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Microcap & Penny Stocks : Cryogenic Solutions Inc. (CYGS) -- Ignore unavailable to you. Want to Upgrade?

To: Mr. Forthright who wrote (3415)	10/26/1998 1:50:00 PM
From: DavidCG	Read Replies (1) \| Respond to of 4028

CYGS so far up 50% today. Have a nice day. -DavidCG

To: Mr. Forthright who wrote (3415)	12/11/1998 6:08:00 AM
From: Adrian du Plessis	Read Replies (1) \| Respond to of 4028

Jonathan Curshen: YBM's saviour, or a penny stock tout into bondage? (Mr. Forthright, I know you know the YBM story -- but for those that don't already, if you're interested, you'll find a YBM thread or two right here on SI. Season's greetings!) Former YBM trio wants to buy company, take it public again Friday, December 11, 1998 PAUL WALDIE and KAREN HOWLETT The Globe and Mail The former head of YBM Magnex International Inc. is part of a group that wants to buy the company and take it public again. The group consists of Jacob Bogatin, YBM's former chief executive officer; Robert Ventresca, a business associate of Mr. Bogatin; and Ken Davies, a Vancouver investor and former YBM director. Those three created YBM in 1995 on the Alberta Stock Exchange and moved it to the Toronto Stock Exchange in 1996. It was included in the TSE 300 in 1997. The company went into receivership this week after allegations surfaced of direct links between YBM and Russian mob boss Semion Mogilevitch. "The plan of attack is to buy the assets of the company and to put it back together again," Mr. Davies said yesterday. "The company itself, the actual operating company, is a beautiful little operation and it has a phenomenal potential. It really does." Mr. Davies said the trio plans to hire former executives and take the company public again, this time on the American Stock Exchange. The group plans to offer $2 a share, for about $88-million in total. YBM last traded at $14.35. Trading was halted in May after an FBI raid on YBM's Pennsylvania headquarters. "I can assure you one thing, the money that is coming forth is so clean," Mr. Davies said. The group is backed by Southern Assurance Co. of Sarasota, Fla. Jonathan Curshen, who owns Southern, said yesterday that he has lined up investors to finance the bid but would not name them. "The most money is always made in projects that have the biggest problems." When asked whether he is concerned about YBM's alleged mob ties, Mr. Curshen replied: "Well, we are not sure on that and everything is going to be subject to lots and lots of due diligence." However, he said he had not seen a recent forensic accounting report by Miller Tate & Co., which details the mob links. Bryce Stewart, a Vancouver lawyer representing the group, was furious that information about the offer was filed in court. "I don't want to talk to anybody," he said yesterday. "We are very upset." Mr. Davies said Mr. Stewart is involved because they are close friends. Court documents filed this week show YBM, which makes magnets, was directly linked to Mr. Mogilevitch through a web of companies. The documents, including the Miller Tate report, describe several suspicious money transfers worth tens of millions of dollars between banks in Buffalo, Lithuania, Hungary and Russia. Last month alone, documents show, nearly $10-million (U.S.) moved from YBM to companies linked to Mr. Mogilevitch. Most transactions, the documents say, involved two Buffalo men -- Paul Fallon and Vadim Segal -- who also have direct links to Mr. Mogilevitch's operations. Mr. Segal is a long-time friend of Igor Fisherman, a YBM executive who also has ties to Mr. Mogilevitch. Mr. Segal is also vice-chairman of Petroff Bank in Moscow, whose chairman is an associate of Mr. Mogilevitch. Mr. Fallon has been subpoenaed to testify before a U.S. grand jury about his YBM and Russian mob connections. Mr. Davies refused to say if he knows Mr. Fallon or Mr. Segal. He added that Mr. Bogatin is working out of an office with Mr. Ventresca. They were not available for comment. Mr. Ventresca heads Alpha Financial Group in Philadelphia. Mr. Bogatin is a part owner of Alpha. When Mr. Bogatin and Mr. Ventresca created YBM in 1995, Mr. Mogilevitch and his associates owned one-third of YBM's shares. Mr. Davies has denied any knowledge of Mr. Mogilevitch's mob ties. He also said YBM directors weren't told about the connections between Mr. Segal, Mr. Fallon and Mr. Mogilevitch. Mr. Davies left the board in September after a shareholder group took control and replaced several executives. Mr. Bogatin resigned earlier this month. Mr. Davies said he was interviewed by four FBI agents more than a year ago. The agents arrived at his boat in Indiantown, Fla., near Palm Beach. After showing him their badges, Mr. Davies says he told them: " 'Oh, I have a plastic one like that at home.' They didn't appreciate that." He said the agents had a stack of material on himself and YBM. Mr. Davies told them he has bank accounts in the Cayman Islands. "After our talk we all had a beer. It was not like a big deal." CLEANING MONEY The three principal steps to money laundering: Place the "dirty" money in a bank or other legitimate institution so it can be moved around easily. Separate the money from its criminal origins by passing it through several financial transactions, thus preventing the money from being connected to its origins. Integrate the money with legitimately obtained funds to provide a plausible explanation for its ownership.