Stuart Smith

Bermuda resident Eric Collins seemingly rues the day he agreed to serve as a director of Consensus Investments Ltd., which the SEC alleges was used to conceal insider trading in penny stock SHEP Technologies by Lines Overseas Management, Scott Lines,

A participant in an alleged securities fraud involving Bermuda based Lines Overseas Management described potential victims - who included LOM's own clients - as "poor lambs" and "sheep", claims the United States Securities and Exchange Commission. The derogatory terms were

Forty-seven individuals and companies in Bermuda, Canada, and the United Kingdom are being asked to provide evidence for a securities fraud civil action brought by the U. S. Securities and Exchange Commission against the Bermuda, Bahamas and Cayman operations of Lines Overseas Management, the group's President, Scott Lines, and its former President, Brian Lines.The witnesses include a stock analyst, newsletter writers, people who allegedly held shares in a nominee capacity for the Lines brothers, former employees of LOM, and officers and directors of two OTC BB-listed companies whose shares LOM allegedly manipulated, namely Sedona Software Solutions, Inc. and SHEP Technologies, Inc.

Insiders and privileged clients of investment firm Lines Overseas Management stood to profit from the alleged manipulation of a penny stock by LOM principals Scott and Brian Lines, according to a court filing by the SEC.These included directors such as Graham Collis and Susan Wilson, senior employees like CFO Malcolm Moseley; relatives of the Lines brothers, including two minors, and the manager of a local restaurant, Constanzo Di Meglio.

A raid on an alleged boiler room in Vancouver is further evidence that the Bank of Bermuda may have been conned out of $14.3 million when it invested in First Ecom.com Inc.