2013 WARNING! DO NOT INVEST HERE. We are in the process of settling an official complaint re’ Fraud to the relevant AUTHORITIES
Let me take you all on a journey through time & space into the world of Sefton Directors where greed, fraud & downright lies are trotted out day in & day out. If there’s one article that just about sums up Sefton Resources then read on this is it.
We’ve exposed K Arleth we’ve exposed Mark Smith, we’ve exposed JEllerton now it’s the turn of yet another Sefton Resources Director who was involved in a massive securities fraud costing tens of thousands of investors literally hundreds of millions of dollars; (The SEC Filings bare a striking similarity to Sefton Resources’ Claims) come on down Tom Milne (Sefton Director) & take a bow. Your’s is a truly gargantuan securities fraud of Madoff proportions.
Oilsands Quest Inc, a Company Tom Milne was a Director of from 2006 to 2010, obtained mining rights over more than a million acres of property in Canada’s Alberta and Saskatchewan provinces, Oilsands Quest was a Colorado corporation, with offices in Alberta Canada, (There’s that Canada connection again) which became the subject of a mass Class Action in the UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK Case 1:11-cv-01288-JSR Document 22 Filed on the 06/02/2011 at the beginning of the Class Action Period Oilsands Quest traded over-the counter on NASDAQ; on August 18, 2006 trading on the American Stock Exchange. In 2006, Oilsands Quest’s capitalization exceeded $1 billion dollars but suffice it to say that Tom Milne’s’ Oilsands Quest never earned a single dollar in revenue.
Among the Plaintiffs and believe me there are many, are the brave firefighters of the ST. LUCIE COUNTY FIRE SERVICE DISTRICT. Yes you know those same people who risked their lives and limbs in the 9/11 terrorist attacks on the twin towers of New York. The FIREFIGHTER’S PENSION TRUST FUND was hood-winked into investing. Shocking but VERY TRUE.
The ST LUCIE FIREFIGHTERS were the lead plaintiffs in the fraud Class Action which states in sworn affidavits that, beginning in 2006, through a series of false and misleading press releases, investor presentations, and accounting manipulations, (Does that ring a bell? Erm Yes!) Defendants (Tom Milne & cronies) fraudulently pumped up Oilsands Quest’s stock price by portraying Oilsands Quest as the largest owner of valuable rights to bitumen in Saskatchewan’s oil sands, creating a modern day gold rush for what Defendants (Tom Milne & cronies) knew to be largely worthless mining rights. Although Defendants (Tom Milne & cronies) touted management estimates of more than 60 billion barrels of bitumen oil sands/tar in place, including billions of barrels of potentially recoverable resources, and development plans using proven methods to extract more than 30,000 barrels a day from an exploratory site constituting a small portion of Oilsands Quest’s acreage known as “Axe Lake,” former officers, employees and consultants to Oilsands Quest have stated that, in fact: (1) The vast majority of the Oilsands Quest’s properties were well known within the Company to contain no bitumen and Defendants engaged in contrived exploration and testing activities to justify the retention of worthless mining rights in order to mislead investors about the value of the Company’s properties;
Sounds familiar doesn’t it?
(2) Testing had not shown there was a shale cap over the identified bitumen deposits, the bitumen could not be extracted using established methods; and (3) there was no basis for the Company’s announced timetables and production plans. As one former vice president of the Company observed, because the geologic features of the deposits had yet to be identified and no bitumen had yet to be extracted by any method, Defendants had simply “pulled” the 30,000 barrels per day number “from the sky.” Tom Milne? Tom “Pepper”
The misleading billion barrel plus resource estimates for Axe Lake included in the Company’s fiscal year ended April 30, 2008 Form 10-K were developed by McDaniel & Associates, and were included in the Form 10-K with its consent, and in various Company press releases, without disclosing that virtually all of this bitumen/oil tar, as a practical matter, was unrecoverable.
And while I’m at it the evidence is so fundamentally over-whelming here’s the link to the full New York Court documents. http://securities.stanford.edu/1046/BQI00_01/201162_r01c_11CV01288.pdf I advise every single Sefton share-holder to take 60 minutes and read through it. The Sefton Resources Claims are basically mirrored. Sefton are a scam company run for the benefit of its Board of Directors.
Defendant Thomas Milne (“Milne”) was a Director of the Company from August, 2006 through January, 2010 and served as Chair of the Board’s Audit Committee and a member of the Compensation and Governance Committee. Milne was also a former director of Oilsands Quest Sask Inc. beginning in November, 2004. In 2010, Milne became a member of the board of “Canshale”– the company that purchased Oilsand’s oil shale assets in Pasquia Hills in Saskatchewan. Defendant Hopkins is CEO, President, and Chairman of the Board of Canshale. Phillips signed the Form 10-K statement for fiscal year ended April 30, 2008. Milne also served on the Board of Directors of Newton Energy, Inc. and Lakeside Steel with Defendant Hopkins. Milne made the following sales of stock: Even his “Spouse” flogged “Her” shares.
DATE OF SALE: # OF SHARES: PRICE/SHARE: $ MADE:
July 12, 2007 50,000 3.13 $156,500
August 2, 2007 50,000 4.22 $211,000
July 10, 2008 24,200 5.61 $135,762
July 10, 2008 25,800 5.6 $144,480
July 11, 2008 100,000 5.78 $578,000
July 11, 2008 55,750 5.75 $320,563
1/28/09 (by spouse) 18,660 1.05 $19,593
1/28/09 (by spouse) 81,340 1.03 $83,780
1/29/09 (by spouse) 64,702 1.03 $66,643
1/29/09 (by spouse) 23,348 1.01 $23,573
Total Value $1,739,894
Hey lets not forget that Milne had also been receiving pay and expenses for years too!
There’s just so much in the documents ranging from Confidential witness’s to out and out lies that were laid bare for all to see. I’ll just paste some of the evidence from Confidential Witness 2. CW2 described, the timetables Defendants (Tom Milne & cronies) issued to investors for pilots and commercial development of the Axe Lake property were wholly unrealistic. For example, on January 10, 2008, shortly after Defendants rejected the timetable in the Gantt chart developed by CW2, the Company’s Axe Lake project head, the Company issued a press release announcing a plan to produce 600 barrels per day in 2008 and up to 10,000 barrels a day in 2009. (Now where have we heard that before?) On June 26, 2008, Oilsands Quest issued a false and misleading press release that asserted: “Oilsands Quest Inc. (AMEX:BQI) announces its independent resource estimates for its Axe Lake Discovery and its Raven Ridge Discovery. Raven Ridge has been reclassified to a Discovery from an “area of interest”. Oilsands Quest announces the initialization of engineering plans for the first 30,000 barrels per day commercial project planned to develop a portion of the Axe Lake Discovery and provides an update on its reservoir test program.” This of course was sheer Fantasy Island stuff.
“McDaniel & Associates is of the opinion that significant portions of the discovered and undiscovered bitumen re-sources at Axe Lake and Raven Ridge are potentially recoverable using existing demonstrated technologies. (Think Steamflood & Dr Ali) However, insufficient reservoir data exists at this time to allow McDaniel & Associates to estimate the quantities of recoverable and unrecoverable volumes underlying the current estimates of discovered resources and undiscovered resources at Axe Lake and Raven Ridge. Oilsands Quest and McDaniel & Associates expect that additional data will be derived from the reservoir test program Oilsands Quest intends to conduct during 2008/2009.” “Oilsands Quest and its engineering consultants have embarked upon preliminary engineering of the first 30,000 barrels per day commercial project planned for the development of Axe Lake in the specific area where the first series of reservoir tests are being conducted.(This all sounds so familiar doesn’t it?) sic The large steam generator Final Acceptance Test was successfully concluded and the steam generator is being transported to site. ((I wonder if these are the same “Steam Genny’s” at Tapia? Just a thought!)) Other major equipment will also arrive on site during facilities installation which commences the first week of July. Steam and hot-water injection into the reservoir on Test Site 1 is planned for late summer 2008.” Ah yes that’s it I remember it’s the Tapia steamflood project! Only this time it’s in Canada!
Of course JEllerton knows all of this he knows about Arleth & Teton Energys Bankruptcy just as he knows about Mark Smiths Stone Mountain Bankruptcy. Jim Ellerton is a liar and a corporate fraudster. It’s no coincidence that every Director on the Sefton Board has been involved with company’s that have gone “Tits Up” owing investors hundreds of millions of dollars after leading them by the nose for years feeding them false claims & trumpeting false dawns while trousering multi million dollar pay packets with expense accounts & share options to match!
What ties this group of individuals together? Why it’s the revolving door Directorships & nepotism. They all know each other and all work out of Denver Colorado USA & Alberta Canada cross dressing each others “Companies” with their names. It’s a triangle fraud, a Ponzi scheme in all but name.
Maybe Allenby Capital Sefton’s NOMAD can shine some much needed light? Oh hang on I doubt it! Their Chairman Jeremy Delmar Morgan was in fact being paid by Sefton Resources from 2005-2010 as their Chairman! No I don’t think Allenby will be forth-coming in the integrity stakes. How do I know that? Well we wrote to Allenby Capital several weeks ago in mid November their reply came from Nick Harriss (Now where have I heard that name before? Hmm it will come to me…) “Mr Delmar Morgan ceased to be a director of Sefton Resources on 11 August 2010. Sefton Resources only became a Nomad client of Allenby Capital on 31 October 2012. The AIM Rules for Nomads prevent a Nomad taking on a client where a Director currently holds a directorship with the client or holds 10% or more of the shares in the client blah.. blah…blah… The standard reply from Nick Harriss. There’s that name again “Nick Harriss” would that be the same “Nick Harriss” who acted as Sefton’s nomad from 2008 via Blomfield Corporate Finance who changed their name in 2010 to Religare? No surely not! http://www.investegate.co.uk/sefton-resources-inc-%28ser%29/cis/change-of-name-of-nominated-adviser-and-broker/20100414070000W2238/ is this the same company Religare Capital Finance that from 2005 to 2009 had guess who on their Board as a Non-Executive Chairman, Chairman of Audit Committee and Member of Remuneration Committee? Why Jeremy of course! But didn’t Mr “Harriss” write to us and say that this isn’t allowed under Nomad rules?
JEllerton eulogised on 22 Feb’ 2011? “I would like to thank Religare Capital Markets for their brokerage services over recent years; (Thanks indeed! They helped to raise millions for you!!) and I am pleased that they will continue to act as Nomad. (Well why wouldn’t you Jim?) Back to Jeremy who actually joined Allenby Capital while he was the Chairman of Sefton Resources. Is it any wonder that the Board of Sefton have been allowed to operate unchallenged when they’ve got clowns like Allenby Capital over-seeing their corporate governance? You take the Sefton shilling. You pay the price!
Suffice it to say that Oilsands Quest filed for, wait for it wait for it …… Chapter 15 protection from creditors in a U.S. bankruptcy court, in September 2011. Since then, trading in the companies’ shares was suspended and the company was later delisted from the NYSE Amex exchange for junior companies in the U.S.. I’ll leave you with the words of Neil Narfason Ernst & Young administrator “All the employees are gone, the board resigned … The rest is as they say is history that will repeat itself on Sefton as it has on Teton, Stone Mountain, & Oilsands Quest!
Wake up get the hell out of Sefton Resources they are rotten to the core. Three Sefton Directors. Three Bankruptcies. With a Class action for Fraud thrown in for good measure!