CSMG Technologies, Inc (fka CTGI)

[sojourner]

rocketeer357: There are no pending lawsuits against CSMG from what I can see. joedebull seems to be correct on this point. As to La Jolla Cove Investors, CSMG defaulted on payment to La Jolla. However, La Jolla Cove has not sued CSMG in order to obtain it. Not yet, anyhow. If you have information to the contrary of my information, please bring it forward.

Re: That's a big call considering that there is one known lawsuit pending against CTGI from the La Jolla debacle.

http://cf.us.biz.yahoo.com/e/090205/ctgi.pk8-k.html
Form 8-K for CSMG TECHNOLOGIES, INC.

5-Feb-2009
Triggering Events That Accelerate or Increase a Direct Financial Obligation
Item 2.04 Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement.

The Registrant ("CSMG") received on February 2, 2009 a certified letter dated January 28, 2009 from La Jolla Cove Investors, Inc. ("La Jolla") declaring an event of default with respect to a 6% Convertible Debenture dated November 17, 2008 in the principal amount of $1,500,000 that matures on November 30, 2011 ("First Convertible Debenture") issued under a Securities Purchase Agreement dated November 17, 2008. Under the Securities Purchase Agreement, La Jolla paid $125,000 to CSMG and issued a Secured Promissory Note (the "First Secured Note") in the amount of $1,375,000 dated November 17, 2008 that is due and payable on demand by CSMG at any time after November 30, 2011. La Jolla stated that an event of default had occurred under the Convertible Debenture following the entry of judgment against the Company and in favor of Banco Panamericano, Inc. in the amount of $726,491.41 on December 16, 2008 and the failure of CSMG to timely pay interest under the Debenture. La Jolla claims that it is entitled to $402,629.28 under the terms of the Debenture based upon acceleration of 118% of the principal of the Debenture together with all accrued and unpaid interest to the date of payment. CSMG is not aware of any other material obligations that it has that may arise, increase, be accelerated or become a direct financial obligation as a result of the above triggering event or the increase or acceleration of the Debenture to La Jolla.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

99.1 Letter of Default from La Jolla Cove Investors dated January 28, 2009