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Biotech / Medical : Electro-Optical Systems Corp. (EOSC) -- Ignore unavailable to you. Want to Upgrade?

To: Elliot Gittleman who wrote (134)	3/18/1998 2:52:00 AM
From: Angelo Ferraro	Respond to of 242

looks like they're referring to us in this one, biz.yahoo.com Electro-Optical target of SEC stock probe ACTON, Mass., March 17 (Reuters) - Electro-Optical Systems Corp said Tuesday that it was under investigation for illegal market manipulation of its stock by the U.S. Securities and Exchange Commission, an allegation it denied. The company said it had received a temporary restraining order seeking an accounting of investor funds and preventing the expenditure of any funds until a court makes rules on the SEC's request for a preliminary injunction. ''We believe we have complied with all SEC rules and regulations relating to the sale of securities by the Company,'' Electro-Optical CEO Charles Weaver said in a statement. The company said it believes that the SEC's action results from activity by promoters and short sellers in part conducted in ''chat rooms'' on the Internet, over which the company had no control. ''We have been very prudent in dealing with shareholders since the company became public in December 1997,'' he said. Federal regulators allege that the company engaged in a willful manipulation of its stock and it also alleges the company is a ''shell'' with little if any technology, he said. ''Neither of those allegations is true,'' Weaver said. ''Our only interest has been and is to build long-term shareholder value by realizing the potential of our biometric fingerprint identification system technology.'' Optical-Electrical said it has designed and sold a first-generation system to a bona fide customer, and is in the process of developing a lower-priced third generation system that is more affordable to potential customers. The company said that it had reported its product status accurately in its press releases and when asked by investors and the media. The company said it has made no sales of stock to the public, raising its only capital to date in bona fide private placements. The portion of the company's stock that is publicly traded was previously issued by a public company with which the company merged in 1997. Electro-Optical stock trades on the bulletin board under ticker symbol EOSC. It closed at 3-19/32 when it last traded March 13. The stock's 52-week-high was $7, its low was around $0.06. The company said its current management is not associated with management of the public company into which it merged. Weaver said: ''The SEC has not yet had any first-hand look at our technology. We will seek to have the restraining order lifted and the complaint against the company dismissed.'' ''We believe strongly in the potential of our product and want to get on with business,'' he said.

To: Elliot Gittleman who wrote (134)	3/18/1998 9:26:00 AM
From: DMaA	Read Replies (1) \| Respond to of 242

Guess we have all been had! 'Fraid so: Message 3749704

To: Elliot Gittleman who wrote (134)	4/2/1998 2:54:00 PM
From: Elliot Gittleman	Read Replies (1) \| Respond to of 242

Message sent to EOSC I sent this to EOSC IR department today. Will send their response if they ever make one. 4/2/98 Now that the stock is trading again, how about a public statement on the outcome of the SEC investigation, on product sales, potential orders, etc. If you really believe this was caused by shorts, then let's give them the big squeeze and provide support for your loyal stock holders. Total lack of communication to the business news media on the company, tends, rightfully or wrongfully, to give the appearence that the SEC is correct and that all the websites reviewing EOSC, Curbstone, and the public balance sheet information, are correct in stating that EOSC is a scam. As an engineer that is also an investor, my advice to your engineer CEO is that it is important to keep the public informed. Our backgrounds as engineers may not lead us to believe that, however, the public as a whole are not engineers, they are somewhat illogical thinkers chasing a dream to make some money. Please show them all that there is a product, and that it can and has been sold to a major customer. If not, then I guess all our shares will be worth ZERO, NADA, gornisch, zippo, bubkis, $0.00, etc. Comments from a shareholder.