Why In The Last Week Did $OPMG's SEC Filings Remove 61 Mentions Of $NQ, From Whom They Are 100% Reliant On A Sublicense? (Uh Oh!) - Timothy Sykes

Why In The Last Week Did $OPMG’s SEC Filings Remove 61 Mentions Of $NQ, From Whom They Are 100% Reliant On A Sublicense? (Uh Oh!)

As I explained in a blog post two days ago when it was discovered by a reporter that the president of Options Media Group Holdings, Inc. (OPMG) had a criminal record, my only trade on this stock was to BUY THE BREAKOUT at .0488 roughly a week after I posted my initial blog post featuring all my research taken straight from the company’s 5/17/SEC filing.

Coincidentally, in the last two paragraphs of that research post I specifically stated the stock was not a short and that it was a potential buy and that I would buy the breakout…oh yes I followed my predictions to a T

$880profitOPMGLong Stock
Bought the breakout, stock hurt by newspaper felony expose http://bit.ly/koud0z

Posted by timothysykes /

But the very night I was long the stock, a blogger who I have NEVER met, communicated with or talked to from a small Florida newspaper discovered the felony charge and posted it at roughly 6:25am EST.

Yet somehow people still think I wrote my report to short the stock and create a “smear campaign”…in fact OPMG sent me a cease and desist letter alluding to exactly that and early next week I’ll post my legal response publicly…just as I have done when Shaquille O’neal threatened me, when Oliver Velez has threatened me, and when RedChip threatened me.

In each case, we responded and those threatening us disappeared, never to be heard from again…in Shaq’s case, his stock’s price dropping 95%+.

In each case I’ve made it clear that I ALWAYS research publicly available information so if a person or a company doesn’t like what I say, perhaps they should look in the mirror and their own legal filings.

I currently have no position in OPMG, and I would say it’s a potential buy, but only subscribers of my 4 newsletters know why I will not say that anymore. It has nothing to do with the cease & desist or the fact that when I tried asking questions on the company’s conference call, I was cutoff not once but twice, something that had happened to no other caller. (Tip to all wannabe companies out there, if you can’t face your critics in public, especially when they are citing information from your own legal filings, it doesn’t look too good for you)

No, no, I’ll leave the stock analysis for PennyStocking Silver subscribers and TIMalert subscribers only…what I want to focus on is that I got the CEO to admit there will soon be roughly one billion outstanding shares (Tp: Good luck getting over 10 cents/share with that many shares out there) and part of a question I did get to ask OPMG’s CEO before I was rudely cutoff:

As posted on IHUB, here was my Q&A with OPMG’s CEO:

Timothy Sykes Question: Doesn’t NetQin Mobile Inc (NQ) actually own the license for the Phoneguard application?

Answer: CSI actually owns the Software and OPMG has Exclusive LICENSING for it for North and South America.

OK, sounds simple, right?

Unfortunately OPMG’s two most recent SEC filings complicate the matter as in the 5/17 filing, NetQin is mentioned 61 times, including screenshots of the licensing agreement for Phoneguard and passages like this:

In April 2010, PG Acquisition Corp, Inc. (“PG”), a wholly-owned subsidiary of the Company, entered into an Asset Purchase Agreement and Sublicense Agreement with Cellular Spyware Inc. (“Cellular”), and its majority shareholder. We also closed the acquisition in April 2010. Cellular was a licensee of certain anti-virus software (the “Software”) and had the right to sublicense the Software under an agreement with NetQin Mobile Inc., a large Chinese company.

In fact the 5/17 filing says there were 3 agreements with NetQin:

Netqin Master Licensing Agreement dated August 20, 2009
NetQin Sublicense Agreement dated April 16, 2010
Amendment to Netqin Master Licensing Agreement dated April 27, 2010

Which concurs with a NetQIN PR from April 2010 that says the agreement is not only for PHoneGuard by also DriveSafe, OPMG’s precious anti-texting software:

Additionally, Options Media and PhoneGuard have reached a verbal agreement for Options Media to acquire a sublicense of PhoneGuard’s U.S. and Canadian license from NetQin for a software solution which prevents drivers from texting while driving. As of today, 21 states in the U.S. have banned texting. PhoneGuard intends to launch this product in mid-April.

OPMG’s 5/17/2011 filing goes so far to say how reliant they are on NetQin’s software:

Concentration of Software License: The Company is 100% reliant on its software sublicense with NetQin Mobile, Inc., for anti-virus mobile software. The Company is required to sell 1,000,000 units of the software each year beginning May 1, 2010, or it may lose its exclusive right to market the product within the United States and Canada upon notification by the licensor within 30 days of the end of each annual period.

But now in the 5/23/2011 SEC filing, there is not one mention of NetQin (do a search, it’s fun!), compare that same paragraph regarding Cellular Spyware (whose founder remember is convicted felon Anthony Sasso who was just asked to resign the other day when the FL blogger discovered his criminal record which somehow OPMG didn’t know about or at least didn’t disclose)

On April, 16, 2010, through our wholly-owned subsidiary PhoneGuard, Inc., the Company entered into an asset purchase agreement and sublicense agreement with Cellular Spyware Inc. The asset acquisition gave the company rights to the name PhoneGuard whereby the Company then entered the mobile and smart phone application market. PhoneGuard acquired certain assets of Cellular Spyware for an anti-virus and anti-malware software product and became the exclusive marketer within the United States and Canada. In addition to anti-virus and anti-malware software, in August 2010 the Company also acquired an exclusive license for Cellular Spyware’s rights to a state-of-the-art anti-texting product in North America, Central America and South America.

And remember in the 5/17/2011 filing, that same date April 16, 2010 is listed as “NetQin Sublicense Agreement dated April 16, 2010”

So what happened to the NetQin deal in just 6 days between SEC filings that made OPMG drop their mentions down from 61 to ZERO despite contracts that were signed over a year ago?

And why did the CEO say this PhoneGuard system is not licensed from Netqin when their old SEC filings say exactly that?

And why in this November 2010 press release does the same CEO describe PhoneGuard as “Powered by NetQin, PhoneGuard is the new wave of protection technology…”?

Remember in the 5/17/2011 filing OPMG says “The Company is required to sell 1,000,000 units of the software each year beginning May 1, 2010, or it may lose its exclusive right to market the product within the United States and Canada upon notification by the licensor within 30 days of the end of each annual period”

So my question to OPMG’s CEO and shareholders, given that OPMG DEFINITELY has not sold 1 million units May 1, 2010 – May 1, 2011, NetQin has the right to terminate the sublicense within 30 days of the end of each annual period, OPMG’s latest SEC filing on 5/23 has ZERO mention of NetQin down from 61 mentions in a filing just 6 days before and most importantly, the CEO told me they’re not licensing from NetQin, has NetQin in the last few days notified OPMG — sometime between 5/17 and 5/23/2011 — that they lost the exclusive North American license to the PhoneGuard software?

If NetQin has terminated OPMG’s exclusive license to PhoneGuard which remember the company describes as “Powered by NetQin, PhoneGuard is the new wave of protection technology…” in this key November 2010 press release (not to mention they were selingl the software for $20, not $30), what the heck product is Bieber promoting?

That was my 3rd question for the CEO on the conference call, but I got cut off so now I pose the question publicly here….PennyStocking Silver subscribers and TIMalert subscribers, you know my take on the actual OPMG stock.

Posted in Basics, Celebrities, Penny Stock Scandals, Videos

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Timothy Sykes

Hey Everyone,

As many of you already know I grew up in a middle class family and didn't have many luxuries. But through trading I was able to change my circumstances --not just for me -- but for my parents as well. I now want to help you and thousands of other people from all around the world achieve similar results!

Which is why I've launched my millionaire challenge. I’m extremely determined to create a millionaire trader out of one my students and hopefully it will be you.

So when you get a chance make sure you check it out.

PS: Don't forget to check out my free Penny Stock Guide, it will teach you everything you need to know about trading. :)

  1. E. LeBaron


    You told people to buy the stock and you couldn’t move the thing at all.  Now you’ve bashed OPMG and you’re not moving it at all.  Why don’t you become a real professional and stop hating on stocks you don’t believe in and focus on the “winning” stocks you do believe in.  You seem to have some deep rooted anger for some reason beyond this pick.  I suggest you do some soul searching and find the cause.  Leave OPMG alone, it will succeed and no my friend you cannot stop this or Bieber from happening.  The guy is ubiquitous.  Buy the damn stock again, admit your wrong and move on.  Lastly, please realize we dont give a sh* about a former felony conviction of a guy that is no longer affiliated with the company.  We care about the importance of this product and the lives it can potentially save as well as the opportunity people have here to invest in something that can actually make this world a better place.  PEOPLE DON’T LIKE NEGATIVITY TIMMY.  Now I suggest you BTFD while you still have time friend. 

  2. Anonymous

    tell me when i “Told people to buy the stock”..i dont tell people when to buy and sell, i tell people when I buy and sell…big difference…the technical breakout failed the night i held it, probly due to the overnight expose on OPMG’s president…and i have nothing against OPMG…just like i had nothing against spongetech…and same there everyone hated me too, but eventually everyone realized i was 100% right…as they will here too…this is the life of an educator, say thank you

  3. Anonymous

    and yes a felony conviction on the founder of a company OPMG is licensing their software, especially when it looks like OPMG never even knew about…that is relevant…learn how stocks move from me, not your own assumptions, this is why i’m a successful teacher and you’re you

  4. smoothstudios

    As always Tim, you continue to PROVE you are a seasoned investor, experienced and well educated – more like self taught – teacher with PROVEN methods and even though there are always lessons to be learned from mistakes, you seem to profit from 99% of your investments. I’ll pay to learn from that every day!

  5. Kenny

    Tim thanks for your work here…Exposing this nonsense is a great help to new investors…You should look into the promoters who promote this, I bet you would have a field day….

  6. Clockwork

    Mr Our Street!! good /bad mixed interest on OPMG. I’m still not satisfied that we know exactly what we should know <even @ 04 cents I don;t want to be robbed ;(( So here's my thoughts. The license that OPTIONS bought from CSI at the start of this round of business is NOT the operative license behind the anti/text product that is being promoted.  As I recall – the Netqin business was not an anti/text while driving solution. I can't find any record of the license that shows OPMG buying assets that could deliver anti/text. So I have to assume that what Scott said in CC about owning IP and licenses for Can & USA (and south america?) is about to be purchased (future tense) and not bought and owned (past tense). Sasso is obviously the owner of the IP assets and I suspect OPMG needs to acquire these IP assets and/ or licenses to make these white lies become true.       

    what the heck product is Bieber promoting?

  7. E. LeBaron

    Semantics Tim.  People follow what you buy and sell.  That is the nature of your business.  When you tell someone you are buying or selling and as a result people buy and sell, you are in a way telling people what to buy and sell.  Aside from that insignificant detail, let’s talk about this a bit more.  It’s been said that any publicity is good publicity.  I have to thank you for that.  it does seem that you’re a little fixated on tanking the company so you can play the “Told ya so” card.  Great then what?  We all know that what will make or break this company is Bieber.  If the product launch happens = Phoneguard winning.  Does it suck that some guy was involved in a stolen car circle… yes.  Did he pay the price according to our laws… yes.  Should we ignore his technological invention for this reason… not in my opinion.  Should we pay careful attention to the sub-licensing agreements… yes.  Does Microsoft license technology from other companies… yes.  Let’s move on.  I think we all know the associated risks and concerns.  They need funding.  They have a good plan going forward.  People make mistakes, but don’t put us all in the same lot as Sasso.  Think about the little girl that got hit by a car by a driver texting someone.  Think about calling Netquin and getting information from them before you verbally hit a company in the mouth.  We all want to win and we all appreciate accurate information but let’s look at the facts.  Seems like there’s a lot of he said she said here.  Next step is to see if Bieber is at the launch.  If that kid steps anywhere near their product this stock will EXPLODE.  Cheers.

  8. Donnellkm14

    Do you think starting off with a 5k investment is good? when i sing up for penny stock silver?

  9. Anonymous

    the felony doesnt concern me as much as the fact that the FL blogger wrote it as the company didnt know…and now has asked him to resign…he is the founder of the company they are licensing this platform from, which i think is licensing it from netquin…but now i’m not sure what to think anymore…also he said 1 billion shares now in the near future, good luck convincing anyone this is more than a 40 million company which it is right now…spongetech had similar issues with massive dilution and celebrity endorsers, look how that ended up…say thank you to the messenger

  10. QWAZY34

    Timothy, Are you aware that phoneguard inc is owned by Anthony Sasso and also cellular spyware Inc. As you know they are sublicensed to sell NQ’s product in the USA and Canada. they claim they developed a product NOT TRUE all he did was repackage it and resell it he owns the trademarks to the name and corp. what i ask is how does a lead company (read the bad press on that) becuase thats all Options Media is. and how did they become a company to trade on the stock market. I mean i know alot about Phoneguard, Cellular Spyware and Options media just on doing research and talking to people that have done business with them. ALL I CAN SAY IS THAT THE WHOLE PACKAGE SEEM’S LIKE A SCAM.

  11. QWAZY34

    Protection of the valuable data stored in our cell and smart phones is becoming increasingly important, and we believe use of the PhoneGuard product, provided by NetQin, is the best way to protect this important asset,” commented Scott Frohman, CEO of Options Media. “While North American mobile phone users are just now beginning to realize these risks, users in Asia and Europe have already installed millions of copies of this anti-virus software. The North American market is expected by most industry watchers to soon experience the same explosive market growth. In our audio interview, we discussed the trends in this market and our proposed license acquisition. We see exciting times ahead for Options Media as our product portfolio continues to expand in order to serve the growing needs of both the mobile social media market and the mobile marketing/e-commerce communities.”The letter of intent, which was announced on April 1st, outlines Options Media’s acquisition of the North American sublicense from NetQin Tech Co., the incontestable industry leader in mobile security and provider of services (including mobile anti-virus, anti-harassment, and privacy protection) to more than 30 million subscribers in more than 200 countries and regions. Under the terms of the agreement, Options Media will become the exclusive marketer within the United States and Canada of the PhoneGuard software suite designed to safeguard cellular phones, PDAs and smart phones from attacks by hackers and cyber criminals. 
    Additionally, Options Media and PhoneGuard have reached a verbal agreement for Options Media to acquire a sublicense of PhoneGuard’s U.S. and Canadian license from NetQin for a software solution which prevents drivers from texting while driving. As of today, 21 states in the U.S. have banned texting. PhoneGuard intends to launch this product in mid-April.

  12. E. LeBaron

    Well I always like to hear all sides of the trade and appreciate your responses.  I sold my shares until I hear something further about the product launch with Bieber.  Do you ever put any info out on PM commodity related penny stocks?  I think the MACD is screaming another bull run is about to hit.

  13. Jrkerrod

    ahhhh Timothy, there is that smear campaign I knew you would write, just as I said.  Good thing I waited until today to cover my 2.5 million shares.  Thanks buddy.  Isn’t it amazing how I know what you will do even before it is ever a thought in your mind.  Not writing the article the day after and waiting until the second day was brilliant.  Enjoy you trip to Russia and good luck speaking at the internet bride convention

  14. Gtan

    This company might be a scam, the product licence might be fake… whatever it is, you know this stock has not showed its run yet… this was just a little taste. This should get fun in the coming days.

  15. Xxxooostar

    Timothy, your so right but I also read in an agreement that they filed between convicted felon Anthony Sasso and opmg that he was required to sell 1million units of the netqin software with in a year time frame or the agreement was off. But here’s a question options media went public correct, for a product that is licensed to CSI which is cellular spyware Inc and also sub licensed to phone guard, now phone guard is owned by Anthony sasso as is CSI and now they also are looking to trade the ticker code. So who owns Pg, corporation wiki shows sasso as owner, and options media is owned by frohman and I guess the other gentleman he mentions in press release. again seems fishy and I smell some kind of scam.. And if Anthony sasso reads this, cease & desist this.. Wow someone has it out for you… But people buying this stock your taking a chance as in any stock you buy, for the software it’s ok not the best out there Another product coming out that’s better and less expensive..

  16. Dan

    Bottom line tim, it is always about you.  I just can’t believe how smart you are.  Even you tell everybody how you are the next best thing to slice bread.  The thing you enjoy most is trash talking other people.  You really get off on that.  That is a sign of true weakness.   

  17. Anonymous

    zzzz forget about me, its about educating how these companies work…in the end, say thank u for your hard work and for teaching us ingrates tim…and i will say you’re welcome, i dont have to post my research for free, but i cant stand the emails i get after these pumps end from people who didnt have proper info 

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