An Administrative Law Judge had issued an Order Making Findings and Revoking Registrations by Default of LeaseSmart, Inc., Administrative Proceeding No. 3-13511. The Order Instituting Proceedings (OIP) alleged that the firm repeatedly failed to file required annual and quarterly reports while its securities were registered with the Securities and Exchange Commission (SEC). The Default Order found the allegations to be true and revokes the registrations of each class of registered securities of the firm, pursuant to Section 12(j) of the Securities Exchange Act of 1934.

On June 10, the Commission instituted public administrative proceedings to determine whether to revoke or suspend for a period not exceeding twelve months the registration of each class of the securities of XXSYS Technologies, Inc. (LeaseSmart, Inc.) for failure to make required periodic filings with the Commission. In this proceeding, instituted pursuant to Exchange Act Section 12(j), a hearing will be scheduled before an Administrative Law Judge. At the hearing, the judge will hear evidence from the Division and the company to determine whether the allegations of the Division contained in the Order, which the Division alleges constitute failures to comply with Exchange Act Section 13(a) and Rules 13a-1 and 13a-13 or 13a-16 there under, are true. The judge in the proceeding will then determine whether the registration pursuant to Exchange Act Section 12 of each class of the securities of the company should be revoked or suspended for a period not exceeding twelve months. The Commission ordered that the Administrative Law Judge in this proceeding issue an initial decision not later than 120 days from the date of service of the order instituting proceedings.