 1996)
COMPLAINT - CLASS ACTION
Plaintiff, complaining of the defendants, by his attorneys, alleges upon information and belief, except as to ¶8 herein, based on the investigation of counsel, except as to the allegations which are alleged on knowledge, as follows:
I. PRELIMINARY STATEMENT
1. For over one year, defendants have concealed from plaintiffs and the investing public the fact they have been continuously committing gross violations of the federal securities laws, including misleading the public as to the financial and business conditions of Cedar Group, Inc. ("Cedar" or the "Company" presently known as "Dominion Bridge Corp.") and its former, wholly-owned subsidiary, Dominion Bridge, Inc. ("Dominion"). Additionally, defendants have intentionally concealed from their shareholders the fact that defendants have been accused by a former executive of Dominion of committing the above violations. More specifically, these violations include misleading the public as to the actual quality and status of a number of contracts obtained by Dominion, as well as failing to disclose various inaccurate and misleading accounting practices. Furthermore, this same former executive also accused defendants of being responsible for Dominion's loss of over $40 million in contracts for fiscal 1996. (See Exhibit "A")
2. As discussed in detail below, while defendants were well aware of the problems that were adversely effecting [sic] Cedar and Dominion, defendants continued to disseminate numerous highly optimistic statements and financial information to the investment community. Yet at no time did defendants ever disclose that (i) Dominion's contracts were at risk of not solidifying or being canceled; (ii) the Company suffered from a lack of adequate accounting controls; (iii) the Company's financial results lacked credibility as a result of a number of inaccurate and misleading accounting practices; and (iv) the defendants were being accused of gross violations of the federal securities laws by a former executive of Dominion.
3. Defendants schemed to mislead their shareholders and the investment community as to the true current state of affairs and future outlook of Cedar and Dominion for the following reasons: (i) to ensure that contractors or strategic partners seeking to enter into contracts with Cedar and Dominion were unaware of the severe problems impacting Cedar and Dominion, including but not limited to Cedar's and Dominion's inability to post two necessary bond and/or line-of credit facility for its construction projects; (ii) protect and enhance their positions as officers and/or directors of Cedar and the substantial compensation and prestige they obtained thereby; and (iii) enhance the value of their personal holdings of Cedar common stock.
4. As a result of defendants' deceptive and illegal conduct, plaintiff and other class members purchased their Cedar shares at grossly inflated prices. Had plaintiff and the other class members been aware of the truth concerning Dominion's contracts, the inaccurate and misleading accounting practices of Dominion and Cedar and the true state of business affairs of Cedar and Dominion, they would not have purchased their Cedar shares or at least not at the inflated prices at which they purchased those shares.
Now I really don't want to have to form an opinion about Mr. Mattossian, but I will ask why Nord Oil, right at its birth, felt a need to present to the SEC and its investors a false and misleading document. I am not an attourney, but I would imagine it would be considered fraudulent. I would think that the SEC would frown on that type of behavior...LOL.
If any of you would like to discuss this with me, I would be happy to have that discussion....SABER? BENZ?
This whole company and board gets funnier each and every day :)
