Kasten, Inc. Releases Information To Address Recent OTC Markets Website Warning Label - "Caveat Emptor" - Posted In Response To Promotion Activity Concern
SIOUX FALLS, S.D., Feb. 9, 2018 /PRNewswire/ -- Kasten, Inc. (PINK: KAST) today released an information update to address the recent Caveat Emptor warning label posted by OTC Markets Group, Inc. on the OTC Markets Group website in association with the Kasten stock symbol KAST ('the Company").
On December 21, 2017, the Company received an email from OTC Markets Group stating that at OTC Markets' discretion, they had labeled Kasten as Caveat Emptor on the OTCMarkets.com website. This was due to concerns with ongoing promotional activity. Kasten management had no knowledge of the promotional activity and had no involvement either directly or indirectly.
The OTC Markets email explained that the Caveat Emptor label was intended as a warning to investors, but did not necessarily mean that the Company knew of the alleged improper promotional conduct. The email further indicated that the warning label would remain until OTC Markets believed there was no longer a public interest concern. The email did not include any specific concern with promotion activity, but after requests from Kasten the offending promotional emails were provided to Kasten. One of the promotional emails was sent from [email protected] related to Jeff "The Mirkinator" Mirkin. The email further stated that "This newsletter is owned, operated and edited by Stellar Media Group, LLC….We have been compensated $35k cash via bank wire by a third party, ACN, LLC, to conduct investor relations advertising and marketing for KAST." Kasten had no connection with Mirkin, Stellar Media Group, ACN or any other party involving this unauthorized promotional effort. Kasten paid no one, nor did Kasten authorize any entity, to conduct or sponsor any promotional effort on behalf of Kasten or KAST.
Two additional promotional emails were sent that were virtually identical in content, but were issued under the names [email protected] and the name Alexander Reeves and [email protected] without any personal name. Both of these emails contained the identical information relating to Stellar Media Group and the statement relating to compensation from ACN to "conduct investor relations advertising and marketing for KAST." Kasten had no connection with any other party involving these unauthorized promotional efforts. Kasten paid no one, nor did Kasten authorize any entity, to conduct or sponsor any promotional effort on behalf of Kasten or KAST.
Kasten does not have an Investor Relations firm. If and when Kasten selects an Investor Relations firm it will be made clear on the Company site on OTC Markets. Additionally, in the event Kasten ever does engage in a promotional campaign then such effort will be done legally with full disclosure and compliance with market rules. It is noted that the above described improper promotions heavily used portions of Kasten public statements and website information. However, the promotions also discussed future possibilities for potential returns and stock performance that were not from Kasten and therefore cannot be relied upon.
In addition to close communications on this matter with OTC Markets, Kasten also agreed to a voluntary review of its public statements since March 2017 by an investigator at The Financial Industry Regulatory Authority (FINRA). All of the inquiries in that review that related to items within the knowledge of Kasten were immediately and thoroughly answered. There were no remaining questions or concerns at the completion of that review.
Kasten's handling and reporting of current information was also reviewed by counsel for the Company. An opinion of counsel that confirms the accuracy of such information was filed today with the OTC Markets Group. It is posted on the Kasten site at OTCMarkets.com.
About Kasten, Inc./DAKOTA Life Sciences
Kasten, Inc. (d/b/a DAKOTA Life Sciences) is a biopharmaceutical company focused on the acquisition, development, and commercialization of pharmaceuticals designed to prevent and treat serious conditions arising both in hospital and community settings. We are principally focused on delivering solutions to those people who are affected by antimicrobial resistance and who need superior pharmaceutical products at affordable prices.
Forward-Looking Statements - This press release may contain 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties that could cause future results to differ materially from the forward-looking statements. You should consider these factors in evaluating the statements herein, and not rely on such statements. The forward-looking statements in this release are made as of the date hereof and Kasten, Inc. dba DAKOTA Life Sciences undertakes no obligation to update such statements.
SOURCE Kasten, Inc. dba DAKOTA Life Sciences
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