UNITED STATES SECURITIES AND EXCHANGE COMMISSION LITIGATION RELEASE NO. 15608 / January 6, 1998 ACCOUNTING AND AUDITING ENFORCEMENT RELEASE NO. 1004 / January 6, 1998 SEC V. INTERNATIONAL COMMUNICATIONS & TECHNOLOGIES, CORP., F/K/A MOBILE SERVICES INTERNATIONAL CORP., JAMES C. COBBAN, JAMES M. ROBINSON AND JONATHAN D. BENNETT, Civil Action No. 96-8490-CIV-HURLEY/LYNCH The Securities and Exchange Commission ("Commission") announced that on December 18, 1997, Final Judgments of Permanent Injunctions were entered against James C. Cobban ("Cobban"), James M. Robinson ("Robinson") and Jonathan D. Bennett ("Bennett") (collectively, the "defendants") by the United States District Court for the Southern District of Florida. The Final Judgments enjoin Cobban and Robinson from future violations of Section 10(b) of the Securities Exchange Act of 1934 ("Exchange Act") and Rules 10b-5 and 13b2-2, promulgated thereunder, and enjoins Bennett from future violations of Section 10(b) of the Exchange Act and Rule 10b-5, thereunder. The Final Judgments did not order Cobban, Robinson and Bennett to pay civil penalties based on their demonstrated financial inability to pay. Cobban, Robinson and Bennett are all former officers and directors of International Communications & Technologies, Corp., f/k/a Mobile Services International Corporation ("Mobile Services"), a mobile telecommunications company formerly based in Boca Raton, Florida. The defendants consented to the entry of the Final Judgments without admitting or denying the Commission's allegations. The Commission's Complaint, filed on July 3, 1996, alleged that Mobile Services made false filings with the Commission during fiscal years 1993 and 1994. Specifically, the Complaint alleged that Mobile Services valued certain franchise rights as exceeding $4 million, when, in truth, these franchise rights were worthless; the allegedly overvalued assets represented over 80 percent of Mobile Services' assets. The Complaint alleged that the defendants knew that the franchisor was defunct, with the result that the franchise rights were materially impaired when the filings were made. The Complaint also alleged that Cobban and Robinson made false and misleading statements and omissions to Mobile Services' independent auditor in connection with his audit of the company's 1993 financial statements. The Complaint further alleged that Mobile Services failed to make and keep books and records which accurately and fairly reflected its financial and accounting transactions.