LINK BETWEEN CHST AND RECENT SEC CHARGES
A-Z Professional Consultants Inc. owns 26.7% of Chattown.com (which recently purchased Value Plus Marketing). Chattown was recently sending out email blasts pumping Creative Host. A-Z Professional Consultants is 100% owned by Allen Z. Wolfson.
The same Mr. Wolfson was charged in the most recent SEC crackdown as follows:
From in or about January 1999 through at least March 2000, Wolfson
manipulated the public trading markets for securities issued by:
Beautymerchant.com (formerly known at ATR Industries, Inc. ("ATR"); Learner'
s World, Inc. ("Learners"); Rollerball International, Inc. ("Rollerball");
Healthwatch, Inc. ("Healthwatch"); and HYTK Industries, Inc. ("Hytk"). In
each scheme, Wolfson acquired control over a substantial amount of
free-trading securities issued by the public company and, thereafter,
engaged in transactions to manipulate the public market price for those
securities, including paying bribes to brokers, both directly and through
promoters such as Grecco, in exchange for the brokers causing their retail
customers to purchase the securities.
Each of the manipulation schemes involved the following common elements: (a)
Wolfson obtained control of a large block of free-trading stock, frequently
issued pursuant to Rule 504 of Regulation D (the "Wolfson Shares"); (b)
Wolfson caused trades to be executed on the public market to give the false
appearance that there was genuine demand for the stock of the issuer; (c)
Wolfson paid bribes to brokers, through various intermediaries and nominees,
in exchange for the brokers creating retail demand for the Wolfson Shares;
and (d) Wolfson sold the Wolfson Shares into the retail demand created by
the bribed brokers. In particular, Wolfson agreed to make payments to Grecco
equal to 40-70% of the gross purchases of the Wolfson Shares caused by
brokers controlled by Grecco. The purpose of these kickbacks was to provide
sufficient funds to Grecco to pay bribes to brokers.
Grecco participated in each of the manipulation schemes involving ATR,
Learners, Rollerball, Healthwatch, and Hytk. Grecco paid bribes to brokers
to cause such brokers to cause their retail customers to purchase common
stock issued by ATR, Learners, Rollerball, Healthwatch, and Hytk.
Black received bribes from Wolfson and Grecco in exchange for Black causing,
either directly or through other brokers controlled by Black, retail
customers to purchase shares of stock issued by ATR, Learners, Rollerball,
Healthwatch, and Hytk. The bribes received by Black were not disclosed to
the retail customers who purchased these shares of stock.
Lazaretos received bribes from Wolfson and Grecco in exchange for Lazaretos
causing, either directly or through other brokers controlled by Lazaretos,
retail customers to purchase shares of stock issued by ATR, Learners,
Rollerball, Healthwatch, and Hytk. The bribes received by Lazaretos were not
disclosed to the retail customers who purchased these shares of stock.
Balsamo received bribes from Wolfson and Grecco in exchange for Balsamo
causing, either directly or through other brokers controlled by Balsamo,
retail customers to purchase shares of stock issued by Hytk. The bribes
received by Balsamo were not disclosed to the retail customers who purchased
these shares of stock.
Carvallo received bribes from Wolfson and Grecco in exchange for Carvallo
causing, either directly or through other brokers controlled by Carvallo,
retail customers to purchase shares of stock issued by Hytk. The bribes
received by Carvallo were not disclosed to the retail customers who purchased
these shares of stock.
Sonitis received bribes from Wolfson and Grecco in exchange for Sonitis
causing, either directly or through other brokers controlled by Sonitis,
retail customers to purchase shares of stock issued by Healthwatch. The
bribes received by Sonitis were not disclosed to the retail customers who
purchased these shares of stock. |
