British Columbia Securities Commission

British Columbia Securities Commission

December 12, 2006 09:30 ET

British Columbia Securities Commission: Two B.C. Men Admit to Spreading False Information About U.S. Traded Company

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 12, 2006) - In a settlement with the British Columbia Securities Commission, a pair of B.C. men have admitted to making misrepresentations and spreading false financial information about a Vancouver-headquartered company that trades its shares in the United States.

Firoz Jinnah and Ingo W. Mueller have agreed to pay the BCSC $25,000 and $40,000 respectively. The two men cannot be directors or officers of any company except in limited circumstances nor can they engage in any investor relations activities for at least 18-months in Jinnah's case and 36-months for Mueller.

Jinnah was the president and sole director of Inc., a Nevada-incorporated company headquartered in Vancouver with its shares trading on the U.S. Over-the-Counter-Bulletin-Board trading system. Jinnah was also the general manager of St. George Capital Corp., a company that provided management and other services for Exotics. He reported to Mueller who was the president and sole director of St. George. Mueller was also the guiding mind behind Exotics.

In the settlement, the pair admitted to issuing news releases, fax and email alerts to people that contained materially false or misleading statements or omissions of material fact about Exotics' revenue in 2001. The company's share price and trading volume increased after the alerts were issued.

Exotics also made misleading statements in financial statements that it was required to file with the U.S. Securities and Exchange Commission and it did not correct the misrepresentation in a timely manner after the misleading information was discovered.

The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. You may view the settlement on our website by typing in the search box, Inc. or Firoz Jinnah or Ingo W. Mueller or 2006 BCSECCOM 710. If you have questions, contact Andrew Poon, Media Relations, 604-899-6880.

Contact Information

  • British Columbia Securities Commission
    Andrew Poon
    Media Relations
    (604) 899-6880 or (B.C. & Alberta) 1-800-373-6393