SOURCE: Freestone Resources

July 13, 2010 15:30 ET

Freestone Resources, Inc. Files Lawsuit to Seek Return of Stock

DALLAS, TX--(Marketwire - July 13, 2010) -  Freestone Resources (OTCBB: FSNR) filed a lawsuit in the United States District Court for the Northern District of Texas, Dallas Division on July 9, 2010 against Lawrence Schultz, Environmental Services and Support, Inc., David Feuerborn, and Thomas Jennings (the "Defendants"). 

Freestone is alleging that the Defendants, and possibly others, committed fraud by nondisclosure, the common law tort of conversion by pretext and swindling, deceptive trade practices, common law fraud and fraud by misrepresentation/statutory fraud upon Freestone in connection with the Stock Purchase Agreement executed by and between the Defendants and Freestone.

Freestone has discovered certain misrepresentations that were made by the Defendants before and after the execution of the Stock Purchase Agreement. Freestone is seeking a rescission of the Stock Purchase Agreement, a declaratory judgment that the Stock Purchase Agreement is void and unenforceable, and that the shares of Freestone's common stock, which were issued to the Defendants, be cancelled.

"The management at Freestone will continue to work for the shareholders in order to seek justice for the Company," said Clayton Carter, President and CEO of Freestone Resources. "Freestone will also continue to develop innovative oil and gas technologies, and secure more conventional oil and gas interests. I am very optimistic about the future of Freestone and excited about our innovative technologies. I want to personally thank the shareholders for their continued support." 

Freestone will continue to give updates on the lawsuit, the development of its latest technologies, and the acquisition of conventional oil and gas properties.

About Freestone Resources, Inc.:

Freestone Resources is a Dallas, Texas based oil and gas technology development company. The continuing goal of the Company is to develop new technologies that allow for the utilization of our vast resources in an environmentally responsible and cost effective way.

SAFE HARBOR STATEMENTS:

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

Contact Information

  • Contact:
    Freestone Resources, Inc.
    Clayton Carter
    Chief Executive Officer
    Phone Contact: 214.880.4870
    Email Contact: Email Contact