Inelco Corp. (fka INLC)

[EarnestDD]

ONTC - looks like penny days are probably over for this stock.
(DD courtesy of nodummy)

The filings make this very clear.
http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=8113542

ONTC has over $1,008,389 in debt Notes as of June 30, 2011. Add in the interest due on those Notes ($57,178) and all total ONTC owes $1,065,567 to its debt Note holders. That number has grown bigger with each passing quarter.
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On June 21, 2011 the first of dozens of individual Notes started to become due.

The 3 month chart shows us what happened on June 21, 2011 when that first group of free trading debt Note conversion share issued at $.002/share hit the market.

The share price plummeted from a high of $.019/share early in the day on June 21, 2011 down to $.0052/share over the next 7 trading days.

The price recovered back to up close to $.02/share thanks to lots of pumping, but then the next round of debt conversions hit killing the stock price again.
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Here is a list of debt Notes that recently became due or will become due soon (all Notes include the annual interest)

$117,600 due on July 21, 2011 at $.002/share = 58,000,000 shares
$67,200 due on August 4, 2011 at $.002/share = 33,600,000 shares
$5,500 due on August 9, 2011 at $.002/share = 2,750,000 shares
$4,400 due on August 25, 2011 at $.002/share = 2,200,000 shares
$22,000 due on September 2, 2011 at $.002/share = 11,000,000 shares
$3,300 due on October 13, 2011 at $.002/share = 1,650,000 shares
$78,400 due on November 1, 2011 at $.002/share = 39,200,000 shares
$21,560 due on November 4, 2011 at $.002/share = 10,780,000 shares
$6,050 due on November 8, 2011 at $.002/share = 3,025,000 shares
$10,230 due on demand (includes 10% interest due on November 30, 2011) at $.001/share = 10,200,000 shares
$11,200 due on December 1, 2011 at $.002/share = 5,600,000 shares
$44,800 due on December 8, 2011 at $.002/share = 22,400,000 shares
$17,050 due on December 15, 2011 at $.002/share = 8,525,000 shares
$11,200 due on December 23, 2011 at $.002/share = 5,600,000 shares
$110,000 due on December 23, 2011 at $.002/share = 55,000,000 shares

All total that is 269,530,000 free trading shares that could potentially enter the market between July 21, 2011 and the end of the year.

November and December look especially bad.

If the closing bid price of the stock drops below $.02533 then those Notes will start converting below $.002/share meaning even more free trading share entering the market before the end of the year.

That is just a list of the debt Notes that become due before the end of the year - obviously ONTC has dozens of other Notes that won't become due until after the New Year which they could also opt to convert into shares ahead of the due dates.

Between March 8, 2011 and June 30, 2011 ONTC opted to issue 59,750,000 shares of stock towards two debt Notes owed to NexPhase totaling $119,500 that are not even due until March of 2012.
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ONTC also issues shares for consulting services:

7,049,188 shares issued for consulting in March of 2011
1,200,000 share issued for consulting in April of 2011
1,000,000 shares issued for consulting in May of 2011
2,000,000 shares issued for consulting in June of 2011

Is Dennis G. Ruggeri still a paid consultant for ONTC through his company Financial Insights & Solutions Inc?

Ruggeri has an interesting history with Guy Jean-Pierre. They were close business partners/associates with Growth Capital Enterprises Inc and H3 Enterprises Inc (HTRE). Ruggeri also had an interesting stop off with GLUV back in 2006 as the IR for Media Magic Inc (a company controlled by Gerald C Parker) right before the GLUV shell imploded and a past association with Thomas W Scozzafava.
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And with only $86,845 cash and only $8,567 in profits over the last reported quarter there isn't much available for ONTC to dip into to help pay for the mounting expenses due including $398,000 due in employment compensation.
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ONTC doesn't share with the shareholders who owns most of the dozens of individual debt Notes that are outstanding. They do list S & E Capital LLC and D & D Capital Inc. as the owners of a couple of the earliest Notes, but most of the rest simply say investment firm with no name:

"the Company entered into a convertible promissory note with an investment firm"

D & D Capital Inc and S & E Capital LLC are both entities controlled by the Svoria family obviously related to the sole officer and director of the ONTC shell, Dror Svoria.

http://sunbiz.org/scripts/cordet.exe?action=DETFIL&inq_doc_number=P09000047016&inq_came_from=NAMFWD&cor_web_names_seq_number=0000&names_name_ind=N&names_cor_number=&names_name_seq=&names_name_ind=&names_comp_name=DDCAPITAL&names_filing_type=

http://sunbiz.org/scripts/cordet.exe?action=DETFIL&inq_doc_number=L06000103612&inq_came_from=NAMFWD&cor_web_names_seq_number=0000&names_name_ind=N&names_cor_number=&names_name_seq=&names_name_ind=&names_comp_name=SECAPITAL&names_filing_type=

Dror was listed as an officer of S & E Capital LLC in the 2010 annual report:

http://sunbiz.org/pdf/80030594.pdf

Then removed himself as an officer in June of 2010:

http://sunbiz.org/pdf/00159922.pdf

It is very interesting that with S & E Capital LLC a filing was done on February 14, 2011 to change the name of the Resident agent from Dror Svoria to Doron Svoria:

http://sunbiz.org/pdf/92287438.pdf

That is the same exact day that ONTC purchased NexPhase Lighting Inc. I wonder if most ONTC investors know that Dror Svoria was listed as a managing member of Nexphase Lighting Inc on July 23, 2010 when that company was domesticated in Florida:

http://sunbiz.org/pdf/83440360.pdf

That is several months before ONTC purchased NexPhase Lighting Inc and even several months before Svoria gained control of the ONTC shell.

One month even earlier than that in June of 2010 Jon Cooper and Dror Svoria were listed as officers together for NexPhase Lighting LLC:

http://sunbiz.org/pdf/00147990.pdf

Nexphase Lighting LLC was converted into NexPhase Lighting Inc.
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You can't have an LED company in Florida without having a Sam S Abecassis connection.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=60369840

Abecassis can be connected to several Florida based LED companies. He basically runs a rinse wash repeat LED lighting scam.

Here is the Dror Svoria / Sam S Abecassis connection:

Green LED Solutions LLC

The two of them formed the entity together back on September 24, 2008:

http://www.sunbiz.org/pdf/60314496.pdf

Green LED Solutions would end up merging with Hi Score Corporation on 9/20/09 with Dror Svoria taking over as the CEO of HSCO:

http://www.greenledsolutions.com/Merger.htm

So many names connected to HSCO

Dror Svoria
Sam S Abecassis
Micheal Zoyes
Peter Ruggeri (probably related to Dennis Ruggeri)

The branches of this group's rinse wash repeat LED operations stretch far and wide.

For instance they had 3 identical websites with 3 different company names:

http://www.greenledsolutions.com

http://www.mac1ind.com/index.html

http://www.luminxindustry.com/

Here we have a post connecting all the publicly traded LED companies that can be linked together by association:

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=60381647

HSCO, ISPI (now ONTC), SAVW, OTFT, MIRA, IACH

It seems obvious at this point that Dror Svoria took over the ONTC shell with the plan well in advance to purchase Nexphase Lighting and run an LED business with the ONTC shell.
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Dror Svoria gained control of the ONTC shell on November 25, 2010 by purchasing a large chunk of the outstanding shares for $325,000.

Very shortly after that the following two debt Notes were issued:

On December 15, 2010, we entered into a convertible promissory demand note with S & E Capital LLC in the amount of $7,500, which bears interest at the rate of 10% per annum. The terms of the convertible promissory demand note include a voluntary conversion feature allowing the holder thereof to convert all or a portion of the amount outstanding into shares of our restricted common stock at the rate of either the greater of: (i) twice the par value of the common stock; or (ii) a 75% discount to the market closing bid price on the date of the conversion. The note is due December 15, 2011. No payments have been made on this note.

On December 23, 2010, we entered into a convertible promissory demand note with D & D Capital Inc. in the amount of $100,000, which bears interest at the rate of 10% per annum. The terms of the convertible promissory demand note include a voluntary conversion feature allowing the holder thereof to convert all or a portion of the amount outstanding into shares of our restricted common stock at the rate of either the greater of: (i) twice the par value of the common stock; or (ii) a 75% discount to the market closing bid price on the date of the conversion. The note is due December 23, 2011. No payments have been made on this note.

Right before Dror Svoria took over we are able to dig up the names of a few other Note holders.

Oyster Shell Investments LLP (Amanda Mayan) - Note from November of 2010:

http://sunbiz.org/scripts/cordet.exe?action=DETFIL&inq_doc_number=A06000000899&inq_came_from=NAMFWD&cor_web_names_seq_number=0000&names_name_ind=N&names_cor_number=&names_name_seq=&names_name_ind=&names_comp_name=OYSTERSHELLHOLDINGS&names_filing_type=

http://sunbiz.org/scripts/cordet.exe?action=DETFIL&inq_doc_number=L06000058411&inq_came_from=NAMFWD&cor_web_names_seq_number=0000&names_name_ind=N&names_cor_number=&names_name_seq=&names_name_ind=&names_comp_name=OYSTERSHELLHOLDINGS&names_filing_type=

Sky High Management LLC (Amanda Pearl and Eilay Maman) - Note from November of 2010:

http://sunbiz.org/scripts/cordet.exe?action=DETFIL&inq_doc_number=L10000028274&inq_came_from=NAMFWD&cor_web_names_seq_number=0000&names_name_ind=N&names_cor_number=&names_name_seq=&names_name_ind=&names_comp_name=SKYHIGHMANAGEMENT&names_filing_type=

Halevi Mayan Investments (Amanda Pearl and Amanda Mayan) - Note from October of 2010:

http://sunbiz.org/scripts/cordet.exe?action=DETFIL&inq_doc_number=L09000103855&inq_came_from=NAMFWD&cor_web_names_seq_number=0000&names_name_ind=N&names_cor_number=&names_name_seq=&names_name_ind=&names_comp_name=HALEVIMAYANINVESTMENTS&names_filing_type=

Erad Mayan is the person who registered/designed the ONTC website:

http://www.infospiinc.com/

http://mayangroup.us/contact.html

Haim Mayan of course was the former CEO before Dror Svoria took over.

All the rest of the dozens of Notes that also have the same conversion ratio issued since Dror Svoria took over ONTC only say "investment firm". I'm going to go out on a limb and guess that many more of the Notes are also due to D & D Capital Inc and/or S & E Capital LLC.

I wonder if Dror Svoria has any arrangements with his family members to get a kick back from the free trading discounted shares that will be dumped into the market from all of those debt Notes that can be converted at $.002/share or at a discount of 75% of the closing BID price on the day of the conversion.
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On November 25, 2010 Dror Svoria purchased ownership of the ONTC shell by acquiring 28,915,810 shares held by Eilay Maman and Amanda Mayan for $325,000.

That same day Dror Svoria appointed himself to all officer/director positions and issued himself another 12,500,000 shares.

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=7594656

On January 8, 2010 Dror Svoria gave himself an employment agreement which pays him $15,000 month and included a $150,000 signing bonus. He is currently owed $398,000 in unpaid salary.

On March 29, 2011 after Svoria made his final payment towards his share purchase agreement with Maman and Mayan, he changed the name of the ONTC shell from Infospi Inc (ISPI) to Onteco Corporation (ONTC)
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A Gerald Parkin connection here - that's scary.

It was Westmount Securities Corp (an entity controlled by Gerald Parkin) that bought control of this shell back on September 16, 2009 while it was called Infospi Inc.

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=6908005

Under it's former name, Arrin Systems, Inc, the shell had gone through a Chapter 11 bankruptcy reorganization in 2007 emerging from the bankruptcy in December of 2007 as Infospi Inc.

On June 30, 2009 there were 5,567,324 shares outstanding.

Westmount Securities Corp bought 4,990,000 shares and all 5,000,000 available warrants for $275,000 giving Westmount Securities Corp majority ownership of the shell.

When the purchase agreement closed on September 23, 2009 all the former officers of the shell resigned and new officers were put in place:
Haim Mayan CEO/President
Chris Hamilton VP/COO/Director
Michel Brunet Secretary/Director
Olivier Danan CAO/Director

Mayan was issued 12,150,000 shares between 9/23/09 - 11/13/09
Brunet was issued 400,000 shares between 9/23/09 - 11/13/09
Hamilton was issued 2,000,000 shares between 9/23/09 - 11/13/09
Danan was issued 13,950,000 shares between 9/23/09 - 11/13/09

On November 23, 2009 Westmount Securities Corp exercised their warrants. Those 5,000,000 warrants were turned into 28,571,429 shares giving Westmount a total of 33,561,429 shares for the price of $275,000.

Infospi Inc was trading at $.25/share at this time making those 33,561,429 shares worth $8,390,357. The price obviously didn't stay at $.25/share, but since 33,561,429 shares at $275,000 comes to $.0082/share I'm sure they still managed a very nice profit.