Homeland Security Corporation (HSCC)

[TITAN]

Schemes, Scams, Frauds.


CEO of HSCC

Smith Fairchild Boiler Room Scam involving Sun Biometrics linked to Gary Lloyd, David L Shade, International Biometrics, System Pros International, Dunhill Capital, McKenzie King, Autobug, Prime Pacific Holdings, Prime Pacific Holdings, Pierce Watters & Associates, Chamberlin Management, Morgan Young, Kline Management, Livingston Asset Management.

George Erb Staff Writer 07/21/03

Several months ago phones in England and Ireland began ringing with stories of a promising Seattle company called Sun Biometrics, touted by securities salesmen as an up-and-coming firm that makes identification technology for security systems.

Some investors spent $10,000 or $20,000 apiece buying Sun Biometrics securities, only belatedly reaching a gut-wrenching conclusion: Sun Biometrics was a fake.

Sun Biometrics now appears to have been a virtual company that existed on the Internet and almost nowhere else, its creation and fund raising managed by unknown figures working by e-mail and other anonymous means from such places as Thailand, Taiwan, the United Kingdom and Australia, according to investigators, investors and various documents.

According to state investigators, investors and others, the creators of Sun Biometrics:

blue bullet point Used the Internet to create the trappings of a Seattle company with enough apparent legitimacy to persuade investors half a world away to part with their money.
blue bullet point Pirated Web sites of other organizations and changed them, inserting references that increased Sun Biometrics' credibility.
blue bullet point Fleshed out the biographies of company executives with job histories that belonged to other people.
blue bullet point Avoided face-to-face contact, doing business by telephone and by e-mail, and chatting up investors before telling them to wire money to Taiwan.
Sun Biometrics' "corporate headquarters" still consists of a voice-mail box with a receptionist service rented from a work-space provider in Seattle's prominent and stylish Two Union Square building.

see the full four page article at www.bizjournals.com