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1/31/2013
Speed Camera Firm Denies Swedish Connection
Sensys in Sweden denies company run by former top executive

Carlos LofstedtSensys, a speed camera firm headquartered in Jonkoping, Sweden, issued a statement Wednesday denying ties to the American speed camera company that goes by the same name. Sensys took issue with a story published by TheNewspaper on Monday linking the European firm to litigation filed by Sensys in a federal court in Florida (view story).

"Sensys America Inc is an independent company registered in Delaware, the United States, which has been appointed as Sensys Traffic AB's distributor for the North American territory," a company spokesman wrote in an email to TheNewspaper. "Sensys America Inc is not a legal entity or shareholding of Sensys Traffic AB, nor does Sensys Traffic AB exercise any control or influence over Sensys America Inc."

Up until 2010, the Swedish company had been operating on a European model where public agencies purchased speed camera hardware with sworn or unsworn police employees issuing the citations. By contrast, every photo ticketing program in the United States outsources the entire process of installing, operating and maintaining cameras in addition to reviewing citations, mailing them, collecting fines, running public relations programs and handling lawsuits. Sensys expressed its desire to break into this market in its 2009 annual report.

"The market as a whole shrank in 2009, with the exception of North America, where the total number of installed systems continued to grow," Sensys CEO Johan Frilund wrote. "The US market is an operator market with a capital-intensive business model that Sensys is currently unable to handle but the company is working on establishing partnerships in North America with a view to exploiting the growth potential in this market."

According to the Delaware Division of Corporations, Sensys incorporated on January 7, 2010 with Carlos Lofstedt listed as chairman, president and director of the company. Lofstedt had been not only a senior executive in charge of sales at the Swedish firm, he is listed in the 2008 annual report as having 620,000 shares in the company, more than the other five top executives combined -- including the CEO. Lofstedt did not actually leave the Swedish company until March 2010, according to the firm's annual report.

"Sensys America will represent our local presence in the growing US market for traffic surveillance," Frilund wrote in an April 1, 2010 press release.

Even the sensysamerica.com website, which was registered in April 2009, runs on the Swedish firm's servers. Despite the close ties, Sensys insists the entities are wholly separate.

"Sensys Traffic AB is not currently involved in any lawsuit against any party in the USA or anywhere else, including but not limited to Brekford," the firm's spokesman wrote. "Therefore any legal action, conflict or dispute in the United States taken by Sensys America Inc against Brekford is a matter strictly between the involved parties and does not concern or involve Sensys Traffic AB. Accordingly, the statements made in the article asserting a corporate connection between Sensys Traffic AB to Sensys America Inc as well as any indication that Sensys Traffic AB would be a party to the dispute are factually incorrect. Considering that Sensys Traffic AB is a public company which shares are traded on the Swedish stock exchange, Sensys Traffic AB takes the factual misrepresentations made in the article very seriously."




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