Dorsilfin and ILG,
In an effort to seek the truth and acknowledge the facts, I have decided to post the following news in re: CYSS ;
November 30, 1999 13:00
Crys-Tel Announces Investigation Into Management Improprieties
SAN DIEGO--(BUSINESS WIRE)--Nov. 30, 1999--The Board of Directors of Crys-Tel Telecommunications.com Inc. (OTCBB:CYSSE) Tuesday announced that the company is pursuing civil and criminal legal action against a former officer and possibly others responsible for its securities being removed from the over-the-counter Bulletin Board (OTCBB) under the new "Eligibility Rule" for stock quotations on the OTCBB.
This action is being taken in response to the Board's investigation and discovery that significant funds earmarked to retain various professionals to assist Crys-Tel in complying with the Eligibility Rule were embezzled by its former officer. As a result of these events, the company's registration statement (Form 10SB) under the Securities Exchange Act of 1934 was not filed in time to comply with the Eligibility Rule. The company is examining additional evidence that the former officer may have been assisted by a former director and various individuals who acted on the behalf of the company.
The company has recently discovered that funds specifically earmarked for professional retainers were removed from the company's bank account by the officer along with substantial funds in a series of unauthorized purchases and wire transfers from the company's bank account to the private accounts of the officer and other parties. It is estimated that approximately $150,000 may have been removed improperly from the company's bank accounts.
Crys-Tel anticipates that it will record a loss and a charge against its income for the current period equal to the amount that it expects to incur in connection with the conversion of fund. Furthermore, the company has no assurance that it will be able to retrieve these misappropriated corporate assets in a cost-effective manner.
The company's board of directors has formed a committee to perform an internal investigation in regards to these matters. Accordingly, The company can expect to expend up to another $50,000 in fees and costs associated. Crys-Tel expects further announcements in the near future as soon as the investigation is completed.
About Crys-Tel Telecommunications.com Inc.
Crys-Tel Telecommunications.com, based in San Diego, is a facilities-based international carrier utilizing the Internet to provide economical international telecommunications services. The company operates both as a wholesale carrier for international long distance resellers and as a retail carrier, servicing its own network and marketing the use of its network to consumers in designated areas. Crys-Tel combines advanced engineering and system integration along with the high resiliency of gateway solutions to ensure users high quality services over the Crys-Tel Network.
CONTACT: Rubicon Investor Relations
Terry Senisaiz, 888/353-9315 or 949/252-9315
info@rubiconir.com
www.rubiconir.com
I was very disturbed by this news and expect that others were as well. I will follow these events as they unfold and will continue to post any pertinent findings.
Warm Regards,
Chief
PS. For the record, I no longer own any stock in this company and urge others to carefully review their positions immediately. |
