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Gold/Mining/Energy : Naxos Resources (NAXOF)

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To: Neal davidson who wrote (14304)	7/16/1998 11:20:00 AM
From: Henry Volquardsen	Read Replies (2) of 20681

Henry: With regard to the three possibilities you ranked in your post: Why rank the options; they likely all are true. Neal as you know from our private conversations that I do in fact believe that all three are true. The more I think of it the more I believe #3 is the most likely. The question is what to do about it. I think you made one suggestion that may be worth pursuing. Carl Campbell started this rumour festival by publishing a letter with what we believe to be material misstatements. Larry Macklin's direct conversation with Brian Russell clearly refutes Carl's implication that Brian Russell had already approves the J/L technology. His comments about bills not being paid also appear to be false. You ask a very good question. When did his resignation become effective and was he still technically a board member when he wrote this letter. If so 'material misstatements' by a board member to illicit proxies would, I believe, be a serious legal question. I am not a lawyer but I would appreciate a lawyer's view. (I never thought I would hear myself say that)

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