HOUSTON, TX, Oct 03, 2008 (MARKET WIRE via COMTEX) ----The Court appointed Receiver of the assets of Eternal Technologies Group, Inc. has filed Motion in the United States District Court to hold the company in contempt of Court. The Motion states that, "Eternal Technologies' refusal to comply with the Court's loud and clear order to turn over assets to pay the $961,000.00 Judgment constitutes contempt of Court."

The Receiver was appointed to collect on the Turnover Order issued by United States District Judge Vanessa D. Gilmore on September 23, 2008, is to collect on the unsatisfied Judgment Western Securities Corporation has against Eternal Technologies Group rendered in the U.S. District Court of the Southern District of Texas, Civil Action Number H-O5-02504 on October 31, 2007.

The Receiver's motion also stated, "that the only way for this Court to send a message to Eternal Technologies that if it wants to do business in this country, it must obey the law of this country, is to begin fining Eternal Technologies $10,000 per day until such time as Eternal Technologies turns over its cash and stock interest as necessary to pay the Judgment."

The Receiver's Motion to hold Eternal Technologies Group in Contempt of Court stated:

   1. "The total amount due the Receiver to satisfy the underlying Judgment
   is in the present sum of $961,000.00 and is increasing daily due to
   the accrual of post-judgment interest and receiver's fees."
   2. "The Over the Counter Bulletin Board, where Eternal Technologies is
   traded publicly, determined that the effect of the Receivership on
   Eternal Technologies was a 'material event' and should be disclosed
   to the public."
   3. "The Court's loud and clear Order to Eternal Technologies was to turn
   over to the Receiver all of its cash, securities and share
   certificates to the extent necessary to satisfy the $961,000 Judgment.
   Eternal Technologies did nothing."
   4. "The 10KSB/A that Eternal Technologies filed yesterday indicates that
   it had approximately $12,000,000.00 in cash on hand and approximately
   $37,000,000.00 of working capital at the end of December, 2007."
   5. "Based on Internet postings by Eternal Technologies it appears that it
   is more than able to pay the Judgment with no adverse effect on its
   operations or stock value."
   6. "In its June 25, 2007 press release Eternal Technologies announced that
   it was going to repurchase as many as 2,300,000 of its issued and
   outstanding shares. However many of the shares were repurchased by
   Eternal Technologies, those shares are treasury shares of Eternal
   Technologies, they are within the scope of the Receivership Order
   and must be turned over to the Receiver."
   7. "Eternal Technologies owns the following stock interests:
   30% interest in Hainan Futian Green Agriculture Co., Ltd.
   30% interest in Maoming Huatong Orchard Trading Co., Ltd.
   100% interest in E-Sea Biomedical Engineering Co.
   100% interest in Eternal Technology Group, Ltd.
   100% interest in Willsley Company Limited
   22% interest in Hong Yuan Acquatics Products, Inc."
   
   

To satisfy the Judgment, "All of these stock interests of Eternal Technologies are within the scope of the Receivership Order and must be turned over to the Receiver. Eternal Technologies has failed and refused to turn over its stock interests to the Receiver, it is in violation of the Receivership Order and is in contempt of Court."

   Contact:
   Western Securities Corporation
   (504) 333-9098
   
   
   

SOURCE: Western Securities

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