CONVERSION SOLUTIONS our-street.com
OR
CON VERSION SOLUTION?
After waiting for over a year for the new owners of our-street.com to do something meaningful with it, I got tired of waiting and reclaimed it resigning myself to the fact that our-street.com might never be heard from again. After all, I have a business to run here and more than enough to keep me busy. Then I listened to a couple of interviews of Rufus Paul Harris and Ben Stanley of Conversion Solutions/Fronthaul, Inc and knew the market needed me and it needed our-street.com (OTCBB FHAL and not trading CVSU)
I have already proven that when it comes to due diligence, few are my equal and when it comes to spotting a scam, I could be the best there is. Listening to those interviews and reading the press releases, I realized right away, someone had to do some real due diligence on this company because those interviewers sure weren't making much of an effort. That's when I remembered a saying that has stuck with me for many years. "If not me, who? If not now, when?"
Rather than spend my usual week compiling data before publishing, I am going to release this as an ongoing work in progress. Over the course of the next day or so, I will be updating it regularly both during market hours and while the market is closed. Come back often to discover the latest information. I have a lot of important information about Harris and Stanley's past and on this current company. This included court documents and information from SEC filings. We have made a request of Harris and Stanley for due diligence material regarding the authenticity of numerous representations they have made. We will publish the result including all information they provide so those of you who may have ultimate faith in FHAL/CVSU, can rest assured I publish good news in addition to bad.
For now, all the pages are not yet up. They will be up shortly. However our archive is available so you can see our past results. The data is a year old and several other companies I featured have come under investigation by the SEC so our track record is better than what you will see. Your patience is appreciated but I though it important to get this information out right away. Additionally, we have already initiated contact with the enforcement division of the SEC. We will keep you posted on the results.
HISTORY OF RUFUS PAUL HARRIS AND FRIENDS
There isn't a lot of history for Paul Harris and Ben Stanley but what there is is highly informative and entertaining. It also builds a platform for the intelligent viewing of today's events.
It seems Mr. Harris has been in the business of making wild and exaggerated claims he cannot fulfill for quite some time now. There really isn't much before 2002, so let's start there. According to news reports, Mr. Harris really tried to pull of some kind of a fast one by offering an exaggerated price for golf course in South Carolina that was in bankruptcy. It also appears he used the name of one of the state's prominent hotelier's on the corporation he formed for the purpose a day or so before without his knowledge and forged the signature of another man who was going to serve on the board with him. Well, rather than re-tell it, you should read it yourself. It is most entertaining.
CLICK HERE FOR THE SAGA OF GRENELEFE COUNTRY CLUB
Harris then resurfaces in December 2002, once again making some pretty strong claims of fortunes galore, this time to Broadband Wireless International. SEC filings indicate that Harris, Stanley and Walsh promised to bring significant capital to the table for the company and based upon those promises, BBAN agreed to put them on the board and make them officers of the company. Many great achievements were spoken of but in the end the company had to file suit against Rufas and Ben to get them out when none of the promises came true and none of the bonds or other asset enhancements presented had any actual value. Again, you can read it yourself from the SEC filings.
THE SAGA CONTINUES A FEW MONTHS LATER WITH BROADBAND WIRELESS
Now, on to Conversion Solutions
On July 18th Conversion Solutions published a letter to its shareholders that detailed its promise to its shareholders. As part of the terms of the agreement and reiterated on subsequent occasions, Harris said that if FHAL stock did not close upon the merger that he would
Set the Average Closing Price at $15.00.
Of course, this is not something he is in a position to do unless he has enough money to purchase almost every share in the float for that amount. Forgetting that fact that you can't have an average closing price on a single day's trade, we will just chalk that up to limited literacy, we don't see how Mr. Harris can make that kind of representation, no matter how much he would wish it to be true.
Interestingly there are a lot of people in the market who somehow got through life to this point without really taking the phrase "if it sounds to good to be true, it probably is" to heart.
Here is the letter. CLICK HERE
HERE IS SOME RAW DATA ON THE VARIOUS SUBS CVSU LISTS.
CVSU SUBSIDIARIES
To continue, here are some quotes by Rufus Paul Harris that I have a huge problem with in that they appear to me to be a material violation of Rule 10b-5 of the Securities Act.
Rule 10b-5 -- Employment of Manipulative and Deceptive Devices
It shall be unlawful for any person, directly or indirectly, by the use of any means or instrumentality of interstate commerce, or of the mails or of any facility of any national securities exchange,
To employ any device, scheme, or artifice to defraud,
To make any untrue statement of a material fact or to omit to state a material fact necessary in order to make the statements made, in the light of the circumstances under which they were made, not misleading, or
To engage in any act, practice, or course of business which operates or would operate as a fraud or deceit upon any person,
in connection with the purchase or sale of any security
Harris - "This means, by owning one share in this company, in the next two years, you will receive shares in 17 different spin off corporations, guaranteed!"
About the spin-off subsidiaries
Harris - "90-95% of them are going to succeed successfully without any problem."
Harris - "the financials of the corporation are newly incorporated........... What happens is we take the new book value of the new consolidated corporation, 111 million outstanding shares. We have 48, 62 on FHAL. The combined total of 111 divided into your number and that gives you your book value, $7.21. You take your $7.21 value and you either start trading at your book or you can go two to three times. In an IPO you give an explanation as to how you come to your figure. You set your figure two to three times, it's common in the market and if anyone says different, they don't know what they are talking about. Two times the book is the $15 number that we chose. We will halt trading on the day, at the completion of the merger, after the 10K is filed, we will halt trading and come back out the next day, under the new symbol, and at $15 per share."
Interviewer - "So there is no guarantee of a $15 stock price, is that what you are saying?"
Harris - "There's a guarantee of a $15 stock price at the completion. At the completion of it, option C, which is more than likely what the corporation is going to do, this stock will be reset to $15. It doesn't matter if the day before it was trading at $2.10, if it was trading at $5.10. Under the reorganization structure, the company's stock price will go into the market, under CVSU at $15 a share.
Interviewer - "But the price is determined by what the market will bear. What if the market says "were going to pay you $2 a share? Are we going back to Plan A or are we sitting with a value of $2 a share?"
Harris - "I think you've been playing a little bit too long in penny stocks to ask that question on a company that's going to have $500 million in liquid assets to include $300 million in cash in the bank. Google went out at $85 and shot to a couple of hundred in a couple of days and all it had in offers to the whole IPO was $500 million in cash."
When asked about the float Harris responded "there should not be a float remaining as of now"
Interviewer - "The company has bought up most of the existing float, if not all of it?"
Harris - "Negative, the company started buying float and activity picked up and we stopped buying the float to let it buy itself up."
Interviewer - "So if CVSU didn't buy the float it's still out there, correct?"
Harris - "Combined total between CVSU and other groups we've had acquiring the float, there should not be one as of right now.
Interviewer - "Were these shares bought by CVSU the company or by CVSU insiders?"
Harris - "If you go to the reorganization plan, you have a wholly owned subsidiary which the IRS site refers to as "P", ok? "P's" the one the shares are transferred into in that situation. So, it's been a trust that's been set up to acquire and the trust has not acquired the majority of the float but we know of other people who has been obtaining the float."
Interviewer - "Are those shares that are going to become treasury shares and be cancelled or are they going to continue to be issued shares."
Harris- "They will be held in the treasury and, if needed at a later time, released for capital."
When asked what he was prepared to do if the stock fell instead of maintaining its value when he attempts to set the price at $15. His response
Harris - “We have set contracts through certain institutions to execute it upon notification,”
MN1.com
7:42 audio #2
Question from listener: Do we have a contact with Georgia Aerospace with Lockheed Martinette F-22 fighter
Harris: I hold a sub-contract of one of the manufacturing contractors for the F-22 and 35.
Since Conversion Solutions is a holding company, I dispute this claim and call upon Mr. Harris to document this claim. The only relationship that exists between CVSU and AISS and the F-22 is through Georgia Aerospace. AISS was put in place to act as a funding agent for GA and according to GA, they are currently in the contract procurement phase of their business. Simply put this means they are still trying to get a contract. If GA does not have an active contract to work on the F-22 or F-35, then we are mystified how CVSU can have a subcontract with one of the manufacturing contractors for these fighter jets.
All shareholders should demand at once that Mr. Harris provide specific disclosure information regarding this contract. Naturally, if provided it, we will gladly publish the information here.
AUDITED OR UN-AUDITED FINANCIAL STATEMENTS? (THIS IS A VERY SERIOUS MATTER)
According to the 8K filed on July 11th states clearly
sec.gov
Item 7. Financial Statements, Pro Forma Financial Statements and Exhibits.
(a) Financial Statements of Business Acquired.
A Un-Audited financial information required by this Item 7(a) has been included with this filing and will be modified by amendment to this Form 8-K not later than 60 days after the date this initial report on Form 8-K is filed attached hereto as Exhibit 9.1
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However on the CVSU website they are displayed in part with the statement that they are audited financial statements.
cvsu.us Click the link on the left side of the page titled “audited financials”
Obviously, if the audit was not completed between the 11th and the date when this page was published, this would represent a significant violation of SEC regulations. Here is the heading of the page. This page has been this way for at least the week I have been watching it.
"Conversion Solutions, Inc Audited Financials"
CLICK HERE FOR MORE
HISTORY
COURT DOCUMENTS FROM THE BBAN CASE. FEATURES BOGUS BONDS AND MISREPRESENTATIONS BY HARRIS AND STANLEY.
CLICK HERE
AND HERE
BOGUS BONDS??
INTERESTING READING DATES AND INTEREST RATES ARE QUITE COINCIDENTAL.
CLICK HERE
Since Rufus has decided to threaten litigation, I doubt if he will be responding to a request for due diligence information we sent him before the market opened today. Since these questions still need answering, I post the letter here in it's entirety. I suggest you all start asking the same questions. If he does answer, I will post his response here in full.
OUR-STREET'S LETTER TO RUFUS AND BEN
Someone is paying a LOT of money to pump this stock. If it was worth $15 it wouldn't need pumping. Think about it.
thestockmafia.com
On July, 12 2006 TheStockMafia.com Recieved $250,000 in cash from a Third Party Source. To Profile "Fronthaul Group" in Thestockmafia.com On July 12 TheStockMafia.com purchased 150,000 shares in the open market at $0.20 average and plans to sell them on the future by Daytrading the Stock In and out.
Here is a true statement at least by Rufus.
“There is too much fraud in today’s society and with the penny stocks and pink sheet stocks it’s impossible to find something real,”
AND NOW BOGUS NEWS STORIES
As if bogus promises of a $15 stock price weren't enough now someone has gone and really stirred up the pot but good by publishing a bogus press release claiming CVSU has negotiated a contract worth nearly $90 million military contract. Of course, the scam artists are making sure this gets plenty of coverage on the message boards. This is the kind of thing that really gets the regulatory agencies fired up.
You can read the bogus article here:CLICK HERE
NOTE: We are currently attempting to gather information regarding the matter of the bogus bond that was a central issue in the Broadband Wireless case. We are also seeking any information regarding other situations where Harris, Stanley and Walsh may have presented "bond" opportunities only to fail to produce them or to have them prove bogus. Please contact me with any information. All sources assured confidentiality.
Lot of suspect stuff here folks.. CEO's guaranteeing a stock price? Creating the appearance of volume in a stock to build momentum? Boxing a stock? There is a lot more to come so please bookmark this page and check it often.
From Conversion Solutions.
We hereby issue this public order for you to cease and desist and retract the false and misleading information that you have posted about Conversion Solutions, Inc. and The Fronthaul Group or legal action is forthcoming.
Our response: As stated, we will promptly remove any false or misleading information. Simply provide the specific information that you consider false and provide accurate information as to the actual facts and will immediately post a correction. Thank you
NOTE: We strive for and take pride in the accuracy of our information as well as the our ability to draw conclusions from these facts that turn out in retrospect to have been dead-on accurate. Naturally, any inaccuracies or inadvertent errors in fact will be quickly corrected if you simply email me and point out the inaccuracy and document the corrected information.
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