If it's true - Is it libel?

[needlawhlp]

What is the name of your state?What is the name of your state? TX

Over the last few months I have been working for a start-up company and during this period learned that the primary stock holder and his partner have been convicted of securities fraud for selling stock in this company in another state. In addition, they are in a slight-of-hands act, doing the same thing again with the help of an out-of-state attorney. They continually mis-lead potential customers into believing that the company has a large number of customers, owns the IP of it's product, has services in place that are not there, etc. and all are false. Once I put all the pieces together I left the company, but now I feel bad for representing something that was false to a lot of people. I was taken like the others.

My questions are: The lawsuit/conviction of the two principals is published on the Internet and can be found with a simple search. Can I be held liable for making this known to prospective customers that I delt with so they are not sucked into this scam?

Also, the business opportunity they claim is a viable opportunity and I would like to pursue it. If I approach any of their prospects offering the same products/services can they sue me?

I did not sign any NDA or Confidentiality Agreements with them and they owe my for months of accrued salary and commissions.

Any advice is appreciated!

 

[Innocent-Damned]

If they are doing the same scam as they did before & you are aware of this, you should report it. IF you don't & latter they get pulled in... You could go down with them, as you played part into this. But by making things known & pointing out that you did not fully know when you where employed, you should be ok.

I personally would distance myself from all their actions and would not be seeking out their customers.


(At least in an idea world. FYI: I'm not a lawyer or any member of the legal system, but this just makes since to me.)

 

[needlawhlp]

Thanks Innocent-Damned.

The "scam" as I referred to it, is that they misrepresent the companies size, client base, financial strength and owning/developing of technology. Essentially, they are a "Reseller" of other peoples technology, but tell prospective clients something totally different. I feel bad that I told a similar story until I begin learning that the company did not actually have what they were offering. At that time I went to the owner and told them I would not lie about anything to prospective clients. As I learned the whole truth it was evident to me that I had to leave. Now I really want to alert some of the companies I was working with directly so they don't buy anything from these people or at least know who they are dealing with.

As I mentioned, this is a straight forward business model if operated properly and has a lot of opportunity. I have been approached by a distributor and investors who would like me to work with them setting up a legitimate operation, but they are also interested in some prospects this company is working with. I am not sure how to move forward.

Any additional thoughts are appreciated!