Klein bought Internet domain behind fake buyer
The facts of the Life Keeper heart monitoring patch deal - or non-deal as it may be - are now becoming clearer. After the media reported Taiwanese computer equipment manufacturer MSI would pay $370 million for over a third of the technology, the doubts about the deal are now more than just questions.
The entire negotiations and contacts between the Israeli side and the MSI was done by fax and e-mail, which was sent to the Internet domain MsiUK.net. The address may seem to belong to the British branch of the Taiwanese firm, but it turns out it actually belongs to no other than Aharon (Arik) Klein, one of the co-founders and 50% owners of SafeSky, the Israeli company supposedly seling the patch technology. Klein, a convicted conman who spent years in prison for multiple acts of fraud, is also the person who supposedly developed the technology.
It seems that Klein bought and registered the domain name and used fictitious identities to correspond with SafeSky, and its lawyers and accountants.
How Klein planned to make money on the fraud is still not clear. As of now it seems Klein duped SafeSky's co-owner, Dr. Amos Bouchnik and its CEO, Dr. Gavriel Picker, as well as the rest of the company's officials.
All of those involved on the Israeli side of the negotiations said they had no contact with the purchasers except via fax or e-mail, and no one ever met any representatives of MSI here in Israel or abroad.
An e-mail message from Klein's address yesterday stated: "The management of SafeSky Israel wants to express its scorn for the reports purporting that we were 'stung' by our partner Klein, and the harsh criticism from those in the media in recent days over all sorts of unfounded speculation, and in unending attempts to besmirch our partner Klein," said the e-mail.
The message also said parties in the firm were furious over the reports, as they had not been checked with them in advance and no attempts were made to reach the truth.
"Klein did not defraud anyone. This is a real agreement, and the domain name was bought to promote the company we intend to establish in cooperation with the purchaser," said the note. The e-mail also said that SafeSky is a privately-held company and is not obligated to report to the public.