Smokefree Continues to Create Conditions Aiding in Global Lock Removal
27 Juli 2011 - 1:20PM
Through Company President, George Roth, Smokefree Innotec, Inc.
(Pink Sheets:SFIO) announced today that the Company has been
investigating every available avenue to cause the lifting of the
DTC Global Lock imposed on "All Participants, Depository Facilities
and Pledgee Banks" (Notice# B1017-11 Dated: July 1, 2011).
"This order was not directed at the Company, only to the
brokerage community. According to the DTC website (www.dtcc.com),
the purpose of the lock is to protect the integrity of the pool of
any shares held by the DTC in their depository for their clearing
transactions in the trading systems. In view of the extraordinary
trading of June 30th and July 1st in SFIO shares, where well over
half of the public float changed hands in two days in a huge volume
of transactions, it appeared that certain large brokers and
individuals were buying and selling naked.
The DTC dealt with this by imposing a "Global Lock" where
brokers MUST match up buys with sell orders that they already have
on hand, and cannot execute orders without matching them up. Some
shareholders may have found that under these circumstances they
could not buy any SFIO shares; their brokers did not have any
legitimate shares to sell and could not sell short as is the
custom, then going to other brokers to buy and cover, and they may
have been desperately seeking shares to cover their own short
positions. As you have seen from the past few weeks, with the
Global Lock in place, the market has settled down, with domestic
and foreign brokers finding shares to cover. The Company has
refrained from making any announcements during this time that
anyone could use to unduly influence an orderly market.
Eventually the DTC will be satisfied they are not holding any
"phantom" shares created by shorters, and we expect the DTC order
will be lifted when they are convinced an orderly market will
resume and investors will be protected, but only after further
actions and publications are soon taken by the Justice Department
and the SEC regarding the disposition of charges against our former
CEO.
The Company is continuing to prepare new information statements
and accounting reports to update the OTCMarkets and provide
transparency to investors, and we hope the investing public can
understand the difficulty we are faced with in view of the
unresolved charges against our former CEO. Obviously we cannot make
any comment about that matter at this time, but reserve the right
to set the record straight in our disclosure filings and reports
with the OTCMarkets. The company denies any wrongdoing by the
Company itself; only the former CEO is charged with performing an
unauthorized and unlawful act in 2009.
Meanwhile, the Company is conducting business as usual in
extending its distribution network and creating new websites.
Nominees to the new Board of Advisors are considering their
possible acceptance and will be announced shortly."
About Smokefree Innotec, Inc.
Smokefree Innotec, Inc. (Pink Sheets:SFIO),
www.smokefree-innotec.com, is in the business of designing,
developing, manufacturing and marketing hi-tech, nicotine and
non-nicotine cigarette-like delivery devices which are completely
smoke and vapor-free and tobacco-free. SFIO's products are designed
to protect the non-smoker from second hand smoke and all its
effects while providing the smoker a way to enjoy a smoke-free
cigarette anywhere, including places where vapor emissions are
offensive or smoking tobacco or similar substances is prohibited.
Further, our products will allow the smoker to enjoy smoking either
nicotine or flavored non-nicotine cigarettes while not having to
worry about the offensive dangers and ill effects of regular
cigarette smoking. However SFIO's products are not intended for any
prevention or therapeutic treatment of any disease.
About GLX - The Global Listing Exchange
The Global Online Investment Community - GLX provides
interactive advertising, conference and event coordination, digital
IR/PR, journalism, market intelligence, media/marketing, news
dissemination, research, video production and ancillary specialty
communications services to publicly traded companies worldwide.
The Smokefree Innotec, Inc. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=6767
A number of statements referenced in this Press Release are
forward-looking statements, which are made pursuant to the Safe
Harbor Provisions of the Private Securities Litigation Reform Act
of 1995, and within the meaning of Section 27A of the Securities
Act of 1933 and Section 21B of the Exchange Act of 1934. Any
statements that express or involve discussions with respect to
predictions, expectations, beliefs, plans, projections, objectives,
and goals, assumption of future events or performance are not
statements of historical fact and may be "forward-looking
statements." Forward-looking statements are based on expectations,
estimates and projections at the time the statements are made that
involve a number of risks and uncertainties which could cause
actual results or events to differ materially from those presently
anticipated. Forward-looking statements in this Release may be
identified through the use of words such as "expects," "will,"
"anticipates," "estimates," "believes," or statements indicating
certain actions "may", "could," or "might" occur. Such statements
reflect the current views of Smokefree Innotec, Inc. with respect
to future events and are subject to certain assumptions, including
those described in this release. These forward-looking statements
involve a number of risks and uncertainties, including the timely
development and market acceptance of products, services, and
technologies, competitive market conditions, successful integration
of acquisitions, the ability to secure additional sources of
financing, the ability to reduce operating expenses, and other
factors. The actual results that the Company achieves may differ
materially from any forward-looking statements due to such risks
and uncertainties. Smokefree Innotec, Inc. does not undertake any
responsibility to update the "forward-looking" statements contained
in this news release. Disclosures made in this Press Release are
limited by good business practice and to that permitted to the
public by applicable securities regulations, both Federal and
State, including rights granted to shareholders under the Nevada
Revised Statutes NRS 78.257 regarding limitations of preferential
and selective disclosure of confidential Company information.
CONTACT: GLX - The Global Listing Exchange
Ronald P. Russo, Jr. - CEO
editor@glxinc.com
www.glxinc.com
Smokefree Innotec, Inc.
George Roth - CEO
info@smokefree-innotec.com
www.smokefree-innotec.com
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