The ECTE placement in early January 2011 was made at an enormous discount to market and included tons of warrants. Your author wondered, who were the lucky folks who were offered the units, and by whom?
Echo is headquartered in historic Franklin, MA. Franklin is best known as the birthplace of Horace Mann, the home of the famous Red Brick School, and the home of the very first public library in these United States.
The money came from 1444 miles away. A place known for retirees, sunny weather, and lots and lots of fraud. Boca Raton.
The units were sold to customers of LifeTech Capital, a division of Aurora Capital. LifeTech, with a website right out of 1997, is run by the old CEO of Dawson James, Robert D. Keyser CRD# 1291503.
His bio on the LifeTech website does fail to mention his arrest for cocaine possession. But the FINRA report has it.
Court Details: CIRCUIT COURT, PALM BEACH COUNTY, FLORIDA 87-11674CFA02
Charge Date: 10/31/1987
Charge Details: ALLEGED POSSESSION OF COCAINE, 1 COUNT, MISDEMEANOR PLED NOLO CONTENDER
Felony? Yes
Current Status: Final
Status Date: 06/06/1988
Disposition Details: ENTERED A PLEA OF NOLO CONTDE TO ATTEMPTED POSSESSION OF COCAINE. RECEIVED 6 MOS PROBATION ORDER WITHHOLDING EJUDICATION OF GUILT. CHARGE REDUCED TO MISDEMEANOR.
Keyser has moved from Boca bucket shop to Boca bucket shop in his career. Dawson, Viewtrade, Sterling Financial, JW Charles, among others. All of which are worth a good search of the Interwebs. But the most interesting former home of Mr. Keyser is the infamous D. Blech & Co. Read more about Blech here, here and here.
The parent, Aurora Capital, is a company formed soon after D. Blech & Co. imploded. Aurora was founded and helmed by a Blech veteran, Jeff E. Margolis CRD#11315. Check him out on FINRA too.
Nice guys.
Sontra/Echo…from a Boston area venture funded startup to a Boca Raton bucket shop plaything.
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