Sector 10, Inc. (SECI)

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A great SECI lawsuit history on the internet- AMAZING!

(UPDATED) $SECI Sector 10 Climbs Nearly 4000% Last 3 Days! Lawsuit Heating Up

February 10, 2018 Dana Salzarulo HOT PENNY STOCKS 0

WEBSITE UPDATED 2/11/2018 (READ HERE)

Sector 10 (SECI) has had nothing less an amazing past couple of days as the share price has risen from $0.084 on Tuesday (2/6/18) to a whopping high of $3.35 on Friday (2/9/2018) and closed at $3.10 on 51,010 shares traded. I had to break out the calculator and sure enough, SECI was up a jaw dropping 4,000% at its peak today over the last 3 days of trading.

SECI is currently in a 9 year court battle against Dutro Company and its affiliated persons/parties
New evidence to be released Monday, will be a dagger to the defendant
In January of 2009, SECI was nearly $440/share
Company may only have just 305,778 Outstanding Shares!
Summary from the excellent due diligence at WhiteCollarFacades.com
The History (Read Detailed Timeline Here)
It all started back in 2007 when Sector 10 went public via “reverse merger” and soon after made one of the biggest mistakes of their lives by getting in bed with Dutro Company and offering them a manufacturing agreement. Dutro brings on Reality Engineering and over the next year or so an additional affiliate or two come into play and are all brought in by Dutro. Later, they propose a merger or acquisition with Reality Engineering and Red Rover. (Red Rover later becomes Incisive and part of Valley Inception). By mid 2008, Section 10 has done a thorough review and decides NOT to pursue a merger with Reality Engineering,

Time passes. It’s business as usual with the group until later in the year SECI starts getting delays in production from Dutro and related partners. The company decides to seek financing with Bank Of America and work the San Francisco Fire Department in preparation of the 2009 launch of their PLX-3D System.

Reality Engineering again offers its assistance and SECI gives them a limited agreement. Here is where things get interesting as the limited engagement is capped at $50,000 and approved by the Sector 10 Board. As part of this engagement, Lee Allen (runs Reality Engineering) receives further access to the PLX-3D system and other confidential Sector 10 information. Lee Allen invoices Sector 10 for $180,000 and refuses to provide any record of Reality Engineering’s alleged enhancements to the software. Sector 10 intellectual property and equipment was NOT returned after the engagement ends.
As 2009 continued, apparently Mr. Allen was working negotiations with other investors including Bank of America, and even stated he was the Sector 10 COO. If that wasn’t enough, SECI claims Lee Allen told Bank of America the PLX-3D software was now in control by Dutro and affiliates. SECI had no idea this was going on behind the scenes.
It gets uglier, as Dutro and Reality Engineering were producing similar products, possibly enhanced versions of Sector 10’s products. After failed negotiations and cease and desist requests for product, tooling and data, the manufacturing stopped, and what little product was returned was found damaged and unusable.
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Discovery Of The Technology Theft Migration
Investigations by Sector 10 has to led to some interesting findings. During the early years, it reads as if the failed merger with Lee Allen’s Reality Engineering led to two years moving equipment and proprietary information, unauthorized, from the Dutro manufacturing plant in Logan, Utah to their offices in Camas, Washington, and shared info with Rex and Jack Smith.

Now the Smith’s (father and son) are linked to such companies and accomplishments such as co-founder of Hotmail, Valley Inception, Proximex, Oregon State University and an associate of tech analyst David Bunzel. In 2008, Bunzel founds PSIA (Physical Security Interoperability Alliance) which leaks Sector 10 proprietary information as an open source tool to the market. Now, PSIA served as the perfect umbrella to give the ILLUSION of an open source tool. Evidence shows that PSIA carefully selected the shared/leaked information to shift an entire market, while parties behind the scene worked vigorously on rewriting the original copy under the expert guidance of Silicon Valley patent lawyer Raj Abhyanker.

“The leaks were carefully orchestrated to hide the core technology and its theft, while presenting it as a wide-spread market shift.”

By late 2009, evidence shows that with the support of Jack’s father Rex Smith, Valley Inception and Incisive (lead by Jack Smith’s Hotmail colleague Richard Burright) spring into operation, effectively changing the direction of Proximex from a video server business to being the self-proclaimed leader in the PSIM market after integrating Sector 10 technology. Armed with years of Sector 10 research, trade secrets and extensive data, Dutro affiliates—later joined by John Gargett (now with Trusys)—move to create and lead PSIM Systems and related operating standards.

By 2010, multiple affiliated companies were using Sector 10’s technology and multiple lawsuits start.

The Lawsuits
In 2010, Sector 10 found themselves under an avalanche of lawsuits designed to distract the company with hopes the company would fail and allow the affiliates to continue on with the technology. To make things worse, the assigned judge in Logan, Utah is related to the Dutro family and is advised and proceeds to move things to court in Salt Lake City.
In 2011, with the help of a Texas law firm and later a NY one, they go after Bank of America in San Francisco who later in 2012 fire everyone who was involved with Sector 10 dealings including vice -president Jason Meyers.
In 2013, a couple firms together convince Sector 10 to move the case forward on a contingency basis in Salt Lake, and this goes on until 2015 when Sector 10’s lawyers abruptly abandon the lawsuit, leaving it in shambles.

Interestingly enough, one day before abandoning the case, the exiting Sector 10 lawyers remove several key Dutro affiliates from the lawsuit (with prejudice), including John Gargett and Trusys. This move was NOT authorized by Sector 10 and possibly had direct dealings with the defendants.

For years Sector 10 tries to get things going but Dutro and affiliates keep pushing for dismissals until a break in October of 2017, where Whistleblowers uncover new evidence on how the defendants strategized to monetize and globalize the stolen technology. As of December of 2017, hundreds of new documents where in the hands of their attornies along with State and Federal agencies.

To summarize, evidence shows a publicly traded company (Sector 10) was defrauded and its technology illegally laundered before passing it on to another publicly traded company, then ADT/TYCO. All parties involved accumulated wealth, while thousands of Sector 10 investors lost everything, and yet others invested in the lie.

http://psinvestor.com/seci-sector-10-climbs-nearly-4000-last-3-days-lawsuit-heating-up/