posted
legal wrote: "EVIDENCE OF A NAKED SHORT AND ALTERATION OF CUSIP NUMBERS, PRESENTED TO THE JUDGE TODAY, BY LAE, MUST BE TURNED OVER TO THE FBI WITHIN 24 HOURS"
Come on, legal, tell us more. Says who and based upon what? I would say that fraud is also something that should be turned over to the FBI too. What about UC and cohorts and the obvious questions of fraud? There seem to be a few sordid pasts, huh?
Then, there's the question of the IRS. Were no reports filed with the IRS? Did Casavant file honestly with the IRS on his own personal taxes? With no record keeping, how? No W-2s? Nothing? Can he account for the money he has personally spent on Jade, home, race car-truck-cycle, trips, etc.?
It appears that Urban Casavant has pushed things way beyond control and he will certainly be in trouble beyond just that with the SEC.
posted
Doesn't surprise me at all Ric. Matter of fact, from what I have seen from this mismanagement team the last year or so, I think two small boxes is a HUGE acclomplishment on their part. More than Roger Glenn managed to do, "one sheet of paper" !!! He got $250K for one sheet! The others involved got at least $70 Million for two small boxes. That's how they do their math, now I see how they add, subtract, multiply and divide at CMKX, it's $250K per sheet of paper retained. So, in those two small boxes there must have been 280 sheets of paper, and I'm betting 279 are blank and the other is an IOU to Maheu for $80K
-------------------- A million seconds is 13 days. A billion seconds is 31 years.
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posted
Now you know better than that, Wallace, it is a criminal matter now, so it can't be discussed publicly. You will just have to take their word for it, that evidence exist, and is in the Judge's hands, and on it's way to the FBI.
-------------------- A million seconds is 13 days. A billion seconds is 31 years.
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quote:Originally posted by will: Now you know better than that, Wallace, it is a criminal matter now, so it can't be discussed publicly. You will just have to take their word for it, that evidence exist, and is in the Judge's hands, and on it's way to the FBI.
I am so glad that some shareholders took the time to write to the SEC and complain about being ripped off . It's one of the best letters that I have ever written. Looks like a letter to the IRS is also in order, citizens complaint about possible fraud on taxes
Legal, not intimidation, just people being honest, more than I can say for those clowns who run CMKX.
-------------------- Be Careful Of The Toes We Step On Today, They Could Be Attached To The Butt We Have To Kiss Tomorrow
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posted
Good point, Will. Gets them off the hook again, huh? No need to ask serious questions about UC's honesty, integrity and competence. Mum's the word! Must, under all circumstances, protect UC and cohorts. Geeeessssuuuussss!@$$%! What the hell is the matter with the CT/Cult Members? EXTREMISTS ALL!!!!!
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posted
Time to hire a lawyer to file a class-action suit against CMKX and UC. May as well throw in a few more. Roger and Maheu for starters. And I'm sure we can come up with more. Any bets we get something back?
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quote:Originally posted by Ric: Worst thing about this hearing is we really didn't learn nothing today.
Not correct, Ric. I think shareholders, whether they admit it or not, have learned a considerable amount of information. Problem is, it is not in their favor.
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posted
What is the matter with them? Not sure ??? Could be several things: In so deep that they will believe anything and everything that has a modicum of hope in it. Can't allow themselves to be wrong for ego reasons. Just trying to save face.
That might the reasons for the run of the mill faithful. At least one admittedly was given shares.
-------------------- A million seconds is 13 days. A billion seconds is 31 years.
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quote:Originally posted by ed19363: Legal, take it and pound it. This chit is about as dead as it can get. Get your head out of your AZZ for a while. You might be able to see.
Probably more like getting out of Urban's
-------------------- Be Careful Of The Toes We Step On Today, They Could Be Attached To The Butt We Have To Kiss Tomorrow
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posted
.....and that's where and when the Billions of $ settelemnt will be hammered out, right? You keep believing that, and the tooth fairy will put a quarter under your pillow some night.
quote:Originally posted by legaleagle: THE SEC REQUESTED A MEETING WITH CMKX AT 10:00 AM TOMORROW MORNING.
-------------------- A million seconds is 13 days. A billion seconds is 31 years.
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posted
I listened to the meeting tomorrow develope over the last hour. It is so funny. Started as a meeting in morning. Then it turned into the SEC called it with no proof but theories started. It has gotten to the point now were there are sayin the SEC is so scared and called this meeting to make a deal to save face.
Isn't this really the same recycled theory when the pre hearing was announced. Even though the Judge through out NSS they claim that the SEC is running scared and is offering a deal that will make them all rich. lol
-------------------- Invest with your brain not with your heart.
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posted
Speaking of pillows, I'm going to bed. noah, you and your buddies have all night to paint a happy face on this disaster. I'm sure there will be a ton of reposts and new theories in the morning.
-------------------- A million seconds is 13 days. A billion seconds is 31 years.
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posted
Ric, if it wasn't so pathetic it be funny. I'm almost feeling sorry for these folks. They are beat and refuse to see it. I guess it is difficult to admit being humilated by your own wishful thinking and lies to yourself. I want to laugh, but can only feel pity for them. It isn't over for them yet either. Someone somewhere, will ring more money out of them with a scheme to redeem their losses, and they will bite, HOOK, LINE, & SINKER !
-------------------- A million seconds is 13 days. A billion seconds is 31 years.
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posted
legal, that ended up a Cease-and-Desist Order, and wasn't nearly as involved or convoluted as this CMKX thing has been. Every thing UC appears to have touched seems to have scam written all over it.
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Originally posted by legaleagle: THE SEC REQUESTED A MEETING WITH CMKX AT 10:00 AM TOMORROW MORNING. ---------------------------- Another thought is that the Judge might have to warn them of other potential legal proceedings in view of certain information that has come to light. Therefore, maybe she is going to tell them not to discuss certain things on the record. Or if they do, she will have to do something about additional charges.
Such a meeting does sound strange though. Just CMKX (meaning UC and maybe Maheu)? Wouldn't anyone from the SEC be there or object to such a private meeting? To meet with just the CMKX people seems very much out of the ordinary.
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Correction to my post above. Somehow when reading about that meeting, I completely missed seeing that it was the SEC that requested a mtg with CMKX. My mistake.
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a meeting requested by the SEC...hmmm. lets see the accountant said it would take 30 days once she got all the information needed, only had some canceled checks. the auditor said 90 days once he got everything from the accountant. the judge said she rules in july. now unless i use cmkx math which would give any answer i wanted they are saying 4 months after they get the info they need. info that nobody has a clue as to where it is or if it ever was. this whole thing is on filing or not filing, maybe the SEC wants to point out in private that UC lost he cant file before the judge will rule according to his own ppl. might say here's the deal end it now, save both of us more time & cash & we wont put your scanmmin azz in jail, keep going & get ready for striped suits & not bending over in the shower. from there frizzy can do as he wants if there are any records to prove anything about a NS.
-------------------- "keep your stick on the ice & your cup firmly in place"
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Posts: 1416 3. C-Dub's Observations: CMKX Witnesses, Closing « Thread started on: Today at 02:59am »
-------------------------------------------------------------------------------- First CMKX Witness: Ed Donhue, CEO, Nevada Minerals (NM)
Mr Donhue (pronounced "dough-no") first had contact with UC in the FALC region (Canada), then moved on to the Yellow River operation. NM has over 500K acres in FALC. He believes CMKX claims are approx. 1M acres.
In stark contrast to RW's seemingly not knowing much about anything, and UC's silence, ED seemed very knowledgeable and in control of issues...he knew process steps in depth. He provided financial data to UC and the CMKX legal team. NM earned $1.1M in revenues this year; CMKX owes $180K, and is in default. UC has agreed to turn over "The SANS(?)" to cure the default.
ED parted with CMKX, and will have another $2M due come Dec 2005. ED stated he broke off the relationship due to an emotional reaction to the investigations...and felt NM would be better off going it alone.
Second CMKX Witness: Robert Mahue, Co-Chairman and Director, CMKX
Mr Mahue (IBM) commanded a certain respect as he entered, but had a few moments of levity as well. One of these moments came immediately after he entered the courtroom. The judge asked him to approach, and she remarked "you seemed to have taken the long way around", referencing the fact that he went the longer route to the witness stand. IBM replied "I'll make it!", to which a burst of appreciative laughter rang around the room.
IBM stated that UC asked him to join CMKX in Feb 2005.
When asked why he joined, he replied "I'm intrigued by challenges and difficult assignments...been that way since I was 10 years old." He went on to express his interest in shareholder well-being, and proudly stated his background was impecable...not afraid of background checks.
When asked "how can you help?": Understands compliance needs. "I'm no novice. Fifty years ago he set up government programs to assist small businesses become compliant.
"What did UC expect?" IBM: "I don't know what UC expects. But I told him I'd surround myself with a team that would clear past mistakes- and CMKX would have to be compliant in the future.
"Do you have reservations about being part of a company under investigation?" IBM: No.
"How much are you compensated?" IBM: $40K a month
"How much time spent with his team?" IBM: A LOT of time with them. IBM went on to say, "I earned the nickname "The man with the whip...I still have that whip."
The judge pressed IBM: "Others have testified that information hasn't been forthcoming from the company, but you see it differently" IBM: To my knowledge, the info has been provided. She then asked IBM: All the other witnesses talk about dealing with UC...but you haven't been mentioned. IBM: I am aware of the requests, but not for the responsiveness.
IBM has known Mr Stocklein for 15 years. Stocklein's office does more than just legal, also financials.
Then Mr Frizzell: If a dispute between UC and yourself existed, who would prevail? IBM: I would consult Mr Stocklein.
IBM, like UC, conducts business from his home address.
IBM couldn't give dates when reports would be finished, but stated "I assure you, it will be done".
SEC began cross examination: "Does CMKX have any offices?" IBM: Not to my knowledge.
"Do you know numbers of employees, or names?" IBM: No
"Are there any other directors of the company?" IBM: No
"Have you ever disagreed with a decision of UC?" IBM: "No, I have not".
The Feb 17, 2005 PR was written by IBM.
IBM doesn't know the assets or liabilities.
SEC: "In Sept 13, 2004 PR, it was stated that CMKX received $5M from St George Metals. Can you tell me where that money is?" IBM: "I don't, but I'll follow up with you and tell you".
Judge: "Were you bought for your legitamacy?" IBM: "To date, I've only been paid $80K. I've spent a lifetime in business, and I'm paid for my expertise".
Judge: "Do you think you may be being used by CMKX?" IBM: "No, I do not".
Final CMKX Witness: Christine Buck, Securities Law Institute (sub-company of Stocklein law firm)
Christine is responsible for starting work to get compliance documents in order. She ordered ALL documents, received "boxes" of information...PRs, agreements, shareholder equity forms, mining claims (she has verified the claims). Also pulled GSI Online Filinigs (similar to Edgar reports). In short, pulling everything.
When reviewed the July 22, 2003 Form 15, she was troubled by the lack of reporting prior to it. Review of form revealed that a discrepancy existed in shareholder numbers. Based on her research, there were more than 300 shareholders. She contacted Kevin O'Neil (sp) from the SEC, and asked what should be done. He told Christine that the Form 15 needed to be amended. She then verified the (share) numbers with the Transfer Agent. After some internal conversation, it was agreed that amending the Form 15 was the best course of action...and was done in July 2003.
A problem that surfaced immediately afterwards was the 60 day requirement to get current following the Form 15 amendment. Mr Desormo told Christine that she needed someone else to take care of that (Mr Desormo was paid $1.5M to do all this).
Edwards and Engles (sp?) law offices produced a one page letter, when information was requested from them.
Christine stated the10K work is ongoing. Still getting info gathered and organized...called it "an ongoing process". When asked what significant docs were missing, she stated "Financial statements. The mining claims are verfied via the "Sask. Industry Resource", which is a Canadian Gov't run website (she didn't know the URL). It took days to download these claims, due to the sheer number of them. ( ) She was very surprised she couldn't get this info from the former lawyers and accountants.
Judge: "Do you have enough understanding to complete the reports?" Christine: We can begin with what we have.
Mr Frizzell began his questioning.
"Who's paying for your work?" CB: I don't know. Not being paid by stock.
"How many boxes of infor did you get?" CB: I don't know. Debbie (coworker) got them for her.
CB: A lot of info to go through, and a lot of progress getting it done.
"Is CMKX prioritized among your 40 other clients?" CB: (CMKX) is not especially prioritized. Filings could be done if all documents were present.
The SEC began cross...had a good spat over the number of banker boxes you could fit a response into...Mr Stocklein finally stopped it all with an objection, and the judge got everyone laughing again with a "I think it's two boxes of info". LOL
SB also testified that Mr Desormo was paid with stocks, and she doesn't know why.
The jade contracts were brought up again. SEC asked if she had requested the contracts. SB: Not yet
SEC: Can you file unaudited reports? SB: No SEC: When will you have them ready? SB: Won't speculate
***End of Testimony***
Closing:
IMPORTANT NOTE: SEC tried to have the exhibit discussing NSS they prepared (in case the ruling got reversed) removed from the evidence. Mr Frizzell stopped them cold! (We're getting our $25 worth from him, and then some, IMHO). In short, NSS is part of the court record, which is a very significant event!
Judge wrapped up with dates for the attorneys (June 3rd, 17th, and 29th). These dates are for responses and counters and final rebuttal. They have to have all info to the judge by June 29, and she has until July 15th to make a ruling.
******** My Closing Notes for this Evening: I got to meet and speak with several good people, including Mogoo. MLDiamonds, and Cesar Salazar. I also got to speak with UC, IBM, Mr Frizzell, John Martin, and others.
I'll give more detailed notes and some thoughts on how I interpretted all this soon, but for tonight, the C-Dubster is spent. I hope this is useful to those looking for more fact than spin...but remember too that my notes and/or memory may not be perfect on all things, but I won't lie to you intentionally.
Best Wishes to All, and Goodnight- C-Dub
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Posts: 1416 2. C-Dub's Observations: SEC Witnesses « Thread started on: Today at 01:15am »
-------------------------------------------------------------------------------- First SEC Witness: Neil Levine (CPA), the resigning CMKM auditor.
As stated in the opening remarks post, he was paid a retainer of $100K, even though he only required a $50K retainer. When the judge asked why CMKX paid more, he stated it appeared they wanted the job done quickly, with many of his staff working on it almost immediately. He was hired on/about Jan 10, and requested the financials again on Jan 17. Requested financials included general ledgers, statements, and general corporate documents; none were provided. When CMKX received it's subpeonas, John Edwards referred Mr Levine to UC.
Mr Levine was dealing directly with UC, Mr Dessormo (sp)(former CFO). He stated that UC seemed quite eager to get reporting, in fact he hired him the same evening as they spoke. UC also spoke of his desire to move to another trading board, specifically the bulletin boards or even higher. Mr Levine said the SEC subpoena was in effect at the time, but he was not informed of it at the time. He was provided a copy by Mr Stocklein, who also informed him in March 2005 that he (Stocklein) had his subcontractors working on the books.
Levine went on to describe progress as "slow". In April 2005, the company continued to tell Mr Levine that work on the reports was still progressing slowly, with no reasons given. The judge asked how long it would take to get completely caught up on the financials, Mr Levine replied "three months", if a perfect set of financials were provided to him. The financials build on previous years, so they would have to be audited in sequence.
Mr Levine's letter of termination to CMKX was read to the court.
On cross-examination by Mr Frizzell, Mr Levine testified that the transfer agent would be the source for O/S info on the 10Ks. Mr Frizzell was a strong presence...he fired up a court room that was feeling the effects of financial testimony and a long sit on a hard bench.
Second SEC Witness: Chris Nall, greenbaron.com Mr Nall (sp?) was called basically to discuss a chart many of us in the spectator section couldn't see, that referenced information regarding CMKI/CMKM/CMKX's volume on bar graphs and the PPS on a line graph, as I understood it. He was asked by the SEC about the 2004 webcast he conducted with UC and RW. Not a lot there to tell ya'll about, in honesty, from my POV.
Third SEC Witness: Helen Bagley, owner, First Transfer (our stock agent).
Under SEC questioning, Helen stated she believed the shareholder records were accurate.
She also went on to explain how the "shareholder of record" process worked briefly; she stated that broker shares are not part of the total. A company called "Cede and Co." holds the shares for all non-certificate holders. According to her records, there were 17B shares in 2003, divvied up among 698 shareholders.
She went on to discuss the categories of shares she tracked: "Issued shares" refers to share that are in distribution via certificate; "Surrendered Shares" refer to Issued Shares that are returned (usually because of a transfer in ownership); Outstanding Shares (O/S) is simply a calculation of the Issued Shares, minus the Surrendered Shares.
She is unable to tell how many shareholders have shares in street name.
When asked by the SEC, Helen stated there was no record of CMKX management inquiring into the number of shareholders in July 2003.
She went on to state there were 300+ shareholders in Jan 2003.
As of Dec 2004, 2 trillion shares were issued, and 1.4 trillion shares surrendered, leaving an O/S of approx. 778 billion shares.
Helen also testified she had no knowledge of the "stock borrow program.
Based on the questions posed by the judge, it appears the O/S issue is very much on her mind.
Fourth SEC Witness: Susan Herring, OTIS Point; CMKM Book Keeper
Brought on in the beginning of Mar 2005. $20K retainer was paid (by Stocklein, I believe). Bill rate is approx. $45-150 per hour. Previous book keeper was David Desormo (sp), former CFO; she's never spoken to him directly. Previous records consisted of three inches of materials in a binder.
She's currently gathering data on drilling costs, etc. She believes the SCMKX office is now located in UC's personal residence. She has never visited there because she is uncomfortable with going to his home.
Mr Stocklein's office is straight across the hallway from Susan's office.
Susan testified of continuing delays in getting financial data from CMKX. UC's wife (Carolyn) has signatory authority for the accounts; no controls on use of CMKX funds exist to her knowledge. Carolyn used authority during UC's serious illness last year to keep operations running.
Susan has put together a draft general ledger for 2002-2004. It is incomplete and not verified, so it is a draft. There was a $56M jade collection purchase made, but apparently it was reversed too...but the paperwork for the reversal hasn't made it in yet. A second jade collection valued at $60M was made (no dates I can recall, sorry)...no reversal action taken to date.
The draft ledger also listed a $24M undisclosed arrangement, and no revenues are presently recorded for 2002/2003/2004. UC has apparently loaned the company money, but has no documentation on those loans presently. (If I understood it correctly) we were $36M in the hole, as of Dec 2004, based on the incomplete draft ledger numbers.
It would take Susan's team approx. 30 days to complete the 2002-2004 reports, once all the data was handed over to her.
+ Fifth SEC Witness: Rendell Williams; CEO, USCA First met UC in Jan 2004; Ed Dhoneu (CEO, Nevada Minerals) was also present. UC brought up that CMKM "needed to be reporting". Rendell was surprised CMKX wasn't reporting already. Over the following year, UC told RW approx. 10-12 times that he was getting close to being ready to be fully reporting. He believed UC wanted to announce at the shareholder party that the company was reporting.
RW stated he didn't know why CMKX hasn't been reporting, or when they would be.
SEC played recording of RW and UC's Oct 18, 2004 GreenBaron interview. RW testified it took place at UC's home. The SEC requested to play the webcast in it's entirety; Mr Stocklein objected, stating everyone in the court room had already heard it. The judge stated she believed the shareholders would like to hear it; she then asked the shareholders how many had heard it (nearly every hand in the spectator section was raised). This seemed to surprise her; she then asked "how many would prefer we don't play it again?"...again, nearly every hand rose.
The judge overruled all of us! LMAO!
We then listened to all 17 minutes of the interview. RW sat next to the computer playing the webcast (it was using the witness microphone to play the webcast over the courtroom speaker system). He looked like he was burdened, especially so during the interview discussion where the 3:1 stock split was discussed.
RW also stated Robert Glenn (RG) was brought on board to solve problems, get reporting, and remove obstacles.
Cross Examination: Mr Stocklein questioned RW; RG is still doing USCA's legal work.
Discussion evolved to roles in the Yellow River mining in Equador. As RW described it, USCA's role was to process ore...and the operation was generating revenue. Apparently Yellow River is owned 100% by USCA; CMKX owns the shafts and claims, USCA processes the ore and is responsible for selling the minerals. CMKX gets 50% of the haul. Most of the revenues generated to date have been put back into the mine operations. Processed approx $90-120K (gross) in 2004, 50% of which was paid to CMKX. RW receives weekly reports from So. America.
The shaft CMKX owns is called "American Mine". Been in operation since the 1900's, has 14 levels. Named as such, because Americans dug it out. There was no revenue for 2003, and no data vailable for 2005 yet.
The subject of RW's background was brought up. He has been in the mining industry for two years...before that, he was in food processing (baby formulas).
Mr Frizzell then cross examined. He asked RW if USCA was invested into CMKX, or the other way around; RW stated it was the former. RW couldn't recall how much he invested in CMKX. He paid stocks to CMKX (more than 1M shares), which were distributed to the shareholders. Mr Frizzell asked if there was anything unusual about the Oct 2004 Shareholder Appreciation party...RW stated he had no recollection of anything unusual (the shareholders present were obviously ruffled by this statement). RW went on to state he wasn't planning to make any announcements during the party...just thought UC may announce that CMKX was reporting.
USCA is also a few weeks behind on their last report...but OK on all others.
Mr Frizzell asked RW to describe all the roles at Yellow River in more detail. RW stated CMKX started processing minerals in Sept 2004. In short, CMKX pulls minerals out, Nevada Minerals operates the mine, and USCA processes the ore. USCA is also responsible for selling the gold.
RW went on to state he has no idea how much it costs to run the operation in Yellow River. He believes CMKX has paid all money due to USCA, but knows CMKX still owes Nev. Minerals some money.
Final SEC Witness: Urban Casavant; CEO, CMKM/CMKX Urban took the stand, and asserted his 5th amendment rights under the US Constitution for all questions asked of him on the stand. The judge took the time to explain the ramifications; in a criminal court, a jury is instructed NOT to infer anything negative when a defendent invokes his right to non-self incrimination. But in a civil matter (like this hearing), an "adverse inference" may be drawn on the company by a refusal of a CEO to testify. UC's demeanor was calm, reserved during questioning. All questions answered the same: "5th Amendment". The SEC still questioned him on several detailed points, to which the same answer was given.
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Posts: 1416 3. C-Dub's Observations: CMKX Witnesses, Closing « Thread started on: Today at 02:59am »
-------------------------------------------------------------------------------- First CMKX Witness: Ed Donhue, CEO, Nevada Minerals (NM)
Mr Donhue (pronounced "dough-no") first had contact with UC in the FALC region (Canada), then moved on to the Yellow River operation. NM has over 500K acres in FALC. He believes CMKX claims are approx. 1M acres.
In stark contrast to RW's seemingly not knowing much about anything, and UC's silence, ED seemed very knowledgeable and in control of issues...he knew process steps in depth. He provided financial data to UC and the CMKX legal team. NM earned $1.1M in revenues this year; CMKX owes $180K, and is in default. UC has agreed to turn over "The SANS(?)" to cure the default.
ED parted with CMKX, and will have another $2M due come Dec 2005. ED stated he broke off the relationship due to an emotional reaction to the investigations...and felt NM would be better off going it alone.
Second CMKX Witness: Robert Mahue, Co-Chairman and Director, CMKX
Mr Mahue (IBM) commanded a certain respect as he entered, but had a few moments of levity as well. One of these moments came immediately after he entered the courtroom. The judge asked him to approach, and she remarked "you seemed to have taken the long way around", referencing the fact that he went the longer route to the witness stand. IBM replied "I'll make it!", to which a burst of appreciative laughter rang around the room.
IBM stated that UC asked him to join CMKX in Feb 2005.
When asked why he joined, he replied "I'm intrigued by challenges and difficult assignments...been that way since I was 10 years old." He went on to express his interest in shareholder well-being, and proudly stated his background was impecable...not afraid of background checks.
When asked "how can you help?": Understands compliance needs. "I'm no novice. Fifty years ago he set up government programs to assist small businesses become compliant.
"What did UC expect?" IBM: "I don't know what UC expects. But I told him I'd surround myself with a team that would clear past mistakes- and CMKX would have to be compliant in the future.
"Do you have reservations about being part of a company under investigation?" IBM: No.
"How much are you compensated?" IBM: $40K a month
"How much time spent with his team?" IBM: A LOT of time with them. IBM went on to say, "I earned the nickname "The man with the whip...I still have that whip."
The judge pressed IBM: "Others have testified that information hasn't been forthcoming from the company, but you see it differently" IBM: To my knowledge, the info has been provided. She then asked IBM: All the other witnesses talk about dealing with UC...but you haven't been mentioned. IBM: I am aware of the requests, but not for the responsiveness.
IBM has known Mr Stocklein for 15 years. Stocklein's office does more than just legal, also financials.
Then Mr Frizzell: If a dispute between UC and yourself existed, who would prevail? IBM: I would consult Mr Stocklein.
IBM, like UC, conducts business from his home address.
IBM couldn't give dates when reports would be finished, but stated "I assure you, it will be done".
SEC began cross examination: "Does CMKX have any offices?" IBM: Not to my knowledge.
"Do you know numbers of employees, or names?" IBM: No
"Are there any other directors of the company?" IBM: No
"Have you ever disagreed with a decision of UC?" IBM: "No, I have not".
The Feb 17, 2005 PR was written by IBM.
IBM doesn't know the assets or liabilities.
SEC: "In Sept 13, 2004 PR, it was stated that CMKX received $5M from St George Metals. Can you tell me where that money is?" IBM: "I don't, but I'll follow up with you and tell you".
Judge: "Were you bought for your legitamacy?" IBM: "To date, I've only been paid $80K. I've spent a lifetime in business, and I'm paid for my expertise".
Judge: "Do you think you may be being used by CMKX?" IBM: "No, I do not".
Final CMKX Witness: Christine Buck, Securities Law Institute (sub-company of Stocklein law firm)
Christine is responsible for starting work to get compliance documents in order. She ordered ALL documents, received "boxes" of information...PRs, agreements, shareholder equity forms, mining claims (she has verified the claims). Also pulled GSI Online Filinigs (similar to Edgar reports). In short, pulling everything.
When reviewed the July 22, 2003 Form 15, she was troubled by the lack of reporting prior to it. Review of form revealed that a discrepancy existed in shareholder numbers. Based on her research, there were more than 300 shareholders. She contacted Kevin O'Neil (sp) from the SEC, and asked what should be done. He told Christine that the Form 15 needed to be amended. She then verified the (share) numbers with the Transfer Agent. After some internal conversation, it was agreed that amending the Form 15 was the best course of action...and was done in July 2003.
A problem that surfaced immediately afterwards was the 60 day requirement to get current following the Form 15 amendment. Mr Desormo told Christine that she needed someone else to take care of that (Mr Desormo was paid $1.5M to do all this).
Edwards and Engles (sp?) law offices produced a one page letter, when information was requested from them.
Christine stated the10K work is ongoing. Still getting info gathered and organized...called it "an ongoing process". When asked what significant docs were missing, she stated "Financial statements. The mining claims are verfied via the "Sask. Industry Resource", which is a Canadian Gov't run website (she didn't know the URL). It took days to download these claims, due to the sheer number of them. ( ) She was very surprised she couldn't get this info from the former lawyers and accountants.
Judge: "Do you have enough understanding to complete the reports?" Christine: We can begin with what we have.
Mr Frizzell began his questioning.
"Who's paying for your work?" CB: I don't know. Not being paid by stock.
"How many boxes of infor did you get?" CB: I don't know. Debbie (coworker) got them for her.
CB: A lot of info to go through, and a lot of progress getting it done.
"Is CMKX prioritized among your 40 other clients?" CB: (CMKX) is not especially prioritized. Filings could be done if all documents were present.
The SEC began cross...had a good spat over the number of banker boxes you could fit a response into...Mr Stocklein finally stopped it all with an objection, and the judge got everyone laughing again with a "I think it's two boxes of info". LOL
SB also testified that Mr Desormo was paid with stocks, and she doesn't know why.
The jade contracts were brought up again. SEC asked if she had requested the contracts. SB: Not yet
SEC: Can you file unaudited reports? SB: No SEC: When will you have them ready? SB: Won't speculate
***End of Testimony***
Closing:
IMPORTANT NOTE: SEC tried to have the exhibit discussing NSS they prepared (in case the ruling got reversed) removed from the evidence. Mr Frizzell stopped them cold! (We're getting our $25 worth from him, and then some, IMHO). In short, NSS is part of the court record, which is a very significant event!
Judge wrapped up with dates for the attorneys (June 3rd, 17th, and 29th). These dates are for responses and counters and final rebuttal. They have to have all info to the judge by June 29, and she has until July 15th to make a ruling.
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What did UC expect?" IBM: "I don't know what UC expects. But I told him I'd surround myself with a team that would clear past mistakes- and CMKX would have to be compliant in the future.
i seem to remeber that Roger Glenn was the knight in shining armor for this job....
i remeber being told that Glen was squeeeeky clean, and could move mountians...they may have even said something about water and wine...
-------------------- Don't envy the happiness of those who live in a fool's paradise.
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Doesn't it concern anyone that they are paying a lot of money to people that either do nothing or don't get any records to do anything. UC seems to be paying for a smoke screen here. Yeah, we trying our best to file. Look at all the money we are spending to get filed. Yet everyone whos job it is or was to prepare these filing say that the company refuses to give them records. Seems like everyone that was hired for the job ends up quitting in fustration because they get nothing to work with.
So why the illusion of progress. Does UC think this is a get out of jail free card.
-------------------- Invest with your brain not with your heart.
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As of Dec 2004, 2 trillion shares were issued, and 1.4 trillion shares surrendered, leaving an O/S of approx. 778 billion shares. ========================================
& there is your NS, wiped out before it started. my question is HOW THE "F" DO YOU ISSUE 2 TRILLION SHARES??!!!!
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She also went on to explain how the "shareholder of record" process worked briefly; she stated that broker shares are not part of the total. A company called "Cede and Co." holds the shares for all non-certificate holders. According to her records, there were 17B shares in 2003, divvied up among 698 shareholders.
She went on to discuss the categories of shares she tracked: "Issued shares" refers to share that are in distribution via certificate; "Surrendered Shares" refer to Issued Shares that are returned (usually because of a transfer in ownership); Outstanding Shares (O/S) is simply a calculation of the Issued Shares, minus the Surrendered Shares.
She is unable to tell how many shareholders have shares in street name.
When asked by the SEC, Helen stated there was no record of CMKX management inquiring into the number of shareholders in July 2003.
She went on to state there were 300+ shareholders in Jan 2003.
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explains why frizzy thinks its shorted & puts the final nail in the coffin. the judge called todays meeting. i'd say to tell everyone that unless a miracle happens kiss the stock good bye. as its clear there is no way to get reporting & UC delaying handing over info says it all. maybe if info was handed over when asked for she might give them time but as it stands...case closed.
-------------------- "keep your stick on the ice & your cup firmly in place"
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Why give them more time? If UC hasnt turned over records by now, he never will. Best case scenario here is shut it down, charge UC with whatever you can, put his butt in jail, split up the race cars and nice house among the shareholders, and move on.
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I hope his roommates name is bubba and was burnt by cmkx stocks.
quote:Originally posted by Doctoall: Actually, I hope that Urban goes to jail. The SEC is not rolling over and playing dead with these guys who scam the shareholders.
Do they have the races on TV in jail?
-------------------- Invest with your brain not with your heart.
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. It's one of the best letters that I have ever written. Looks like a letter to the IRS is also in order, citizens complaint about possible fraud on taxes ![[Smile]](smile.gif)
