SAN DIEGO, Feb. 17, 2010 (GLOBE NEWSWIRE) -- Plaintiff George Sharp announced today that Yasheng Eco-Trade Corporation (OTCBB:YASH) has rejected Mr. Sharp's proposal to settle the case in exchange for a cash payment to Mr. Sharp that was previously proposed by the Defendants, and a stipulated injunction which would prevent the Defendants from committing Securities Fraud.
According to Mr.Sharp, the Defendants, through their attorney Michael Goch, offered him a reimbursement of the cash losses incurred as a result of the Securities Fraud and other causes of action that he alleges that Yasheng Eco-Trade, Darren Dunckel and Yossi Attia committed. Mr. Sharp countered the Defendants' proposal by agreeing to accept the cash payment, provided that the Defendants also agreed to an injunction compelling them to comply with SEC rule 10b-5; hold annual general meetings of the shareholders; disseminate press releases about all material events; and, refrain from participating in spam email and mailer campaigns.
Mr. Sharp states that the Defendants' responded by refusing to stipulate to any injunction.
Mr. Sharp commented, "How is the public expected to have confidence in the public markets, when those that run public companies can be brazen enough to state that they will not agree to refrain from activities which constitute Securities Fraud? "
Mr. Sharp has established the website www.sharp-v-yasheng.info where the complaint and the correspondence regarding the settlement proposals can be viewed. Ongoing information about the lawsuit is also available there.
Mr. Sharp is a former Vortex Resources Corporation, now known as Yasheng Eco-Trade Corporation (OTCBB:YASH), shareholder who has filed a civil action for Fraud, Negligent Misrepresentation, Securities Fraud and violations of the California Business and Professions Codes 17200 (unfair Business Practices) and 17500 (False Advertising) against the Company and its CEO Yossi Attia. The Complaint was filed in the San Diego County Division of California Superior Court (Case No. 37-2009-00100574-CU-MC-CTL) on October 19, 2009, and served upon the Defendant on October 26, 2009. The case is currently in the process of being transferred to Los Angeles County for a jury trial.