Osceola Gold Inc (OSCI)

[OverDraught]

OSCI's highest paid "marketing services" provider has entered into a plea agreement with prosecutors in the three Indiana counties where he had been indicted on a total of eighty-five (yes, that's 85) felony counts relating to his pill mill operations.

Dr. Tristan Stonger, of Peru Indiana, owned and operated three clinics and saw as many as 150 patients a day. Many of these were paying him cash for pain killers. Somehow, Stonger conducted some business with OSCI (formerly PYHH) that resulted in his receiving shares of stock worth approximately $500,000 at the time. The company claimed that the payments were for marketing services, but never explained what those services consisted of or how they benefited the company. At the same time, OSCI hired a crew of stock promoters whose efforts generated enough share volume for Stonger to be able to dump the shares he had received. Those promotion activities were also described by the company as "marketing services" in their 6/30/2016 filing.

The plea negotiations resulted in Stonger pleading guilty to thirteen of the charges, and the remaining seventy-two charges were dropped. Stonger, who is 70 years old, was sentenced to 10.5 years of probation in addition to time already served.