Statement of Truth

I am Gregg Fryett, chairman of Sustainable Growth Group Ltd. I was the owner and main
shareholder of SGG.
Background
I was approached to fund Carbon Central Network for Erminio Kotlar and Scott Campbell. After
spending considerable time on the technical and commercial aspects of the business, commercial
terms were agreed. SGG did not take an equity position or management position within CCN at any
time. It was clear that Erminio Kotlar and Campbell Scott knew nothing about the Carbon Markets
or legislation behind these markets.
Finance.
My company provided $100,000 of seed capital. This was under a loan note agreement. The
majority of the seed capital was repaid but the interest was never paid. Over $50,000 remains
outstanding to this date.
Carbon Market Expertise
I explained the carbon markets to CCN principals. It was clear they knew little or nothing about
how carbon credits were generated and their subsequent voluntary or regulated markets work.
For CCN it was clear that they needed to buy cheaply to facilitate enough margin for the members.
It was made absolutely clear that the only way commercially and ethically this could be done was to
pre-purchase Carbon Credits with later delivery. Both Erminio Kotlar and Scott Campbell claimed
they understood this.
We had a conservation division called Sustainable Conservation run by the Noble Prize Winner
Agus Sari. He sanctioned and agreed as did Group to enter into an ERPA agreement for the supply of
Voluntary Carbon Credits (VERs) from two projects which were being initiated. These were
earmarked specifically for CCN based on this contract This was the 57,000 hectare Rimba project in
Indonesia and the 14,000 hectare Manobo Project in the Philippines for which we had provided
almost a million dollars of investment already.
CCN entered into the agreement commercially obligating CCN to the projects. SGG also
understood from CCN management that this was a suitable product for the members and met all
legal requirements in the countries in which CCN operated. The product was VOLUNTARY
Emission Reduction Certificates (Carbon Credits) based on Global Conservation Standard
methodology, NOT REDD which is a UNFCC methodology for carbon flows and reducing
deforestation and degradation.
Non-Performance
CCN failed to make any payments or meet any of the commercial terms of the ERPA. It is therefore
my strong suspicion that CCN management:
1. were grossly misrepresenting to members the type of carbon on offer (voluntary carbon had a

price of approximately $2.40 per tonne whereas CER's (Certified Emission Reduction) Certificates
had a market price of approximately $10 per tonne.
2. That CCN did not have physical or contractural delivery secured for the carbon being sold to
members due to non-performance contractually by CCN
3. That CCN management knowingly misled members and SGG as to their intentions or capability.
It transpires that Erminio Kotlar has a 'Cease and desist' in California and has a very chequered past.
I have been informed that Campbell Scott had involvement with many of the previous ventures of
Mr Kotlar all of which appear to have significant questions as to the business fundamentals and the
questionable agendas of the management who were clearly making the most benefit.
CCN, having taken money from members without paying the contracted supplier Sustain
Conservation one penny of the contracted terms. They are therefore guilty of selling something they
did not have and had not paid for. This I am more than happy to state in court to the best of my
knowledge and provide contractual evidence on the basis that my company records are made
available to me by the UK receiver.
Manobo project
It should be noted that CCN then proceeded to attempt to steal the Manobo Project from Sustainable
Conservation. They made a complete mess of this project. I believe the project owners will make or
are making a statement to evidence this point. CCN did not honour their agreements again and
failed completely to understand the financing requirements for conservation projects or the
sensitivities of indigenous people's projects.
UK Authorities
We have a strong suspicion that CCN management were a party to false allegations to the UK
authorities to cause SGG problems to allow CCN not to honour their commercial obligations.
Global Conservation Standard
I funded and commercialised the Global Conservation Standard with Dr Michael Dutschke. This is
now becoming an acceptable standard for valuing carbon stocks as well as carbon flows. CCN also
damaged this relationship.
Further Failed Projects
I understand that CCN have a number of failed projects under their management. They have
consistently mismanaged every project they have touched.
Company Records
The ERPA should form the basis of the CCN company records without a doubt or they will not be
able to evidence that they had any commercial interest in any carbon credits for probably at least a
year of trading.
Complicity
I also wish to confirm that SGG and myself did not financially benefit in any way or have any
interest in CCN or members subscriptions. SGG and I only assisted in the start up funding and

technical briefing of CCN to support the social media funding of large scale conservation projects.
The business concept was wonderful and based on the dialogue with CCN management was ethical
and legal. How the business conducted itself was at the sole discretion of CCN management.
Benefit
Finally I have been informed that the CCN management have boats and houses as well as failed
restaurants at a Zoo all of which have been paid for by members subscriptions. What this has to do
with Conservation projects and reducing carbon seems somewhat confusing and perhaps should be
made clear by CCN management to members and the authorities accordingly.
My Opinion
It is my opinion that the management of CCN has acted with intent to defraud members from the
outset. They have neither the understanding of the carbon and conservation markets. They appear to
have no intention to operate ethically or honour their obligations. They have hidden behind the
reputations of SGG and Agus Sari to gain creditability while having a clear intent not to meet any of
the obligations to members or the conservation projects. It is my opinion that CCN directors are
absolutely NOT people who members should trust with their subscriptions. Anyone who has
suffered loses I would strongly recommend write to ASIC and also the Australian Tax Office. This
will ascertain if CCN has met its obligations to members and that the company was managed
properly which I strongly believe is not the case.
If anyone would like any further information please feel free to contact me directly. I am prepared to
testify at court to the above facts aa required and provide evidence accordingly if I am able.
I provide this statement to the best of my knowledge as a statement of truth. I provide it in an
electronic format but will provide an original and witnessed statement as soon as practicable.
Signed this 21st day of November 2014.

Gregg Fryett