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Biotech / Medical : CYBR CyberCare the new look of healthcare -- Ignore unavailable to you. Want to Upgrade?

To: StockDung who wrote (1948)	5/25/2000 6:56:00 PM
From: afrayem onigwecher	Respond to of 3392

Commentary : Herb on TheStreet Herb Part 2: What Cyber-Care Doesn't Say About Its Past By Herb Greenberg Senior Columnist 5/22/00 8:30 AM ET See Part 1 of this column. Before Cyber-Care (CYBR:Nasdaq - news - boards) was Cyber-Care -- that is, until just about a nine months ago -- it was Medical Industries of America. Medical Industries changed its name after it acquired CyberCare Technologies, which contributed the Internet portion to the Electronic Housecall System, a patient monitoring system that is at the center of the current controversy surrounding the company. Why care about the company's past? Because there's a certain part of this company's past that my guess is it would rather forget. That part of the story involves an S-3 filing with the Securities and Exchange Commission from last April, which registered the sale of stock by a number of investors with large stakes in Medical Industries. Company documents identified one of those investors as Sholom Weiss (also known as Sholam Weiss, Shalom Weiss and Sheldon Weiss), who has been described by The New York Times as "a rumpled businessman from New York, [who] has earned his place among the giants" of white-collar criminals. The Times reported that in February, Weiss received what is believed to be the longest prison term ever -- 845 years -- after being convicted of racketeering, money laundering and fraud in connection with the collapse of an insurance company. Indeed, Weiss is currently on the FBI's list of most sought fugitives. There is, in fact, a $125,000 reward for information leading to his arrest. Weiss, who registered 125,000 shares of Medical Industries, wasn't the only questionable investor in Medical Industries. Investing alongside him were Danvers Investments and Amexcorp, which registered to sell 600,000 and 1 million shares, respectively, in the same April registration. Both have been identified by the FBI as companies controlled by Weiss. One person close to the situation says that Weiss was involved in many so-called "pump-and-dump" stock operations, and that "anybody who bought stock after Weiss will probably lose their money." Cyber-Care officials didn't return several calls seeking comment, and Weiss could not be located. -------------------------------------------------------------------------------- Herb Greenberg writes daily for TheStreet.com. In keeping with TSC's editorial policy, he doesn't own or short individual stocks, though he owns stock in TheStreet.com. He also doesn't invest in hedge funds or other private investment partnerships. He welcomes your feedback at herb@thestreet.com. Greenberg also writes a monthly column for Fortune.