INTERNATIONAL OUTSOURCING UPDATE

INTERNATIONAL OUTSOURCING SERVICES

THE SAGA CONTINUES



As we had reported on June 18, 2007 the El Paso Times reports on August 4, 2007 that “Federal authorities are investigating several law offices” in the IOS fraud investigation. To be specific, the U.S. Attorney’s Office in Wisconsin is looking into the information and behavior of specific defense attorney law firms and attorneys as to the defense methods and information which they provided to the FBI and the U.S. Attorney’s office during the initial IOS investigation.

The U.S. Attorney’s office is looking into whether attorney’s obstructed justice by giving false information to officials, that some attorney’s were used to harass one or more government witnesses and that some witnesses were coached before they were interviewed by federal investigators.

Officials of the law firms named said they were not aware of the allegations being made by the federal prosecutors.

The IOS and defendants (11) named alleged conspirators, officers and consultants for IOS are pending. IOS was released from criminal liability in exchange for its cooperation with the U.S. Attorney’s Office of the Eastern District of Wisconsin and the FBI.

An affidavit by the U.S. Attorney’s office filed in August, claims to have excess of 10 tons of evidence mostly coupons. A hearing is scheduled for September 2007 to allow lawyers to meet with the judge as to when they will be ready to go to trial, according to court filings.

In the meantime, the saga continues, the Furr’s, shareholders of IOS and alleged accused in the indictment, are negotiating a sale to portions of IOS in France and the defendants wait for their day in court.

WHAT DO YOU THINK?


LET US KNOW!

INTERNATIONAL OUTSOURCING UPDATE

INTERNATIONAL OUTSOURCING UPDATE

BUSINESS RELATIONS WITH
LANCE A. FURR

While the alleged fraud by Lance A. Furr and ten others, including executives of International Outsourcing, consultants and outside business associates is moving along on the Federal calendar. IOS has been separated from the case in previous legal decisions, but the eleven defendants remained accused.

Lance A. Furr is a continuing defendant, along with the others. On the 16th of August, 2007 his BOND increased on a motion to allow Mr. Furr to travel outside the United States to France on business.

What’s most interesting here is that in his application to enlarge his Bond, it is explained that he and other members of his family are shareholders in International Outsourcing Services, Inc. The Furr family has recently entered into a business transaction with IOS to acquire certain of its European assets (which have nothing to do with the charges in this case.) Defendants have played an integral role in these transactions and are needed to attend the closing of the transaction and thereafter to meet with key management to develop the business plan of the entity. The sole purpose of the trip is business.

What about the other shareholders concerns? Why are the accused, even though not convicted being given an opportunity to negotiate on behalf of IOS? Should this be monitored by the courts or a shareholder committee?

What do you think?

The SAGA continues!!