SOURCE: SkyLynx Communications, Inc.

October 19, 2007 15:27 ET

SkyLynx Announces Former President Withheld Federal Subpoena Information

Company Cooperating With Investigation of Former Management

SARASOTA, FL--(Marketwire - October 19, 2007) - SkyLynx Communications (PINKSHEETS: SKYC). On September 12, 2007, Mr. Bryan Shobe, the Company's Chief Executive Officer, after being served that day with a Subpoena Duces Tecum from the U.S. Attorney's Office, Camden, New Jersey, learned that the Company (SkyLynx Communications) had been served, in January 2006, with a Subpoena Duces Tecum from the U.S. Attorney's Office, Camden, New Jersey. Mr. Shobe had become Chief Executive Officer in April 2006 after the merger of the company he founded, VETCO Hospitals, Inc. into SkyLynx Communications. Prior to the merger, Mr. Shobe's business dealings with SkyLynx were limited exclusively to the pending merger of VETCO Hospitals into SkyLynx Communications. In addition, Mr. Shobe was never informed by anyone involved with SkyLynx of the Subpoena Duces Tecum from the U.S. Attorney's Office, Camden, New Jersey served on the company in January 2006, prior to his involvement with SkyLynx Communications.

The original Subpoena served on the Company in January 2006 was directed to the Company (SkyLynx Communications) and called for information concerning a number of companies and individuals, including Gary L. Brown, the then President, Chief Financial Officer and Chairman of the Board of the Company, Lisa M. Brown, his wife, Ken Marshall, the then Secretary and General Counsel of the Company, Clifford Neuman, an attorney for the Company and others involved at prior times with the company. Mr. Brown resigned as President and Chief Financial Officer of the Company, on October 3, 2006 and as a director on October 23, 2006 and Mr. Marshall resigned as Secretary and General Counsel of the Company on September 30, 2006. Mr. Brown's resignation from the company was related to an article in the St. Pete Times involving the indictment of Joe Morgan, a former associate of Brown's, for stock manipulation. At the time of his resignation, Brown made no disclosure of the then active Subpoena Duces Tecum. None of the companies named in the Subpoena are believed to be currently transacting business with the Company.

On or about September 12, 2007, Mr. Shobe was served with a Subpoena Duces Tecum directed to him individually to furnish documents and records related to SkyLynx Communications, Inc., Starcom Wireless, Inc., Basic Technology, Inc. and items relating to SkyLynx' merger with VETCO in April 2006.

On October 3, 2007, at a duly called Board of Directors meeting, the Board retained the services of the Law Offices of Thomas G. Amon, New York, New York, to investigate the facts and circumstances surrounding the (i) issuance of the Subpoenas and (ii) the failure by Management to disclose to the Board of Directors and others of the receipt of the Subpoena and nature of the inquiry in January 2006. The special counsel was also given authority to make recommendations to the Board concerning responses to the Subpoena and other corrective actions and was directed to fully cooperate with the Office of the U.S. Attorney.

About SkyLynx

SkyLynx Communications, Inc., based in Sarasota, FL, through its wholly owned subsidiary VETCO Hospitals, is building a nationwide company to create a more efficient system to deliver pet healthcare in the US. VETCO Hospitals operates 160 vaccine clinics and five (5) full service veterinary hospitals inside of PETCO stores in five (5) western states. In addition, it operates an e-service website, PetService.com (www.PetService.com) and a joint venture e-commerce web site USPetHeatlhRX (www.USPetHealthRX.com) with PetcareRX. It intends to develop products and services for E-Commerce sales and acquiring additional veterinary hospitals within its database market.

Certain matters discussed in this press release are "forward-looking statements" intended to qualify for the safe harbors from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company's statements regarding trends in the marketplace and potential future results are examples of such forward-looking statements. The forward-looking statements include risks and uncertainties, including, but not limited to, the timing of projects due to the variability in size, scope and duration of projects, estimates made by management with respect to the Company's critical accounting policies, regulatory delays, clinical study results which lead to reductions or cancellations of projects, and other factors, including general economic conditions and regulatory developments, not within the Company's control. The factors discussed herein and expressed from time to time in the Company's filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Contact Information

  • Contact:

    Bryan Shobe
    CEO
    941-955-1700