Amid Court Battle with VIPD, Mon Ethos Announces New Owner

Mon Ethos Pro Support, the cybersecurity firm embroiled in a legal dispute over its contract with the V.I. Police Department, announced Friday that the company has changed hands in an acquisition that it says was formalized back in April but only just now made public.

According to the release, Mon Ethos chief technology officer Curtis Jones is the new owner, with founder David Whitaker “continuing to assist as needed to ensure a smooth handover.”

Curtis Jones (Mon Ethos Pro Support photo)
Curtis Jones (Mon Ethos Pro Support photo)

“The acquisition was formalized on April 16, 2024, with a notarized agreement. Since then, Mr. Whitaker and Mr. Jones have maintained a confidential arrangement regarding the transaction. A private formal agreement was reached in April, outlining the long-term transition plan, which is currently being guided by MEPSVI’s legal team. Mr. Whitaker will continue to be involved with MEPSVI as needed to ensure a smooth transition,” the release stated.

In response to questions from the Source, Mon Ethos said that while Jones has acquired MEPSVI, “the process of updating and formally notifying corporate and public records is ongoing and will be done in accordance with legal guidelines. Given the intricate nature of MEPSVI’s client relationships and contractual obligations, this process may take more time than would be necessary in less complex acquisitions.”

The company declined to divulge the sale terms as “MEPSVI is a private company, the financial terms of the acquisition are confidential.” It also declined to discuss employee numbers.

However, according to U.S. Small Business Administration records, Whitaker received two COVID pandemic Payroll Protection Program loans, in April 2020 and in February 2021, totaling nearly $1 million for his company Mon Ethos Pro Consulting, which claimed “63 jobs.” That business, which was involved in promoting bodybuilders and fitness models, was organized in Massachusetts in June 2018 and, according to publicly available records, was dissolved “by court order or by the Secretary of the Commonwealth” in December 2022.

Mon Ethos Pro Support was registered in January 2020 in the U.S. Virgin Islands, listing its principal office as 17-B Estate Smith Bay, Building 263, on St. Thomas, according to the Lieutenant Governor’s Office Division of Corporations and Trademarks. It listed its purpose as providing “digital operational support of Mon Ethos Pro Consulting, LLC. This includes but not limited to, website development, mobile app development, live stream, TV broadcast and social media development for the Mon Ethos Pro Consulting, LLC clients.”

VIPD Property Returned?

Friday’s announcement comes ahead of a hearing set for Aug. 29 in the government’s complaint against Mon Ethos. Filed Aug. 2 in V.I. Superior Court, it alleges the company breached its contract for cybersecurity services with the V.I. Police Department and threatened to delete data critical to ongoing investigations and court cases unless it is paid some $500,000 it says it is owed over and above its contract.

According to the verified complaint, equipment in Mon Ethos’ custody includes a GrayKey — an item that lets police hack into mobile devices and retrieve encrypted information — iPads, Facebook portals, iPhones, Max West Nitro tablets, Qlink Wireless tablets, laptops, Motorola cellphones, and Android Moto G phones with cases.

Mon Ethos has denied wrongdoing and on Friday told the Source that it “already returned the physical evidence and the GrayKey device to the VIPD,” as ordered by the court.

The Source sought to confirm that information with both the V.I. Justice Department and the VIPD but did not receive a response by its press deadline Friday night.

Public spending records reveal that the V.I. government has paid $3.31 million to Mon Ethos since August 2022, including $1.7 million from the Office of Management and Budget and $1.5 million from the V.I. Police Department.

In June, both Police Commissioner Ray Martinez and Office of Management and Budget Director Jenifer O’Neal resigned after the FBI announced they were the targets of a federal investigation regarding the government’s contract with Mon Ethos. Federal agents also seized the phone of Sports Parks and Recreation Commissioner Calvert White and were reviewing the department’s dealings with the company, which Gov. Albert Bryan Jr. said at the time included a $1.8 million proposal for surveillance cameras.

According to the Property and Procurement Department, the one-year, no-bid VIPD contract was awarded in October 2023 under an exemption to the formal bidding process, specifically 31 V.I. Code section 239(a)(8). Reasons for circumventing bids can include emergencies, expenditures under $10,000, under $50,000, single and sole source providers, technical expertise, and standardization of equipment, it said.

The company also signed a contract with the V.I. Education Department for $1.9 million on Feb. 28 for security systems and surveillance at 11 campuses in the St. Croix district.

While Bryan said at the June press conference concerning the FBI investigation that all contracts were being pulled and were under review, Mon Ethos said on Friday that it is proceeding with the Education contract.

“MEPSVI is actively engaged in fulfilling its current contracts, including an existing agreement with the Department of Education for the installation of cameras in schools across St. Croix. We anticipate the arrival of these cameras next week, and we plan to invite the press to document this significant milestone,” the company said in response to questions from the Source.

It also said that it has an award letter from the Sports, Parks and Recreation Department, “though we are still awaiting the official contract.” The Source sought to confirm that information with the department but did not receive a response.

“Regarding our relationship with the VIPD, we are deeply concerned about recent developments, particularly the department’s failure to pay its outstanding invoices and its misrepresentation of our intentions. It is important to clarify that we have already returned the physical evidence and the GrayKey device to the VIPD,” Mon Ethos told the Source.

“We are extremely disappointed with the Virgin Islands Police Department, particularly given that we have been a trusted partner for more than a year. The VIPD has consistently relied on our work product and publicly praised our efforts, with even the governor recently acknowledging our contributions. Our work has been instrumental in hundreds of cases and matters, yet it seems that once it was time for the VIPD to settle the remainder of their bill, they began to misrepresent facts,” it said.

Mon Ethos said when it previously tried to return physical evidence and the GrayKey device to individuals identified by the DOJ or VIPD, those individuals were unaware of the directives issued by their own departments.

“In a concerning example of retaliation, when Senior Detective Jose Allen, who was stationed in the Police Commissioner’s office located at our MEPSVI headquarters, refused to sign an affidavit against Mon Ethos Pro Support or MEPSVI — because he did not believe the statements were factually accurate — he was demoted from the Commissioner’s office to patrol duty,” Mon Ethos said. Again, the Source sought to confirm this information with the VIPD but did not receive a response.

According to Mon Ethos, the change in ownership “will bring greater accountability to such misrepresentations. We will be transparent about our relationships with government entities, and when issues like this arise, we will not hesitate to notify the public and be forthright in our communications. We are serious people conducting serious business, and we expect to be treated with the fairness and respect that our professionalism and contributions warrant.”

As for how the transition will affect the current litigation, Mon Ethos said it was “crucial to note” that the contract with the Virgin Islands Police Department is between the department and MEPSVI as a corporate entity, not with Whitaker personally.

“The government’s continued focus on Whitaker seems to be a misdirection, and this acquisition should clarify that MEPSVI’s obligations, as well as its rights to payment for services rendered, remain intact. This transition should serve as a reminder to the government and the public of the real-world impact on the company’s employees and stakeholders, who are being asked to work without compensation due to the government’s failure to fulfill its financial obligations,” the company said in response to questions from the Source.

A New Direction?

Whitaker was nabbed in 2008 in Mexico and returned to the United States to face a multicount fraud complaint of bilking customers out of more than $10 million by selling, but never delivering, electronic equipment. While on the lam south of the border, he allegedly made millions of dollars by selling black-market steroids and human growth hormones online. Facing 65 years behind bars on the fraud charges, Whitaker became an FBI operative in a sting that eventually saw Google fined $500 million for its role in facilitating online illegal drug sales. Whitaker subsequently got five years on the fraud charges.

According to an expose of his escapades by Wired magazine in May 2013 that called him a “career conman,” Whitaker has been in and out of jail since he was first arrested for bank fraud and e-racketeering in 1997 when he was 22. He is involved in numerous court disputes both in the U.S. Virgin Islands and on the mainland.

Jones, Mon Ethos’s new owner, is a “tech veteran” and has worked on projects for the Wall Street Journal, Bloomberg and Apple, according to the press release announcing the acquisition.

“Mr. Jones brings an impressive background, having held key roles at major technology companies such as Apple and Bloomberg. At Apple, he played a crucial role in developing an internal macOS/Cocoa retail store application and has developed an application related to video surveillance that is downloadable from the Apple App Store. His work at Bloomberg was instrumental in optimizing infrastructure for processing financial data,” the release stated.

“In addition to his contributions at these industry giants, Jones’s expertise is evident in his work with The Wall Street Journal, where he developed their first iPhone app, and with Kmart, where he created an inventory management iOS app based on VT-220. His work on phonetic-based macOS applications at Nexidia further underscores his proficiency in audio and speech technology,” it said.

According to his LinkedIn profile, Jones is based in Atlanta and is the principal engineer at Streamie Security, Inc., and at Symphonic Systems, Inc.

“The story you’ll find here as you filter through the buzzwords is of one who, to his core, revels in engineering challenges, is more than a little opinionated, loves simple solutions to complex problems, eschews office politics, can delegate, manage, encourage and mentor, and who would rather be playing with his kids right now than typing a profile introduction. Also, I’m truly terrible at marketing,” the “About” section of his profile states.

According to Friday’s announcement from Mon Ethos, Jones “has already introduced himself to various government officials in person and Governor Albert Bryan via email. He plans to make a formal statement once the public transition is complete.”