Thanks, I scanned the original Yidam complaint last night. I didn't see much about the origins of the company, but there were many believable shenanigans alleged against NNVC, and Diwan in particular: being a paranoid and greedy control freak, or alternatively with high concern for getting his "fair share" of his invention. It is obvious to all by his behavior that he puts his own interest above those of shareholders, for instance by refusing to accept investment by CIMS because they were asking too many questions and he thought they were trying to take too much from him, and instead taking more toxic financing at way worse terms. In any event, the lawsuit was eventually dismissed, so I don't think we'll ever know the full truth there. Perhaps it was dismissed on a legal technicality (which venue was appropriate?), but I didn't investigate the case too closely.
Was there something in there about how the company was started where it was alleged to be a known fraud from the beginning? It sounds more like sour grapes from an investor dealing with an over-protective founder. It's likely that over-protective, paranoid, greedy founder was unethical in his business practices, and possibly committed crimes by not upholding his fiduciary duty to shareholders.
Again I wonder / ask, what are the most egregious instances of "fraud" that shareholders feel they have witnessed here? |
