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Pastimes : Investment Chat Board Lawsuits -- Ignore unavailable to you. Want to Upgrade?

To: Jeffrey S. Mitchell who wrote (1534)	5/10/2001 3:49:18 PM
From: mmmary	Read Replies (1) \| Respond to of 12465

Agreed Mitchell I just found out that these specific entities have done this to over 200 companies. Not wanting to be sued for slander but these names have been mentioned in the suits. TK holdings/Thomason Kernaghan/Southridge Capital/Mark Valentine and the cayman island strawmen Cootes Drive, Catherine Drive... (citco likes using street names for their LLC's). If you read the contracts, not only do they have the right to short it, but they are very motivated by the discount on the convertible. There's a 10-25% min. discount built into the contracts. These companies who agree to the financing are either extremely naive, extremely desperate or they know they are doomed and at least will have their salaries paid for a little bit longer. Then the value plummets and they call foul. I think nanopierce one of the more recent lawsuits knew exactly what they were doing. They have a stock promoter/researcher yelling "the financing was a good thing, the people just turned out to be crooks." The financing was a death sentence. On the astn board when I brought up the cayman islands entity, showed the lawsuits against kernaghan et al, they all agreed that it was not a good deal. They still have to vote for it but the company controls the vote so it won't matter. I do believe ASTN and mobile p.e.t. were in on it because a director of both companies, Ivan Gothner, set up both deals for a fee. He's worked with southridge and kernaghan on these deals for a while so he KNOWS what happens. Mobile P.E.T. is even suing even though their director knowingly set up the deal with his buddy Mark Valentine. Maybe they bring these suits against the entitys to redirect the blame.