Without the PIPE investment, Bordynuik's shares are worthless, as are common stock holders shares, because JBII could not survive without the investment. There is no getting around that reality. Bordynuik and Baldwin, according to the SEC, also conspired to bilk common shareholders, by fraudulently ballooning JBI's worth at the 2010 AGM.
The SEC, as I pointed out a few posts ago, are also seeking disgorgement of "losses avoided".
"Requiring all Defendants to disgorge their ill-gotten gains and losses avoided"
This would allow the courts to effectively strip Bordynuik of all his shares, and salary because without the common stock holders and the PIPE investments, Bordynuik's stock is entirely worthless (other than the value of the shell).
If Bordyniuk is so smart as you seem to think, he'll plead out, take the ban, relinquish his majority status, and call it a day, thereby not personally bankrupting himself. |
