Nutek Shareholder Group Files Federal Lawsuit to Force Delivery of Shares.

LAS VEGAS, Mar 24, 2003 (BUSINESS WIRE) -- Nutek Inc. (NUTK) today announced that the company, along with a number of individual shareholders, filed a federal lawsuit against Ameritrade Holding Corp. (AMTD), E*Trade Group Inc. (ET), Fidelity Brokerage Services llc, Maxim Group llc and Charles Schwab & Company Inc. (SCH), for securities fraud, breach of contract, and negligence, among other claims. The plaintiff group is also demanding declaratory and injunctive relief, including asking for general, special and punitive financial damages; and that the matter be taken up for jury trial in the jurisdiction of the United States District Court's Nevada District.

Commenting on the situation, Murray Conradie, Nutek president & CEO, said, "As stated in earlier press reports, it is a major concern that at least 24 of our shareholders have contacted us and informed us that they cannot get certificates from their brokerages. Furthermore, our attorneys have documented that these shareholders have been given incorrect and misleading excuses by their brokerages as to why the certificates have not or cannot be issued. Several shareholders have even gone so far as to attempt to close their brokerage accounts to obtain delivery of their physical certificates, but to no avail.

"Since our press release last Friday, additional Nutek shareholders have notified the company that they, too, have been unable to obtain their stock certificates. We urge shareholders who are having difficulties obtaining their shares to document all correspondence with their brokerage, and to contact the company immediately either by e-mail at certificates@nutk.com or via fax to 702/262-0033 and become part of this federal lawsuit. True shareholder ownership is being undermined by the failed deliveries of these certificates."

The company will endeavor to keep all shareholders updated as to the progress of this action, along with anticipated future civil actions against additional adverse parties as their identities are uncovered.

Commenting on the failed delivery of certificates to shareholders, Scott Kincer, Nutek COO commented, "This is a very troubling situation, however, we would like to point out to shareholders that we have a very experienced legal team handling the situation, and we are not allowing this to take our focus away from running the company. We will be updating shareholders in the near future on exciting developments taking place with the company, including details as to additional contracts we are finalizing."

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995  

Certain statements contained in this press release are forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) and information relating to the Company that is based on the beliefs of the management of the Company, as well as assumptions made by and information currently available to the management of the Company. When used in this press release, the words "estimate," "project," "believe," "anticipate," "intend," "expect," and similar expressions are intended to identify forward-looking statements. Such statements reflect the current views of the Company with respect to future events, and are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements. The Company does not undertake any obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.