Alert to shareholders of TLC Explorations Inc. (TLCX) - Monday, October 05 2009
On or about May 28, 2009 management of the company was informed by a shareholder that he had received an unsolicited call from a company called The Castleton Group, supposedly with offices in Central Hong Kong, China. In this particular call a person representing himself as Mr. Vick Newman suggested that TLC was the subject of a hostile takeover from his company and that Castleton would pay $6.00 to $8.50 per share for the shareholder stock. The investor was told to treat the offer as confidential and that the paperwork would be sent out the next day. Official looking documentation was delivered to the shareholder including a request to forward a sum of money to complete the transaction; this is known as a "forward advance fee" scam.
During the next several days the company received additional calls from other shareholders with similar renditions of this hostile takeover offer.
TLCX management took the initiative to personally call each and every shareholder and either speak directly or leave information to the effect that this was nothing more than a scam and that no one should send money to Castleton, Beltway or any other company concerning re-purchase of their shares in TLCX.
On or about June 5, 2009 management of TLCX reported the incident to the Milton Detachment of the RCMP in Ontario and asked that the RCMP look into this matter which appeared to represent a fraud being perpetrated by Castleton Group, which by this time began calling themselves Beltway Mergers and Acquisitions. During discussions with the RCMP it was suggested that this was a local matter and the information was forwarded to the Toronto Fraud desk of the Toronto Police. Further discussions revealed that it was returned to the RCMP for processing.
At a later date management discussed the matter with the Alberta Securities Commission, as it appeared that many investors from Alberta where also being called by Beltway Mergers and Castleton Group.
Subsequently, additional regulatory bodies in several jurisdictions became involved and as a result on September 25, 2009 the Saskatchewan Securities Commission issued a "Temporary Cease Trade Order issued against Castleton Group, Beltway M.A., David Collins, Daniel Greco, Jim Young, Joshua Stevens, Vick Newman, Patrick Thompson".
The various regulatory commissions are asking anyone that has been contacted by these above named individuals, or companies to immediately call their local regulatory body in order that the regulators may determine to what extent financial damage has been inflicted on individual shareholders of TLCX.
Management of TLC Explorations views this matter seriously and would ask that any shareholder that was contacted, or may have sent money to the above named companies in the cease trade order to immediately inform the respective commission in their local.
Management of TLCX is of the opinion that the actions and notoriety of the individuals and companies, namely Castleton Group, Beltway Mergers and their employees has caused severe financial losses to TLCX and may have resulted in losses to some TLCX shareholders. As a result TLCX management has determined that the correct course of action is to commence legal action against the above named companies and individuals for engaging in fraud and/or theft against the company, which management believes may be of a criminal nature and as such, legal action is therefore warranted.
