I highly recommend following @AuspexResearch on Twitter if you trade Windstream Technologies (WSTI). Here is one of his tweets:
$WSTI? Wow. Photoshopped photo in their 10K filing!? They took a photo from Walk Sydney and cropped and superimposed their turbines?!!!
— Auspex (@AuspexResearch) June 27, 2014
I looked and what do you know, the photo on page 20 of WSTI’s most recent 10-K the photo of their product installed on a highway is in fact a Photoshopped photo from a random website from an old man who likes to walk around Sydney and take pictures of his walks.
[Edit 28 June 2014: I just wanted to clarify that @AuspexResearch is the one who found the use of Photoshop and pointed me to the website that the image came from — I am just bringing more attention and a longer explanation to what he pointed out on Twitter.]
First we have his photo:
Then WSTI’s photo:
It is hard to tell that the photos are identical at first because of the vastly different sizes and the poor quality of the WSTI photo, but look at the cars: they are all the same.
While WSTI doesn’t explicityly state that the photo above is an actual installation, it doesn’t state that it is an artist’s rendition either, and an investor could be easily confused and think that the photo is an actual test installation:
WindStream will deploy its highway version of the TurboMill ® technology in parallel with its current marketing focus of Municipalities and light industry. In doing so, the Company has secured pilot test sites that will benefit from the installation of the TurboMill ® system. (see appendix) These pilot installations will enable WindStream to collect valuable data that will be used to drive additional sales and installations of this new energy platform.
Once this pilot has been undertaken and if successful, the Company will target other States, Countries, Utilities and Government institutions to market this new energy harvesting system and expand its reach and use cases. Just as vehicle draft on highways can drive TurboMills ® so can vehicles in tunnels (the Chunnel-26 miles in length), subway systems, trains, and rail systems.
[Edit 2014-7-2]: I highly recommend reading the GeoInvesting blog post on WSTI today and how they blatantly photoshopped their product onto an Ikea store: