PUMPs & dumpS
Red Flagging DANGERS In The Penny Market
Swimmers in Pacific Clean Water Technologies (PCWT)
Could Drown In More APS Sewage
As it turns out, our prognosis to subscribers of Awesome Penny Stocks pumping of Pacific Water Technologies (PCWT) was correct and it look as we may have been prophetic when we begged the lemmings to specifically stay away from this one. Having completed three days of their newest Pump & Dump of this brand new ticker, it would be difficult to conclude that anybody is making much money. Well anybody but APS and its cohorts, of course.
Over the last three days, 116,148,093 PCWT shares, worth $19,796,000, have been traded, at an average share price of $.0.17044, representing an increase of just 5.4% for the average share at Friday's close. In comparison, shares of Xumanii (XUII) had traded 314,228,943 shares, worth $106,613,000, three days into APS' announced that it was its so-called "pick". Obviously, everybody is treading Pacific Clean Water, after the SEC put the "Whoa Nelly" on APS' last Pump & Dump, actually a re-pump, well actually a re-re-pump of Pacwest Equities (PWEI), and halted trading four days into the re-scheme. Whether its because their funds are tied up in worthless PWEI shares, or because they are concerned that the SEC has finally made APS a target, the street is approaching the latest "pick" with trepidation. Even PCWT is being careful, by limiting what it says, well actually doesn't say. This Pump & Dump campaign began before the company ever issued a press release and since then, only one pr has been issued. That pr said a bunch of nothing. Obviously, everybody is trying to limit the chances of PCWT meeting the same fate as its predecessor, as another SEC trading halt would surely force APS into the retirement it has deceivingly promised over and over again. Of course, the company would, and probably already has, claimed to the regulators that it has no idea about the Pump & Dump, but considering that insiders still owned every single share on Tuesday, nobody is going to be stupid enough to believe that. Regardless, OTCmarkets, which runs the exchange over which these pieces of crap trade, slapped a Caveat Emptor tag on PCWT in record time.
For once, and we're not sure what triggered the end to the SEC's coffee break, the public good was considered by the regulators in its ending of the PWEI scheme, although not before an estimated $12 - 15 million was lost by the street in this latest incarnation. Millions were also lost in the previous Pump & Dump PWEI campaigns. Still, this early in the game of the latest Pump & Dump, most of the losses were absorbed by penny stock regulars who were relying on APS' usual ability to bring newbies into the fold. It's time that these piggy-backers experienced the pain that so many new and less savvy traders, the people that APS really relies on to carry out there schemes, experience scam in and scam out. Without the so-called newbies, no traders make money.
The Players
PCWT was born from an S-1 filed for Unseen Solar, Inc. in March of 2010, by San Diego Attorney, Abby Ertz, a lone-practioner. Ertz is the wife of Pump & Dump attorney deluxe, Andrew Coldicutt.
Andrew Coldicutt, is one of the attorneys we list in a slideshow we call 5 Attorneys Whose Public Company Clients Are Likely TO Be The Subject Of A Pump & Dump Campaign and has deep APS ties as he represented former APS Pump & Dump subjects VLNX and CDOI, among others. Coldicutt has also worked at the now defunct law firm of Carillo Huettel, who was a common denominator of APS schemes and many suspect was an APS partner. At one time, Coldicutt represented the now halted PWEI. Coldicutt's parents also have a nefarious background in penny stock fraud and have been cited by regulators on several occasions. The family that schemes together stays together.
Andrew's Proud Parents: SEC Targets Thomas and Elizabeth Coldicutt
The Apple Doesn't Fall Far From The Tree
At the time of the S-1 filing, Dr. Edward F. Myers was the sole officer and director and its only shareholder, investing $5,000 for 2,000,000 shares. Dr. Myers son, Edward Jr., has extensive connections to several shells which look to have dubious intentions, including Ads In Motion (ADSO), which no coincidentally has stock ownership connections to the Coldicutts, and Free Flow, Inc. a recently registered company with connections to both Myers boys and Betty Myers, either senior's or junior's wife. Free Flow is going public on the premise of the purchase of a solar pump system from the senior Myers, for which the company paid $5,000. Doesn't sound fishy at all, does it?
The Coldicutts and the Myers look to be old family friends. The senior Myers is a sponsor of the Caroline Victoria Coldicutt Arts Foundation, which is headed up by Andrew's crooked parents, Thomas and Elizabeth.
With the S-1 filing, came the issuance of another one million shares at 2 cents. So now we have three million shares out there.
Not much changes until May 9, 2012, when Myers resigns and Martin Pastoriza Ramos is named President and sole Director of Unseen Solar. There does not appear to be any transfer of ownership of any of Mr. Myers' shares with the change in power. On August 30, 2012, the company acquires Western Water Consultants from Craig McMillan in exchange for 4,500,000 shares of new Unseen Solar stock. McMillan becomes the new President. He splits the 4.5 million shares with his partner Steve Roussin. The paperwork was facilitated by law firm Greenberg Traurig, LLP, which has deep connections to several APS Pump & Dumps, having represented Xumanii (XUII), World Moto (FARE), and Swingplane Ventures (SWVI), and the firm representing presumed eventual APS Pump & Dump subject, Press Ventures, Inc. (PVEN).
There are now 7,500,000 shares issued and outstanding.
On December 6, 2012, Unseen Solar executes the APS requisite 40 for one forward split, resulting in 300,000,000 shares issued and outstanding. The company changes its name to the current moniker on December 11, 2012. On April 8, 2013, another forward split, this time at a rate of 3 for one, was executed, resulting in the current issued and outstanding number of shares of 900,000,000. Most penny stocks reverse split to get out of this share structure. The PCWT scheme forward splits to this number in order to give its benefactors more overpriced, over-hyped stock to sell to a suckered public.
The Problems
The filings are consistently a mess. In the latest quarterly filing for the period ended June 30, 2013, the opening salvo incorrectly lists only 300 million as the number of shares outstanding. The Balance Sheet purports to list assets as of March 31, 2013, rather than the report's quarter ending date of June 30, 2013. However a little research shows us that the previous financials, which actually were for the quarter ended March 31, 2013, showed different numbers, so we can assume that the heading on the June 30th is a typo. Typos seem to be the norm with PCWT's filings, as we count six amended re-filings in 2013 alone.
Typos aside, $645,000 in assets are listed as of June 30, 2013 while liabilities of almost $816,000 are on the books. This gives the shares a book value of negative 2/100ths of a penny each. At the currently quarterly operating loss of $49,000, the book value does not look to get to September 20, 2013's share price of 20 cents anytime soon. Edward F. Myers initial $5,000 investment of 3 1/2 years ago, is now worth $48 million. Not a bad rate of return for doing nothing. Those that took part in the S-1 filing, collectively donating $20,000, haven't done too badly either. Those shares are now worth $24 million, a return of 120,000%.
We're sure that Myers and company are grateful to the lemmings who eat whatever dung is served up by APS.
The company does not exist at the address listed with the SEC, 19800 MacArthur Blvd, Suite 371 Irvine, CA 92612. This address is an executive office suite, shared by dozens of companies. When we called, the receptionist stated that she had never heard of Pacific Clean Water Technologies and could not find a forwarding address. Furthermore, the address registered with the Nevada Secretary of State, 650 North Rose Drive, #607, Placentia, California, is nothing more than a UPS Store, strongly suggesting that this company, ridiculously valued at $180 million, is operated out of someone's basement.
Also of possible consequence is that PCWT, which purports to operate out of California, has never been registered with the California Secretary of State, a must for businesses operating in California. It is not unreasonable to assume therefore, that PCWT has not filed California income tax returns, also a requirement, even for so-called foreign corporations operating in California.
Anti Pump & Dump activist and perpetual litigant, George Sharp, has already initiated litigation against Awesome Penny Stocks and its Pump & Dump subject companies for violation of spam email laws and has tweeted an image of a court filed document naming PCWT as an additional defendant.
Sharp's tendency to issue multiple press releases regarding his litigation will raise awareness of the scheme to potential new APS victims and inhibit many from falling for the scheme. APS depends on these so-called "newbies" to be able to carry on their nefarious schemes. Sharp's press releases direct the reader to his website www.awesomepennyscams.com, where the performance of past APS schemes is well documented. The publicity generated by Sharp seemingly created serious obstacles for APS, who was forced to carry on the XUII scheme for an unprecedented 14 weeks. The diminished number of wild swings in share price usually experienced by APS Pump & Dump subjects, may also have been a result of Sharp's publicity.
Whatever reasons he has for delaying his issuance of a press release is only known to him, but it could be that Sharp is timing the release to where it could have the most impact, or that he is waiting to see if the SEC acts first.
The Conclusion
If you believe, as many do, that the SEC is now targeting APS and its "picks", the false address and the lack of standing in California, is enough for them to go on, to impose a temporary suspension in trading for concerns about "the accuracy and adequacy of publicly disseminated information", much as they did with PWEI. For the welfare of the innocents that are unaware of the true intentions of all of these culprits, we hope they do.
