CMKM Diamonds Inc. (fka CMKX)

[dia duit]

I'm guessing 8 to 10 for Edwards and Casavant. 1-3 for the others

That is roughly the same amount of time I thought, but first they need to be found guilty. lol

The game already ended

mretgnol, maybe not the entire game. Did you see my recent post about the legal woes of the old Jarvis Entertainment Group gang?

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=58628506



The post below is interesting because Gary Walter completely disputed Jarvis account of how the events took place.


bizjournals .com/houston/stories/2003/12/15/story3 .html?page=1

Jarvis, who also made headlines for turning a former nuclear fallout shelter in Montgomery County into a data center, was chairman and CEO of Jarvis Entertainment Group Inc. until September, when the public company divested its entertainment assets. Those assets included a bowling alley in Tomball.

On Nov. 17, the company announced it was changing its name to Westlin Corp. The company's new plan is to focus on data services in its 70-foot-deep bomb shelter, which was built during the early 1980s by a relative of former Taiwanese President Chiang Kai-Shek.

Peter Rospond, formerly the company's network administrator, took over as CEO in September. Rospond, who has been with the company for five years, has also held the position of CEO at InfoLife, an Internet service provider.

Rospond says the board of directors made the decision to change the leadership, as well as the direction of the company.

"Sometimes things take a turn and you have to do what's better for the company," Rospond says. "We're a much more serious company."

Rospond would not discuss the circumstances surrounding Jarvis' departure from the company, saying only that it was not Jarvis' decision to leave.

Jarvis, however, says his exit from the company was a mutual decision.

The split occurred because members of management had different visions for the company's future, Jarvis says.

"We didn't see eye to eye," he says. "We're happy about the split."

///////////////Part II
More connections:
============
From Rbitulsa
For those who may not see or recall the importance of the connection here, you may wish to review the notes from my interview with John Jarvis from last August. Note: I'll leave the comments below my notes that I originally sent, although parts of it are no longer accurate [For example, I now understand that the Vegas Group controlled the shell through all 3 "transitions" - from Singal to Jarvis to Urban, and I now understand that Singal's financiers were Urban's financiers].

From: [rbi]
Sent: Saturday, August 20, 2005 8:34 PM
To:
Cc:
Subject: FW: 8/19/05 Notes from Conversation with John Jarvis
Importance: High

On Thursday, I emailed Jarvis requesting information relative his acquisition and subsequent sale of the CMKI shell. On Friday afternoon, he called me at my office. He was very congenial and forthright, and appeared to be sincere with his answers. He did ask up front if I was with the SEC or any other government agency. I explained to John that I was independantly researching strategic delivery failures, that my overall interest was to gain a better understanding of manipulative trading and financing, and that CMKX was quite the fascinating case study. The conversation lasted about 30 minutes.

Jarvis described Cybermark as "basically a laser tag company; a warehouse in Canada, with some technology and a few people". Jarvis said the company had some "VR technology that I was interested in". When he initially reviewed the company, it appeared that the "liabilities were balanced - the assets and liabilities were basically a wash". Jarvis said it was not long after his acquisition that he learned that there had been some "let's just call it creative financing", some "debts that were not recorded" or disclosed at the time he acquired the shell. He also made referrence to two S-8 deals that he inferred were initiated by Singal. Jarvis said "it didn't take long for us to figure out the shell was a bust. They had raped the community and the public." Jarvis said the filings were deliquent when he bought the shell, and had already spent "a whole lot of money" getting the books current. But the past "creative financing" deals were going to cost him "hundreds of thousands to clean up". Jarvis said during this time the O/S had grown to over 50 million shares, and "shareholder value went down by over 70%". Jarvis said he "sought counsel from the SEC" but they "couldn't care less", and "suggested I find a good securities attorney". Never-the-less, Jarvis had the "VR technology" that he needed, and began meeting with potential buyers for the shell.

According to Jarvis, he was approached by an "outside agency" from Las Vegas. I asked him for the name of this outside agency, but he would only reply that it was "really a group, a conglomerate of people". He said several other people had interest in the shell, but the Las Vegas group showed the greatest "financial capability" to maintain the shell. Jarvis added that he was assured that they would "stay on the OTC", and he was "shocked that they would even consider a forward split" and, Jarvis assumed, if anything, they would reverse split, noting that he felt 50 million shares was too many.

At this point, Jarvis referred me back to the email I had sent him the previous evening, specifically to the list of names I had included (John Edwards, David Coffey, David Desormeau, Chris Jenson, Gary Walters, and NevWest Securities). I had also written the following in my email to Jarvis: "If there were “up-front” agreements or conditions at the time of Urban’s acquisition of CMKI, or if there were pre-existing or concurrent equity financing arrangements, or share-structure conditions, your advice would be appreciated." Jarvis repeatedly emphasized the point that, while Urban Casavant was "mentioned in the presentation", and his claims were to be "part of the deal", Urban was never present at any of several meetings between the parties, which took place at Jarvis' attorneys office, nor did he ever speak to Urban at any time during the sale of the shell. Jarvis says that at all of the meetings, Gary Walters was the "promoter of the deal". In addition to the meetings, all phone calls made relative the "conglomerate's presentation and acquisition" were between Jarvis and Walters. Jarvis further explained that deal, as presented to him, was for CMKI to "be a holding vehicle for several entities that would be pulled together". He commented that he was surprised when the "diamond mining basically took over CMKI". He was surprised that the FALC claims ended up (directly) a part of the CMKI shell. He again stated that this was not how the deal was pitched to him.

As I recollect it, here is a rundown of the q/a when I asked Jarvis about "the other names":

Edwards: "There were always several people at the meetings, so he may have been one of those there, but I don't remember him being there"
Desormeau: "Never heard of him" (note: he even badly mispronounced his name)
Coffey: "Never heard of him"
Jensen: "Never heard of him"
NevWest: "I know of NevWest, but have no idea if they were involved somehow"

I brought up the cusip change, and the cancellation of the preferred shares that occured after "the conglomerate" had bought the shell. Jarvis replied that he was not involved at all with the company at that time, and had no idea why that happened. He added that it is common after acquisitions to "draw a line" between the old and the new shares, and speculated that it could have also been done to get out from under "those old creative financing deals".

There was some small talk that followed. Jarvis said that I was not the first to have called him about CMKX. He also said, as if he was surprised by it, that he has never been contacted by the SEC or any other agency, about CMKX. He advised me that, if I really wanted to get more information on CMKX, I should contact the SEC.

My Comments:

Jarvis makes his case that the CMKI shell was corrupt from the beginning, but it still looks unlikely (if Jarvis is being forthright), that any current problems are linked to problems that existed prior, or during, the latest acquisition. However, I believe that Samual Singal should be looked into, along with the "sophisticated investors" mentioned in the early CMKI 10Q's, on the outside (an unlikely) chance that the original "creative financeers" might be linked to Edwards or Walters or Hackman.

It is, in my opinion, very significant that Gary Walters, not Urban, was the lead in the purchase of the CMKI shell. I never could understand how or why a "Rupert Perrin" would be named to the board of a diamond mining company. It does not appear to me that Urban has ever been in control of CMKI/CMKX.

In terms of Jarvis' description of this deal, it leads me to look at other filings, PR's, and other D/D, and surmize the following: It is my opinion that CMKX was to be a holding (parent) vehicle for at least the following shells: Microsignal (Nanosignal), Barrington Foods (USCA), Mirador (later replaced with SGGM), Juina Mining, CIM, and PCBM/SRCI. I would further assume that it was not long after the acquisition that the claims in the FALC became larger than the conglomerate as a whole, and the "strategy" was changed accordingly, and possibly to the chagrin of some.

The question I find most important, is as follows: What is it that links all these different entities together. What is the common element amongst all of them. Did they all share the same lender? The same broker? The same attorney? How did it come about that the above mentioned companies became linked together in a plan to be held under CMKI as a holding vehicle (who really owns the holding vehicle? I think the T/A data helps answer the question.

Noting that these notes and comments assume that Jarvis was sincere and forthright, I hope it helps with the general "big picture", and helps to put other issues in context.

Other Notes:
8/29/01 - Jarvis signs unaudited 10Q as president.
11/15/01 - Ian McIntyre signs NT10Q as president.
4/29/02 - David E Coffey first shows up as auditor for CMKI.

The CMKI shell has been controlled by three different groups: The initial group appears to have been lead by an individual named Samuel Singal. Jarvis later purchased the shell and then sold it to the "current owners".

It appears that Ian McIntyre served as the initial president under the “current ownership” regime, from November 2001 to November 2002, at which point Urban Casavant was named president. Among others, Ian McIntyre was President of a company called First Colony Merchant (linked to Can Cal Resources Ltd, Environmental Monitoring and Testing Corp, WFD Partnership, Timothy Cammel, ActionView International and Eton Properties). First Colony’s address is 7500 W LAKE MEAD BLVD.

An amended 8-K was filed on December 17th 2002, which is the first filing to indicate Urban as president. The next filing was the famous DEF 14C, filed 45 days later.