SOURCE: JC Data Solutions, Inc.

March 18, 2008 07:45 ET

JC Data Solutions, Inc. to Take Action to Protect Shareholder Value

The Company Suspects Either Naked Short-Selling or Manipulation of Its Share Price

IRVING, TX--(Marketwire - March 18, 2008) - JC Data Solutions, Inc. (PINKSHEETS: JCDS) announced today that it is to take steps to combat illegal trading activities and start the process to conduct share counts of its securities.

The company has received evidence that certain brokers may have issued phantom shares and according to the NASDAQ Regulation SHO Threshold List, short list, JCDS has been listed for over forty days, confirming our suspicions that stock manipulations have taken place.

"Our intentions with this announcement is not to alarm our investors but to inform them that we are aware of the likelihood of stock price manipulation involving JCDS stock," said Cary Allen, CEO JC Data Solutions. "Our business continues to grow with a recent adding of two new resellers; one in the northeast (TMG Documents) and one in Texas (Lone Star Marketing Company). Considering we are a non-reporting company, proper release of revenue figures cannot occur at this time but virtually all areas of our business have shown increased revenues over the last year as well as our overall debt and overhead have remained low. This all being said we see no reason for our price per share to remain at this low level and we intend to take the necessary action to protect our shareholders from what we believe to be manipulation or our stock price. Our first priority is to become Pink Sheets Current; we have stepped up the filing process and expect to have it complete shortly. We are also engaging in council to begin proper accounting procedures of JCDS stock and how to handle the evidence of short selling."

Cary Allen, CEO, also stated, "We will utilize any and all legal remedies to protect our shareholders and the company including contacting the SEC, who has recently proposed the Naked Short Selling Anti-Fraud Rule."

"This rule proposal will help protect and enhance the operation, integrity and stability of the markets in the clearance and settlement system, and also puts market participants on notice that the Commission will continue targeting abuses in this area," said Erik Sirri, Director of the SEC's Division of Trading and Markets.

Much of the manipulation has been brought to our attention by present shareholders and for those shareholders that have remained loyal during this difficult time we appreciate you for your continued interest, investment and faith in JCDS stock and company.

About JC Data Solutions (www.jcdata.com)

JC Data Solutions is an ACH service provider and a manufacturer of data management systems and services. JCDS solutions are targeted to Healthcare, Attorneys and the Oil and Gas industries.

Forward-Looking Statements

This press release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995. Statements in this release that are "forward-looking statements" are based on current expectations and assumptions that are subject to known and unknown risks, uncertainties or other factors which may cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Actual results could differ materially because of factors such as: the effect of general economic and market conditions, entry into markets with vigorous competition, market acceptance of new products and services, continued acceptance of existing products and services, technological shifts, and delays in product development and related product release schedules, any of which may cause revenues and income to fall short of anticipated levels.

All information in this release is as of the date of this release.

Contact Information

  • For Information call:
    Cary Allen
    CEO
    JC Data Solutions, Inc.
    214-295-5810
    Email Contact