Post by Catdaddy on Mar 1, 2010 17:06:35 GMT -5
CMKM Diamonds, Inc. Files Motion to Add Wells Fargo in Lawsuit
www.markethingych.com/story/cmkm-diamonds-inc-files-motion-to-add-wells-fargo-in-lawsuit-2010-03-01?reflink=MW_news_stmp
www.earthtimes.org/articles/show/cmkm-diamonds-inc-files-motion-to-add-wells-fargo-in-lawsuit,1185033.shtml
March 1, 2010, 4:43 p.m. EST · Recommend · Post:
TYLER, Texas, Mar 01, 2010 (BUSINESS WIRE) -- A "Motion for Leave to File Second Amended Complaint" was filed Friday 2-26-2010 to the CMKM Diamonds, Inc. petition in Case # A-538649 asking the Court to allow the Company to add Wells Fargo, Stacy Ewing, Securities Transfer Agents Medallion Program (STAMP), First Global Stock Transfer, LLC, and Helen Bagley as Doe and Roe Defendants. Wells Fargo was one of the depository institutions for John Edwards at the time Edwards was selling illegally obtained stock. Our investigation has revealed that an officer of Wells Fargo assisted Edwards in obtaining medallion guaranteed signature stamps on a large number of blank documents. These documents were then used as supporting documents given to our transfer agent to have stock issued and in some cases transferred to Edwards, or companies under his control. Edwards' illegal activities occurred at a time that our own transfer agent was receiving cash payments described as loans. Banking records indicate that Edwards also maintained investment accounts at Wells Fargo during this time period. STAMP is a program approved by the Securities Transfer Association that enables participating financial institutions to guarantee signatures. The Medallion programs ensure that the individual signing the certificate or stock power is in fact the registered owner as it appears on the stock certificate or stock power. The failure of Wells Fargo and STAMP to train and supervise those individuals that administer the medallion signature stamps made it possible for John Edwards and others to dilute the company and obtain several hundred billion illegally issued shares to be sold to the public. By comparing the average trading price on the day these illegally issued shares were transferred into the Edwards' accounts, shares so transferred and ultimately sold by Edwards totaled an estimated $57 million dollars.
Safe Harbor Statement:
This news release contains certain "forward-looking statements" within the meaning of Section 27a of the Securities Act of 1933 and Section 21e of the Securities Exchange Act of 1934. Although the Company believes the expectations reflected in such forward-looking statements are reasonable, it can provide no assurance that actual results will meet or exceed such expectations.
SOURCE: CMKM Diamonds Inc.
CMKM Diamonds Inc.
Kevin West, 903-526-9937
www.cmkmdiamondsinc.com
www.markethingych.com/story/cmkm-diamonds-inc-files-motion-to-add-wells-fargo-in-lawsuit-2010-03-01?reflink=MW_news_stmp
www.earthtimes.org/articles/show/cmkm-diamonds-inc-files-motion-to-add-wells-fargo-in-lawsuit,1185033.shtml
March 1, 2010, 4:43 p.m. EST · Recommend · Post:
TYLER, Texas, Mar 01, 2010 (BUSINESS WIRE) -- A "Motion for Leave to File Second Amended Complaint" was filed Friday 2-26-2010 to the CMKM Diamonds, Inc. petition in Case # A-538649 asking the Court to allow the Company to add Wells Fargo, Stacy Ewing, Securities Transfer Agents Medallion Program (STAMP), First Global Stock Transfer, LLC, and Helen Bagley as Doe and Roe Defendants. Wells Fargo was one of the depository institutions for John Edwards at the time Edwards was selling illegally obtained stock. Our investigation has revealed that an officer of Wells Fargo assisted Edwards in obtaining medallion guaranteed signature stamps on a large number of blank documents. These documents were then used as supporting documents given to our transfer agent to have stock issued and in some cases transferred to Edwards, or companies under his control. Edwards' illegal activities occurred at a time that our own transfer agent was receiving cash payments described as loans. Banking records indicate that Edwards also maintained investment accounts at Wells Fargo during this time period. STAMP is a program approved by the Securities Transfer Association that enables participating financial institutions to guarantee signatures. The Medallion programs ensure that the individual signing the certificate or stock power is in fact the registered owner as it appears on the stock certificate or stock power. The failure of Wells Fargo and STAMP to train and supervise those individuals that administer the medallion signature stamps made it possible for John Edwards and others to dilute the company and obtain several hundred billion illegally issued shares to be sold to the public. By comparing the average trading price on the day these illegally issued shares were transferred into the Edwards' accounts, shares so transferred and ultimately sold by Edwards totaled an estimated $57 million dollars.
Safe Harbor Statement:
This news release contains certain "forward-looking statements" within the meaning of Section 27a of the Securities Act of 1933 and Section 21e of the Securities Exchange Act of 1934. Although the Company believes the expectations reflected in such forward-looking statements are reasonable, it can provide no assurance that actual results will meet or exceed such expectations.
SOURCE: CMKM Diamonds Inc.
CMKM Diamonds Inc.
Kevin West, 903-526-9937
www.cmkmdiamondsinc.com
