Drone Services USA Inc. (DSUS)

[Cassandra]

Only in special case scenario they can omit safe harbor statement if company is undergoing Cease-and-Desist order or civil action.

That is false and the example is not applicable. Dean Foods is not a penny stock company. It had been disqualified from relying upon the safe harbor provisions for forward looking statements following an administrative proceeding.

Companies that issue penny stock are expressly excluded from the safe harbor for forward looking statements according to the SEC.

From the previous post:

Section 27A(b)(1)(C) of the Securities Act and Section 21E(b)(1)(C) of the Securities Exchange Act expressly states that the safe harbor for forward looking statements does not apply to statements made by companies that issue penny stock.

Even though the safe harbor doesn't apply, most penny stock companies still mention the safe harbor in their PRs. It is still appropriate for penny stock companies to warn about the uncertainty of forward looking statements.

Peter Villiotis seems to think that he can make forward looking statements that have no reasonable basis to be made. I believe he will eventually find out he is mistaken.