IRVINE, CA / ACCESSWIRE / July 28, 2017 / On July 25, SEC Administrative Law Judge Carole Fox Foelak issued an order stating that Irvine-based technology company Ubiquity Inc. (UBIQ) agreed to the "full relief" sought by the SEC - the deregistration of Ubiquity's stock and accompanying prohibition of public trading of its stock. The proceeding is stayed contingent upon the SEC's agreement. The SEC initiated the action after obtaining a March 20 order temporarily suspending the public trading of Ubiquity's stock for "the protection of investors" as a result of Ubiquity's failure to comply with federal securities reporting requirements. In a June 30, 2017 order, the ALJ judge, concurring with the SEC, found Ubiquity "has been delinquent in its periodic filings following its report for the quarter ending September 30, 2015."
Today, major shareholder, Rorick J. Frueh, holder of 12,908,143 shares, stated, "The indisputable confirmation of their own malfeasance and breach of fiduciary duty by Ubiquity's Chief Executive Officer, Christopher Carmichael, his wife and senior executive, Connie Jordan Carmichael, and Chief Financial Officer, Brendan Garrison, requires their immediate removal as officers and directors of the company. As a direct result of their so-called leadership, Carmichael, Jordan, and Garrison are rendering the shareholders' investments nearly worthless. I demand the calling of a shareholders' meeting immediately to protect shareholders' interests." Frueh added that Ubiquity's SEC filings revealed that Jordan, also a board member, and CFO Garrison held their posts throughout Ubiquity's existence, while Jordan's husband, Carmichael, was not only a board member, but was Ubiquity's CEO for its multi-year existence, excluding a 3-month period when long-time board member Nicholas Mitsakos assumed the role. Mitsakos resigned after his arrest by the FBI in August 2016 for securities fraud in connection with his hedge fund. On May 25, 2017, Mitsakos, in federal court, pled guilty to conspiracy to commit securities and wire. The conviction includes incarceration of up to 5 years and an $861,000 fine. The SEC also filed a 2016 complaint for securities fraud against Ubiquity's general counsel, Gregg Jaclin.
In its March 31, 2017 SEC 8-k filing, Ubiquity stated it would call a shareholders' meeting only at "such time that the Company had completed its audited financial statements for the fiscal years ended 12/31/2015 and 12/31/2016," as well as any "interim statements" and the annual meeting would occur, "on or about September 5, 2017 or as soon thereafter as practicable." Roehr states, "I am outraged that these officers attempt to use their failure to adhere to the law to prevent shareholders from having a meeting. I will use any and all legal means if need be to obtain one immediately." Adding that the March 31 SEC filing also stated that Ubiquity was "named as a defendant in 16 lawsuits," Roehr declared, "This outrage must stop now."
Contact:
Rory Frueh
949-751-9532
[email protected]
SOURCE: American Diversity