In Securities and Exchange Commission 8-K Filing - Enterprises Solutions, Inc., Announces Receipt of $5,000,000.

Business Editors

BOSTON, Mass.--(BUSINESS WIRE)--April 10, 2000

Enterprises Solutions Inc. (OTCBB:EPSO) transmitted for filing at the Securities and Exchange Commission a Form 8-K disclosing other events impacting the company:

1) On March 30, 2000, the Securities and Exchange Commission

("Commission") announced the temporary suspension, pursuant to

Section 12(k) of the Securities Exchange Act of 1934 (the

"Exchange Act"), of trading of the Common Stock of the Company at

9:30 a.m. on March 30, 2000 and terminating at 11:59 p.m. on

April 12, 2000. The Commission announced that it temporarily

suspended trading in the securities of the Company because of

questions concerning the accuracy and completeness of assertions

made by the Company in its filings with the Commission, in its

recent press releases, and on its Internet website, including

questions about the identity of persons in control of the

operations and management of the Company.

2) Court Filing for Temporary Restraining Order and Other Relief. On

April 6, 2000, the Commission filed in the U.S. District Court

for the Southern District of New York (1) a motion for Temporary

Restraining Order, Order to Show Cause and Orders Granting Other

Relief against the Company and Herbert S. Cannon, Defendants; (2)

a Verified Complaint against the Company, Herbert S. Cannon and

Dr. John A. Solomon, Defendants, and Rowen House Limited and

Montville Limited, Relief Defendants; and (3) and an Ex Parte 

Application For Order Freezing Assets, Order To Show Cause Re

Preliminary Injunction and Other Relief against the Company,

Herbert S. Cannon, Rowen House, Ltd. and Montville, Ltd. The

Court entered a Temporary Restraining Order against the Company

that prohibits the Company from destroying documents relevant to

the SEC investigation, which the Company had no intention of

doing in any event.

3) Enterprises Solutions Inc. received $5,000,000 on April 4, 2000,

from Waltrag A.G., a Swiss Company for the purchase of

Convertible Notes pursuant to a Deed Poll executed on April 2,

2000. As set forth in the Deed Poll, each Note is in registered

form and in the minimum denomination of $250,000 each, bearing a

coupon interest rate of 10% nominal interest per annum, payable

monthly in arrears, and maturing April 2, 2001. The Notes are

convertible at the option of the holder into Common Stock of the

Company, on or before April 2, 2001, at a conversion price of 90%

of the 22 day moving average price of the Company's Common Stock,

backdated from the time of the conversion request. The Company

commenced negotiations with Waltrag A.G. subsequent to SEC's

action suspending trading of the Company's stock. The SEC's

suspension action was disclosed by the Company to Waltrag A.G.

prior to the execution of the funding transaction.

Notwithstanding the SEC's suspension action, Waltrag A.G.

proceeded with the financing transaction and transferred

$5,000,000 to the Company. John Solomon, President and CEO stated

that, "We are confident that the Company will satisfy the SEC's

curiosity about its activities and products, and that we will

continue to build a successful company. We are also very pleased

with the apparent confidence expressed by Waltrag A.G. by virtue

of its investment in the Company in the face of SEC scrutiny."

Certain statements in this news release may constitute "forward-looking" statements within the meaning of section 21E of the securities and Exchange Act of 1934. Such forward-looking Statements involve risks, uncertainties and other factors, which may cause the actual results, performance, or achievement expressed or implied by such forward-looking statements to differ.

ENTERPRISES SOLUTIONS, INC. P.O. BOX 352 BOSTON, MASSACHUSETTS 02137