Tag Archives: NIR investors

Is Noveshen Still Denying Involvement with Pump & Dump Stock Scams?

Is Eric Noveshen still denying that he has ever been involved with microcap stock fraud? -Noveshen keeps insisting he was never involved in a pump-and-dump stock scam. Did he forget about Itronics? It was a long time ago but he can’t even remember that he’s involved with Pure Hospitality Solutions, as of, when was the last deposit he got from selling shares of PNOW? Likely within the last couple months. Investors pay consultants of penny stocks, get no return and are forgotten – quickly. Don’t be a victim.

Microcap Stock Fraud Noveshen

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Eric Noveshen’s Biggest Financial Scam – Money Laundering Through Consulting Fees

Eric Noveshen Securities Fraud, Chapter One:  Medgen

Look at the Medgen connection. Funds were laundered through Medgen via consulting fees..Drill inta those underlyin docs that support the 800k…at least a small portion.” 

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Source – http://www.investorshub.com 

If you want to understand a story you have to start at the beginning. Why was Eric Noveshen issued a federal indictment in 2010? How did Eric Noveshen get in a position to loan Automatic Slims over $1-million dollars in 2006? How did Noveshen get so tight with Arthur Robbins? How did Noveshen get in a position to pay Cosi $400,000 for the franchise rights to open shops in South Florida? – Medgen.

We love Investorshub.com – its essential if you want to learn about penny land. In particular these screen names share a wealth of knowledge -Janice Shell, cyberbullymouse, nodummy and renee are just some who post essential information.

We can’t forget pdgood, who once said his info might be early, but it’s never off topic. We should have looked into his advice regarding the Eric Noveshen scam story long ago.

Here’s how Noveshen ended up with all that money. Noveshen was a PIPE deal finder for a New York hedge fund called NIR – that was sued and shut down by the SEC for many securities violations in 2011. Noveshen found small or struggling companies that needed funding. The white knight would offer funding from NIR, with a catch. The company had to pay large fees for PR, to a PR company chosen by NIR.

Here’s where it gets twisted. Boca Raton based company Medgen supposedly was “establised to manufacture, sell and license healthcare products” according to a company report below. But they didn’t make money doing that so “management started a Financial Consulting service.” – The PR service NIR required companies they funded to use. 

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The consulting fees show up in the financial reports that PD said to drill into. He was point on, 100% correct.

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Source – http://www.investorshub.com

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In the end of 2007, Medgen reported a 191% increase in YTD revenue. What? Sounds like those impossible Madoff numbers. But it wasn’t from their BS snoring solution it was from consulting fees laundered through an alternative health product company.

In one quarter there were near $800,000 in consulting fees buried in the report. Noveshen had to kicks some of that back to Daryl Dworkin who was Noveshen’s insider at NIR. In 2010 Dworkin pleaded guilty to taking kickback money from two PIPE deal finders, Eric Noveshen was one of them.

http://www.forbes.com/sites/streettalk/2010/07/08/former-nir-group-analyst-pleads-guilty-to-securities-fraud/#27be74c47074

Corrupt Pipe Deal Finder 5

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What a scam huh? We told you Noveshen was a great financial scam artist. Read em for yourselves here:

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Medgen report 2008

2nd quarter ended 3/31/08, Product sales: $72,937    Fees Consulting Services: $419,411  ??

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Did no one think it odd that a company that produced natural health care products suddenly added “consulting” and “PR services” and revenues suddenly shot up 191%?

Our information might be early, it might be late, but it is never off topic. When Noveshen tells you this site is full of hogwash “drill” into the documents for yourselves folks. Wish we had long ago. If we can save one person from being defrauded by Eric Noveshen then we can sleep at night without Snorez!

We wonder, the federal indictment that Noveshen got sealed by rolling on NIR’s Daryl Dworkin in 2010, was Noveshen exonerated of all the money laundering through Medgen too or was he just let off the hook for paying kickbacks to Dworkin? Pocketing a nice cut of $800,000 a quarter for a year isn’t chump change.

As pd said, “THE OCTOPUS HAS MANY TENTICLES” – Noveshen’s financial scams are still going on, this very day in June 2016. Don’t get played by this financial playa! 

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http://investorshub.advfn.com/boards/read_msg.aspx?message_id=81487405

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https://ericnoveshen.wordpress.com/2015/12/09/why-did-the-us-attorney-general-sec-doj-let-eric-noveshen-walk-after-having-him-on-paying-illegal-kickbacks-to-nir-hedge-fund/

Eric Noveshen anti freedom of speech

Microcap companies – SEC Says Check Out People Running The Company

The SEC, in a page designed to help those interested in investing in Microcap stocks advises people to check out the people running the company. What happens when that information is concealed? Investors often feel the rub.

Microcap companies – What’s So Important About Public Information?

In the microcap world, consultants or people who lend money to micro companies who then can’t pay the debts back then have to pay in large blocks of stock, which they usually sell off fast and drive the price of the stock to nothing. Often, the same consultants and lenders go from company to company repeating the same frauds. Investors have a right to know the history of an individual in control of their money. If an individual has any ties to past scam companies, this information is either totally concealed or hard to find.

“Of potentially greater concern is that the lack of reliable, readily available information about some microcap companies can open the door to fraud. It’s easier for fraudsters to manipulate a stock when there’s little or no information available about the company.”

“Publicly-available information about microcap stocks, including penny stocks  often is scarce.  This makes it easier for fraudsters to spread false information.  In addition, it is often easier for fraudsters to manipulate the price of microcap stocks because microcap stocks historically have been less liquid than the stock of larger companies.”

Before investing in a microcap, the SEC advises:

  1. Read carefully the most recent reports the company has filed with the SEC and pay attention to the company’s financial statements, particularly if they are not audited or not certified by an accountant.
  2. Check out the people running the company with your state securities regulator, and find out if they’ve ever made money for investors before. Also ask whether the people running the company have had run-ins with the regulators or other investors.

Who pulling the strings inside a company is a significant information that investors in all types of publicly traded companies should have the right to.  But often if you read the fine print of a financial report you will find a statement like these: (pulled from real reports)

“On September 4, 2015, the Company entered into a consulting agreement, effective October 1, 2015, for an initial term of three months”

“the Company entered into consulting agreements with four sons of its President, for their respective consulting services at a rate of $29,000, respectively.”

With Who? Or the consulting agreement will be with a company, you have no idea who the actual people are you’re giving your money to. If you look up the company it can be some ambiguous company registered to another company.

Information is investors best weapon against fraud. Fraudsters don’t want their information public.

This is why we support reporters like Teri Buhl, be thank ful for her trademark “Smashmouth Investigative Journalism” probing and asking the questions and reporting stories fraudsters don’t want told. She dug deep into the NIR debocal that caused investors to lose millions that the government could never recover. All this is relevant to this site because of NIRs storied PIPE deal finder Eric Noveshen – knowing the players is important when thousands of people have their money on the line.http://www.teribuhl.com/2011/11/23/pwc-says-nir-group-doesnt-have-access-to-dealer-market/

Some of the comments posted on her reports:

I have lost a huge portion of my retirement in the NIR fund, AJW Offshore. Corey Ribotsky seems to be doing well and I need to contact him regarding my losses. I need Corey’s phone or email address. Help!

December 9, 2011 at 1:06 pm
Can you please look into the NIR payment arrangement with the Itronics settlement.
I think you’ll be startled at what you uncover. In a nutshell, Itronics has been committing fraud on multiple levels. They agreed to settle with NIR for $8M+ payable in shares or cash. The company has zero cash yet they only added about $600k worth of shares to their outstanding share count since the May 4, 2011 payout commencement date. This means NIR is being paid in something other than just shares. It’s widely speculated that ITRO is grossly understating revenues and selling silver off the books to pay this settlement or some other nefarious scheme. Perhaps they have a deal with silver? Nobody knows for sure but I’d bet my bottom dollar that NIR is receiving dirty money from ITRO and may very well be complicit in the scheme.

Itronics the good ole fertilizer company, Eric Noveshen had his hand in that cookie jar. Last year he claimed he wasn’t connected to NIR, for good reason, but don’t investors have the right to know? https://www.sec.gov/litigation/litreleases/2011/lr22106.htm

From a 2009 deposition of Corey Ribotsky:

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Curt Kramer? Connect the dots again…Noveshen worked with Kramer in a pump and dump of a Florida based company, SMEV that resulted in a federal lawsuit in 2012, Allen Licht v. Ajene Watson et. al (Noveshen was a defendant). Bet Allen Licht wish he knew this information prior to signing a deal with him.

Curt Kramer was blacklisted by FINRA in 2013.

https://www.washingtonpost.com/business/economy/sec-ups-efforts-to-combat-manipulations-of-microcap-stocks/2013/11/28/588b1af2-576e-11e3-8304-caf30787c0a9_story.html

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EDWY, edoorways – another pump and dump Noveshen benefited from in 2009-10, as noted in Allen Licht v. Ajene Watson et. al.  Warning: the circle isn’t too big folks. 

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=103620719

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Why did the US Attorney General, SEC & DOJ let Eric Noveshen walk after having him on paying illegal kickbacks to NIR Hedge Fund?

Ex-NIR

“The case was a complete failure by Loretta Lynch’s office,” this quote from financial reporter Teri Buhl on the case US v. NIR Group might be the understatement of the decade.

From Reporter Teri Buhl’s “SEC Knew Collecting $14.5 Million would Fail”

“At Dworkin’s sentencing hearing in Brooklyn, NY I got to see how the DOJ and SEC lawyers acted in this case. I was surprised by their egos given how little they accomplished. Government lawyers told Judge Dearie they were working hard to recover money for investors but they simply haven’t been able to do it. After the hearing I cornered SEC attorney Kenneth Byrne and a little man with horn rimmed glasses who was running the DOJ case to ask them face to face how they felt about their inability to get justice for investors and collect any money. DOJ attorney Daniel A. Spector scowled at my question and instead of answering it demanded to know my name and who I report for. I said my name was Teri Buhl and you should clearly know who I report for now. (Spector’s predecessor who started the NIR Group case had interviewed me in 2009 to get help finding NIR investors Ribotsky had lied to so I know the DOJ had been reading my reporting.) Attorney Spector’s ego kicked in and gave me a smug look saying they can’t comment on the case except what I heard them say in court. Now after a case is over the DOJ can comment and usually issues a press release. But in this case the PR girl for the DOJ admitted since there was no jail time for Dworkin there wouldn’t be a public comment. Meaning they didn’t want to promote a case that got so little for investors.

As I watched the SEC attorney and the DOJ boys leave the court room and slink into the elevator I did something I rarely do when asking subjects of a story questions. I asserted my opinion. I looked them both in the eye and said, “You should be ashamed of yourself for not doing more for the defrauded investors. You had this case handed to you an a platter.”

http://www.teribuhl.com/2015/02/13/sec-knew-collecting-14-5-mn-hedgie-ribotsky-fine-would-fail/

This blog relates mostly to the injustice of the financial fraud committed by Eric Lance Novesehen of Fort Lauderdale, Florida. Where does he fit into this SEC / DOJ colossal failure to protect investors? EVERYWHERE.

The complaint against Daryl Dworkin was filed in 2010 – US v. Daryl Dworkin. The nine page complaint makes reference to Eric Noveshen, though not by name.

“One corrupt PIPE Deal Finder paid approximately $375,000 in kickbacks to defendant DARYL DWORKIN in cash”

It goes on to say “whose identity is known to the United States Attorney.” That’s why Eric Noveshen received a federal indictment and was deposed in this case. What is fishy, shady, questionable is why the SEC /DOJ never prosecuted Eric Noveshen and even sealed his indictment. 

Now approaching 2016, the SEC /DOJ can pat themselves on the back. Their failure to indict, fine or somehow penalize Noveshen for kickbacks and his role in stealing from NIR investors has allowed him scam and steal from investors, businesses and others for another six years! Time to take a second look at the web of fraud Eric Noveshen is still free to weave down there in Florida guys & gals at the SEC & DOJ, and Loretta Lynch too.

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PIPE Finder Known to US Government

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