Dave Schaeffer

Disclaimer and Legal Context

This page identifies individuals who, based on documented evidence and good-faith analysis, are reasonably believed to have participated in, enabled, or failed to act in connection with the fraudulent acquisition of Fiber Network Solutions, Inc. and its subsequent concealment. The information presented here has been submitted in formal whistleblower disclosures to the U.S. Securities and Exchange Commission, the Department of Justice, the Internal Revenue Service – Criminal Investigation Division, and other federal agencies.

This list does not assert criminal guilt. Instead, it reflects a factual and evidentiary account of each individual’s known or alleged role, behavior, or response pattern—particularly where actions or omissions may be relevant to public interest, fiduciary duty, or federal investigations.

This page is published in accordance with protections under federal whistleblower law and the First Amendment of the United States Constitution.

Dave Schaeffer, Chief Executive Officer of Cogent Communications

Did Cogent build its data center model — or did it deploy one built by Fiber Network Solutions?

Let’s let Kyle Bacon, Dave Koch's former partner and Cogent's former CIO answer that question.

"Cogent didn't have a product to sell for these data centers that they bought from PSI." — Kyle Bacon "I took our model. I took our data center model, from FNSI... from FiberNet, then I packaged it up, made a nice presentation for the sales team so they could all understand it, and I said, go sell the shit out of this, because no one else is doing it." — Kyle Bacon "That's what put me on Dave Schaffer's and Cogent's RADAR. Because I took his turd and turned it to gold. I didn't build anything new. I just took what we had at Fibernet..." — Kyle Bacon

Kyle Bacon, Chief Information Officer of Cogent Communications (former); Vice President & COO of FNSI (former)

The Question of Consent

At the time of the February 26, 2003 transfer of Fiber Network Solutions, Inc., did David J. Koch, FNSI's President, CEO, Chairman and 37% shareholder possess the legal capacity required to provide informed consent, in light of contemporaneously documented severe physical and psychological impairments?

Let's let Kyle Bacon tell us if Koch was capable of giving consent.

"I remember telling you to live to fight another day... that I'll take care of it. Stop worrying about your little kid, ...Kyle... and live. Your doctors said don't come back before it's done. Because you surviving and enjoying the past twenty years of your life is way more valuable to me... than anything else." — Kyle Bacon

"The point is... Dave, who was on his deathbed, climbs a ladder to the roof of his RV. You have no idea how happy that makes me feel." — Kyle Bacon

"Chris, the last time I saw you, Dave was like basically told by the doctor, get the fuck out of work." — Kyle Bacon "Yeah, and we talked about that. I mean, the doctors said, I think to you and I, he has maybe six months." — Chris Myers "Yeah!" — Kyle Bacon

Yeah, I mean... The deal closed... Uhhh... February 29th... twenty... uhhh two thousand and three. I know what [unintelligible] can do. Ya know, like September twenty... two thousand... The doctor said, you need to check out or you're, you're gone. And I'm glad you checked out and I'm glad I helped [unintelligible] I said, Dave, I'll take care of it. — Kyle Bacon

Ya know. Clear the air with FNSI. Everything we did, what happened at the end, ...uhh. The decisions, like... They weren't even decisions from Dave, like I made the decisions. [unintelligible] So, it's all on me... like... you, you, you were not capable of making decisions cause of your health... — Kyle Bacon

Read the full June 17, 2025 News Release here.

For an in-depth, comprehensive overview of the documentary timeline regarding the fraudulent acquisition of Fiber Network Solutions, Inc. by Cogent Communications (NASDAQ: CCOI), visit the Download PDF's page, or read the html versions at the Read Doc's On-Line page.

If David J. Koch consented to the transaction, why is his signature not on the controlling document — Exhibit 2.5?

Dave Schaeffer — Founder and CEO of Cogent Communications

Continuous Executive Control Before, During, and After the 2003 FNSI Transaction

Dave Schaeffer founded Cogent Communications in August 1999 and has served as its Chief Executive Officer continuously since inception. Under his leadership, Cogent Communications has grown into a publicly traded telecommunications provider operating a global internet backbone network.

Cogent Communications was founded in 1999. The acquisition of Fiber Network Solutions, Inc. (FNSI) occurred on February 26, 2003. Dave Schaeffer has remained Chief Executive Officer of Cogent Communications continuously from 1999 through the present, including the period before, during, and after the 2003 transaction.

As Chief Executive Officer throughout this entire period, Schaeffer held ultimate responsibility for corporate disclosures, acquisition reporting, and regulatory compliance.

The acquisition transferred control of FNSI’s existing network infrastructure, customer contracts, colocation operations, and revenue-generating assets to Cogent Communications. These assets were operational at the time of the transaction and formed part of Cogent’s subsequent network expansion.

As a publicly traded company, Cogent Communications was required to disclose material acquisitions and related transaction details in its filings with the U.S. Securities and Exchange Commission. These disclosure obligations applied to the 2003 acquisition of Fiber Network Solutions, Inc.

As Chief Executive Officer of Cogent Communications at the time of the acquisition and continuously thereafter, Schaeffer was responsible for ensuring that the company’s disclosure obligations were met with respect to material transactions, including the 2003 acquisition of Fiber Network Solutions, Inc.

Exhibit 2.5, the Asset Purchase Agreement dated February 26, 2003, is publicly available through the SEC’s EDGAR system. However, the filing expressly states that multiple schedules, attachments, and exhibits were omitted from the electronic filing, including Schedule A, Schedule B, Schedule C, Schedule D, Attachment A1 B2, and Exhibit 1.

The omitted schedules and attachments referenced in Exhibit 2.5 are identified within the agreement as containing detailed information regarding the assets transferred, customer contracts, assumed liabilities, releases, and related operational records associated with the transaction.

Despite the identification of these schedules and attachments within Exhibit 2.5, the corresponding materials are not included in the SEC-filed version of the agreement and are not publicly available as part of the EDGAR record.

Requests for the schedules and attachments referenced in Exhibit 2.5 have been made in connection with the evidentiary record. These materials have not been produced in response to those requests.

On May 16, 2025, and May 23, 2025, formal written notices and legal demand communications were transmitted to Cogent Communications, including its Board of Directors and Chief Legal Officer, requesting production of the schedules and attachments referenced in Exhibit 2.5 of the 2003 Asset Purchase Agreement.

On May 23, 2025, Cogent Communications’ Chief Legal Officer, John Chang, responded in writing acknowledging receipt of the communications and stating that the requested materials would not be provided, asserting that the requester was “not entitled to those materials” and that the company was “not obligated to provide those to you.”

These communications establish a documented record that Cogent Communications, through its Chief Legal Officer and Board-level recipients, was placed on formal notice of the existence and materiality of the schedules and attachments referenced in Exhibit 2.5.

Following these communications, the requested schedules and attachments referenced in Exhibit 2.5 were not produced, and no materials responsive to those requests were provided. The existence of the request, the written response, and the absence of production are preserved within the evidentiary record.

Formal whistleblower submissions and evidentiary materials related to the Fiber Network Solutions (FNSI) acquisition and the omitted schedules referenced in Exhibit 2.5 have been submitted to multiple federal agencies for review. These submissions include supporting documentation, transaction records, and related evidentiary materials associated with the 2003 acquisition.

As reflected in the submission record, these materials have been provided to the Internal Revenue Service – Criminal Investigation Division (IRS-CI), the U.S. Securities and Exchange Commission (SEC), the Federal Bureau of Investigation (FBI), the Federal Aviation Administration (FAA), and the U.S. Attorney’s Office for the Southern District of Ohio.

The submitted materials, including the Exhibit 2.5 documentation and related evidentiary records, have been referenced in connection with matters under review by these agencies, as reflected in the submission record and supporting correspondence.

The existence of these submissions, the identification of specific documentary materials, and the inclusion of supporting records establish a documented evidentiary record that has been formally presented to multiple federal agencies in connection with the 2003 acquisition and related disclosures.

The matters described in the foregoing sections involve corporate disclosures, acquisition reporting, and the handling of transaction-related documentation, each of which is governed by established federal statutes and regulatory requirements.

Relevant federal statutes and regulatory provisions include:

• 17 C.F.R. § 240.13b2-1 — Falsification of corporate books and records

• 17 C.F.R. § 240.12b-20 — Requirement to disclose material information necessary to make statements not misleading

• 15 U.S.C. § 78m(a) — Periodic reporting requirements under the Securities Exchange Act

• 18 U.S.C. § 1001 — False statements within the jurisdiction of a federal agency

• 18 U.S.C. § 1512 — Obstruction of official proceedings

• 18 U.S.C. § 1519 — Destruction, alteration, or concealment of records

• 18 U.S.C. § 371 — Conspiracy to defraud the United States

• 18 U.S.C. § 1962 — Racketeer Influenced and Corrupt Organizations Act (RICO)

The foregoing materials present a documented sequence of events, disclosures, and responses that may be evaluated in the context of these statutory and regulatory frameworks.

Kyle Bacon, Chief Information Officer of Cogent Communications (former); Vice President & COO of FNSI (former)

Related Individuals

The 2003 Acquisition of Fiber Network Solutions, Inc.

The Undisclosed Exhibit 2.5

Post-Notice Conduct and Response

Federal Agency Submissions and Active Review

Statutory and Regulatory Framework

See full list of individuals: The Conspirators