On August 1, 2007 Evans Systems, Inc. filed a new lawsuit that could have an effect on
Homeland Integrated Security Systems’ shareholders. In the lawsuit, Evans Systems, Inc.’s
current management is attempting to expunge 31,000,000 Evans shares that Homeland
shareholders received as a dividend in October 2006. Moody had set up this dividend while he
was Chairman and CEO of Homeland. In a press release issued on April 13, 2006, Moody told
Homeland shareholders that they would receive a restricted stock dividend in Evans Systems at
the rate of 1 share of Evan’s restricted stock for every 50 shares of Homeland stock owned at the
date of record. Moody also stated in the press release:
"I am very please to announce the dividend to our loyal shareholders. This will give them
ownership in the new Bulletin Board Company that we expect to start trading at $0.50 per
Homeland Integrated Security Systems, Inc.
A GLOBAL TECHNOLOGY COMPANY
share," stated Frank Moody, President and CEO of Homeland Integrated Security Systems,
Inc. "This is a great day for all our shareholders."
After Moody resigned from Homeland on June 30, 2006, this obligation was fulfilled and the
dividend was completed in the fourth quarter of 2006. Moody and his agents also received a
significant number of Evan’s restricted shares due to his holdings in Homeland stock. In fact, he
currently owns more than 50,000,000 (FIFTY MILLION) shares of Evans Systems restricted
common stock as reported in a recent DEF-14C filing by Evans/WatchIt.
Brian Riley, Ian Riley and I do not have the 31,000,000 shares to return to Evans Systems. Nor
will we ask other Homeland shareholders to return theirs.
It is unfortunate that our board and management team must expend the time and funds to defend
this barrage of suits. Homeland merely is seeking an accounting for all transactions, funds,
income and opportunities Moody and Scenic were involved from January 1, 2005 through
December 31, 2006. No lawsuit should be necessary to obtain these records.
Since our last report, we have also settled the dispute with our former supplier, Software
Remodeling Company d/b/a SRI Product as reported in our 1Q 2007 financials. In this case the
Board of Directors felt that the out-of-court settlement was in the best interest of the
shareholders.
Message 23833207 |
