FOR IMMEDIATE RELEASE
Tuesday, July 19, 2005
Contact: Stacie Temple, (573) 526-5076
Contact: Erin Cutraro, (573) 526-0949
Carnahan's Office Orders Son & Carter, Inc. to Cease and Desist Unlawful Stock Offer
Jefferson City, Missouri -- Secretary of State Robin Carnahan's Securities Division issued a cease and desist order on Friday against a Joplin business, Son & Carter, Inc.; Greg Carter, Sr.; Greg Carter, Jr. and Frank N. Scott.
The order states that Carter Sr.; Carter, Jr. and Scott made material misrepresentations and omitted material information in connection with the offer and sale of stock in Son & Carter, Inc. The order demands that the company cease securities offerings in Missouri immediately.
Son & Carter, Inc. is a Joplin-based business that told investors they had developed a pyrotechnic composition that could be used to produce a cutting torch and develop a room-sized electric energy plant that could produce enough electricity to fulfill the needs of Springfield, Missouri among other claims.
Investors were told that contracts were pending with the U.S. Military and Homeland Security and that returns on the investment would be huge. However, a mechanical engineer stated that the proposed power generator diagram "violates most of the fundamental laws of thermodynamics and also defies the practical limits of heat transfer."
None of the products described to investors had actually been produced.
"Investors should always be wary of products and investments that promise too much and offer returns that seem too good to be true." Carnahan advised. "Also, when investing in "new" products, investors should be sure to get all of the facts," she added.
For more information regarding investments and fraud protection, or for information regarding a company or representative, visit the Secretary of State's web site at www.sos.mo.gov/securities or call the toll free investor hotline at 1-800-721-7996.
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