Windswept Environmental Systems, Inc. (fka WEGI)

[printmail01]

WEGI RIP >

On February 6, 2009, Windswept Environmental Group, Inc. (the “Company”) received notification from its secured lenders that, in view of the Company’s defaults, they were accelerating the payment on their loans. These loans are in the current approximate aggregate principal amount of $5,908,000.

Prior thereto, the Company sought to obtain financing and potentially pay off its secured loans. Negotiations with one possible financing source were terminated by such financing source and no additional sources of capital were located. In view of the Company’s current inability to pay its expenses as they become due and to pay the secured loans, the Company has terminated operating activities except insofar as to collect receivables, liquidate all assets and pay (i) accrued payroll (and related taxes), (ii) its secured lenders and, (iii) to the extent applicable, taxing authorities. As a result, it is anticipated that no assets will be available for distribution to stockholders.

On February 6, 2009, Dr. Kevin Phillips resigned as a director of the Company, on February 12, 2009, Anthony P. Towell resigned as a director of the Company and on February 13, 2009, Arthur J. Wasserspring resigned as Chief Financial Officer of the Company. Messrs. Phillips and Towell were also members of the Audit and Compensation Committees of the Board. Jeffrey Micheli remains an officer and director of the Company and all employees of the Company have been terminated.

http://www.secinfo.com/d12TC3.s93y.htm