**August
      18, 2008 - 7:08 AM EDT**





**4C
      Controls Announces Response to Market Manipulation Attack**




4C
      Controls Inc. (OTCBB: FOUR.OB) today announced that it has formally requested
      the U.S. Securities & Exchange Commission to take action against the
      perpetrators of intentionally misleading and negative misstatements made in
      public attacks on the Company. The Company has been subject to short sale
      attacks caused by websites known for disseminating misleading information to
      create panic in the market and artificially manipulate share prices. Initial
      analysis of the short sellers’ patterns indicates a highly organized attack by
      several players acting as a group. This action has seriously and adversely
      affected the Company as a result of false accusations of violations of law,
      misleading and baseless innuendo impugning the Company, and other material
      misstatements and omissions. The Company has posted a copy of its letter to
      the
      Commission on its website at http://www.4ccontrols.com/news.html. Some of the
      websites have subsequently withdrawn some of their false and misleading
      information since the date of their original attack.




The
      Securities Exchange Act of 1934, as amended, makes it a federal crime to use
      any
      manipulative or deceptive device in connection with trading of securities,
      punishable by imprisonment as well as civil fines and penalties. The SEC has
      recently stated that it intends to take vigorous action against persons
      spreading sensational rumors and misinformation
      (www.sec.gov/news/press/2008/2008-140.htm) (Securities Regulators to Examine
      Industry Controls Against Manipulation of Securities Prices Through
      Intentionally Spreading False Information - July 13, 2008). In addition to
      the
      referral to the SEC, the Company and other persons named in the attacks are
      assessing defamation claims which may be brought in the U.S. and in their
      respective home jurisdictions against the perpetrators.




The
      Company is executing its business plan and operations as previously announced
      to
      the public. The Company expects to make additional announcements regarding
      substantive and positive business developments very soon. The Company has been
      advised by its majority shareholder, Rudana Investment Group AG that it intends
      to acquire additional shares for investment purposes in the public market as
      it
      believes the Company is now undervalued. In addition, other substantial
      investors in the Company have also conveyed their long term intent to maintain
      and increase their holdings through the long term stages of development and
      maturity of the Company.




**About
      4C Controls Inc.**




4C
      Controls is an early stage company offering high technology integrated security
      solutions providing real-time early warning and reduction of time scales from
      threat-detection to termination in the field. The Company's primary focus is
      on
      cutting-edge technologies and large distribution networks including high
      resolution synthetic aperture radar satellites (SAR) and satellite images;
      ground high performance radars for intrusion detection and electronic
      surveillance / access control markets such as biometric, radio frequency
      identification (RFID), real time locating systems (RTLS) and closed-circuit
      television (CCTV).







**Forward-Looking
      Statements**




This
      press release contains 'forward-looking statements' as defined in the U.S.
      Private Securities Litigation Reform Act of 1995. These forward-looking
      statements are based upon currently available competitive, financial, and
      economic data and management's views and assumptions regarding future events.
      Such forward-looking statements are inherently uncertain. 4C Controls cannot
      provide assurances that any prospective matters described in the press release
      will be successfully completed or that it will realize the anticipated benefits
      of any transactions. Actual results may differ materially from those projected
      as a result of certain risks and uncertainties, including but not limited to:
      global economic and market conditions; the war on terrorism and the potential
      from war or other hostilities in other parts of the world; availability of
      financing and lines of credit; successful integration of acquired or merged
      businesses; changes in interest rates; management's ability to forecast revenues
      and control expenses, especially on a quarterly basis; unexpected decline in
      revenues without a corresponding and timely slowdown in expense growth; its
      ability to retain key management and employees; intense competition and the
      ability to meet demand at competitive prices and to continue to introduce new
      products and new versions of existing products that keep pace with technological
      developments, satisfy increasingly sophisticated customer requirements and
      achieve market acceptance; relationships with significant suppliers and
      customers; as well as other risks and uncertainties, including but not limited
      to those detailed from time to time in the 4C Controls SEC filings. 4C Controls
      undertakes no obligation to update information contained in this release.




Investors
      & Media:


For
      4C
      Controls Inc.


Bob
      Leahy, 202-550-4294


rdleahy@msn.com







Source:
      Business Wire (August 18, 2008 - 7:08 AM EDT)





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