SwingTrade Member Forum

[BuzzOnDaBeach]

From the 8K today

On January 7, 2005, the company received notice from the American Arbitration Association in New York City that Mr. Badner had amended his arbitration claim against the company and our major shareholder, Inter Asset Japan Co Ltd. Mr. Badner alleges (i) unrestricted shares of the company's stock to which he was entitled under the Assignment and Agreement ("Agreement") dated September 25, 2002 were not delivered as per the terms of the Agreement, (ii) unspecified commitments to engage in future business ventures with Mr. Badner were not made, and (iii) damages resulting from fraud and misrepresentation. Mr. Badner is seeking damages of $2,500,000 million plus interest related to the breach of the Agreement, $100,000 for damages suffered related to fraud and misrepresentations and costs and punitive and exemplary damages in an amount to be determined.

The company believes that these allegations are entirely without merit and will defend against these claims. There is no guarantee that the company has insurance to cover these claims or that it will be successful in defending these claims.