Interesting RB post.
By: rtbrown
Reply To: None Friday, 2 Jun 2000 at 4:02 PM EDT
Post # of 15444
Dear Investors,
My name is Raymond T. Brown II and many of you have known me as the Director of Investor Relations for SyCoNet, Inc.
Recent events have transpired that require me to use this public forum as a vehicle to voice my concerns. On Friday, 12 May 00 I was fired by Phil Jacobson and Pia Marie Fea on behalf of SyCoNet. The reason for termination (at that time) was dissemination of insider information to shareholders. This termination 'reason' was confirmed by a letter from a shareholder to the CEO detailing my activities. I was then told of an offer of a severance package extended to me by the company would be forth coming, that I would receive my last pay-check, and complete payment of any outstanding expenses.
Needless to say, I was pissed. I had just gotten fired from the first company in five years that I really liked. Worse, I knew that I had done nothing wrong, and that it was really politics and not some action on my part that caused this dismissal. Those of you who know me, will vouch for my integrity and honesty. Those of you who don't are encouraged to check my CRD number. You will see that being a licensed broker with the cleanest U4 in the business is no small matter. Better than that, upon inspection of my CRD#, you will find that not only have I survived the Mob's influence on Wall St., I have in fact shut down two brokerage firms for doing illegal business via my testimony to the SEC. The very idea that I had broken any rule is completely uncharacteristic, and thus not the 'real' issue. Someone at the Company wanted me out, period. Realizing this, I knew there was little reason to put up a fight.
However, come Monday 15 May 00, I was asked to resign so as not to 'upset' the shareholders. I was then told that no compensation package or severance material would be delivered to me until I formally notified SyCoNet that I had quit. Being a nice guy and one concerned for the delicate position of the company, I agreed. In fact, I had suggested it on Friday, the day I was fired. (Big note: I did not, however, suggest that I not get my severance until I rendered my resignation.) What I did offer was to continue to speak on behalf of the Company until a reasonable explanation could be 'arranged.' Indeed, I continued to talk with many shareholders during the next two weeks - and a few of you reading this now understand why I said, "My hands are really tied for the moment." The truth was/is that I didn't want to ruin it for everyone just because I was no longer involved.
But, here is the BIG rub. I actually talked with the very shareholder who wrote the damning letter to the CEO, and he was kind enough to forward this e-mail to me. To the point, it stated that he was very sorry for posting 'close-to-the-truth' information on Raging Bull; but none of this information had come from Ray Brown, rather he had done some homework and put 2 and 2 together and posted it for his fellow shareholders to read. Better than that, this poster actually included his URL links to the very information he had managed to dig-up. This letter went on to say that he always posted with the words 'I THINK' or 'I GUESS' and never meant any harm to anyone or the Company.
Funny thing is that I had slammed this Raging Bull poster not even a week earlier for making such 'guesses' in a public forum - and it was this slamming that had prompted him to write the letter 'of apology' to the CEO in this first place. In the end I realized that the Company was looking for any reason to get rid of me - and this was as good a reason as any. Problem was that they figured out that I have the cleanest license in the business and will not stand by and watch it get tarnished. So, they asked me to resign, knowing full well, there was no REAL reason for me to do so.
And this is where you (the shareholders) come in. Why exactly was I asked to leave? I had to ask myself this same question. I am, after all, the only one at the Company that has your interests in mind 24-7. Those of you who have talked with me know this to be true. Those of you who don't are asked: does a person who allows his home telephone number to be broadcast over the Dow Jones News Wire have anything to hide or be worried about. 718-246-2561 is after-all my home number of ten years at the same address on Henry Street in Brooklyn, NY and not that of the Company's in VA.
OK: So here are the FACTS. (Actual facts, not RB guesses)
ú I have been fired/asked to leave. (12 May 00)
ú I read the DTC runs every week.
ú I talk to 'losing' shareholders every day.
ú There has been an active seller via Prudential.
ú This seller has increased the DTC float by 340k+ shares in the last eight weeks - meaning that these shares have been issued by the Company via exercise of options or Private Placement shares and are not 'Open Market' shares. A second option is that these share were held outside the US and then shipped in.
ú I cannot, repeat CAN'T confirm who this seller is so don't ask.
ú All other DTC positions show steady buying, small selling (<5000/wk) or hold positions. Again, I can't confirm this or seller's information, as all DTC runs have been confiscated from me - so please don't ask.
ú The Company has a burn rate of about 6 times that of income.
ú First quarter '00 revenues were less than 4th quarter '99.
ú The stock price is down more than 100% from its price less than eight weeks ago.
ú Any VC money 'available' to the Company is dependent on stock price.
Lest anyone think that I am trying to damage the company with 'insider' information - these are all 'open-to-the-public' facts. Do with them what you will. Sometimes the truth can be more damaging than fiction.
To all those shareholders out there who are cursing me for not telling this information to them during the last two weeks when we talked, forgive me. I have a responsibility to ALL shareholders; and that means that everyone need learn this information at the same time - no special privileges.
In closing, I do have a plan. I can execute on the business plan (the one I wrote By The Way) where the Company cannot. If you are interested, please call me. If you don't reach me, (only two phone lines) please leave one (1) message or contact me via RTBrown@aol.com; and I will be certain to return all messages in the next few days to a week.
Thank you,
Raymond T. Brown II
CRD#: 2196368
554 Henry Street
Brooklyn, NY 11231
(718) 246-2561
RTBrown@aol.com
PS. I never was asked (until fired) to sign a NDA; nor have I been asked to sign an employment contract (even though I have requested it since day one) - both of which are probable reasons why I'm being politely asked to bend over the barrel. As of now, I'm not signing Jack.
PPS. There are a few (keyword: FEW) people at the Company who are on my side, but their hands are more tied than mine.
- End -
**********************
Curious. Doesn't want to damage company but posts the negatives. Uh-huh.
Jack |
