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Type 2 Offense: Why Bio-Solutions Corp.'s (BISU)
S-8 Stock Issuance Could Have The SEC Come A-Calling

September 10, 2013:  Bio-Solutions Corp. (BISU) is at it again today with yet another Pump & Dump campaign. This one looks to be longer term, as a slew of press releases have been issued recently and the company threatens to be ready to come to market with its Type2Defense Supplement for diabetes patients. It is important to point out that this product is just a supplement and not a cure for diabetes. Bag holders from previous BISU Pump & Dump campaigns have been waiting for as long as two years for the company to finally put its money where its mouth is and actually ring the register with its first sale. There is no word no why it has taken so long to come to market with this product, which was proclaimed to be ready to go in 2011.

In the two years since the acquisition of Type2Defense was announced, the number of shares issued and outstanding has increased by about 200%. and shareholders have taken quite a beating, especially those that bought in at the heights of several promotions. Looking at BISU's Past Performances chart, 91% of trades that took place on the July 8, 2013 promotion, were overpays, that is to say, that these trades occurred at prices higher than the closing price on that day. As the share price fell as much as 40% more since that date, those traders were probably sweating their investment. This new Pump & Dump campaign is likely to create some additional hard feelings.

Supplements geared towards diabetics are a dime a dozen out in the market and the idea of a new product does not get our heart racing.  Prominent nutritionist, Nature's Made offers a popular product as do several others. We are skeptical about the ability of this tiny company to make hay out of their product, especially in consideration that it has taken two years, thus far, just to get to market.  We are not confident in BISU's ability to generate enough revenues from Type2Defense to even match the company's current market cap of about $1.5 million.

What has us particularly concerned with about this new Pump & Dump campaign, is that investors may hang their hats on  BISU's announcement of a forth coming infomercial, advertising Type2Defense. In payment for the infomercial's production costs and talent, BISU is issuing a total 15,000,000 free-trading shares of stock under Rule S-8. Our first thought is, "What kind of an infomercial can you create for about $15,000?", which is what those 15,000,000 shares are currently worth.  But that's not where the potential problem really is.

In our opinion, it is likely that this forth coming infomercial, if it ever actually gets air time, is going to be a veiled attempt at pushing BISU shares as much as promoting the purported benefits of Type2Defense.   Perhaps, a stock symbol will be displayed on screen during the commercial. In fact, much of the hype among investors, is about what this infomercial will do for the share price, once and if it airs.  In other words, believers are counting on a televised stock promotion.  What they don't realize is that this could be problematic for the company.

While S-8 stock can be issued in lieu of payment for services rendered, it cannot be issued in lieu of payment for an awareness program, i.e. to promote a stock purchase. Per the SEC's directive, as found on their website;
(iii) the services are not in connection with the offer or sale of securities in a capital-raising transaction, and do not directly or indirectly promote or maintain a market for the registrant’s securities.
If there is any perception that BISU is promoting its stock in this infomercial, the SEC could come a-calling and suspend trading for an illegal stock issuance.  Investors should be watching the ad for this possibility at their very first opportunity.