I came across a litigation filing by the SEC against another microcap company. It's amazing how similar some of it sounds to some of the things we have seen with EUTO. I thought some might find it interesting. Here are parts of it (the bold emphasis is mine)...
LITIGATION RELEASE NO. 16069 / February 24, 1999
SEC CHARGES PRESIDENT OF INTERACTIVE MULTIMEDIA PUBLISHERS, INC.,
AND INTERNET STOCK PROMOTERS WITH SECURITIES FRAUD.
....
To inflate the price of IMP stock, the complaint alleges,
Vertucci made public statements grossly overvaluing certain IMP
assets and misrepresenting certain of its business opportunities.
Straughn and Vertucci also arranged to have various professional
stock touters promote IMP, both in print and over the internet,
in return for free or cheap IMP stock, without disclosing their
receipt of compensation. Vertucci and Straughn, as well as the
touters they hired, then sold their IMP stock into the market at
inflated prices. Subsequently, the stock collapsed and the
company ceased operations.
.....
This enforcement action is part of the Commission's four-
pronged approach to minimizing Microcap fraud: enforcement,
inspections, investor education, and regulation. For more
information about the SEC's response to Microcap fraud, visit the
SEC's Microcap Fraud Information Center at:
sec.gov. |
