PRAV Part 4
The Reading of the Evidence Against PRAV continues
LARGE PRAV SHAREHOLDERS SEEM TO HAVE A HISORY OF SECURITIES PROMOTION
An examination of PRAV filings reveals the following shareholders:
George Guttman and C-Saw Investments
C-Saw Investments is listed as a major shareholder (8.8 million) in several filings, including the recent SB-2 09/11/00. In an SC 13D (08/26/98), George Guttman is indicated as the President and Director and 50% owner of C-Saw. In a more recent SC 13D dated May 19 2000, it is further disclosed that Mr. Guttman is the sole voting power for Jericho Partners Ltd., which also holds 1,612,489 shares. Including all warrants, he now claims control over 11,757,489 shares. It is possible that the true number is even larger. The contact person for Jericho Partners Ltd., according to documents at the New York State Divisions of Corporations, is Rochelle Gut. (Notice the similarity in last name to Mr. Guttman.) Ms. Gut is listed as a holder of 200,000 shares in the SB-2 09/11/00. In September 1996, "when Mr. Guttman was a registered representative of an NASD member firm, certain of his customers alleged that he engaged in unauthorized transactions in their accounts". Guttman settled with a fine and a twelve-month ban from association with any NASD firm without admitting to the violations. It further states “on or about June 3, 1998, Mr. Guttman provided false information to an attorney with the Securities and Exchange Commission with respect to the September 1996 Allegations.”
nasdr.com
nasdr.com
Mr. Guttman has been involved in the promotion of several OTCBB penny stocks, most notably a company call Mountain Energy Inc. (OTCBB - MTEI). Mr. Guttman is listed as the IR contact in press releases from mid-1998, when Mountain Energy was conducting a reverse merger with a shell company called International Casino Cruises (OTBC - ICVI). His C-Saw rec'd shares in the merger. The MTEI story is covered in great detail in the following links:
geocities.com
geocities.com
MTEI trading was halted by the SEC (after trading for only two months) because of questions about the adequacy and accuracy of publicly disseminated information. Lawsuits are proceeding, while the shares trade at $.001 on the pink sheets.
There is currently a poster using the Raging Bull stock message boards who claims to be George Guttman. If in fact it is Mr.Guttman, then he is clearly in violation of SEC rules, which require insiders to disclose their relationship with the company.
Appleby Partners Inc.
Appleby is listed as the holder of 2.5 M PRAV shares, and is registering 1.5 M for resale in the PRAV SB-2 (9/11/00). Appleby is a New York Corporation who’s CEO is Steven Bingaman. Mr. Bingaman was arrested by the FBI in September 1996, and charged with conspiracy to commit securities fraud:
sec.gov
A total of 45 defendants were charged at that time after "an extensive undercover investigation conducted by the FBI". Most investors who have lost money on OTC stock promotions will recognize a name or two on that list.
Jacob International, Rapid Release LLC and Pangea
Jacob International is listed as a selling shareholder in the latest SB-2 of 672,500 shares of PRAV. According to the 1999 10K Jacob is a consultant to PRAV, and lists its affiliate as Rapid Release Research LLC. According to the consulting agreement, these companies have personnel that are “experienced in utilizing electronic communications such as internet chat rooms, multi-party conference calls and audio-video media" (Exhibit 10.5, 12/99 10K). Jacob was paid 1K shares for consulting, but also agreed to convert a $15,325 convertible promissory note (plus interest of $319.27) into PRAV shares priced at $.02, resulting in the issuance of a total of 782,250 shares.
The president of Jacob Int. is Marc Nathan, and according to the Wyoming company registration, another principle is Martin Nathan. The latter is a lawyer who works out of the same offices as Rapid Release. The other partner in Rapid Release is Bruce Pollock, who is listed as PRAV IR at www.http://64.32.21.12/ . (For registration go to soswy.state.wy.us and search for Jacob International) Martin Nathan is also involved with PAPO. This was found in a Segway II (predecessor to Pangea) filing: "At a meeting of the Board of Directors in January, 2000, the board approved the conversion of Rapid Release Research, LLC. and Martin R. Nathan and Associates debt to Pangea Petroleum Corporation stock."
It is therefore reasonable to conclude that there is a non-arms length nature to the transactions between PRAV and PAPO regarding the Worldlink USA transaction previously mentioned.
It is also clear, by the nature of activities carried on by Jacob/Rapid Release, that they are likely involved in promoting PRAV via various web and chat sites. The following sites are known to have featured PRAV over the past year:
microcapgroup.com
moneyishoney.com
stockhouse.com
joeystockmarket.com
virtualir.com
64.32.21.12
pennystocknews.com
stockreviewer.net
This and all posts by Verendus are the opinions and conclusions of the writer after the review of information provided by sources the writer believes are reliable. However, every investor should perform their own due diligence and not rely on any chat board post in making investment decisions.
Stay tuned for Part 5 |
