MANASSAS, Virginia,
November 22, 2010 /PRNewswire/ -- On
November 8, 2010, the Company became
the subject of a trading suspension and an SEC Subpoena "In the
Matter of Monks Den."
The trading suspension, which related principally to questions
about the accuracy of certain press releases, was lifted at
11:59PM November 17, 2010.
The Subpoena required the submission of documents and testimony
of certain persons associated with the Company relating principally
to its relationship with Monks Den. Through its legal counsel and
advisors, the Company and such Subpoenaed persons are cooperating
fully with all requests from the SEC, have submitted the documents
required under the Subpoena and the first of at least two SEC
depositions to be given in this matter is scheduled for
Monday November 22, 2010.
Preliminarily, the Company wants to state publicly:
- It is not and has never been involved, independently or in combination
with Monks Den or its principal(s), in any illegal stock profiting
scheme (commonly called "pump and dump").
- The Company has not to date paid for any promotional activity and does
not engage in any such activity.
- The Company is a legitimate, active Company which its management feels
is gaining traction in its redirected business plan and, in fact,
poised to become successful, among other activities, development of
its Brand8000 and nurturing the companies it has acquired over the
last 11 months.
- The Company accepts that it should have handled certain actions
differently and is prepared to take all appropriate corrective
actions, including issuing appropriate corrective disclosures.
- Nonetheless, neither the Company nor the Subpoenaed persons have
engaged in illegal stock profiting or market manipulation.
In fact, the Company would like to clarify and make public the
following:
1. The acquisition of Monks Den was never completed; no payment
was made or exchanged; and was not concluded. The Company accepts
this aborted transaction could have been clarified earlier and this
will be addressed with the SEC.
2. In conjunction with the Subpoena and its full cooperation
with the SEC, the business records, activities, invoices, orders,
agreements and additional supporting documents submitted have
aggregated not less than 8000 pages (some 1.4GB of documents and
records).
3. For some 6 months, the Company has been aware of illegal
naked short positions and it has submitted stock audit findings and
related documentation in the Company's submission to the SEC. This
audit was based on the certified stock and certificate count
prepared by the Company's Transfer Agent which recorded all stock
positions by certificate number and by brokerage account as of
September 30, 2010. This data was
used as the base line and reference point for the Company's
internal audit. Comparison to the certified baseline data
identified discrepancies in the trading and stock positions of
8000inc stock. What is of concern to the Company is that
significant numbers of shares purchased were not recorded and could
not be identified in the Transfer Agents certified records. All
data at the certificate and account position level, together with
the identified discrepancies and Company's conclusions have been
submitted to the SEC in full.
4. In that context, the Company has sent all recorded voicemails
and e-mails, including those of a threatening nature, as part of
its submission to the SEC.
5. Similarly, the Company has included in its Subpoena response
its compilation (including names, websites, relationships) a file
of all public boards making false allegations and associations
pertaining to the Company and its associates engaging in scam
operations, pump and dump schemes or payment for services, etc.
6. The Company will accept any future operational and disclosure
directions from the SEC.
7. The Company and its associated persons are redoubling its
efforts, looking back and forward, to make full and fair disclosure
of its proper business activities.
While the Company regrets the trading suspension and
investigation, it is more troubled with the scurrilous comments and
false statements about the Company.
The Company will continue to inform and update its investors
accordingly.
For more information please visit: http://www.brand8000.com
http://www.8000incgroup.com http://www.8000inc.net
Or contact: investors@8000inc.net
This news release contains forward-looking statements that are
subject to certain risks and uncertainties that may cause actual
results to differ materially from those projected on the basis of
such forward-looking statements. The words "estimate," "project,"
"intends," "expects," "believes," and similar expressions are
intended to identify forward-looking statements. Such
forward-looking statements are made based on management's beliefs,
as well as assumptions made by, and information currently available
to, management pursuant to the "safe-harbour" provisions of the
Private Securities Litigation Reform Act of 1995. For a more
complete description of these and other risk factors that may
affect the future performance of 8000inc. see "Risk Factors" in the
Company's Annual Report on Form 10-KSB and its other filings with
the Securities and Exchange Commission. Readers are cautioned not
to place undue reliance on these forward-looking statements, which
speak only as of the date made and the Company undertakes no
obligation to disclose any revision to these forward-looking
statements to reflect events or circumstances after the date made
or to reflect the occurrence of unanticipated events.
For further information:
For further information: please visit: http://www.8000inc.net,
Or contact: 8000inc, 10432 Balls Ford Road, Suite 300, Manassas, Virginia, 20109, USA, t. +1(703)881-7834, f. +1(703)881-7601,
e.enquiries@8000inc.net
