Pacific Sands, Inc. News Release
KENOSHA, WI–(Marketwired – Dec 18, 2017) – Pacific Sands, Inc. (the “Company”) (OTCQB: PFSD) announced today that it has received a delisting notice from the Securities and Exchange Commission (“SEC”), advising the Company that, as a result of its failure to file any periodic reports since it filed a Form 10-Q for the period ending December 31, 2015, the registration of each class of its securities registered pursuant to Section 12 of the Exchange Act of 1934 would be revoked, absent an appeal.
As reported on the 10-Q for the period ending December 31, 2015, the Company had a shareholder equity deficit of $1.2 million and a working capital deficit of $1.3 million.
Because of the significant cost of servicing its debt, and the burdensome expense of preparing and filing periodic reports for the delinquent periods, and for any future periods thereafter, the Company does not expect to pursue an appeal.
The SEC ordered a temporary suspension in trading of the Company’s securities, effective September 26, 2017, followed by a preliminary order by an SEC administrative law judge entered on October 27, 2017 that ordered the revocation of the Company’s registration as a public company. At that time, a 21 day review period began that would allow interested parties to object to the order before it became final.
In late November, the Solicitor General of the United States submitted a brief in a case filed against the SEC, and unrelated to the Company, which challenges the method of appointment and authority of SEC administrative law judges. As a result of that case, pending matters for dozens of registrants, including the Company, have been remanded back to the judges that had handled them for further review and final disposition on or before February 16, 2018.
The Company expects that the outcome of this review will be to finalize the revocation of the Company’s status as a public company.
Immediately thereafter, the Company will be operated as a private entity for the benefit of the existing shareholders. At that time, the Company intends to make a timely dissemination to shareholders of financial statements, compiled by a CPA, together with an overview of current operations. Until then, applicable restrictions relating to communications with shareholders remain in effect.
Pacific Sands, Inc.