OBJECTIVE - TO SAVE THE MAGNEVAD & OUR INVESTMENT
Goldowsky LVAD heart pump SCAM!
All of us who have been defrauded must work together to replace Goldowsky with a competent and trustworthy CEO and board of directors, that will help us validate the Magnevad, and collect human clinical data by the end of 2018.
We have been told that the Magnevad is potentially the best heart pump in the world, and if it will work as Goldowsky has claimed for the last 17 years, it can indeed save thousands of lives in the USA and around the world.
However, claims alone have not incentivized venture capital investors or medical device companies to scoop up the Magnevad in more than 17 years that the project has officially been underway. The reality is that in order for the Magnevad to be taken seriously, it must be validated with human data.
Goldowsky's pathway to human implants requires raising more than $40M, and a timeframe of about 5 to 6 years, assuming that much capital can ever be raised at all. This strategy has been the same strategy that has consistently failed since the original formation of Gold Medical Technologies on August 22, 2000. In fact, the likelihood of raising any venture capital at all is actually pretty close to zero. Any VC investor that would express a serious interest in the Magnevad would first conduct due diligence on the company, the product and the directors managing the project. This would reveal what I have just uncovered in the last couple of weeks, and I am sure much much more beyond that. All the skeletons that Goldowsky has so carefully hidden from the shareholders would come to light, and no one would dare invest in such a person or such a badly mismanaged company. See the posts under the "GET THE FACTS" link in the main navigation menu.
The only chance the Magnevad has to get noticed and remain viable, is to collect human data as soon as possible, before it's too late, and that window of opportunity, thanks to Goldowsky is getting smaller every day. Hence the reason I provided an action plan to Goldowsky, that will facilitate the implantation of the Magnevad in 3 human subjects by the end of 2018, and at a cost of only $500K. When compared to Goldowsky's plan, this saves a minimum 5 years off the timeline, and more than 98% of the alternative required capital. But more importantly, because investors want a ROI within 2 to 3 years, this makes it more reasonable for investors to consider, since validation can be achieved within 2 years. It is the fastest and most cost-efficient pathway to human implants that the Magnevad has ever had, the opportunity of a lifetime, but more importantly, it is also the last chance for all shareholders to have an opportunity to get a return on their investment.
For me, as someone afflicted by heart disease, and also as a shareholder, the project's success is very personal, hence the reason for going above and beyond my consulting role to find this pathway to validating the Magnevad.
My concerns for Goldowsky's ability to raise the capital needed to pursue chronic animal trials, were echoed by Dr. Naka at Columbia Presbyterian Medical Center. Dr. Naka, a world renowned authority on LVAD implantation, recently told Goldowsky that he has no chance of raising any venture capital for long-term animal studies, because all of his competitors are already many years past that point, and he also told him that the chronic animal data has proven to be not as valuable as once thought. He added, that this had been the case with other LVADs that performed well in animals but not as well in humans. Also, a high-profile financial adviser and broker, with connections to several industry leading medical device companies, echoed the same concern. Therefore, the ONLY way for the Magnevad to be validated, is through my pathway which will provide human data by next year. My plan was reviewed and approved by three renowned heart surgeons, and by Goldowsky himself.
Any CEO with even the slightest amount of business acumen, would appreciate this proverbial Golden Goose that was just dropped on his lap, and more importantly would appreciate the person or people that went above and beyond their responsibilities to bring this opportunity to the table. But instead, Goldowsky chose to kill the golden goose while it was laying golden eggs, by putting self-interest above the interest of the Magnevad, the company, the shareholders, and most importantly the people whose lives could potentially be saved.
Since there is still a limited window of opportunity to pursue this option, the objective is to prevent Goldowsky from killing the last and best chance the Magnevad has ever had.
Michael P. Goldowsky - THE SCAM ARTIST
Michael P. Goldowsky
Goldowsky LVAD heart pump SCAM
Goldowsky induces no less than 73 private investors and consultants, mostly elderly people, to invest in what he has been peddling as a "REVOLUTIONARY MEDICAL BREAKTHROUGH", a "WORTHY CAUSE", a "SOCIALLY RESPONSIBLE MEDICAL DEVICE THAT WILL SAVE THOUSANDS OF LIVES". He sells them stock in exchange for their cash investment and services, and promises very large returns on investment. A few years later, he skips town and moves out of state and waits until most of the investors either forget about their investment, get too old to care or simply pass away (as is the case with some investors already).
Goldowsky LVAD heart pump SCAM - Operates multiple companies:
Goldowsky operates three different companies, from three different states, and bankrupts the original Gold Medical Technologies, Inc. entity.
Violates shareholders agreement by not transferring patent rights to the new company and by not issuing new stock certificates to existing shareholders
Goldowsky LVAD heart pump SCAM - Scams Consultants:
Goldowsky induces consultants to help him advance the Magnevad project, appeals to their good nature, agrees to pay them a mix of cash and stock, and promises them huge returns on their investment. Then, after years worth of work, he breaches the contracts, benefits from their work, and pays them nothing. This dishonest and unethical pattern of behavior cost Gold Medical Technologies a $55,595 judgment, which then prompted Goldowsky to deliberately bankrupt the company in order to avoid paying the judgment.
Goldowsky LVAD heart pump SCAM - Misrepresents Patent Rights:
Goldowsky acquires two U.S. issued patents, pays for them with investors funds, claims personal rights to those patents, and licenses them to Gold Medical Technologies with stipulations that revert the patents back to him.
He then assesses an arbitrary valuation of millions of dollars to the patent rights which he then uses to justify an increase to the price of the stock.
A few short years after the issuance of the patents, Goldowsky fails to pay the maintenance fees and allows both patents to expire, but never tells the shareholders. In fact, he continues, to this day, to solicit additional investors and consultants and promises to pay them with cash and stock, touting the Patent Rights as the primary assets of the company worth $59M.
Goldowsky LVAD heart pump SCAM-Unlawful Operation of Gold Medical Technologies:
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Goldowsky incorporates Gold Medical Technologies in 2000
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Fails to file tax returns and to pay corporation fees since 2004
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Bankrupts it in 2006
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Fails to properly dissolve the entity which, to date is still listed as active in NY
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In 2017, Goldowsky continues to operate and conduct business under Gold Medical Technologies, Inc., which is a NYS corporation, from Myrtle Beach, South Carolina, and sells stock in a company that he personally bankrupted 11 years ago, in exchange for consulting services worth several thousands of dollars.
Goldowsky LVAD heart pump SCAM-Breach of fiduciary duty:
Throughout this website there are numerous examples of Goldowsky's abuse of power, shareholders deception, business incompetence, improper administration of investors interests, and most importantly putting his own self interest before the interest of the company and the shareholders. His deeds have proven beyond a reasonable doubt, that he has consistently NOT acted in the interest of the investors, and has proven to be incompetent and unable or unwilling to achieve the goals that the investors were promised.
Please visit all the links to see corroborating evidence of all these claims.
The MAGNEVAD Heart Pump - Why isn't it on the market yet?
Goldowsky LVAD heart pump SCAM - For the last 17 years, the Magnevad has been advertised by it's CEO, Michael Goldowsky as possessing many technical advantages over competing LVADs, and yet even after raising more than $1.4M in seed capital from private investors, the Magnevad remains on the bench, while supposedly technically inferior devices are on the market, have been implanted into thousands of patients, and have successfully raised venture capital to the tune of hundreds of $M and in some cases $Billions.
Many experts have questioned why such a technically superior device has not been able to attract Venture Capitalists, when the advantages and potential are supposedly so obvious? It is a very legitimate question, and one that must be examined thoroughly. Goldowsky has been blaming it on the fact that the others have "better connections" and therefore they were able to get funded. The truth is that even 10 years ago, when there was very little competition in the LVAD market, the Magnevad was still technically superior to all of them. Now there are quiet a few major players, and still the same claim is made for the Magnevad. So why are the other pumps sharing the market, and no Venture Capitalist wants to invest in the Magnevad to take it to the next step?
The reality is that Venture Capitalists look at the people behind the project with greater interest than they look at the project itself. This is a reality that Goldowsky has never accepted.
Of course the project must have merit, and the Magnevad certainly seems to have plenty of that, but unfortunately the Magnevad also has Goldowsky as the only manager, and that has always been, and continues to be the project's biggest liability.
I have personally seen Goldowsky squander opportunity after opportunity. I have been in meetings with him, where very professional and very intelligent people were interested in learning about the Magnevad to evaluate if they could consider investing in it, but as soon as someone would challenge anything about the design or business model, Goldowsky would begin his rude, curt, condescending tirade and immediately lose everyone's interest. Then if they dared to tell him they were not interested, he would tell them that they did not know what they were talking about, and that he would go ahead and build the pump without them, and that he would compete with them and put them out of business. I have had people tell me after the meeting, that even if the board of directors were willing to consider investing in the Magnevad, that they would never consider investing in Goldowsky.
Just recently, Dr. Lafaro took the initiative to spend over two hours of his own personal time, to present a Power Point I had designed, to a very important and influential financial advisor and broker, with connections to very large industry leading medical device companies. After the presentation, the broker agreed to shop the Magnevad around, but first he asked for the shareholder's prospectus and some other documents. Upon receipt of the documents, he immediately became concerned with the manner in which Goldowsky had structured everything to favor himself, especially the patent licensing agreement, and the broker became concerned about the welfare of the shareholders. He then wanted to speak with Goldowsky on the phone, and it took less than 10 minutes, for him to get the impression that Goldowsky was not honest, and that in fact he seemed very shady.
Within a few days after that, Goldowsky kept harassing this guy with numerous calls, to the point where he just told his secretary to tell Goldowsky that he had nothing else to say to him, and that he did not want to speak with him again.
When I learned about it and I confronted Goldowsky with this, and told him that I was trying to patch things up with the broker and that he needed to be forthcoming with the documents that had been requested, he told me that the broker did not know what the hell he was doing, and that Dr. LaFaro had wasted his time and that he had given Goldowsky false hope. He added that Dr. LaFaro was just talk, and that I had no business getting involved because I was "just a consultant". Unfortunately he failed to realize, that the "just a consultant" was already successful in restarting the conversation, when the genius CEO had destroyed a very important connection. It is truly impossible to save Goldowsky from himself, and I have personal firsthand knowledge of this.
Obviously we have to give credit where credit is due, and Goldowsky deserves the credit for conceptualizing the Magnevad and improving its design over time. Although, as I have been told, a lot of the technology used in the Magnevad came from other people and places where Goldowsky previously worked. It is important to recognize however, that no one is good at everything, and in order to run a successful company, one must have a good management team in place that knows how to run the business, manage human resources with dignity and professionalism, and delegate responsibilities among other things. Goldowsky is a good Engineer, but he is also one of the most incompetent business people I have ever met, and since his incompetence directly affects all of us shareholders and the success of the Magnevad, we all have something to say about it. His abrasive and curt personality makes it impossible to attract the great talent that will be needed to finish the project. His superiority complex and ego are detrimental in every way, and his inability to listen to other points of view and make intelligent business decisions, have severely impeded the success of this project. All of these things have been proven true over the years, and anyone who has worked with Goldowsky knows it.
As you will find in the GET THE FACTS menu link section of this website, I have uncovered documents that show that Goldowsky has poorly managed every aspect of the project, he has misrepresented the value of the company to investors and to consultants, he has lied about the Intellectual Property protection, he has intentionally bankrupted the company to avoid paying judgments, he has compromised the company and exposed it to liabilities, he has operated three companies in three different states over the course of 17 years, he has breached the shareholders agreement, he has breached contracts with consultants after they did years of work in good faith and paid them nothing for all the work they did, he has failed to be transparent with the shareholders, he has used shareholders money for his own personal use, he has burned every bridge he has ever crossed and some even before he crossed them.
I urge you to look through every post to learn the background information in each category, and then see the supporting documents. He is now actively pursuing raising more capital and finding Doctors to take him through the next leg of the race, by selling stock options in a company without any assets. This is why I have taken it upon myself to prevent as best I can, anyone else from getting SCAMMED as I and so many other good people have been. He is trying to raise money on the false premise that the company is worth $Millions because of his Patent Rights, but hides the fact that he has NO PATENT RIGHTS since 2008, when he allowed them to expire due to non payment of the maintenance fees, even though he solicited investors multiple times, to re-invest additional funds to pay for the patents maintenance fees.
So, for those of us who have "skin in the game" and have invested time and money in this project, it is time to recognize and accept the reality of where the problem lies and address it. In order for the project to succeed, the Magnevad must be lead by a good management team, and must have a board of directors that can make rational and sound decisions that are in the best interest of the company and the shareholders. Goldowsky must be marginalized as he has proven to be unworthy of our trust, and cannot be trusted with our money. Furthermore, he has proven beyond any doubt, to lack the business acumen required to reach the objectives of the Magnevad project in which we all invested.
The amount of work I have done for this project, and the ownership in stock I have, make me a significant shareholder with a lot to lose. This does not even include the last 5 months of work I did for which Goldowsky has denied payment. I can no longer close my eyes and walk away, as I did 9 years ago. This time, I will do everything I can to expose this fraud who has manipulated people, defrauded them and has personally benefitted at the expense of others. If this exposes him to civil and criminal liability then so be it, it's time he gets what he deserves.
We collectively invested our hard earned money, time and effort in good faith, but he has breached his fiduciary duty to the shareholders as CEO. He has repeatedly compromised the potential success of the Magnevad, and while he preaches to all of his victims the importance of "SAVING LIVES" his actions clearly prove that he does not care about that at all.
The fact that all of us have provided him an opportunity to make potentially hundreds of $Millions that he could never live long enough to spend, and yet he goes through such lengths to defraud all of us from the small percentages we have invested to receive, tells you all you need to know about his lack of character and basic human decency, and anyone who is still willing to help him, after learning the truth presented here, is just as complicit in his deceptive and immoral tactics and should be ashamed.