Here's them telling the SEC about lying about that coinfire blog
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That is not accurate. We are waiting for our legal team to put together what is acceptable to the SEC.
Dave, please loop John in on this in my absence
On Jan 30, 2015 9:33 PM, "John Caceres" <
john@geniusesatwork.com> wrote:
Here's where we are at as of now:
FOR IMMEDIATE RELEASE
Contact: John Caceres
Telephone: 917.882.0900
Email:
john@btc.comCoin Fire Allegations About PayBase Are False.
Bloomfield, CT –A recent and unsubstantiated article posted by the online, digital publication, Coin fire, which serves the cryptocurrency category, alleges that Coin Fire was able to “…obtain more than 1,000 pages of an investigation file from a confirmed [Securities Exchange] Commission employee that also has a bombshell draft of a potential enforcement litigation action against [Paybase]” The article further claims that these alleged materials “are the raw investigation notes being used to decide whether an enforcement action against the company will take place.”
PayBase has investigated these spurious allegations and obtained confirmation from the Securities and Exchange Commission (SEC) that they are false.
“We were stunned by the allegations which served to negatively impact our business in this exciting and evolving financial category,” said Josh Garza, CEO of GAW. “However, we appreciate the outpouring of support by a community that is behind what we are doing as pioneers in the cryptocurrency market; in short, they simply didn’t believe it. And while we don’t understand the purpose behind the concocted story, it not only attempted to hurt PayBase and related products, but the cryptocurrency category as a whole.”
The Coin Fire article was picked up by a number of digital news outlets including Ars Technica, among others, as well as myriad online bloggers, causing damage to the company’s reputation and that of its principals and affiliates. PayBase is in the process of reviewing its options at this time including what, if any, legal action may be appropriate in response to the Coin Fire article.
Given the current environment and in an abundance of caution, we have decided to delay the launch of the PayBase Honors Repurchase Program terms of service until we can confirm that the proposed repurchase plan meets regulatory requirements, ensuring the protection of both company and owners of PayCoin. Purchasers of PayCoin will be able to start putting their money into an third party escrow account and verify themselves for the program as planned. The program will not officially start until confirmation of the proposed plan and terms are finalized. The plan is to adhere to the same time frame.
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On Fri, Jan 30, 2015 at 8:11 PM, David McLain <
dave@geniusesatwork.com> wrote:
Fyi
---------- Forwarded message ----------
From: Van Cleef, Carol <
CVanCleef@manatt.com>
Date: Friday, January 30, 2015
Subject: FW: PayBase_SEC_CoinFirePRA15 01 30 (3)
To: "David H. McLain (
dave@geniusesatwork.com)" <
dave@geniusesatwork.com>
Andrew feels strongly that Gretchen should have an opportunity to review this and object. Here is the email I have sent.
Securing her response will provide a higher level of comfort, especially if the language is not precisely to her liking.
He also reiterated the repurchase language should not appear on this release or it will invite the attention of the SEC more rapidly than we would like.
I will call shortly.
Carol Van Cleef
Partner
_______________________
Manatt, Phelps & Phillips, LLP
One Metro Center
700 12th Street, NW, Suite 1100
Washington D.C. 20005
D (202) 585-6520 F (202) 637-1560
CVanCleef@manatt.com manatt.com
CONFIDENTIALITY NOTICE: This e-mail transmission, and any documents, files or previous e-mail messages attached to it, may contain confidential information that is legally privileged. If you are not the intended recipient, or a person responsible for delivering it to the intended recipient, you are hereby notified that any disclosure, copying, distribution or use of any of the information contained in or attached to this message is STRICTLY PROHIBITED. If you have received this transmission in error, please immediately notify us by reply email and destroy the original transmission and its attachments without reading them or saving them to disk. Thank you.
From: Van Cleef, Carol
Sent: Friday, January 30, 2015 7:36 PM
To:
lundgreng@sec.govCc: Zimmitti, Andrew
Subject: PayBase_SEC_CoinFirePRA15 01 30 (3)
Gretchen, please find attached the proposed press release regarding the Coinfire blog regarding Paybase.
We would appreciate if you could tell us if you have any problems with the sentence in the second paragraph concerning the SEC. We believe it captures the tenor of our conversations today.
Our client is very eager to release this statement this evening to stem the ongoing negative impact of the story.
We apologize for interrupting your evening but are grateful for your attention.
Thanks,
Carol
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David H. McLain, Esq.
General Counsel
Business Technology for Cryptocurrency, LLC
Direct dial: 267-257-8945