12 Oct Crown Marketing (CWNM) – long long path to a future p&d?
When I wrote a research report on Greenway Technology (GWYT) back on September 3, 2012, I remember thinking how odd it was that Jehu Hand and Benjamin Hoskins sat on the GWYT shell for 4 1/2 years before the recent bid whacking that took the share price down to pre-promotion levels where GWYT still waits for the future promotion to kick off.
The Greenway Technology (GWYT) research report provided several links about past paid promotions quarterbacked by Jehu hand.
Then earlier this week a company called Crown Marketing (CWNM) effected a 10:1 forward split. Turns out that CWNM is yet another Jehu Hand shell, but this one has been sitting around for nearly 10 years under Jehu Hand's control possibly waiting to be used for a future p&d.
Setting up the CWNM shell
The Crown Marketing shell was originally known as Space Launch Financial Inc.
Space Launch Financial Inc was originally incorporated in Nevada as Transcendent Corporation by Conrad Lysiak (attorney from our top 10 list).
Original officers were James Kouvarakos, John Harman, and Nicholas Plessas.
On November 26, 1997 the board of directors approved a name change to Space Launches Financing, Inc
Around this time the company officers changed to Maurice Tolub and Yves Silliard.
When Space Launches Financial Inc filed to go public on October 29, 1999, there were 6,017,471 shares outstanding.
17,471 shares were sold to unnamed individuals for proceeds of $41,620.
6,000,000 shares were sold to 10 private investors (600,000 shares each) for proceeds of $100,000.
Those 10 private investors included:
Yves Sillard - 600,000 shares
Marina Zuliani (of Italy) - 600,000 shares
Andrea Leardini (of Italy) - 600,000 shares
Societe Financiere du Seujet Limited (Irish entity) - 600,000 shares
Francois Allaz (of Switzerland)
Sangate Enterprises Inc (British Virgin Island entity) - 600,000 shares
Societe Financiere Privee, S.A. (Swiss entity) - 600,000 shares
Orazio Pizzardi (of Italy) - 600,000 shares
Barbara Burhop (of Switzerland) - 600,000 shares
Attilie Ferrari (of Italy) - 600,000 shares
Garbriela Ferrari (of Italy) - 600,000 shares
Operadora Financiera de Inverscones (Panamanian entity) - 600,000 shares
Early Public Years
The first 2 years of public trading were uneventful. The financial structure barely changed and the share structure remained at at 6,017,471 shares.
In January of 2002, an acquisition was agreed upon. Space Launch Financial Inc signed an agreement to purchase Polyderm Inc (a Delaware entity). The acquisition called for Space Launch Financial Inc to issue 24,069,884 shares to the Polyderm Inc shareholders. The agreement also called for the 6,017,741 existing (pre-acquisition shares) to be forward split 4:1 becoming 24,069,884 shares. Liz Hill Enterprises, Ltd was issued 5,371,085 shares for helping to structure the agreement and 200,000 shares were issued to SoCal Securities.
That brought the proposed outstanding share count to 53,710,853 shares.
Philip Faris became the new CEO and Luc Badel became the new Secretary.
On October 4, 2002 a filing was made rescinding the acquisition.
According to the last filing done by this regime, a 10Q on October 4, 2002, the outstanding share count now sat at 29,640,968 shares.
This is especially strange since no 4:1 forward split never showed up as being approved by any governing body for the shell.
Enter Jehu Hand
Sometime between October 4, 2002 and April 4, 2003, Jehu Hand took control of the Space Launch Financial Inc.
On April 4, 2003, Jehu Hand filed an NT-10K letting the SEC know that Space Launch would not be able to file their 10K on time. It was the last filing done by Space Launch Financial Inc until they filed an S-1 filing 8 1/2 years later on September 9, 2011.
How did Jehu Hand get control?
Space Launch Financial Inc failed to file any annual reports and failed to pay its annual business taxes with the state of Nevada in 1998, 1999, 2000, 2001, and 2002. The entity got revoked by the state of Nevada in 1999 and operated as a revoked entity for 3 years.
On February 11, 2003 the shell got reinstated. The person filing for reinstatement was Jehu Hand. Jehu Hand also listed himself as the sole officer/director of the shell.
Despite not doing any SEC filings for 8 1/2 years, Jehu Hand did continue to keep the Nevada entity active. Just amazing that he could sit on his hands for so long and not do anything with a shell for so many years.
The S-1 filing - what happened to those 29,640,968 shares?
On September 9, 2011, Space Launch Financial Inc filed an S-1 to register its stock and get back in good standing with the SEC.
The S-1 attempted to explain the recent history of the shell, but left several holes especially when it came to disclosing what happened to the 29,640,968 shares that were outstanding in 2003.
Jehu Hand's explanation of the restructuring of the shell
On July 9, 2009, an entity was formed in Wyoming called Green4Green with 25 year old Igor Produm as the sole officer/director. The Incorporator of the shell was Ross Bagne of the now famous Wyoming Corporate Services Inc because of this article.
Igor Produn is a Ukrainian citizen according to the CWNM filings. I have been unable to verify his existence.
On July 6, 2010, an entity called Crown Marketing was formed in Wyoming. The Incorporator of this entity was Jehu Hand.
On July 14, 2010, Space Launch Financial Inc merged into Crown Marketing with Crown Marketing being the surviving entity. According to the S-1 fling, the outstanding share count following the merger some how became 89,080 shares. Apparently all the previous share holders were somehow wiped out.
On July 14, 2010, Crown Marketing acquired Green4Green for 4,000,000 shares making it a wholly owned subsidiary.
Between July 14, 2010 and June 30, 2011, warrants were exercised for the purchase of 230,000 shares at $.05/share and 11,000 shares were purchased by private investors for $.10/share.
The new outstanding share count became 4,340,080 shares.
The S-1 filing was to register 2,400,000 more shares warrants to be exercised which would bring the outstanding share count to 6,740,080 shares.
The New Share Owners
The list of new share owners following the Crown Marketing merger and issuance of warrants related to the S-1 filing is a very familiar bunch.
Igor Produn - 4,000,000 shares (received for the Green4Green acquisition)
William Wilkerson - 440,000 shares (40,000 @ $.05/share and 400,000 @ $.07/share)
Doris Urueta - 440,000 shares (40,000 @ $.05/share and 400,000 @ $.07/share)
Katya Konuschenko - 440,000 shares (40,000 @ $.05/share and 400,000 @ $.07/share)
Alex Sosnovsky - 440,000 shares (40,000 @ $.05/share and 400,000 @ $.07/share)
Yuriy Semenov - 440,000 shares (40,000 @ $.05/share and 400,000 @ $.07/share)
Karen Campo - 440,000 shares (40,000 @ $.05/share and 400,000 @ $.07/share)
Adam Hand - 1,000 shares ($.10/share)
Learned Hand - 1,000 shares ($.10/share)
Kimberly Peterson - 1,000 shares ($.10/share)
Taylor Peterson - 1,000 shares ($.10/share)
Randall Peterson - 1,000 shares ($.10/share)
Vicki Foster - 1,000 shares ($.10/share)
Kristen Roberts - 1,000 shares ($.10/share)
Richard Solosky - 1,000 shares ($.10/share)
Mary L. Robers-Solosky - 1,000 shares ($.10/share)
Scott Roberts - 1,000 shares ($.10/share)
Jody Roberts - 1,000 shares ($.10/share)
Unknown shareholders - 89,080 (from Crown Marketing merger)
More on the CWNM insiders
More found about Jehu Hand at his personal website.
Some tickers connected to Jehu Hand include - FBCD, CLTH, SKYC, DANR, GWYT, VTMS, Russian Athena Inc (revoked), WLSF, GFMH, and literally dozens of others.
Jehu Hand is a very litigious individual both as a Defendant and a Plaintiff.
Link with information about Jehu Hands history with Russian officers and his long time secretary Kimberly Peterson here.
Yuriy Semenov was involved in 3 past Jehu Hand shells - Dana Resources (was listed as the CEO), Cleantech Biofuels, Inc (CLTH) as a large debt holder and large shareholder, and GFMI as a seed shareholder.
Most of the same large CWNM seed shareholders can be found as seed shareholders for another Jehu Hand shell called Goliath Film & Media Holdings (GFMH) - see this S-1 filing. GFMH has a long past like CWNM, but with some very dirty insiders involved with the shell early on.
GFMH did a fairly big PR driven pump&dump in April of 2012 and looks like based on recent news it is trying to push the stock price up again for some more dumping soon.
On September 27, 2012, CWNM acquired two patents owned by a Delaware business entity called Farrington Pharmaceuticals, LLC which was wholly owned by Learned Hand.
The intellectual property cost CWNM 122,600,200 (post-split) shares and a $140,000 Promissory Note. Those 122,600,000 gave Learned Hand control of the CWNM shell and he became the new CEO replacing Igor Produm. Jehu Hand's long time personal secretary, Kimberly Peterson became the Secretary of CWNM.
Following the change of control, Yuriy Semenov was issued a $42,000 Promissory Note.
Authoring all the CWNM filings was Jehu Hand.
Here is the Farrington Pharmaceuticals LLC website.
That intellectual property allegedly includes the CDDT patent.
Doing a patent search I was able to discover 2 patents listed as being assigned to Farrington Pharmaceuticals LLC
As part of the acquisition agreement CWNM agreed to do a 10:1 forward split.
We have no way of knowing if those patents actual have any practical value or any potential to ever produce any real revenue numbers because CWNM filed no detailed disclosure about any true value of those patents, but one thing I can say with certainty is that they are not worth the $123,826,000 price tag that they cost at the current trading price of $1.01/share.
The New Share Count
With the 10:1 forward split now complete the new outstanding share count is now 190,067,600 with 67,467,400 shares free trading split up as follows:
Learned Hand - 122,600,200 shares (received for the Farrington Pharmaceuticals LLC patent purchase) - restricted
Igor Produn - 40,000,000 shares (received for the Green4Green acquisition) - free trading
William Wilkerson - 4,400,000 shares (400,000 @ $.005/share and 4,000,000 @ $.007/share) - free trading
Doris Urueta - 4,400,000 shares (400,000 @ $.005/share and 4,000,000 @ $.007/share) - free trading
Katya Konuschenko - 4,400,000 shares (400,000 @ $.005/share and 4,000,000 @ $.007/share) - free trading
Alex Sosnovsky - 4,400,000 shares (400,000 @ $.005/share and 4,000,000 @ $.007/share) - free trading
Yuriy Semenov - 4,400,000 shares (400,000 @ $.005/share and 4,000,000 @ $.007/share) - free trading
Karen Campo - 4,400,000 shares (400,000 @ $.005/share and 4,000,000 @ $.007/share) - free trading
Adam Hand - 10,000 shares ($.01/share) - free trading
Kimberly Peterson - 10,000 shares ($.01/share) - free trading
Taylor Peterson - 10,000 shares ($.01/share) - free trading
Randall Peterson - 10,000 shares ($.01/share) - free trading
Vicki Foster - 10,000 shares ($.01/share) - free trading
Kristen Roberts - 10,000 shares ($.01/share) - free trading
Richard Solosky - 10,000 shares ($.01/share) - free trading
Mary L. Robers-Solosky - 10,000 shares ($.01/share) - free trading
Scott Roberts - 10,000 shares ($.01/share) - free trading
Jody Roberts - 10,000 shares ($.01/share) - free trading
Unknown shareholders - 967,600 shares (mostly from the Crown Marketing Merger) - free trading
CWNM is currently grossly over valued. There are presently 67,467,400 free trading shares outstanding. There is no way that CWNM could maintain a paid promotion with that many outstanding shares at the current share price so expect CWNM to get dropped to around the $.10/share - $.15/share range or lower before any paid promotion starts (if any is ever used on this ticker). With the potential for insiders to make upwards of $15 million - $60 million I'd be surprised if CWNM doesn't some day get promoted especially with the history of Jehu Hand and his family.
Igor Produn stands to make $5 million - $35 million alone with his 40,000,000 free trading shares. Jehu Hand has been accused in court documents by Keith Mazer of inventing imaginary CEOs with past companies that were allegedly only his alter ego. See this link. Interesting that Mazer claimed that Yurij Semenov was an alter ego of Jehu Hand since Yurij Semenov is a CWNM insider. Sort of makes you wonder if Jehu Hand might really control those Igor Produn 40,000,000 free trading shares. Keith Mazer has a very shady past of his own so it is hard to put much trust into his accusations against Jehu Hand.
Either way any ticker with that many free trading shares, that many arms length agreements, and that many shares issued to relatives for unproven assets is one to watch for a future paid promotion.