Re: Could not get a date AFTER CASHING $30k worth of checks

[Leo Ticheli] "Steve Wargo, you're my pal, but you are all wet about Red's business practices. Have you actually done business with them? Do you have a Red camera on order? "

Whoa there Leo. I don't have to have done business with Red to understand that they have certain ongoing problems. if you really want my opinion, I feel as though they violated some serious SEC laws by how they went about financing their venture. Normally, when a company needs a few million dollars in cash to develop a product, they have a legal private or public offering.

The Red team created brochures and a website and then started an internet buzz on a product that none could resist. They took "deposits" that totaled over $4 million. Then, they set out to develop their unit. They claimed that they just wanted to get a real feel as to how many people really wanted to buy. I can see their point, except for one thing; They used the money for R&D. If they had put the cash into an escrow account and sent quarterly interest payments to the "deposit" holders, I would back them 100%. That's not what they did. They did offer refunds with interest but that money was only replaced with fresh money from new "deposits".

There have been NUMEROUS posts from Graham Nattress publicly thanking the "INVESTORS". Isn't this a major felony? I asked several attorneys over the past year and was told that it is. I asked my stockbroker and his eyes got huge.

But, who actually cares? After all, Martha Stewart's following is bigger than ever.



Steve Wargo
Tempe, Arizona
It's a dry heat!

Sony HDCAM F-900 & HDW-2000/1 deck
5 Final Cut (not quite PRO) systems
Sony HVR-M25 HDV deck
2-Sony EX-1 HD .