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Non-Tech : Save The World Air Inc. (ZERO) -- Ignore unavailable to you. Want to Upgrade?

To: Jeffrey S. Mitchell who wrote (416)	4/24/2002 7:45:18 PM
From: StockDung	Respond to of 445

UPDATE: SAVE THE WORLD AIR, INC (PINK SHEETS: ZERO) – SETTLING WITH THE SEC April 24, 2002 Save The World Air, Inc. (Pink Sheets: ZERO) says that it has agreed to settle charges that were filed against the Company by the Securities and Exchange Commission on December 19, 2001. See Update: Save The World Air, Inc – Is Another Screenplay In The Works? The settlement agreement will be submitted to the United States District Court for the Southern District of New York at a hearing scheduled for June 12, 2002. The SEC complaint alleged that the Company, its founder, Jeffrey Muller, and a promoter named Billy Blackwelder, had engaged in a fraudulent scheme to manipulate the market for Save The World Air stock by distributing false information through press releases, Internet Message Boards (including Raging Bull) and public corporate filings. Under the proposed settlement, Save The World Air will be enjoined from making untrue statements, or omitting material information, in connection with future sales of securities. Terms of the settlement are summarized in a Form 8-K filed by the Company on April 12, 2002. The Form 8-K also indicates that the SEC is continuing to pursue its legal action against Muller and Blackwelder. Muller continues to serve as Chairman of the Board of Save The World Air, and, according to the Company, “may control a significant number of shares of Company common stock either directly or indirectly through undisclosed arrangements concerning the voting and/or disposition of such shares.” The Company acknowledges that Muller has failed to make public filings disclosing such ownership interest. The SEC complaint focused on claims that the Company had developed a device - the “Zero Emission Fuel Saver (ZEFS)” – that would reduce automobile air pollution while improving fuel economy in motor vehicles. (See Saving The World Air – Something for Investors To “Mull”). According to the SEC, the Company and Muller made misleading statements about the ZEFS , including false claims that the Ford Motor Company had contacted the Company about the device. The SEC also alleged that the Company inaccurately reported the results of tests on the ZEFS. As a result of such misleading statements, the market value of Save The World Air increased dramatically - to $218 million – even though the Company had no meaningful revenues or assets, and no working device. Meanwhile, Muller allegedly profited by selling shares worth $9 million in private transactions that the Company failed to report to the SEC – or the public. In a public statement on April 19, 2002, Save The World’s new President, Edward Masry, had this to say: The new officers of [Save The World Air] and its board are fully committed to developing and bringing to market the company's Zero Emission Fuel Saver device. We are continuing with our efforts to complete product engineering and development of the multi-port version of the device and with the settlement reached between the SEC and STWA, the company can now focus its efforts toward achieving these goals." Investors will have to wait a bit longer to learn the present financial condition of the Company. On April 10, 2002, Save The World Air dismissed its principal auditors, the Australian firm of Hoiberg Business Group, and hired Good Swartz Brown and Berns LLP. of Los Angeles, California. As a result, the Company says that its Annual Report for the year ended December 31, 2001, which was due by March 21, 2002, will not be filed for another 30 to 60 days. Since the Company is delinquent in its public filings, some stockholders who acquired their shares in private transactions may be ineligible to sell those shares under Rule 144. Stay tuned. ©2001 Stock Patrol.com. All rights reserved.