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Microcap & Penny Stocks : Sinclare (SNCG) / cyberlinx -- Ignore unavailable to you. Want to Upgrade?

To: Charles Grafton who wrote (2510)	2/27/1998 11:00:00 AM
From: Kip518	Read Replies (2) \| Respond to of 2696

Do I hear singing? Is it a fat lady or it an opening act? SNCG is still alive!! Hightec and Sinclaire Group Hearing Held PR Newswire - February 27, 1998 10:50 SAN FRANCISCO, Feb. 27 /PRNewswire/ -- The following is being issued by Larry Stockett, President of Hightec, Inc., and Sinclare Group, Inc.: Larry Stockett, President of Hightec, Inc., (OTC Bulletin Board: HTEH), and Sinclare Group, Inc. (OTC Bulletin Board: SNCG) announced today the public hearing disclosed in the Wall Street Journal on August 26, 1997 was held February 23-26th in New York. The SEC alleged that Stockett, along with Javed Latef and the Hudson Advisors, Inc., and the Hudson Investors Management, Inc. had violated the Investment Advisors Act and the Investment Company Act by providing recommendations to the Hudson Investors Fund, a registered mutual fund in which Mr. Latef is the registered investment advisor. The SEC complaint also alleged that the Fund was controlled by secret agreements between Mr. Stockett and the Fund and that the Fund purchased stocks, including Hightec and Sinclare Group, Inc. in which Mr. Stockett had an ownership interest. According to Stockett, the agreements which were between Neuropro, Inc. and the Hudson entities were invalid because Neuropro, Inc. did not exist at the date the agreements were signed and the agreements were subsequently abandoned. Stockett, who is widely recognized for his IPO Network television and radio shows and his published research on initial public offerings, allegedly recommended IPO stocks to the Hudson Investors Fund, according to the SEC complaint. The SEC alleges that Stockett was not a registered investment advisor and violated the Investment Advisors Act. Stockett defended the allegations based upon an exemption provided to publishers of market research, claiming his IPO Newsletter, radio show, television show, and web site (http://www.ipo-network.com) provided him an exemption from registering under the Investment Advisors Act. Also, because he was the President of Hightec and Sinclare Group, he claims he was not required to be a registered investment advisor to recommend his own company's stock. According to a Barron's article published April 7, 1997, (pg. F23) the Hudson Investors Fund was the top performing Growth Fund for the First quarter 1997 rated by the Lipper Mutual Funds Quarterly. The comments state that "A tiny stock, Hightec, accounts for 16%" (growth). After the Wall Street Journal article on August 26, 1997 released by the SEC alleging the violations by the Hudson Fund and Stockett, the Fund lost over half of its investors and Hightec stock dropped over 90%. According to Stockett, the SEC failed to present any evidence in oral testimony or in documents obtained from a preliminary list of 29 witnesses which denied or refuted that Mr. Stockett was exempt, or that Mr. Latef was even aware that Mr. Stockett was President of Hightec at the time he purchased the Hightec stock. Mr. Stockett was not President of Sinclare at the time Mr. Latef purchased Sinclare according to evidence presented.