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    Thread: Seems like Stasis Motorsports really did a number on Eurojet...Shady dealings abound

    1. Member eurotekms's Avatar
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      07-30-2012 12:18 AM #36
      Quote Originally Posted by Exhaustdd View Post
      Regardless of the content, I hate hearing about a system where the side with more money inevitably
      "wins"
      Well, in a lot of the cases the company with more money was the smarter one in business.

      I'm a bit surprised by how much "Eurojet guy" posted up on that blog. No confidentiality paperwork? I'm not a lawyer but I would think some of the comments would be considered libel.

      Anyway, atleast he'll come away learning some things, and maybe do better in business in the future.
      x

    2. Member Dynamic Rollover's Avatar
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      07-30-2012 06:54 AM #37
      It's all public information that's been docketed and entered into the Court. How is it libel?

    3. Moderator rs4-380's Avatar
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      07-30-2012 08:58 AM #38
      sounds like someone either needed to get a lawyer or get a lawyer that actually knew what they were doing BEFORE everything was signed.
      Dave

    4. Member freedomgli's Avatar
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      07-30-2012 09:18 AM #39
      IMO West Virginia is a horrible state in which to do business. So I'm not surprised that certain shady businesses are all too happy to setup shop where labor is cheap and buying off public servants is even cheaper! It is a shame that a state with such beautiful geography and a vulnerable populace who has long received the short end of the stick are subject to such a terrible state government run by powerful business interests. It's so bad there the US Attorney has established the WV Public Corruption Hotline (1-855-WVA-FEDS (1-855-982-3337), and the email address is wvafeds@usdoj.gov) to help combat the problem.

      See also http://www.stateintegrity.org/west_virginia

      Consumers should not only vote with their pocketbook but also with their conscience. Do your research first and don't support bad companies or else the bad behavior will continue unabated.

    5. Member pattrick02's Avatar
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      07-30-2012 09:34 AM #40
      i was never a fan of Stasis, and if this is all true, I am REALLY not a fan...that's what I hate big companies..most of them are bastards like that.

    6. Member Yak Meat's Avatar
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      07-30-2012 09:38 AM #41
      Well im getting into the audi game and ill be sure to trash their products whenever someone buys them and also make sure not to purchase them.

      I liked eurojet a lot when I had my GLI. Had their intercooler and a number of other parts. Good people!

      Stassis, apparently not so much...
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      07-30-2012 09:40 AM #42
      Quote Originally Posted by eurotekms View Post
      Well, in a lot of the cases the company with more money was the smarter one in business.
      .
      You're right, people don't become wealthy and stay wealthy by being dumb on the business end. Unfortunately smart and ethical don't always go hand and hand, combine that with a legal system that rewards the wealthy and you get a steep up hill battle for the "little guy".

    8. Member jmj's Avatar
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      07-30-2012 09:48 AM #43
      Quote Originally Posted by eurotekms View Post
      I'm not a lawyer but I would think some of the comments would be considered libel.
      Even non-lawyers know the maxim that the truth is a defense to actions of libel and slander. If they were libelous statements I would think Stasis' lawyer would have taken action in that regard.
      Quote Originally Posted by Taipei_E92 View Post
      If you generalize...you are always going to get it wrong.

    9. Member MCTB's Avatar
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      07-30-2012 10:10 AM #44
      Quote Originally Posted by eurotekms View Post
      Well, in a lot of the cases the company with more money was the smarter one in business.
      While this is true, not everyone gets into business to make money. Some people get into the business to offer support and good products to owners and enthusiasts. Stasis just seems to me like they want to build a large, over reaching company with many brands and do it at any cost. Sucks. I had a few Eurojet things on my Jetta and GLI.

    10. 07-30-2012 11:21 AM #45
      Guys,

      Let this be a lesson to anyone thinking of going into business.

      Basically, it sounds like Eurojet was a nice lifestyle business, wherein the owner enjoyed the work and made a comfortable living off of it.

      With promises of a "get rich quick" scheme, the owner then sold his business AND LIVELIHOOD for $50,000 in cash. This amount of cash is likely less than one year's worth of profit from Eurojet.

      FORGET THE STOCK. If it's a private company, value it at a substantial discount to the cash component. Rule of thumb: if you are ever selling to a private company, take 100% cash up front. HAVE THEM PUT IT IN ESCROW and DO NOT sign anything until your lawyer confirms the cash is in an escrow account. Upon signing, the cash will be released into your bank account. I can get into the reasons why if you want, but needless to say, the Eurojet outcome is one example of how things can go wrong.

      Receiving stock in a public company is comparable to receiving cash, as you can sell the stock eventually to cash out. You can NOT do this in a private company and are at the whim of the officers and directors - who may or may not have your best interest at heart.

      So essentially, Stasis was able to acquire Eurojet for next to nothing. They paid the owner a salary which was probably less than the profits being generated at Eurojet, and made the deal seem more interesting by handing over a whack load of over priced illiquid stock.

      Stasis probably made back the $50,000 in cash within 6 months of acquiring Eurojet.

      All in all, this was a REALLY bad deal. Everybody learn from this. Do your due diligence (get a lawyer involved!) on the acquirer and if anything at all bad comes up, RUN the other way. This all could have been prevented.
      Last edited by Rob; 07-30-2012 at 11:27 AM.

    11. 07-30-2012 11:31 AM #46
      Joel isn't known for telling the truth, his website only tells HIS side of the story. Take it with a grain of salt. If someone had leg to stand on legally, they keep their mouth shut and wait to have their day in court.

    12. Member kevin splits's Avatar
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      07-30-2012 11:59 AM #47
      Quote Originally Posted by PatientlyWaiting View Post
      Joel isn't known for telling the truth, his website only tells HIS side of the story. Take it with a grain of salt. If someone had leg to stand on legally, they keep their mouth shut and wait to have their day in court.
      Bingo.

      Eurojet was not a standup business. They did everything in their power to discredit the fact their product, well just simply failed, and I was not the only one with the issue.

      (baffle fell out of the valve cover and became mangled in my cams)

      They then told other users that I was full of crap that they replaced my part and had mine sitting on a desk in some office. I have the vc and baffle still sitting here, so we then figured out I'm not the only one which EJ said I was, so another lie there.

      But I had their header, amazing product, still using the catchcan.

      I will say this tho. My issue with the valve cover bullsh*t was during there tenure with stasis and a few weeks before the lawsuit broke news here. So maybe that had a play in the situation, high stress or whatever.

      But I will forever gladly tell anyone my experience, that so many relate to.
      "The Vile Bunch" ll v2lab ll eemilitiatv ll Stay Orange.
      2008 Mkv sold; 2003 yellow Skittle-sold; 2009 G8 GT-sold; 1991 Talon TSI- fully built, HTA3582@30psi 600+awhp

    13. Moderator j. Kush's Avatar
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      07-30-2012 12:24 PM #48
      Quote Originally Posted by PatientlyWaiting View Post
      If someone had leg to stand on legally, they keep their mouth shut and wait to have their day in court.
      This.

      I've dealt with STaSIS on several occasions. Been to their facility at Summit Point and driven multiple cars with their components. Nothing but good things to say about their staff, customer service, and products.
      -jarredK

    14. Member cryption's Avatar
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      07-30-2012 12:26 PM #49
      I've had products from both companies that were fine. Sucks to hear about such bad business practices, but I'm not surprised. Shaddy businessmen exist in all industries, not just banking and finance.
      Team 30k Jetta - Frat Boys

    15. Member Dynamic Rollover's Avatar
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      07-30-2012 12:32 PM #50
      Fair assessment. Tough Pill to swallow, but we live and learn.

      Quote Originally Posted by Rob View Post
      Guys,

      Let this be a lesson to anyone thinking of going into business.

      Basically, it sounds like Eurojet was a nice lifestyle business, wherein the owner enjoyed the work and made a comfortable living off of it.

      With promises of a "get rich quick" scheme, the owner then sold his business AND LIVELIHOOD for $50,000 in cash. This amount of cash is likely less than one year's worth of profit from Eurojet.

      FORGET THE STOCK. If it's a private company, value it at a substantial discount to the cash component. Rule of thumb: if you are ever selling to a private company, take 100% cash up front. HAVE THEM PUT IT IN ESCROW and DO NOT sign anything until your lawyer confirms the cash is in an escrow account. Upon signing, the cash will be released into your bank account. I can get into the reasons why if you want, but needless to say, the Eurojet outcome is one example of how things can go wrong.

      Receiving stock in a public company is comparable to receiving cash, as you can sell the stock eventually to cash out. You can NOT do this in a private company and are at the whim of the officers and directors - who may or may not have your best interest at heart.

      So essentially, Stasis was able to acquire Eurojet for next to nothing. They paid the owner a salary which was probably less than the profits being generated at Eurojet, and made the deal seem more interesting by handing over a whack load of over priced illiquid stock.

      Stasis probably made back the $50,000 in cash within 6 months of acquiring Eurojet.

      All in all, this was a REALLY bad deal. Everybody learn from this. Do your due diligence (get a lawyer involved!) on the acquirer and if anything at all bad comes up, RUN the other way. This all could have been prevented.

    16. Member Dynamic Rollover's Avatar
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      07-30-2012 12:35 PM #51
      If I remember correctly your deal happened within the same timeframe of my exit. It was a bad deal for sure. We had no stock for your replacement and had a pending order with the machining company that was quite aged. I had already left when things were completed and stock was available.

      Sorry that you got caught up in it. It definitely wasn't a good deal.

      Quote Originally Posted by kevin FaKiN spLits View Post
      Bingo.

      Eurojet was not a standup business. They did everything in their power to discredit the fact their product, well just simply failed, and I was not the only one with the issue.

      (baffle fell out of the valve cover and became mangled in my cams)

      They then told other users that I was full of crap that they replaced my part and had mine sitting on a desk in some office. I have the vc and baffle still sitting here, so we then figured out I'm not the only one which EJ said I was, so another lie there.

      But I had their header, amazing product, still using the catchcan.

      I will say this tho. My issue with the valve cover bullsh*t was during there tenure with stasis and a few weeks before the lawsuit broke news here. So maybe that had a play in the situation, high stress or whatever.

      But I will forever gladly tell anyone my experience, that so many relate to.

    17. Member hinshu's Avatar
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      07-30-2012 12:45 PM #52
      love your sig ^^^

      i hope all the best for Joel. No one should have to deal with ish like this

    18. 07-30-2012 01:01 PM #53
      Quote Originally Posted by 71DubBugBug View Post
      didnt know supreme court judges had time for these kinds of things, not saying its not important, learn something new every day

      also, i only skimmed the article, but why did he not get a lawyer?

      You might be thinking of the United States Supreme Court. I believe he's dealing with the state supreme court.

      Sounds like he doesn't have the money to hire an attorney.

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      07-30-2012 01:09 PM #54
      Is there a report/blog like this on the APR vs REVO dealings? I've always been interested from the inside.
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    20. Member Dynamic Rollover's Avatar
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      07-30-2012 01:13 PM #55
      It's in Federal Court, not Supreme.

      I am fully funded, have respresentation now, and will take this all the way to the end to defend against Fraud and Deception.



      Quote Originally Posted by MFactor View Post
      You might be thinking of the United States Supreme Court. I believe he's dealing with the state supreme court.

      Sounds like he doesn't have the money to hire an attorney.

    21. Member spitfirevr6's Avatar
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      07-30-2012 01:24 PM #56
      Quote Originally Posted by freedomgli View Post
      IMO West Virginia is a horrible state in which to do business. So I'm not surprised that certain shady businesses are all too happy to setup shop where labor is cheap and buying off public servants is even cheaper! It is a shame that a state with such beautiful geography and a vulnerable populace who has long received the short end of the stick are subject to such a terrible state government run by powerful business interests. It's so bad there the US Attorney has established the WV Public Corruption Hotline (1-855-WVA-FEDS (1-855-982-3337), and the email address is wvafeds@usdoj.gov) to help combat the problem.

      See also http://www.stateintegrity.org/west_virginia

      Consumers should not only vote with their pocketbook but also with their conscience. Do your research first and don't support bad companies or else the bad behavior will continue unabated.
      Our license plate was "Open for Business" a few years ago, but then they changed it back to "Wild and Wonderful". My state's a whore.

    22. Member eurotekms's Avatar
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      07-30-2012 01:27 PM #57
      Quote Originally Posted by Dynamic Rollover View Post
      It's all public information that's been docketed and entered into the Court. How is it libel?

      Again, not a lawyer, and I only read the first half of the bitch-fest...

      I'm more surprised that everything you wrote is "public" and/or not protected by a non-disclosure.
      Not taking sides, but if you were to speak about the internal workings of my company in this way, I'd do what I could to make sure you never work again.

      Regardless of wether your employer ****ed you over, to air it all out on a blog like that is just dumb.


      Not to say I wouldn't do the same (at one point in my life)... I'm guessing you are young, or at least young in business. Hope this doesn't hurt ya in the long run.
      Last edited by eurotekms; 07-30-2012 at 01:33 PM.
      x

    23. Member kevin splits's Avatar
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      07-30-2012 01:28 PM #58
      Quote Originally Posted by Dynamic Rollover View Post
      If I remember correctly your deal happened within the same timeframe of my exit. It was a bad deal for sure. We had no stock for your replacement and had a pending order with the machining company that was quite aged. I had already left when things were completed and stock was available.

      Sorry that you got caught up in it. It definitely wasn't a good deal.
      I still have everything sitting here, maybe we can work something out in the future! I was always at bat for your products until I was treated like a fraud.

      I'm no longer mad, I understand it was a tough time for the staff, relationships can be fixed
      "The Vile Bunch" ll v2lab ll eemilitiatv ll Stay Orange.
      2008 Mkv sold; 2003 yellow Skittle-sold; 2009 G8 GT-sold; 1991 Talon TSI- fully built, HTA3582@30psi 600+awhp

    24. Member eurotekms's Avatar
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      07-30-2012 01:30 PM #59
      Quote Originally Posted by MCTB View Post
      While this is true, not everyone gets into business to make money. Some people get into the business to offer support and good products to owners and enthusiasts. Stasis just seems to me like they want to build a large, over reaching company with many brands and do it at any cost. Sucks. I had a few Eurojet things on my Jetta and GLI.

      Right - companies built on a great philosophy and offer great products usually do really well.
      Wether or not making $ is the #1 focus, it has to be a major focus OR ELSE the business closes and you no longer have the opportunity to help other people.
      x

    25. Member kevin splits's Avatar
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      07-30-2012 01:50 PM #60
      Quote Originally Posted by eurotekms View Post
      Right - companies built on a great philosophy and offer great products usually do really well.
      Wether or not making $ is the #1 focus, it has to be a major focus OR ELSE the business closes and you no longer have the opportunity to help other people.
      As a business owner, I'm going to say its always about "money" or to be more specific profit margins. Limiting as many expenses as possible to make the most of product margins on goods sold ultimately being the deciding factor on how well you succeed. On the other side of the coin is where customer service comes into play, both can and should be used together. As the better the customer treatment, the better community support you receive creating higher volume for more profit!

      Both as I said can be had- You can do what's necessary to increase pm by any means, but take care of the customer and you will succeed.

      I know this has nothing to do with the situation, but I'm weighing into this specific comment
      "The Vile Bunch" ll v2lab ll eemilitiatv ll Stay Orange.
      2008 Mkv sold; 2003 yellow Skittle-sold; 2009 G8 GT-sold; 1991 Talon TSI- fully built, HTA3582@30psi 600+awhp

    26. Member Dynamic Rollover's Avatar
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      07-30-2012 02:03 PM #61
      Noted. However, it's difficult to create an objective opinion when you're basing your conclusion on assumptions.

      It's not a "bitch fest", rather, it's factual evidence that's backed by documentation and corroborated by witness accounts.

      Nothing has been "aired out" either, it's all public information available through the PACER systems and filings of the courts.

      I urge you to read the entire motions and then reassess your conclusions.

      Quote Originally Posted by eurotekms View Post
      Again, not a lawyer, and I only read the first half of the bitch-fest...

      I'm more surprised that everything you wrote is "public" and/or not protected by a non-disclosure.
      Not taking sides, but if you were to speak about the internal workings of my company in this way, I'd do what I could to make sure you never work again.

      Regardless of wether your employer ****ed you over, to air it all out on a blog like that is just dumb.


      Not to say I wouldn't do the same (at one point in my life)... I'm guessing you are young, or at least young in business. Hope this doesn't hurt ya in the long run.

    27. Member Dynamic Rollover's Avatar
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      07-30-2012 02:04 PM #62
      Completely understandable. You definitely got the raw end of the deal. I'll do whatever I can now to help you out. Send me a PM and lets chat.

      Quote Originally Posted by kevin FaKiN spLits View Post
      I still have everything sitting here, maybe we can work something out in the future! I was always at bat for your products until I was treated like a fraud.

      I'm no longer mad, I understand it was a tough time for the staff, relationships can be fixed

    28. Member kevin splits's Avatar
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      07-30-2012 02:13 PM #63
      Quote Originally Posted by Dynamic Rollover View Post
      Completely understandable. You definitely got the raw end of the deal. I'll do whatever I can now to help you out. Send me a PM and lets chat.
      Will do tonight. I'm cruising the forums via smart phone right now lol
      "The Vile Bunch" ll v2lab ll eemilitiatv ll Stay Orange.
      2008 Mkv sold; 2003 yellow Skittle-sold; 2009 G8 GT-sold; 1991 Talon TSI- fully built, HTA3582@30psi 600+awhp

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      07-30-2012 02:27 PM #64
      Hope it works out for you. My eurojet catless down pipe is a work of art and fitment is incredible. Id buy more of your stuff if/ when its available.

    30. Member eurotekms's Avatar
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      07-30-2012 02:40 PM #65
      Quote Originally Posted by Dynamic Rollover View Post
      Noted. However, it's difficult to create an objective opinion when you're basing your conclusion on assumptions.

      It's not a "bitch fest", rather, it's factual evidence that's backed by documentation and corroborated by witness accounts.

      Nothing has been "aired out" either, it's all public information available through the PACER systems and filings of the courts.

      I urge you to read the entire motions and then reassess your conclusions.

      Yeah... I sure hope you still have that entrepreneurial spirit, and more sense, because with that thinking I don't see how you'd succeed in a well run big company.


      Coming from a PR specialist, I think you look like the weak one here, and pissed off because you "lost".
      x

    31. Member Dynamic Rollover's Avatar
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      07-30-2012 02:51 PM #66


      I've never worked for a well run big company. I'm also not "pissed off" because I "lost"; if you read the the motions and the evidence you'd see that a Judge has ruled in my favor. Again, you'll have to read the motions because I haven't "lost" anything with the exception of a lot of wasted time and energy. That's all this really is...a waste of time for everyone involved.

      I feel that the investigation into Stasis by the SEC for Securities Fraud is justified and backed by documentation and personal accounts by multiple parties. If it wasn't quantifiable, the State would have just scoffed it off and disregarded it as non-sense.

      If the evidence was "weak" and it looked "weak" then there wouldn't be any supporting documentation, ongoing investigations, or additional witnesses coming forward.

      Quote Originally Posted by eurotekms View Post
      Yeah... I sure hope you still have that entrepreneurial spirit, and more sense, because with that thinking I don't see how you'd succeed in a well run big company.


      Coming from a PR specialist, I think you look like the weak one here, and pissed off because you "lost".

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      07-30-2012 02:55 PM #67
      So what's next for the former eurojet?

      Will you start a new business making similar products? Will you try to obtain the rights to eurojet back from stasis? Are you restrained from entering a similar industry by the sales agreement?

    33. Member Dynamic Rollover's Avatar
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      07-30-2012 03:00 PM #68
      I'm 100% out of the VAG market. I'll be starting up a project back home in California in a couple months. Just need to get the kids situated into schools and get all the family stuff moved.

      Quote Originally Posted by vwwtchr View Post
      So what's next for the former eurojet?

      Will you start a new business making similar products? Will you try to obtain the rights to eurojet back from stasis? Are you restrained from entering a similar industry by the sales agreement?

    34. Member eurotekms's Avatar
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      07-30-2012 03:12 PM #69
      Quote Originally Posted by Dynamic Rollover View Post


      I've never worked for a well run big company. I'm also not "pissed off" because I "lost"; if you read the the motions and the evidence you'd see that a Judge has ruled in my favor. Again, you'll have to read the motions because I haven't "lost" anything with the exception of a lot of wasted time and energy. That's all this really is...a waste of time for everyone involved.

      I feel that the investigation into Stasis by the SEC for Securities Fraud is justified and backed by documentation and personal accounts by multiple parties. If it wasn't quantifiable, the State would have just scoffed it off and disregarded it as non-sense.

      If the evidence was "weak" and it looked "weak" then there wouldn't be any supporting documentation, ongoing investigations, or additional witnesses coming forward.

      I know I'm not that articulate, but is it so hard to read? Not being a dick, seriously, but I said you LOOK like you were complaining. Therefore you look like the loser.


      I'm not attacking ya here.... just saying...


      Good luck w/ the new project.
      x

    35. Member Dynamic Rollover's Avatar
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      07-30-2012 03:21 PM #70
      I would agree that most people who have been allegedly lied to and involved in a fraudulent deal, that resulted in a loss of 8 years of work and hundreds of thousands of dollars, and endured a smear campaign within his community, all from a company that lured his entire family across country under these pretenses, would probably have something to complain about? Don't you?

      I'm just saying...

      Thanks for the well wishes. Everything looks great moving forward.

      Quote Originally Posted by eurotekms View Post
      I know I'm not that articulate, but is it so hard to read? Not being a dick, seriously, but I said you LOOK like you were complaining. Therefore you look like the loser.


      I'm not attacking ya here.... just saying...


      Good luck w/ the new project.

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