HYRF

[la-onda]

Warning Issued to Past and Current Shareholders of HydroFlo, Inc. by the Rosen Law Firm P.A.
Thursday December 1, 10:53 am ET

NEW YORK, NY--(MARKET WIRE)--Dec 1, 2005 -- On November 22, 2005, the Rosen Law Firm P.A. filed a complaint on behalf of all those who purchased the common stock of HydroFlo, Inc. (OTC BB:HYRFE.OB - News) during the period from July 18, 2005 through October 26, 2005, inclusive ("Class Period"). The complaint alleges that HydroFlo and certain of its officers and directors violated federal securities laws by issuing material misrepresentations to the market and is the result of a lengthy investigation by the Rosen Law Firm.

Since the Rosen Law Firm filed this class action complaint, the law firm of Dyer & Shuman and others have issued press releases announcing the HydroFlo class action and encouraging shareholders to consider their legal options. Be advised that no other law firms have filed a complaint on behalf of investors against HydroFlo. In some cases, these other law firms are posting the complaint drafted by The Rosen Law Firm on their websites. These press releases issued by law firms who have not actually filed any complaint appear to be advertisements designed to solicit clients.

If you purchased the common stock of HydroFlo, Inc. during the class period, and wish to serve as lead plaintiff, you must move the Court no later than 60 days from November 23, 2005.

If you are a member of this class, you can view a copy of the complaint or join this class action online at http://www.rosenlegal.com.

If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, Laurence Rosen, Esq. or Phillip Kim of the Rosen Law Firm toll free at 866-767-3653 or via e-mail at [email protected].

The Rosen Law Firm http://www.rosenlegal.com has expertise in prosecuting investor securities litigation and extensive experience in actions involving financial fraud. The Rosen Law Firm represents investors throughout the nation, concentrating its practice in securities class actions.


Contact:

     Contact:
     
     Laurence Rosen, Esq.
     Phillip Kim, Esq.
     The Rosen Law Firm P.A.
     Tel:  (212) 686-1060
     Toll Free: 1-866-767-3653
     Fax: (212) 202-3827
     Email Contact
     http://www.rosenlegal.com
     

[ScottishTrader]

Well it looks like HYRF may be due a bounce

I know I know what most are saying, and that it has been the same with EYII too, but technically, HYRF bottomed today on a long term ascending support line, which has been validated already just recently.  As you can see on the long term chart, this line goes way back, and the long term chart also shows what a rocky road hYRF hass had in its time.

Despite everything and being burned etc.  I'm still long here, having bought a small position a couple of weeks ago when it hit what I htought was support.  My plan for noww is to hold it "just in case", but technically, I would like to see a bit more activity.  The delisting really seemed to kill all the volume, and there seems to be a news black hole for now.  But maybe just maybe, it will react on technicals for a little move up. I see resistance at .18, .20, .22, .24.  lets see if it will get through any of them or just sit on the floor here and do nothing....

[ScottishTrader]

I know, unbelievable.

And then you read the actual resignation letter.  It's just awful.  No idea if Hydroflo will ever come back from this one...



Mr. Dennis Mast
HydroFlo, Inc.
2501 Reliance Avenue
Apex, North Carolina 27539

Reference: Employment Termination Letter

Dear Dennis:

This letter serves as an official notification of my decision to step down as CEO of HydroFlo, Inc. Following are my primary reasons: 1) Your decision to breech my Employment Agreement at the substitute annual shareholder's meeting June 29, 2006. At that meeting you used your majority stake in HydroFlo stock to control the election results and vote against the Board of Director's proposals for restructuring the organization, directly usurping my directives as CEO, and in conflict with SEC sanctions against you. 2) Your continual attempts at getting "upbeat" information to the public, strictly to maintain share price, when, if fact, there was no good news. This includes the attempt to do a reverse merger into Shine Holdings, which would artificially increase the stock price, so that you could raise additional capital, in direct conflict with SEC sanctions. Additionally, I have discovered that four CFO's submitted their resignations to HydroFlo within the previous year, which was never submitted to the SEC under Form 8K, as required by law. If I had been able to uncover this information before April, I likely would not have taken the HydroFlo CEO position; thereby, eliminating the irreparable personal harm suffered by my family. 3) Your unwillingness to provide adequate funding for HydroFlo's operations, a critical element in convincing me to accept the CEO position.

Dennis, as you know, HydroFlo's current ratio is upside down, and you did not fund payroll in June. This situation simply is untenable. This company is bankrupt, but without a reorganization plan. My opinion is that Chapter 11 is the only scenario whereby corporate survival is possible, so that the company might maintain its only assets: its technologies and licenses. As you know, raising capital is next to impossible as long as we have the real and contingent liabilities associated with the shareholder suits related to the false statements made by you and George in 2005 and this year, and the SEC sanctions against you and the company.

Dennis, you induced me into coming to HydroFlo by multiple misrepresentations and misleading and false statements, and I am unwilling to serve HydroFlo stakeholders any longer, if you expect me to be your "yes" man; or if I am expected to be accountable to one shareholder who continually exhibits a reckless disregard for the laws and regulations governing public companies.

-2-

In closing, I just reviewed my handwritten notes for our personal meetings over the past three months. I am dismayed at the numerous times you made commitments to me regarding substantive issues about your responsibilities to me and the company, which, now is apparent that you never intended to honor. Your falsehoods have come at an extreme cost to me and my family, and I am embarrassed that I was taken by your misrepresentations and lack of integrity. I can only assure you that I will seek whatever legal remedies I have in order to attempt to obtain some semblance of equity.


Neal Hill
- - - - -

[ScottishTrader]

The endless black hole of Hydroflo.... Would you believe this was over $1.00 a year ago???  Man what a stinker!!!

But it may have a bit of life left at these levels for some of you penny players.... 50%+ move today on well above average volume.  Do we still have a pulse???