| Press
Release |
Source:
|
CONTACT: e-Smart® Media Relations
703-768-7477
e-Smart® Technologies Responds to Press Release Issued By IDsmart LLC
New York, November 14, 2007 /PRNewswire-FirstCall/
— e-Smart® Technologies, Inc. (Pink Sheets: ESMT - News; "e-Smart®"
or the "Company") responds as follows to the press release issued
by IDsmart in which a series of serious allegations are made regarding
e-Smart® Technologies, Inc. and which e-Smart® hereby refutes as untrue,
inaccurate and misleading. IDsmart is operated by Michael Gardiner, the
same individual who, last year, plead guilty to securities fraud charges
in the U.S. District Court, District of Nevada relating to a scheme in
which it was alleged that he and others claimed that they could create
gold from volcanic ash. Thereafter, Gardiner managed to persuade certain
e-Smart® employees to provide him access to the Company's technology and
wrongfully converted e-Smart®'s proprietary technology to create his latest
venture and dubbed it IDsmart, a variation on e-Smart®'s name — in
May of 2006
Based on the above-stated events, e-Smart® filed a lawsuit against Michael
Gardiner and others on September 11, 2006 [U.S. Dist. Court Case No. C-06-5528],
alleging fraud and conversion among other causes of action. In that action,
the court issued an order prohibiting Gardiner from using e-Smart®'s proprietary
technology, anything derived from that technology, and anything obtained
from e-Smart®'s consultants and/or employees that was developed during
the employment or consultancy. Discovery continues and the litigation
is being vigorously pursued by e-Smart®.
More recently, Gardiner and IDsmart filed an action challenging the issuance
of Patent 7,278,025, a lawsuit that suggests that Gardiner realizes that
any product that he or IDsmart would produce would infringe on the awarded
e-Smart® Patent. Missing from the IDsmart press release is the fact that
e-Smart®'s parent has filed a motion to dismiss the subject action which
will be heard on February 1, 2008.
Mary Grace, CEO of e-Smart® Technologies, stated that, "These statements
issued by Michael Gardiner are just the most recent example of planned
intentional and wrongful conduct that began with the theft of the technology
then the effort to use that stolen technology to compete with e-Smart®,
and now continues with his use of untrue, inaccurate and misleading statements
to try to damage the company. We haven't tolerated this behavior in the
past and we certainly will not tolerate it going forward," said Grace.
e-Smart® has initiated a formal investigation into the Gardiner/IDsmart
press release as to whether these statements constitute yet another act
of securities fraud by Gardiner and intends to pursue to the fullest extent
all legal recourse available for any new violations and damages resulting
from the release and/or the allegations and actions stated therein.
e-Smart® Technologies, Inc., is the exclusive supplier of the Biometric
Verification Security (BVS2) system, the Super Smart Card
system technology and related system technologies for Asia, Africa and
the US, which e-Smart® believes to be the world's first smartcard of its
kind with an on-card sensor and a full match on-card system and other
unique technologies for secure biometric ID verification. e-Smart®'s next
generation technologies allow governments, public and private institutions,
healthcare providers and insurers, companies large and small, to provide
a superior level of protection. The Super Smart Card system technology
and BVS2 security system can secure countries from criminal and terrorist
threats, stop ID and payment fraud, along with identity theft in connection
with physical and logical access and financial transactions, including
telephone, Internet payment and other financial and data related transactions
all while protecting individual privacy.
SAFE HARBOR STATEMENT
Statements in this news release that relate to future plans, financial
results or projections, events or performance are 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. While
these statements are made to convey to the public the Company's progress,
business opportunities and growth prospects, readers are cautioned that
such forward-looking statements represent the management's opinion. While
management believes such representations to be true and accurate based
on information available to the Company at this time, actual results may
differ materially from those described.
For more information about e-Smart® Technologies, please visit http://www.e-Smart®.com
or contact Media Relations at 703-768-7477 or media@e-smart.com
SOURCE e-Smart® Technologies, Inc.
© 2007 PR Newswire. All rights reserved.
|