PENSACOLA, FL--(NewMediaWire - Dec 10, 2015)
- Cannaworx, Inc., a portfolio client
of GEAR International, Inc. (OTC
PINK: GEAR), a California-based
company that is focused on the development and advancement of
cannabinoid sciences, is pleased to announce that it has acquired
an advanced CLCO2 system from Innovative Extractions that
facilitates the temperature driven extraction and concentration
processes of cannabis products.
"We've chosen to work with Innovative because we know their
research and development is far superior to other extraction
companies," said Cannaworx CEO Robert F. Calkin. "The extracts we
will be creating with these machines will enable us to develop the
cannabinoid-specific formulas we've been working on in bulk
quantities. The doctors we are working with and their patient
groups are demanding more and more products for their clinical
trials."
Participating in advancing the body of knowledge centered on
cannabinoids as a medicine, and producing products that are
grounded in good science, the Cannaworx extract and formulation
facility makes high quality medical cannabis products available to
those in need and those meeting the health care needs of
others.
"Cannaworx has a vast team of medical professionals who
continually advance our research to help develop the resulting
cannabis-based products," said Gerry L. Bedore Jr. Ph.D., MBA,
Cannaworx President. "Not only does this new extraction system
bring good news for our patient groups, the Cannaworx extraction
operations will now be a significant revenue driver for our
company's operations."
Cannaworx develops and produces high quality medicinal and
health products that are tested and wholesome. It is the goal of
Cannaworx to advance medical cannabis cannabinoid/terpene
formulations for use in healing and comforting mankind and the
animals we love.
About GEAR International, Inc.
GEAR International is a public company that offers a viable and
often creative funding resource and joint venture opportunities for
companies seeking unconventional funding, hard asset loans,
expansion capital and/or other resources. The objective is to
assist companies that are in a unique position to capitalize on a
current trend or scale their operational business. By providing
timely capital and other resources, the management teams of our
companies can accelerate product launches, expand into new
territories and often even pioneer an entire new category.
About Cannaworx, Inc.
As a resource provider, including facilities, equipment,
consulting, education, product development, research and
development, financing, personnel, and management of all functional
areas to the cannabis and hemp industries, Cannaworx, Inc. bring
decades of experience and know-how to the embryonic cannabis and
hemp industries. Developing and supporting growing patient and
customer needs with new awareness and breakthrough products and
therapies is enabling Cannaworx, Inc. to position itself for
national and global growth in the cannabis and hemp
industries.
Forward-Looking Statements
This press release contains statements which may constitute
"forward-looking statements" within the meaning of the Securities
Act of 1933 and the Securities Exchange Act of 1934, as amended by
the Private Securities Litigation Reform Act of 1995. Those
statements include statements regarding the intent, belief or
current expectations of Gear International, Inc. and members of its
management as well as the assumptions on which such statements are
based. Prospective investors are cautioned that any such
forward-looking statements are not guarantees of future performance
and involve risks and uncertainties, and that actual results may
differ materially from those contemplated by such forward-looking
statements. The company undertakes no obligation to update or
revise forward-looking statements to reflect changed assumptions,
the occurrence of unanticipated events or changes to future
operating results.
FEDERAL LEGAL PROHIBITION: THE COMPANY INTENDS TO ENTER,
DIRECTLY OR THROUGH SUBSIDIARY OR AFFILIATED BUSINESS ENTITIES, THE
BUSINESS OF FUNDING RESOURCE PROVIDERS OF FACILITIES, EQUIPMENT,
CONSULTING, PRODUCT DEVELOPMENT, RESEARCH, FINANCING, PERSONNEL,
AND MANAGEMENT TO ENTITIES INVOLVED IN THE MANUFACTURING,
PRODUCING, AND DISTRIBUTION OF A PRODUCT THAT INCLUDES MARIJUANA.
MARIJUANA IS CLASSIFIED FEDERALLY AS A SCHEDULE 1 NARCOTIC. IT IS A
FELONY TO DISTRIBUTE, CULTIVATE OR USE MARIJUANA. IRRESPECTIVE OF
THE LAWS OF THE STATE OF ILLINOIS OR ANY OTHER STATE, THE FEDERAL
GOVERNMENT COULD AT ANY TIME CHOOSE TO PROSECUTE THE COMPANY AND
ITS OWNERS. ANY AND ALL INVESTORS MUST BE WILLING TO BEAR THIS
EXTREME RISK OF PROSECUTION, PENALTY AND IMPRISONMENT.
Investors are cautioned that due to the Company's acquisition of
the right to receive income from companies offering various
services to marijuana farming operations, an investment in this
Company is extraordinarily risky, involving a multiplicity of
extreme risks given the conflict of laws and the potential
consequences of that conflict, including very substantial legal
risk of federal prosecution, penalty and imprisonment, as marijuana
is still classified federally as a Schedule 1 narcotic.
It is a felony, in violation of the Controlled Substances Act,
to distribute, cultivate or use marijuana; and the very
comprehensive federal and international anti-money laundering
statutes, including: Bank Secrecy Act (1970), Money Laundering
Control Act (1986), Anti-Drug Abuse Act of 1988, Annunzio-Wylie
Anti-Money Laundering Act (1992), Money Laundering Suppression Act
(1994), Money Laundering and Financial Crimes Strategy Act (1998),
Uniting and Strengthening America by Providing Appropriate Tools to
Restrict, Intercept and Obstruct Terrorism Act of 2001 (USA Patriot
Act [Title III of the USA Patriot Act is referred to as the
International Money Laundering Abatement and Financial
Anti-Terrorism Act of 2001]), Intelligence Reform & Terrorism
Prevention Act of 2004. At least a portion of these provisions
expressly include restrictions upon the use of the banking system
to transfer the proceeds of such investments, which could be viewed
as money laundering.
These violations are irrespective of the laws of any state, at
any time, despite its current position. The current federal
guidelines are outlined in the Federal Department of Justice
guidelines regarding Marijuana Related Financial Crimes dated
February 14th, 2014, commonly referred to as the Cole Memorandum.
And more recently, in December 2014, the U.S. House of
Representatives approved H.R. 83 "Consolidated and Further
Continuing Appropriations Act, 2015," defunding the federal war on
medical marijuana. The provision passed the Senate and was signed
by President Obama. Section 538 of the Act prohibits the use of
Department of Justice funds to "prevent [states that legalized the
medicinal use of marijuana] from implementing their own State laws
that authorize the use, distribution, possession, or cultivation of
medical marijuana."
Similarly, in July 2015 the U.S. Senate Committee voted to
prohibit the US Justice Department from interfering in state
medical marijuana laws. Despite these recent reversals in
governmental policies, however, there remains a substantial legal
risk of federal prosecution, penalty, forfeiture and imprisonment,
and for a multitude of potential violations. Additionally, the cost
of assuring compliance and the costs associated with otherwise
normal business transactions, are substantially enhanced by these
circumstances. Risks peculiar to the issuer, also include a very
substantial strategic risk associated with lack of ownership and
consequent lack of control over the subject property and
operations, which lack of ownership and control is mandated by the
laws and regulations of the jurisdiction in which the marijuana is
grown. The risks also include a very substantial economic risk,
including as a consequence of the foregoing recitation of other
legal risks. It is just such risks that that have prevented those
in the industry from securing any financing from other sources.
Nonetheless, the Department of Justice could choose to prosecute
the Operator and its owners, and all those who may be perceived to
have aided and abetted, including the Facilitators and the Real
Estate Owner. Accordingly, there remains a substantial legal risk
of federal prosecution, penalty, forfeiture and imprisonment, and
for a multitude of potential violations. Additionally, the cost of
assuring compliance and the costs associated with otherwise normal
business transactions, are substantially enhanced by these
circumstances. Risks also include a very substantial strategic risk
associated with lack of ownership and consequent lack of control
over the subject property and operations, which lack of ownership
and control is mandated by the laws and regulations of the
jurisdiction in which the marijuana is grown.
The risks also include very substantial economic risks,
including as a consequence of the foregoing recitation of other
risks. It is just such risks that that have prevented the growers
from securing any financing from other sources, over a substantial
period of time. Finally, given the extraordinary return on the
investment, there is even a risk of the financial arrangement being
construed as a "loan," which may, at least arguably, not be exempt
from applicable usury laws, even though this financial arrangement
is not a loan, let alone a conventional loan, but is in the nature
of risk capital financing/provision of services and real estate and
that the contemplated compensation appears to be, and has been
represented by the payors to be commensurate with the multiplicity
and magnitude of the risks, including those as above
identified."
