Replies to post #31100 on NewStream Energy Technologies Group Inc (NSGP)

[cctclong]

So in your opinion, apprx how long would you say its going to take the sec to make the correction?

[asegal1228]

While I find your post to be very well written, I similarly find it to be devoid of any factual basis.

If I am reading your post correctly you are somehow stating that an "the company" is a completely and separate entity from its executive officers.

It appears to me, and I have not seen the documents on PACER yet, but from the SEC press release we see two statements.

http://www.sec.gov/news/press/2012/2012-108.htm

"The company officers and promoters in many of these schemes disguised their kickbacks as payments to phony consulting companies that performed no actual work," said Eric I. Bustillo, Director of the SEC's Miami Regional Office. "These illegal activities were fully intended to artificially inflate the stock volume and prices of these penny stock companies to the detriment of investors."

and

The SEC's complaints allege that these companies, officers, and stock promoters violated Section 17(a) of the Securities Act of 1933, and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The SEC is seeking financial penalties, disgorgement of ill-gotten gains plus prejudgment interest, and permanent injunctions against all the defendants. The SEC also seeks penny stock bars against each of the officers and promoters as well as officer-and-director bars against Bonenberger, Brennan, Cimino, Hague, Haire, and Skwara.

Now I cannot say with certainty what exactly applies to Hague as again I have not seen the actual charging documents, but if anything he did affected shareholders CCTC can be named as obviously they were.

SEC v. Douglas D. Hague and Clean Coal Technologies, Inc., Civil Action No. 0:12-cv-61076-WJZ (U.S. District Court for the Southern District of Florida)


Let's look at some of the most infamous stock scams of the past.

ZZZZ Best Inc., 1986
Centennial Technologies Inc., 1996
Bre-X Minerals, 1997
Enron, 2001
WorldCom, 2002
Tyco International (NYSE: TYC), 2002
HealthSouth (NYSE: HLS), 2003

By virtue, I suspect you are stating that because only some officers of the above had defrauded investors and were engaged in illegal activity, then the company as a whole should not have been named in lawsuits?

Fact of the matter is that companies are held responsible for the acts of their employees, especially executive officers every day. Like it or not, this is how the world works.

If you feel that CCTC has turned the corner and that "the past is in the past", that is your prerogative. I however believe that this is just the beginning and the discovery process will yield much more.

It is a shame that it took 3 years for these charges to be filed, but any way you look at it, Doug Hague was the CEO of CCTC when the alleged crimes took place and therefore the company, CCTC can be held liable.

Now if the SEC were aware that they improperly named CCTC as a defendant in a lawsuit, it is almost guaranteed that they would IMMEDIATELY correct the issue as it would be opening up all kinds of doors for a likely multi-million dollar lawsuit against them.

jmho

GL