Plastic2Oil Inc (PTOI)

[DZ25]

Verbiage from the Jacklin criminal indictment. Perfectly describing PTOI-

According to the indictment, Jaclin was an attorney specializing in penny stock companies. He worked with another individual-an undisclosed control person-to incorporate ten new companies, take them public, help get regulatory clearance to enable public trading of their stock, and sell them. Eight companies were sold for a total of approximately $2.25 million. Two companies were the subject of SEC enforcement actions before they could be sold. (see Stop Orders 33-9444 (Aug. 22, 2013) and 33-9577 (April 23, 2014)).

According to the indictment, for each company and with Jaclin's knowledge or at his suggestion or direction, the control person hired a CEO and created a business plan to give the impression of a real company poised for growth. In fact, each CEO took all direction from the control person, and the true plan was to sell the company. Jaclin and those working at his direction, however, prepared numerous false and misleading documents that hid the control person and the actual business plan: registration statements to take the companies public; quarterly and annual reports; and attorney opinion letters. Jaclin also facilitated the sale of the shell companies by locating some of the purchasers and documenting all of the transactions.

The criminal case against Jaclin is based on much of the same conduct alleged in an amended SEC complaint, which was filed on November 22, 2016. The SEC's complaint alleged that Jaclin and his co-defendant, undisclosed control person Imran Husain, engaged in a "shell factory" scheme to create and sell public companies at a profit.