The Blinglets Settlement Releases Kai Patterson from the Fraud Committed by Frank Del Vecchio.
See Kai Patterson's Settlement and Release: http://bit.ly/coFjJF
See AMBER Ready's Settlement and Release: http://bit.ly/dBy1vh
After more than a year in litigation, AMBER Ready settled its lawsuit with Blinglets by agreeing to pay Blinglets $650,000, which will be paid from the company's liability insurance policy (See: http://bit.ly/coFjJF and http://bit.ly/dBy1vh). As a term and condition of the settlement, AMBER Ready also agreed to give Blinglets 50,000 shares of its company's stock. Perhaps Galaxy Media and Marketing believes its stock will someday publically trade on the stock market and offered it to Blinglets as part of the settlement. Although Kai Patterson was named as a defendant in the litigation, the lawsuit proved to be beneficial for Mr. Patterson by exposing the fraud committed by the company and exonerating the former CEO. Blinglets' Attorney, Robert Hantman learned that it was not Mr. Patterson that was responsible for committing fraud by hacking into Blinglets source code. During the proceedings, AMBER Ready's Technical Manager provided a statement that confirmed Mr. Del Vecchio arranged for Scott Holmes to hack into Blinglets server. The Blinglets litigation was the only remaining lawsuit that Mr. Patterson was named as a defendant. "I'm happy both parties were able to come to an agreement and my name was vindicated during the proceedings", said Mr. Patterson. The lawsuit was a blessing in disguise because it enable Mr. Patterson to use the court documents to prevent several school PTA organizations, police departments and the New York City Housing Authority from being defrauded by Mr. Del Vecchio and Thomas Belesis, according to other former employees.
John Thomas Financial's Attorney, Robert Burskey lied by stating Blinglest's technology was faulty, but AMBER Ready was unable to reproduce a working mobile phone application to replace the application designed by Kai Patterson and developed by Blinglets. Mr. Burskey also lied by stating that AMBER Ready's application was not based on a mobile phone application, because the video produced by Mr. Del Vecchio after Mr. Patterson was no longer employed by the company clearly disproves that statement (See: http://bit.ly/9YbAPo). If Blinglets technology was faulty, why did AMBER Ready agree to pay Blinglets $650,000? The answer is that Robert Hantman was able to expose that John Thomas Financial and John Thomas Bridge and Opportunity Fund intended to implement a "Pump and Dump" on the stock market, by using the issue of missing children and AMBER Ready to enrich themselves. Mr. Patterson was terminated because he would not allow his company to be used to defraud investors. "Mr. Del Vecchio falsified documents to arrange for Mr. Patterson's termination", said another former employee. After Mr. Patterson was terminated and Mr. Del Vecchio realized he was unable to reproduce another working mobile phone application, he did everything he could do to get the company's stock to trade; including lying to potential customers and filing a false registration statement with the Securities and Exchange Commission.
While Mr. Patterson was the CEO of AMBER Ready, he designed the nation's first mobile phone child safety application. The application enable parents to download the utility into parent's mobile phones and create their children's profiles without use of a person computer. Parent's could take their children's picture using the camera on their mobile phones and integrate the photo image into their children's descriptive data profile. If a parent with the application child ever became missing, the parent could transfer the profile to AMBER Ready's network, which would then transmit the profile to police. The program drastically would reduce the time a police department could receive a missing child's profile in to format ready to place on alert from about 4 hours to 10 minutes. The application was created to be compatible with law enforcement agencies existing systems and protocols. The AMBER Ready Program was overwhelmingly embraced by law enforcement agencies at all levels and news agencies throughout the country.
In June of 2008, Mr. Patterson contracted Blinglets to develop the application from his design and the application was delivered to the company in April of 2009. Prior to Mr. Patterson's termination that was in the planning stages by John Thomas Financial in August of 2009 and executed in September of 2009, Mr. Del Vecchio arranged for Blingltes' contract to be terminated. This enabled Shining Star Web Strategies to receive the development contract. Shining Star Web Strategies had previously developed the website for Mr. Del Vecchio's company to pose at the US Consumer Protection Agency (See: http://bit.ly/94GoZz and http://bit.ly/aGcthY) and the company's management team were personal friends of Mr. De. Vecchio. Mr. Del Vecchio arranged for the company's Technical Director, Scott Holmes to steal the mobile phone application software modules that were owned by Blinglets. These modules were used in other mobile phone applications developed by Blinglets and were proprietary. This act led to Blinglets filing a lawsuit against the Company. Because Mr. Patterson was the CEO at the time of the attempted theft, Blinglets thought Mr. Patterson was associated with the attempted theft. Documents provided by another AMBER Ready employee confirm that Mr. Del Vecchio orchestrated the attempted theft of the application (See: http://bit.ly/aF0xyq).
During the legal proceedings, Blinglets' attorney Robert Hantman deposed Frank Del Vecchio, who was the company's CEO that replaced Mr. Patterson after his termination. The deposition exposed the numerous acts of fraud committed by Mr. Del Vecchio and Thomas Belesis who is the President of the company's investment bank, John Thomas Financial. The depositions were conducted by Blinglets' attorney Robert Hantman to confirm that Mr. Del Vecchio arranged for AMBER Ready's employees to hack into the a part of the company's server that housed Blinglets' proprietary software. During his intense investigation and interviews of former AMBER Ready employees, Mr. Hantman learned AMBER Ready did not have a working mobile phone application. Letters provided by former employees confirmed that Mr. Del Vecchio fraudulently marketed and sold the application to numerous parents, police agencies and child advocate organizations, once Mr. Patterson was terminated (See: http://bit.ly/d57IsC and http://bit.ly/9ozjca). Since AMBER Ready did not have a working mobile phone application to replace the mobile phone application designed by Mr. Patterson and developed by Blinglets, Mr. Del Vecchio used the screens form Mr. Patterson's application to falsely market AMBER Ready's new application. The new application only worked from a PC and not a mobile phone as Mr. Del Vecchio continued to advertise. To get the company's stock to trade, Mr. Del Vecchio filed a registration statement with the SEC that represented AMBER Ready did have a working mobile phone application. Mr. Del Vecchio falsely marketing the application as a mobile phone application, and attempted to have the New York City Housing Authority pay for the mobile phone application after the company no longer had the technology that NYCHA agreed to purchase. At the time that NYCHA agreed to purchase 30,000 mobile phone applications for the New York City public housing residents, AMBER Ready did have the working phone application that was designed by Mr. Patterson and developed by Blinglets. When Mr. Patterson learned that Mr. Del Vecchio and John Thomas Financial failed to disclose the truth, while attempting to get NYCHA to issue the $1.5 million dollar check, Mr. Patterson contacted NYCHA and informed them of the scheme. The documents acquired by Robert Hantman, confirm that Mr. Del Vecchio, Thomas Belesis and Milton Makris, attempted to defraud the New York City Housing Authority (See: http://bit.ly/9hBD9z and http://bit.ly/b2YgUz).
During the depositions of Frank Del Vecchio and Martha Perez who was the Controller of AMBER Ready, both parties while under oath admitted the company no longer had a working mobile phone application after Mr. Patterson was terminated. They also confessed to having issued stock certificates with Mr. Patterson's forged signature without Mr. Patterson's knowledge. Mr. Del Vecchio filed a registration statement with the SEC that stated the company had acquired 4,000 enrollments after issuing John Thomas Financial and their partner company John Thomas Bridge and Opportunity Fund more than 39 million shares. Mr. Del Vecchio stated that AMBER Ready only had acquired approximately 600 enrollments in 2009 in his deposition, but Mrs. Perez's statements and former employee letters confirm the company only acquired less than 300 enrollments. Not only did Mr. Del Vecchio state the company had acquired 4,000 enrollments when the company had acquired less than 300 in 2009 in the registration statement, but Mr. Del Vecchio clearly stated the company had "state-of-the-art and instant information dissemination methodology". The false statements were filed to get the company's stock to trade at a higher price per share. If the New York City Housing Authority (NYCHA) had issued the $1,500,000 check to AMBER Ready, it is easy to say that Wall Street market makers would have valued the company's stock at more than $10 per share, if the registration statement filed by Mr. Del Vecchio was approved by the SEC. Mr. Del Vecchio failed to tell the NYCHA the company no longer had a working mobile phone application while he awaited the payment pledged by NYCHA at AMBER Ready's Back to School Event. Mr. Del Vecchio knew the company no longer had a working application to deliver to NYCHA residents. Even if the stock was approved to trade at $1 per share by market makers as a result of the misrepresentations by Mr. Del Vecchio, John Thomas Financial and their partner company could have sold their stock for $39 million dollars through their more than 200 brokers.
The registration statement filed by Mr. Del Vecchio was not disclosed to Mr. Patterson, even though he was a Board Member. Mr. Del Vecchio and the other AMBER Ready Board Members also failed to disclose to the SEC that Mr. Patterson was never provided with any documents to review after his termination, in an attempt prevent the SEC from investigating the matter and approve the stock to trade. AMBER Ready was required to have all of its Board Member review and approve the registration statement or disclose the statement was not reviewed by all Board Members. After learning registration statements were filed containing false statements with the SEC by the other Board Member of AMBER Ready, Mr. Patterson had his attorney issue a letter to the Board Members to demand all of the documents he was required to receive, but AMBER Ready refused to accept the request and failed to disclose this issue to the SEC (See: http://bit.ly/bA1PL1). Mr. Patterson believed the registration was withheld to prevent him from discovering the false statements filed by Mr. Del Vecchio and the remaining Board Members with the SEC. Knowing that AMBER Ready intended to commit securities fraud and was carrying out their intentions, Mr. Patterson continued to monitor the company's activities and resigned as a Board Member. All of these issues were exposed as a result of the Blinglets litigation and depositions of Mr. Del Vecchio and Mrs. Perez.
Galaxy Media & Marketing Corp recently acquired AMBER Ready, without knowing severity of the fraud previously committed by AMBER Ready, John Thomas Financial and their law firms (See: http://bit.ly/9gNMoo). Now the parent company and its new CEO, Gary Savage dropped selling the AMBER Ready program, and the website is no longer operating. Galaxy Media and Marketing has also taken down the company's website and replaced the content with "Coming Soon" (See: http://galaxymediamarketing.com/). Previously the AMBER Ready website stated the program was free until September 30th, 2010, because the company hoped the Blinglets settlement would have been executed before October 1, 2010. Perhaps AMBER Ready hoped to implement a joint venture with Blinglets since AMBER Ready was unable to redevelop a working mobile phone application. Considering all of the fraud previously committed by AMBER Ready, Blinglets will probably stay as far away from AMBER Ready as possible if they know what's good for their company. Kai Patterson who AMBER Ready's original founder and former CEO resigned as a Board Member and has decided not to deal with the company after it filed a false complaint against him that was dismissed (See: http://bit.ly/dskwqa). Mr. Patterson's settlement agreement exonerated him from all of the false allegations that were made by Mr. Del Vecchio and Martha Perez in the false complaint they filed, in an attempt to hide their fraud. Mr. Patterson also entered into a separate settlement with Blinglets and helped expose that Mr. Del Vecchio was responsible for committing the fraud against Blinglets. The Blinglets settlement now enables all parties to go their separate ways, without any potential recourse against the other parties. It is interesting to see what Galaxy Media & Marketing Corp is going to do with the AMBER Ready Program, now that it has loans to repay investors in excess of $20 million dollars. They are going to have to sell a lot of "PurEffect", which is an acne treatment solution they sell for another company. This is not the product the AMBER Ready investors invested more than $17 million dollars for the company to sell. Although the AMBER Ready investors can convert their loans into additional, it is highly unlikely they will considering the fraud committed by the company. Now that Galaxy Media & Marketing Corp is raising money through investors and the brokerage firm of John Thomas Financial, it's interesting to know if they disclosed the company's problems to potential investors in the Private Placement Memorandum filed with the SEC.
By: A Former AMBER Ready Employee
See Kai Patterson's Settlement and Release: http://bit.ly/coFjJF
See AMBER Ready's Settlement and Release: http://bit.ly/dBy1vh
 |
| Frank Del Vecchio |
John Thomas Financial's Attorney, Robert Burskey lied by stating Blinglest's technology was faulty, but AMBER Ready was unable to reproduce a working mobile phone application to replace the application designed by Kai Patterson and developed by Blinglets. Mr. Burskey also lied by stating that AMBER Ready's application was not based on a mobile phone application, because the video produced by Mr. Del Vecchio after Mr. Patterson was no longer employed by the company clearly disproves that statement (See: http://bit.ly/9YbAPo). If Blinglets technology was faulty, why did AMBER Ready agree to pay Blinglets $650,000? The answer is that Robert Hantman was able to expose that John Thomas Financial and John Thomas Bridge and Opportunity Fund intended to implement a "Pump and Dump" on the stock market, by using the issue of missing children and AMBER Ready to enrich themselves. Mr. Patterson was terminated because he would not allow his company to be used to defraud investors. "Mr. Del Vecchio falsified documents to arrange for Mr. Patterson's termination", said another former employee. After Mr. Patterson was terminated and Mr. Del Vecchio realized he was unable to reproduce another working mobile phone application, he did everything he could do to get the company's stock to trade; including lying to potential customers and filing a false registration statement with the Securities and Exchange Commission.
While Mr. Patterson was the CEO of AMBER Ready, he designed the nation's first mobile phone child safety application. The application enable parents to download the utility into parent's mobile phones and create their children's profiles without use of a person computer. Parent's could take their children's picture using the camera on their mobile phones and integrate the photo image into their children's descriptive data profile. If a parent with the application child ever became missing, the parent could transfer the profile to AMBER Ready's network, which would then transmit the profile to police. The program drastically would reduce the time a police department could receive a missing child's profile in to format ready to place on alert from about 4 hours to 10 minutes. The application was created to be compatible with law enforcement agencies existing systems and protocols. The AMBER Ready Program was overwhelmingly embraced by law enforcement agencies at all levels and news agencies throughout the country.
In June of 2008, Mr. Patterson contracted Blinglets to develop the application from his design and the application was delivered to the company in April of 2009. Prior to Mr. Patterson's termination that was in the planning stages by John Thomas Financial in August of 2009 and executed in September of 2009, Mr. Del Vecchio arranged for Blingltes' contract to be terminated. This enabled Shining Star Web Strategies to receive the development contract. Shining Star Web Strategies had previously developed the website for Mr. Del Vecchio's company to pose at the US Consumer Protection Agency (See: http://bit.ly/94GoZz and http://bit.ly/aGcthY) and the company's management team were personal friends of Mr. De. Vecchio. Mr. Del Vecchio arranged for the company's Technical Director, Scott Holmes to steal the mobile phone application software modules that were owned by Blinglets. These modules were used in other mobile phone applications developed by Blinglets and were proprietary. This act led to Blinglets filing a lawsuit against the Company. Because Mr. Patterson was the CEO at the time of the attempted theft, Blinglets thought Mr. Patterson was associated with the attempted theft. Documents provided by another AMBER Ready employee confirm that Mr. Del Vecchio orchestrated the attempted theft of the application (See: http://bit.ly/aF0xyq).
During the legal proceedings, Blinglets' attorney Robert Hantman deposed Frank Del Vecchio, who was the company's CEO that replaced Mr. Patterson after his termination. The deposition exposed the numerous acts of fraud committed by Mr. Del Vecchio and Thomas Belesis who is the President of the company's investment bank, John Thomas Financial. The depositions were conducted by Blinglets' attorney Robert Hantman to confirm that Mr. Del Vecchio arranged for AMBER Ready's employees to hack into the a part of the company's server that housed Blinglets' proprietary software. During his intense investigation and interviews of former AMBER Ready employees, Mr. Hantman learned AMBER Ready did not have a working mobile phone application. Letters provided by former employees confirmed that Mr. Del Vecchio fraudulently marketed and sold the application to numerous parents, police agencies and child advocate organizations, once Mr. Patterson was terminated (See: http://bit.ly/d57IsC and http://bit.ly/9ozjca). Since AMBER Ready did not have a working mobile phone application to replace the mobile phone application designed by Mr. Patterson and developed by Blinglets, Mr. Del Vecchio used the screens form Mr. Patterson's application to falsely market AMBER Ready's new application. The new application only worked from a PC and not a mobile phone as Mr. Del Vecchio continued to advertise. To get the company's stock to trade, Mr. Del Vecchio filed a registration statement with the SEC that represented AMBER Ready did have a working mobile phone application. Mr. Del Vecchio falsely marketing the application as a mobile phone application, and attempted to have the New York City Housing Authority pay for the mobile phone application after the company no longer had the technology that NYCHA agreed to purchase. At the time that NYCHA agreed to purchase 30,000 mobile phone applications for the New York City public housing residents, AMBER Ready did have the working phone application that was designed by Mr. Patterson and developed by Blinglets. When Mr. Patterson learned that Mr. Del Vecchio and John Thomas Financial failed to disclose the truth, while attempting to get NYCHA to issue the $1.5 million dollar check, Mr. Patterson contacted NYCHA and informed them of the scheme. The documents acquired by Robert Hantman, confirm that Mr. Del Vecchio, Thomas Belesis and Milton Makris, attempted to defraud the New York City Housing Authority (See: http://bit.ly/9hBD9z and http://bit.ly/b2YgUz).
During the depositions of Frank Del Vecchio and Martha Perez who was the Controller of AMBER Ready, both parties while under oath admitted the company no longer had a working mobile phone application after Mr. Patterson was terminated. They also confessed to having issued stock certificates with Mr. Patterson's forged signature without Mr. Patterson's knowledge. Mr. Del Vecchio filed a registration statement with the SEC that stated the company had acquired 4,000 enrollments after issuing John Thomas Financial and their partner company John Thomas Bridge and Opportunity Fund more than 39 million shares. Mr. Del Vecchio stated that AMBER Ready only had acquired approximately 600 enrollments in 2009 in his deposition, but Mrs. Perez's statements and former employee letters confirm the company only acquired less than 300 enrollments. Not only did Mr. Del Vecchio state the company had acquired 4,000 enrollments when the company had acquired less than 300 in 2009 in the registration statement, but Mr. Del Vecchio clearly stated the company had "state-of-the-art and instant information dissemination methodology". The false statements were filed to get the company's stock to trade at a higher price per share. If the New York City Housing Authority (NYCHA) had issued the $1,500,000 check to AMBER Ready, it is easy to say that Wall Street market makers would have valued the company's stock at more than $10 per share, if the registration statement filed by Mr. Del Vecchio was approved by the SEC. Mr. Del Vecchio failed to tell the NYCHA the company no longer had a working mobile phone application while he awaited the payment pledged by NYCHA at AMBER Ready's Back to School Event. Mr. Del Vecchio knew the company no longer had a working application to deliver to NYCHA residents. Even if the stock was approved to trade at $1 per share by market makers as a result of the misrepresentations by Mr. Del Vecchio, John Thomas Financial and their partner company could have sold their stock for $39 million dollars through their more than 200 brokers.
The registration statement filed by Mr. Del Vecchio was not disclosed to Mr. Patterson, even though he was a Board Member. Mr. Del Vecchio and the other AMBER Ready Board Members also failed to disclose to the SEC that Mr. Patterson was never provided with any documents to review after his termination, in an attempt prevent the SEC from investigating the matter and approve the stock to trade. AMBER Ready was required to have all of its Board Member review and approve the registration statement or disclose the statement was not reviewed by all Board Members. After learning registration statements were filed containing false statements with the SEC by the other Board Member of AMBER Ready, Mr. Patterson had his attorney issue a letter to the Board Members to demand all of the documents he was required to receive, but AMBER Ready refused to accept the request and failed to disclose this issue to the SEC (See: http://bit.ly/bA1PL1). Mr. Patterson believed the registration was withheld to prevent him from discovering the false statements filed by Mr. Del Vecchio and the remaining Board Members with the SEC. Knowing that AMBER Ready intended to commit securities fraud and was carrying out their intentions, Mr. Patterson continued to monitor the company's activities and resigned as a Board Member. All of these issues were exposed as a result of the Blinglets litigation and depositions of Mr. Del Vecchio and Mrs. Perez.
Galaxy Media & Marketing Corp recently acquired AMBER Ready, without knowing severity of the fraud previously committed by AMBER Ready, John Thomas Financial and their law firms (See: http://bit.ly/9gNMoo). Now the parent company and its new CEO, Gary Savage dropped selling the AMBER Ready program, and the website is no longer operating. Galaxy Media and Marketing has also taken down the company's website and replaced the content with "Coming Soon" (See: http://galaxymediamarketing.com/). Previously the AMBER Ready website stated the program was free until September 30th, 2010, because the company hoped the Blinglets settlement would have been executed before October 1, 2010. Perhaps AMBER Ready hoped to implement a joint venture with Blinglets since AMBER Ready was unable to redevelop a working mobile phone application. Considering all of the fraud previously committed by AMBER Ready, Blinglets will probably stay as far away from AMBER Ready as possible if they know what's good for their company. Kai Patterson who AMBER Ready's original founder and former CEO resigned as a Board Member and has decided not to deal with the company after it filed a false complaint against him that was dismissed (See: http://bit.ly/dskwqa). Mr. Patterson's settlement agreement exonerated him from all of the false allegations that were made by Mr. Del Vecchio and Martha Perez in the false complaint they filed, in an attempt to hide their fraud. Mr. Patterson also entered into a separate settlement with Blinglets and helped expose that Mr. Del Vecchio was responsible for committing the fraud against Blinglets. The Blinglets settlement now enables all parties to go their separate ways, without any potential recourse against the other parties. It is interesting to see what Galaxy Media & Marketing Corp is going to do with the AMBER Ready Program, now that it has loans to repay investors in excess of $20 million dollars. They are going to have to sell a lot of "PurEffect", which is an acne treatment solution they sell for another company. This is not the product the AMBER Ready investors invested more than $17 million dollars for the company to sell. Although the AMBER Ready investors can convert their loans into additional, it is highly unlikely they will considering the fraud committed by the company. Now that Galaxy Media & Marketing Corp is raising money through investors and the brokerage firm of John Thomas Financial, it's interesting to know if they disclosed the company's problems to potential investors in the Private Placement Memorandum filed with the SEC.
By: A Former AMBER Ready Employee
For More Information, Also See:
http://read.bi/YtSRrB
http://bit.ly/YheoXl
http://1.usa.gov/WJW3ih
http://1.usa.gov/15AzdKz
http://bit.ly/11s41MZ
http://bit.ly/12dJxK6
http://bit.ly/13Zn6Hk
http://bit.ly/14tTvWp
http://bit.ly/1a9YeR9
http://bit.ly/1bd4FBq
