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Microcap & Penny Stocks : PLNI - Game Over -- Ignore unavailable to you. Want to Upgrade?

To: VultureBuyer who wrote (5261)	7/4/2006 10:47:40 PM
From: Jeffrey S. Mitchell	Read Replies (1) \| Respond to of 12518

Vulture, good analysis. It would be interesting to know for sure which debt was related to Pro-Mold and Semco to determine the true cost of the acquisition. But when it comes to compensation, nothing holds a candle to what Turek gifts to himself. For example: In January 2005, the Company obtained certain assets (molds, sales contract, customer base, and patents) from a related party, Promotional Container, Inc. (PCI). PCI is owned by James N. Turek Sr., the Company's president and majority shareholder. Consideration to PCI consisted of a promise to exchange 100,000,000 shares of preferred stock (recorded as $360,000 of preferred stock subscribed in the accompanying balance sheet) in the Company by May 2007 and a promise to pay $500,000 (non interest bearing) by May 2006. Due to common control, paid in capital was reduced by $860,000 to record the transaction. If 1M shares of preferred stock is convertible to 7.3B common, then how does one value a whopping 100M preferred? 730B of common? OK, so that's potentially not a problem for almost a year from now. But what about the $500K in cash due by May, 2006? Given it's in the most recent financials but not listed as already paid, can we assume it was paid in May? Paid using what cash? Or will we find out later this debt has also been forgiven? If 100M shares of preferred is valued at $360K on the balance sheet, does this mean the $500K is equivalent to 139M shares? - Jeff

To: VultureBuyer who wrote (5261)	7/5/2006 12:33:44 AM
From: Jeffrey S. Mitchell	Respond to of 12518

If SEMCO principals decide they aren't getting paid the cash they are promised, the logical course would be to sue for rescission. It's interesting to note that, according to the most recent financial report: During 2005 and 2006, the Company has received approximately $7,200,000 of financing from LexReal to primarily fund the acquisitions (see Note 2) and to settle the common stock commitment of $2,645,788. Note 2 refers to Pro-Mold and Semco. Based on that, you'd think Turek had plenty of money to pay off the acquisitions. Yet he apparently hasn't. Where did all this money go? The powers that be at Semco should really talk to the principles of the other PLNI acquisitions. If they are told the same thing as me, they'll be shocked to learn that PLNI allegedly claimed to have paid people what they were promised but actually did not. They might also ask Turek to account for how he spent the $7.2M when he still has, for example, bank overdrafts on his books. - Jeff