Who's next? Notes on Q1 SKTO 2014 unaudited fins and the widening and deepening hole in SK3 credibility. A ripe plum and feather in the cap of the SEC MFTF.
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"During the year ended December 31, 2103, Mr.Art Mayor (president) was paid $16,700 as a consultant. Three ere (sic) no payments in the quarter ended March 31, 2014."
Mayor works at the poverty level or less. Are shareholders or FINRA or the SEC MFTF supposed to believe that fairy tale? How much is Mayor really pocketing?
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2014 Q1:
"There are currently 5 million shares of the Company issued and outstanding as Series A Voting Convertible Preferred Shares."
"I Equity Corp. is now the controlling shareholder of the Company."
Both statements above contradicted later in the 2014 Q1:
"The Series A Preferred Share certificates have not yet been issued [...] which is expected to be by May 31, 2014. At that time (i.e., expected May 31), I Equity Corp. will be the controlling shareholder. Henry Jan is the Chief Executive Officer of I Equity Corp."
That is, iequity is not the controlling shareholder. SK3 lies with such ease.
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"...there were a total of 737,940,303 common shares issued and outstanding at December 31, 2013."
"...there were a total of 867,940,303 common shares issued and outstanding at March 31, 2014."
They added 130,000,00 to O/S in just 3 months ( 43.3 million per month).
At that rate, another 87 million shares would be added by May 31, 2014, making O/S 955 million at month end.
Note: Transfer agent gagged.
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1) "During the quarter ended March 31, 2014, a total of 130,000,000 common shares were issued in conversion of principal amounts due on outstanding convertible promissory notes. As a result, there were a total of 867,940,303 common shares issued and outstanding at March 31, 2014."
2) "The price at which the shares were offered, and the amount actually paid to the issuer: As noted above, the shares issued during the quarter ended March 31, 2014 were issued for principal note conversions of $39,000."
Ergo, $39,000 / 130,000,000 = 0.0003 per share conversion rate.
"Through the quarter ended March 31, 2014, a total $57,375 in principal of the note was transferred to unrelated third parties, leaving a balance due on the original note held by I Equity at $392,625. On January 1, 2014, an additional $600,000 in accrued consulting amounts payable to I Equity Corp. was converted into a promissory note in that amount, which remains outstanding."
As of March 31, 2014, a total of $1,070,466 in short term convertible notes remained outstanding, on which a total of $83,437 had accrued as interest. In addition, two notes in the amount of $30,000 each, dated October 1, 2013 and January 1, 2014, payable for consulting services previously rendered, remained outstanding as long-term liabilities, on which a total of $2,236 in interest had accrued as of March 31, 2014.
$1,070,466 + 83,437 + 30,000 + 2,236 = $1,186,139
3,953,796,666 new shares added by conversion @ 0.0003/sh
4 billion + 1.25 billion A/S = 5.25 billion
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"For the quarter ended March 31, 2014, the Company has suspended any further accruals under the contractual arrangements with 10 of these collectives, pending the further development of their business operations."
"PCG is a multi-faceted consulting firm specializing in breeding, mapping and cataloging unique heirloom and land race medical cannabis genetics, with specific emphasis on developing and implementing sustainable, organic, highly efficient cultivation infrastructures, technologies, methodologies and techniques for the growing medical cannabis industry. PCG is comprised of seasoned medical cannabis growers and operators, botanists, scientists, horticulturists, and researchers that collectively have been consulting primarily in California for over 15 years."
"...on May 19, 2014, the Company signed a definitive agreement to acquire Paragon Consulting Group (“PCG”) for 25,000,000 shares of the Company. Monthly revenues of PCG that will flow to SK3 are estimated to be approximately $1.34 million."
There was no evidence whatsoever presented by SK3 to date which proves or even hints that this firm (PCG) actually exists as described.
Translation: A definitive agreement means nothing. It's the closing that matters. They've substituted a new con for the old con that had ceased being credible or explainable. In time they'll drop PCG when that ruse outlives its usefulness to them".
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Q1 2014 Net income before other income (expense) (12,749,036)
Consulting fees 367,655
==
An investigation into iequity corp and the financial activities of Art Mayor, Henry Jan (CEO iequity) mand John F. Burke (2013 consultant) by the SEC and DOJ are warrranted.
===
"During the year ended December 31, 2103, Mr.Art Mayor (president) was paid $16,700 as a consultant. Three ere (sic) no payments in the quarter ended March 31, 2014."
Mayor works at the poverty level or less. Are shareholders or FINRA or the SEC MFTF supposed to believe that fairy tale? How much is Mayor really pocketing?
===
2014 Q1:
"There are currently 5 million shares of the Company issued and outstanding as Series A Voting Convertible Preferred Shares."
"I Equity Corp. is now the controlling shareholder of the Company."
Both statements above contradicted later in the 2014 Q1:
"The Series A Preferred Share certificates have not yet been issued [...] which is expected to be by May 31, 2014. At that time (i.e., expected May 31), I Equity Corp. will be the controlling shareholder. Henry Jan is the Chief Executive Officer of I Equity Corp."
That is, iequity is not the controlling shareholder. SK3 lies with such ease.
===
"...there were a total of 737,940,303 common shares issued and outstanding at December 31, 2013."
"...there were a total of 867,940,303 common shares issued and outstanding at March 31, 2014."
They added 130,000,00 to O/S in just 3 months ( 43.3 million per month).
At that rate, another 87 million shares would be added by May 31, 2014, making O/S 955 million at month end.
Note: Transfer agent gagged.
===
1) "During the quarter ended March 31, 2014, a total of 130,000,000 common shares were issued in conversion of principal amounts due on outstanding convertible promissory notes. As a result, there were a total of 867,940,303 common shares issued and outstanding at March 31, 2014."
2) "The price at which the shares were offered, and the amount actually paid to the issuer: As noted above, the shares issued during the quarter ended March 31, 2014 were issued for principal note conversions of $39,000."
Ergo, $39,000 / 130,000,000 = 0.0003 per share conversion rate.
"Through the quarter ended March 31, 2014, a total $57,375 in principal of the note was transferred to unrelated third parties, leaving a balance due on the original note held by I Equity at $392,625. On January 1, 2014, an additional $600,000 in accrued consulting amounts payable to I Equity Corp. was converted into a promissory note in that amount, which remains outstanding."
As of March 31, 2014, a total of $1,070,466 in short term convertible notes remained outstanding, on which a total of $83,437 had accrued as interest. In addition, two notes in the amount of $30,000 each, dated October 1, 2013 and January 1, 2014, payable for consulting services previously rendered, remained outstanding as long-term liabilities, on which a total of $2,236 in interest had accrued as of March 31, 2014.
$1,070,466 + 83,437 + 30,000 + 2,236 = $1,186,139
3,953,796,666 new shares added by conversion @ 0.0003/sh
4 billion + 1.25 billion A/S = 5.25 billion
===
"For the quarter ended March 31, 2014, the Company has suspended any further accruals under the contractual arrangements with 10 of these collectives, pending the further development of their business operations."
"PCG is a multi-faceted consulting firm specializing in breeding, mapping and cataloging unique heirloom and land race medical cannabis genetics, with specific emphasis on developing and implementing sustainable, organic, highly efficient cultivation infrastructures, technologies, methodologies and techniques for the growing medical cannabis industry. PCG is comprised of seasoned medical cannabis growers and operators, botanists, scientists, horticulturists, and researchers that collectively have been consulting primarily in California for over 15 years."
"...on May 19, 2014, the Company signed a definitive agreement to acquire Paragon Consulting Group (“PCG”) for 25,000,000 shares of the Company. Monthly revenues of PCG that will flow to SK3 are estimated to be approximately $1.34 million."
There was no evidence whatsoever presented by SK3 to date which proves or even hints that this firm (PCG) actually exists as described.
Translation: A definitive agreement means nothing. It's the closing that matters. They've substituted a new con for the old con that had ceased being credible or explainable. In time they'll drop PCG when that ruse outlives its usefulness to them".
===
Q1 2014 Net income before other income (expense) (12,749,036)
Consulting fees 367,655
==
An investigation into iequity corp and the financial activities of Art Mayor, Henry Jan (CEO iequity) mand John F. Burke (2013 consultant) by the SEC and DOJ are warrranted.
