Post by witchywoman0757 on May 15, 2006 16:30:45 GMT -6
FRIZZELL LAW FIRM
602 S. Broadway
Tyler, Texas 75701
(903)595-1921
Greetings CMKX Owners Group members,
Please feel free to share this update with any CMKX shareholders, especially those that may not be members of this group but have concerns about their certs or inability to obtain them.
The Task Force decided some time ago that no further extensions would be granted for shareholders to obtain their certs and be included in the Entourage distribution. For months now I have volunteered my office and staff as well as the office of The Owners Group, Inc. to help collect the certs and deal with problems caused by the company’s request for this list of bona fide shareholders. I want to personally thank the staff of both of these offices (John, Kevin, Goldie, Ashley, Johnny, Eric, George and others) for their help in the company’s efforts to obtain a bona fide list of shareholders. Many of you received voice mail when you tried to call. Many of you have had difficulties getting through with your faxes. These phones simply ring non-stop from the time we get here until we leave at the end of the day. Between these offices we have 7 lines excluding the three fax lines. If your call went to voice mail or your fax reported a busy signal to you, our staff was assisting with other shareholders or the fax lines were in use.
We have been in regular communication with the Transfer Agent and we have talked with representatives from many of the brokerage houses. We acknowledge that there are many shareholders who have not yet received their certs. We are fully aware that some brokers have taken a position that they do not plan to issue certificates to their shareholders in spite of their fiduciary duty to do so. We know of foreign shareholders that are being told their clearing firm for their broker cannot get certs. We know of Canadian shareholders whose accounts have never been included in the U.S. NOBO. We also know that many shareholders (some unknowingly) have had their accounts liquidated and may not be restored. There are many problems that need to be addressed.
We have documented the circumstances of many shareholders who are trying to obtain their certs but have been unable to do so for various reasons. We are aware there are many shareholders who maintain shares in street name that have not requested certs. We are aware of brokers who refuse to honor the requests of their shareholders to cert their holdings. I discuss these situations with shareholders daily so I am very familiar with the reasons being given for the brokers’ refusal to issue certs.
It was stated in the press release in November of 2005 that the Task Force would “use all means necessary, including bringing Federal or State court legal action to make certain all bona fide CMKM stockholders receive their proportionate allocation.” I am surprised at the actions of many brokers in the face of demands by their customers for certs on their accounts. I have been told there are brokers whose representatives have stated they will never voluntarily cert their accounts as requested by their shareholders. The Task Force was concerned this may occur when it became obvious that certain brokers were cooperating and some were not.
It will be my recommendation to the Task Force that we use all means necessary to assist the shareholder in obtaining their certs. We are most concerned with the legions of Ameritrade, RBC and TD Waterhouse customers (to name a few) who have been trying since November to obtain certs for their accounts. We have seen a copy of the instructions that were sent from the DTCC to its broker participants in November of 2005 advising them of this certificate request. It is much easier to understand the concerns of those brokers who were not notified in November of 2005 and shareholders who only recently learned of the company’s request for certs. The Task Force will make allowances for those
shareholders who have certs in transit or simply did not receive notice of the company’s requests a short time ago. I have said on many occasions that this Task Force is not attempting to keep shareholders from obtaining their Entourage distribution, but is trying to make sure that all shareholders of CMKM Diamonds, Inc. receive this distribution.
Arrangements are being made at this time for a meeting between the Task Force and the Transfer Agent. The purpose of the meeting is to discuss the official shareholder list and to examine pending requests for certificates. The records of the Transfer Agent will be combined with the information received by the Task Force to arrive at a bona fide shareholder list. The Transfer Agent has been most helpful and cooperative with the company in our efforts to obtain a bona fide shareholder list. I have reasonable assurance from the parties that this meeting can occur this week. I have not been told when the company will issue a formal press release announcing the next step in the proceedings.
Please continue to inform this office of any problems regarding your efforts to obtain your certs.
Onward!
Bill
602 S. Broadway
Tyler, Texas 75701
(903)595-1921
Greetings CMKX Owners Group members,
Please feel free to share this update with any CMKX shareholders, especially those that may not be members of this group but have concerns about their certs or inability to obtain them.
The Task Force decided some time ago that no further extensions would be granted for shareholders to obtain their certs and be included in the Entourage distribution. For months now I have volunteered my office and staff as well as the office of The Owners Group, Inc. to help collect the certs and deal with problems caused by the company’s request for this list of bona fide shareholders. I want to personally thank the staff of both of these offices (John, Kevin, Goldie, Ashley, Johnny, Eric, George and others) for their help in the company’s efforts to obtain a bona fide list of shareholders. Many of you received voice mail when you tried to call. Many of you have had difficulties getting through with your faxes. These phones simply ring non-stop from the time we get here until we leave at the end of the day. Between these offices we have 7 lines excluding the three fax lines. If your call went to voice mail or your fax reported a busy signal to you, our staff was assisting with other shareholders or the fax lines were in use.
We have been in regular communication with the Transfer Agent and we have talked with representatives from many of the brokerage houses. We acknowledge that there are many shareholders who have not yet received their certs. We are fully aware that some brokers have taken a position that they do not plan to issue certificates to their shareholders in spite of their fiduciary duty to do so. We know of foreign shareholders that are being told their clearing firm for their broker cannot get certs. We know of Canadian shareholders whose accounts have never been included in the U.S. NOBO. We also know that many shareholders (some unknowingly) have had their accounts liquidated and may not be restored. There are many problems that need to be addressed.
We have documented the circumstances of many shareholders who are trying to obtain their certs but have been unable to do so for various reasons. We are aware there are many shareholders who maintain shares in street name that have not requested certs. We are aware of brokers who refuse to honor the requests of their shareholders to cert their holdings. I discuss these situations with shareholders daily so I am very familiar with the reasons being given for the brokers’ refusal to issue certs.
It was stated in the press release in November of 2005 that the Task Force would “use all means necessary, including bringing Federal or State court legal action to make certain all bona fide CMKM stockholders receive their proportionate allocation.” I am surprised at the actions of many brokers in the face of demands by their customers for certs on their accounts. I have been told there are brokers whose representatives have stated they will never voluntarily cert their accounts as requested by their shareholders. The Task Force was concerned this may occur when it became obvious that certain brokers were cooperating and some were not.
It will be my recommendation to the Task Force that we use all means necessary to assist the shareholder in obtaining their certs. We are most concerned with the legions of Ameritrade, RBC and TD Waterhouse customers (to name a few) who have been trying since November to obtain certs for their accounts. We have seen a copy of the instructions that were sent from the DTCC to its broker participants in November of 2005 advising them of this certificate request. It is much easier to understand the concerns of those brokers who were not notified in November of 2005 and shareholders who only recently learned of the company’s request for certs. The Task Force will make allowances for those
shareholders who have certs in transit or simply did not receive notice of the company’s requests a short time ago. I have said on many occasions that this Task Force is not attempting to keep shareholders from obtaining their Entourage distribution, but is trying to make sure that all shareholders of CMKM Diamonds, Inc. receive this distribution.
Arrangements are being made at this time for a meeting between the Task Force and the Transfer Agent. The purpose of the meeting is to discuss the official shareholder list and to examine pending requests for certificates. The records of the Transfer Agent will be combined with the information received by the Task Force to arrive at a bona fide shareholder list. The Transfer Agent has been most helpful and cooperative with the company in our efforts to obtain a bona fide shareholder list. I have reasonable assurance from the parties that this meeting can occur this week. I have not been told when the company will issue a formal press release announcing the next step in the proceedings.
Please continue to inform this office of any problems regarding your efforts to obtain your certs.
Onward!
Bill
