I got the following as an email message from a reader, wondering if the Stock Gumshoe could track down the company in question:

A small U.S. tech company is strongly positioned to score billions in a patent lawsuit against a leader of booming hybrid car industry. Act fast and YOU can get in on this 60 cent stock before a likely out-of-court settlement sends it soaring 20-fold overnight — which could happen any day now.

Do you know what company this is?

“this microcap company’s got an ironclad patent on a crucial component of hybrid cars”

“A Florida finance company has agreed to front all the legal expenses incurred in the prosecution of the case– in exchange for a 40% cut of final award.”

“International Trade Commission opened an investigation into patent infringment claims — the result of which could be an immediate injuction on imports and sales of all offending products.”

Jonathan Kolbert predicts this small comapny’s exceptional patents on hybrid electro-propolsion technologies, inspired management and diverse marketing niches guarantee at least 1,000% gains over time

“this stock was an Emerging Capital Report 10-bagger recommendation even before the suit”

And I’m happy to say, “yes, the Stock Gumshoe can”

Because when I put all that info into the Gumshoe Intellitronic, I can make a pretty good bet — 95% sure — that this company is …

Solomon Technologies (SOLM.OB)

This company is indeed suing a major hybrid car company — Toyota Motors. This suit has already been lost by Solomon’s at the first level, in the International Trade Commission, but they’re trying to petition for review, and there’s a regular ‘ol federal court case that’s pending once this ITC one is dealt with.

The stock price is at 50 cents now, but was at 60 cents when this message was probably written a couple weeks ago. And it would have been possible for them to have a “10 bagger” before the ITC’s decision, if they recommended it at the lows in 2005 of around 30 cents or so and sold at the pre-decision recent high of about $3. While it’s hard to believe that they would get this timing that perfect, it’s not hard to believe that they would claim to have done so.

They do have some diverse marketing niches, and they do have some real products, particularly in the marine engines area and in defense, thanks in part to some small acquisitions over the years.

My two points of mild uncertainty about this one:

1. The company that’s doing the financing for this lawsuit in exchange for a potential 40% cut is Oliver Street Finance LLC, which could be based in Florida for all I know (the only company I’ve found with that name is based in Boston, and is affiliated with someone from Solomon’s, so that’s the only place where I get a little uncertain about this one). The lawsuit was filed in Florida, so that could also be where that connection comes from. Or, I could be wrong about everything, but since the rest fits I’m not worried about where the email says this finance company, which appears to be small, private, perhaps even a shell company, is based, since the rest, including the stock price, fits to a “T”.

2. I haven’t seen the original email or tried to find the original teaser, and didn’t even look up who publishes the Emerging Capital Report, I just worked from this summary from a reader … so there could be something I’m missing. But given the way all the details fit, I’m (as I noted above) 95% certain on this one.

While company management says that “the suit against Toyota has never been a major part of our business strategy” and they’re working independently to commercialize their technology and growth through acquisitions, I’m afraid the stock market has clearly felt otherwise — the shares fell dramatically from about $2.50 to under a dollar almost immediately upon the ITC’s initial decision that Toyota was not infringing on Solomon’s patent … and have since drifted further, to 60 cents about when this ad was written and about 50 cents right now.

Solomon responded to the ITC’s decision on February 14th, then officially petitioned for a review two weeks later. I have no idea whether or when the ITC will review their decision or reverse it, but unless you’re an experienced patent lawyer and soothsayer I’d be hesitant to accept this teaser’s assertion that a settlement is a “slam dunk.”

This one isn’t for me … and I’d hesitate to throw money at an investment advisor that says they’ve got a “slam dunk” patent settlement coming to make the stock shoot up from 60 cents, but doesn’t mention that the fact that they already lost the first round of the patent suit is what sent the price plummeting down that far in the first place.

But at least you know what the company almost certainly is, thanks to your friendly Stock Gumshoe. Caveat emptor.