UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) November 15, 2001
EAGLETECH COMMUNICATIONS, INC.
(Exact name of registrant as specified in its chapter)
Nevada 0-29275 13-4020694
(State of other jurisdiction (Commission File No.) (IRS Employer Identification No.)
of incorporation)
305 S. Andrews Ave., Ft. Lauderdale, FL 33301
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (954) 462-1494
Not Applicable
(Former name or former address, if changed since last report)
Item 5. Other Events
Eagletech Communications, Inc. has filed a lawsuit in the Florida 11th Circuit Court against
defendants: Bryn Mawr Investment Group, Inc.a/k/a Valley Forge Securities, Inc.; John Serubo,
Individually and as an Agent of Valley Forge Securities, Inc. (F/K/A) Bryn Mawr Investment
Group, Inc.; Lloyds Bahamas Securities, Ltd.; T.R. Kessler; Robert Dobbs; Robert Bergman;
Paradigm Group II, L.L.C.; The Paradigm Group; Paradigm Millennium Fund, L.P.;
Paradigm\Eagletech, L.P.; LBC Capital Resources, Inc. a/k/a LBC Capital Group; Goulding
Trust; Randy S. Goulding; Sheldon Drobny; Thomas Papoutsis; Sigmund A. Eisenschenk;
Jerome Schachter; Buzz Simmons; Richard Kushnir, Liss Financial Services; Michael O'Brien;
Oscar Gruss & Son; National Securities; Arbus Capital LTD; Arbus\Eagletech, L.P; Stephen
Jouzapaitis; Harry Leopold; Hawthorn Capital Corporation; John Dorocki; Charles Parkhurst;
Christopher Fitzmaurice; Peter G. Hirsch; William Kelley; Thomas Tierney; Salomon Smith
Barney; Knight Securities; Schwab Capital Markets, L.P.; Trinity Technology Management
Incorporated; William Mongiardo and Thompson Kernaghan & Company, Ltd; Richmond
Associates, Inc.; and T.J. Madison. The suit alleges among other things, that during the period
from February 1999 through the present, the defendants, working in concert, orchestrated "Pump
& Dump" then "Toxic Convertible or Death Spiral" schemes, reneged on subsequent funding
commitments, and illegally manipulated the stock by an organized campaign of short selling to
depress the price. This has resulted in the alleged bilking of at least $100 million dollars in
market capitalization from the company's stock and ultimately from the pockets of its common
shareholders, the attempted "takeover" of 95% of the company's stock and the attempted
"stealing" of its valuable patented technology. The suit asks for compensatory damages,
rescission of agreements, the return of millions of dollars in illegally converted property, treble
damages, attorneys fees, establishment of a constructive trust, and the right to plead punitive
damages.
Item 6. Resignations of Registrant's Directors
On November 1, 2001, Messrs Kenneth L. Payne, Robert H. Clarkson, J. Sherman Henderson III
and Christopher P. Flannery resigned as directors of the Registrant, effective immediately.
These resignations were not a result of any disagreements with management on any issue of
corporate governance or policy. The former directors declined to state their reasons for
resignation in writing, and the Registrant accepted the resignations with regret.
Item 7. Financial Statements and Exhibits.
The following documents are attached as exhibits to this Form 8-K.
Exhibit 99.1 - Registrant's Press Release dated November 13, 2001
SIGNATURES
Pursuant to the requirements of Securities Exchange Act of 1934, the registrant has duly caused
this report to be signed on its behalf by the undersigned hereunto duly authorized.
EAGLETECH COMMUNICATIONS, INC.
(Registrant)
November 15, 2001 /S/RODNEY E. YOUNG
Date Rodney E. Young, President
Press Release
Eagletech Communications Sues 40 - Financial Firms, Market Makers, Brokers, &
Individuals Charging Fraud & Conspiracy.Common Law Fraud, Civil Conspiracy, Conversion and Violation of the RICO Act are
Alleged in a Scheme to Manipulate the Company's stock.
FORT LAUDERDALE, FL--(BUSINESS WIRE)--November 13, 2001-- Eagletech
Communications Inc. (OTCBB:EATC - news) a wholesale provider of next generation enhanced
telecom services to carriers today announced that it has filed suit in the Florida 11th Circuit Court
against a total of over 40 defendants, including: Salomon Smith Barney, and six of its present or
former NY-Wall Street area office high level executives, certain market makers, including
Knight Securities, Schwab Capital Markets, and Thompson Kernaghan, certain broker/dealers
including, Oscar Gruss & Son, Liss Financial, and National Securities, certain investment
banking firms including, The Paradigm Group, Valley Forge Securities (formerly Bryn Mawr
Investment Group), alter-ego corporations, Trinity Technology Management Incorporated,
Lloyds Bahamas Securities LTD., former Eagletech CEO Robert Dobbs, and key individuals,
Randall S. Goulding, John P. Dorocki, and John Serubo, among others. Eagletech is represented
in this action by attorney firms O'Quinn, Laminack & Pirtle, of Houston, Texas, Christian
Wukoson Smith & Jewell, also of Houston, Texas, and Arthur W. Tifford P.A., of Miami,
Florida. The suit alleges among other things, that during the period from February 1999 through
the present, the defendants, working in concert, orchestrated "Pump & Dump" then "Toxic
Convertible or Death Spiral" schemes, reneged on subsequent funding commitments, and
illegally manipulated the stock by an organized campaign of short selling to depress the price.
This has resulted in the alleged bilking of at least $100 million dollars in market capitalization
from the company's stock and ultimately from the pockets of its common shareholders, the
attempted "takeover" of 95% of the company's stock and the attempted "stealing" of its valuable
patented technology. The suit asks for compensatory damages, rescission of agreements, the
return of millions of dollars in illegally converted property, treble damages, attorneys fees,
establishment of a constructive trust, and the right to plead punitive damages. A separate action
against these defendants by the common shareholders is also contemplated.
"Most companies that have suffered this fate, are so financially weakened by the organized
attacks on their stock, that they have little choice but to turn their companies over to these
people, who after the takeover offer jobs and new funding, usually the same funding they once
denied the company." stated Rod Young, Co-founder, President and CEO of Eagletech. "We are
the exception. We will not accept this brand of financial terrorism. We will rebuild this
company!"
According to Young "Timely, best describes Eagletech's patented technology that delivers next-
gen enhanced services to carriers without having to purchase next-gen switches. With the
current telecom capital implosion well under way, billions in redundant capital expenditures
could be preserved, by extending the function of existing switches with Eagletech's technology.
The company's mission is to forge ahead, re-capitalize, establish new strategic relationships, and
return the value that has been stolen from the shareholders. Eagletech is open for business!"
Lead council for Eagletech is John O'Quinn of O'Quinn, Laminack & Pirtle. Mr. O'Quinn was
also the lead counsel for the State of Texas in the $16.5 Billion dollar settlement against the
tobacco industry and is rated as one of the top ten plaintiffs counsel in the United States. He has
obtained verdicts and settlements exceeding $25 Billion dollars in his career. Florida counsel,
Arthur Tifford recently won a judgment in a similar "Toxic Convertible" – "Death Spiral" case
totaling $389 million dollars. ITIS dba Litidex, a wholly owned subsidiary of ITIS, Inc.,
formerly Internet Law Library (OTCBB: ITII) has been retained by the law firms to handle
litigation support.
Mr. O'Quinn stated, "We filed this lawsuit based upon an investigation of the financing and of
the principals and associates involved. It is our opinion that our client and it's shareholders, like
many others, have been victimized and damaged by predatory financing schemes involving
numerous market makers and others designed to enrich the financiers to the ruination of the
companies financed. When the financiers recognize tremendous potential in a company the
scheme also includes the takeover of those companies. Our firm is committed to litigate this
matter to a successful conclusion, regardless of the number of parties ultimately named, the time
involved or the expenses we must incur or advance, for our clients." Gary M. Riebschalger of
the firm said, "The damage done to small companies and the people who work for them is
outrageous. These arrogant, selfish financiers who use offshore devices and fraudulent schemes
to enrich themselves at the expense of the people must stop. We will expose them and their 'fat
cat' buddies to the bright light of justice."
Eagletech Communications, Inc. is traded on the (OTCBB: EATC). Eagletech owns two patents
on technology which allows it's Unified Communications/Virtual PBX product to enhance the
service offering of the existing installed base of billions of dollars worth of carrier telephone
switches without carriers having to invest in next-generation switching platforms. The Eagletech
UC/VPBX with a low barrier to entry, when coupled with a smart-build strategy, and utilizing
next-gen MPLS broadband technology will permit future product offerings such as pure-play
ASP services, and strategic partnering in both voice services and data services. For more
information visit www.eagletech1.com for a test drive.
This press release contains forward-looking statements. The words ``estimate'', ``possible'' and
``seeking'' and similar expressions identify forward-looking statements, which speak only as to
the date of the statement was made. The Company undertakes no obligation to publicly update or
revise any forward-looking statements, whether because of new information, future events, or
otherwise. Forward-looking statements are inherently subject to risks and uncertainties, some of
which cannot be predicted, or quantified. Future events and actual results could differ materially
from those set forth in, contemplated by, or underlying the forward-looking statements. The risks
and uncertainties to which forward-looking statements are subject include, but are not limited to,
the effect of government regulation, competition and other material risks.
Contact:
Noble House of Boston, Casselberry, Fla.
Art Batson, 888/217-2553
Fax 407/339-4826