VISUAL TELEPHONE INTERNATIONAL OPTIMISTIC ABOUT PICKENS
LAWSUIT
May 15, 1998 SOUTH HACKENSACK, NJ. Michael O. Pickens, son of T. Boone
Pickens, is a defendant in a suit instituted by Visual Telephone International, Inc. (OTC
BB:VTPI) against him for defaulting on a personal promissory note worth close to one-half
million dollars for the purchase of 675,000 shares of common stock, which he received.
Carl Ceragno, CEO of Visual commented that "Pickens walked away with the stock from
the Company and then went on a campaign using his family name to bring VTPI to its
knees".
The story started on January 17, 1997 when Michael Pickens, after doing research on
VTPI, its new products and background, signed a blanket note for $475,000 at the
Company headquarters in South Hackensack, NJ. In it he requested and received a seat
on the Board of Directors of VTPI "to help grow the Company", he said. The management
and stockholders of VTPI felt that with Pickens' experience and financial background, the
Company could immediately push out its product worldwide. The word got out, and the
story broke front page on January 29, 1997, in "The Record's" business section, one of
New Jersey's largest and well renowned newspapers. Their lead banner read, "Oilman's
son invests in Bergen high-tech firm". Indeed, The Record interviewed Michael O'Brien
Pickens where he was quoted as saying that (Visual's) technology was far and above the
field and that "there is a creative synergy that I think will work for them". (Beagleman and
Ceragno) "are multitalented and each bring something different to the table". The Record
also photographed a video conference with Michael Pickens' sitting in his home state of
Texas to the Visual office in New Jersey. Pickens was so excited about the prospects of
VTPI that he had his company M2 Research produce an extensive institutional research
and financial report (March 5, 1997) that he had disseminated to the investment banking
community, extolling VTPI and rating an "aggressive buy". Unfortunately, this comradery
fell part when Pickens defaulted.
From the time VTPI commenced a lawsuit on June 3, 1997 until recently, Michael Pickens
represented himself, ignoring his obligation to produce documents and appear at a
deposition. Because of this, Visual Telephone International applied to the Court and
received a Default Judgement. In the eleventh hour, upon hearing this, Michael Pickens
hired an attorney who pleaded a second chance for his client. The judge, although
remarking that he could see no excuse for Pickens ignoring court deadlines, that in the
interest of fairness, the Default Judgement shall be vacated to allow Pickens to defend the
lawsuit.
Michael O'Brien Pickens has also been found using the internet in an attempt to defame
Visual Telephone International. Joel Beagleman, President, stated that "the Company
believes that Michael Pickens is using numerous aliases on various internet boards, such
as AOL, spewing untrue venom and erroneous allegations about management and the
Company in a vicious attempt to harm VTPI".
Visual Telephone plans to proceed in its suit against Michael Pickens and The Pickens
Group, seeking millions of dollars to compensate it for damages, including the damage
done to its reputation through false and slanderous allegations. Visual will aggressively
litigate this case with the ultimate goal of having this case publicly heard before a court of
law. Further, VTPI is making every effort to have various internet service providers, such
as AOL, to cease and desist these diatribes by Pickens and his various screen names, in
an attempt to disparage Visual Telephone International and its shareholders.
For further information on Visual Telephone International, Inc., and to see "Tomorrow's
Vision Today", please look at our WEB site at www.visele.com, or 1-888-VIS-TELE or
e-mail info@vistele. |
