eConnect should proceed with the buy back of 2 million shares. The best way to raise capital for econnect right now is through sale of stock. But, with the stock price at only .40 it is very difficult to raise signifigant funds.
However, if Tom buys back free floating stock and takes it out of circulation, the eConnect stock price will be bottle necked up. Therefore his $1,000,000 investment in 2,000,000 shares may be worth $2,000,00 when the stock hits .80 cents again. He doubles his money and so do we. In addition if the stock hits $10 he will make $20,000,000.
Besides, when Tom buys his own stock where do you think that money goes? Right back to eConnect. Any stock he buys, eConnect gets the money back. That money will then be infused into the company for R&D.
In reference to the Canadians....
eConnect also has a couple of new credit lines with like $2.5 million at their disposal soon. We are not in any immediate danger even if Tom Pays off the Canadians.
-The Mayor
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