Bob, there are several references to the SEC action. If I can locate I will post the link. The company announced the SEC investigation and the proposed fines in their 10k(?) filed with the SEC a few months back.
The following is from a story in the Tulsa news:
"HEARTSOFT SETTLES SUIT AFTER FRAUD ALLEGATIONS: Broken Arrow-based Heartsoft Inc., an educational software developer, settled charges with the Securities and Exchange Commission on Wednesday.
The SEC had alleged in a lawsuit that Heartsoft used its Web site to announce nonexistent agreements to distribute software to foreign countries and develop a child-safe Internet web browser.
Heartsoft's two top executives, Benjamin Shell and Jimmy Butler, agreed to pay a total of $261,000 to disgorge profits from their actions and to pay financial penalties, the SEC said.
The company and its executives neither admitted nor denied wrongdoing under the settlement, the government agency said. "
Also, although not in this news story, HTSF will have all PR's reviewed by outside counsel for the next 4 yrs. In an email from Ben Shell in response to an inquiry from an investor, which the recipient posted on RB, Ben said he made some $89,000(?) profit in alleged wrongful trades which he reinvested in the company along with an additional $40k of his own money. He also indicated the company would likely be issuing a PR soon detailing some of this info (after review by outside legal counsel, I assume). |
