*** The Corrupt History of CYGS ***
In early '96, CYGS sent out brochures to gynecologists informing them of CYGS's ability to cryopreserve aborted fetuses. In it, they blantantly lied about two prominent area doctors "leading the CSI research effort". In a copy of a certified letter I have from one of them, he says (via his lawyer) "Texas A&M University expects a written acknowledgment that Dr. Bazer is not currently a consultant for Cryogenic Solutions, Inc., that he does not lead any research efforts on behalf of Cryogenic Solutions, Inc., and that Texas A&M University is not involved with any research efforts associated with Cryogenics, Inc. This acknowledgment requires immediate attention." The other researcher, Malcolm Skolnick, PhD, implied in a published newspaper article: "the technology suggested by the company was not at all likely to be feasible within the lifetime, let alone the reproductive lifetime, of any of the company's prospective clients."
And what address did CYGS use on its brochures? They used "6524 San Felipe #388", the same as they use today-- a rented P.O. Box at Mail Boxes Etc.
But CYGS didn't stop there. Despite having no research team, no laboratory, and technology described as generations away from reality, they had the audacity to actually put in writing that "CSI has already begun offering cryopreservation of fetal tissue for qualified candidates 10-11 weeks lmp) through associated physicians and clinics...". This is not hype, this is textbook fraud.
Credit Dr. Tim Gorski with laying to rest part 1 of the CYGS scam in this newpaper article: Message 5309919
On to Part 2.
Here in '98, CYGS again purports to have revolutionary technology. From a November 12, 1997 press release: "On paper, this looks a lot like the "silver bullet", said Mike Skillern, CSI's VP of Technology Development. "--- a man made virus that may rejuvenate healthy cells and kill cancer cells. Obviously, there is a work to be done, but there are no apparent negatives in the equation."
Is CYGS suddenly a "reformed" company? No. According to President Mike Skillern: "Gibson, Skolnick, and I have been involved in the company since its earliest stages."
Can leopards change their spots?
So far, so bad. CYGS's web site, biogenix.com, can't even keep its story straight about the history of its prized technology. First they say "In 1996, the company acquired the rights to a vector designed to create single strands of DNA in vivo to lengthen telomeres..." (http://www.biogenix.com/history.htm). Elsewhere, they claim the patented vector was acquired in 1997: "In April '97, CSI acquired the rights to a patented vector that can create a single strand of DNA in the body..." (http://www.biogenix.com/). Yet, in a May '97 press release, there's no mention of a patent: "Cryogenic Solutions Inc. (OTC:CYGS) announced Monday the company's successful acquisition of use rights to a vector..." (http://www.biogenix.com/news.htm#5-19-97). The lack of a patent seems to be confirmed by: "The TeloVectorT (pat pend) is a specifically designed virus with a single purpose..." (http://www.biogenix.com/technology.htm). In any case, there is no mention of the word "exclusive".
It seems clear to me that CYGS's MO is to do whatever it takes to cash in on whatever the hot topic is in biotech. Several years ago it was cryogenics; today it's gene therapy. I think this quote from Laurence Mealey, CYGS's VP of Commercial Development, says it best: '"Although the term 'antisense' is not a household word, it is well recognized in the realm of biotech companies exploring leading edge genetic therapies." said Mr. Mealey, "In my view, Antisense therapeutics is the singular most significant medical break through since the discovery of effective vaccines."'
I do believe CYGS really does possess technology from a researcher in Kansas, and I do believe the researcher may have filed a patent application on it. But I think it to be blatantly misleading, if not downright fraudulent, for CYGS to be purporting to have products based on such technology. I liken that to scientists who have cloned cells purporting to be building a dinosaur park. It costs millions, if not tens of millions of dollars to go from animal research to human clinicals, from phase I to phase III to getting FDA approval to developing and marketing and selling a product, not to mention years of painstaking research. Even if they sign some marketing agreements along the way it would likely be a drop in the bucket compared to expenses.
CYGS has absolutely no track record of being able to get an idea off the drawing board. Even worse, they *do* have a track record of fraud. Is this the type of company in which you want to put your hard-earned money? Are these the type of people you want to make wealthy by promoting their company to unsuspecting investors?
Think about it.
- Jeff
P.S. Anyone with a phone book and access to my SI profile can confirm I post under my real name. No, I am not short this stock and no, I am not paid by anyone to say the things I say. No, I'm not Janice Shell or Cat Lady (g). |
