Mmmmm peanuts.... Mike establishes (God I could go for a Chicago Hot Dog right now) the whole 40 days (with a slurpee) that these shares cannot go into the float. LOLOL
<pre Well Janice, ya know how the sub-species mind works, they can only focus on one thing at a time and most of that time is revolved around the gathering and consumption of food.
Back to the transcript:
Q. Okay. So it's just really a question of the form. So by
18 February 18th, 1998, there was a serious concern about the
19 price of the stock. And yet one month later, March 15, 1998,
20 Amazon enters into a subscription agreement to sell 4 million
21 shares to Andy Mann and his companies for 25 cents a share,
22 correct?
23 A. Correct.
24 Q. And that increased the free trading float of Amazon shares
25 that are out there from approximately the 700,000 that you
ASSOCIATED REPORTERS OF NEVADA (702) 382-8778
SYLVER - CROSS 62
1 referred to before to 4 million or 5 million shares, correct?
2 A. Incorrect. It's restricted stock. It can't go into the
3 float.
4 Q. You issued to Mr. Mann and his entities, you entered into
5 an agreement to sell 4 million additional shares for $1
6 million at 25 cents a share, correct?
7 A. Restricted stock.
8 Q. Just did you agree to sell 4 million shares?
9 A. Yes, yes.
10 Q. Right?
11 A. Okay.
12 Q. And if Mr. Mann and his entities had paid the $1 million,
13 then after 40 days based on your affidavit and based on your
14 testimony that would no longer be a restricted stock. This is
15 about the fact that he -- you were not paid the $1 million,
16 correct?
17 A. Correct.
18 Q. Okay. And --
19 MR. MONTAL: Your Honor, this is the second half of
20 that document and I'd like to show it to the witness.
21 THE COURT: You may.
22 MR. MONTAL: And also --
23 THE COURT: That document being 43?
24 MR. MONTAL: This was 44, the last two pages of 44.
25 It continues the printout from March 31, 1998.
ASSOCIATED REPORTERS OF NEVADA (702) 382-8778
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1 THE COURT: Okay. You have a similar document, 43,
2 that's --
3 MR. MONTAL: That's a weekly printout and this is a
4 daily one and so I'm going to focus on --
5 THE COURT: Okay. Do you want to supplement 44?
6 MR. MONTAL: Correct, with the last pages.
7 THE COURT: Do you have any problem?
8 MR. LANDISH: I don't have a problem with
9 supplementing, your Honor, but I would like to see them.
10 MR. MONTAL: Absolutely.
11 THE COURT: I think the rule of completeness would
12 probably invite the Court to allow them to supplement in any
13 event.
14 (Pause)
15 MR. MONTAL: May I approach?
16 THE COURT: You may.
17 BY MR. MONTAL:
18 Q. Looking at this printout here, Mr. Sylver, if I could
19 direct your attention to February 18th, the date of that press
20 release in which you're encouraging the shareholders to take
21 steps to increase shareholder value by reducing the available
22 number of shares in the free trading market. The closing
23 price for Amazon Natural Treasure shares was approximately
24 $1.85, $1.86 a share, correct?
25 A. I can't say.
ASSOCIATED REPORTERS OF NEVADA (702) 382-8778
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1 Q. Well, based on this document.
2 A. This document can't even be used as real.
3 MR. MONTAL: Well, your Honor, this document is in
4 evidence.
5 THE WITNESS: Okay. This -- as what this says it's
6 $1.85. But I don't know if that's correct.
7 BY MR. MONTAL:
8 Q. Okay?
9 A. Okay. A market maker has to give that information.
10 Q. Okay. But this document says $1.85 a share?
11 A. That's correct.
12 Q. 1.8594 as the closing price on February 18, 19987
13 A. That's what this document says.
14 Q. Right. And then a month later shares, 4 million shares
15 are sold for 25 cents a share to Andy Mann, right?
16 A. No. He didn't pay for them.
17 Q. March 15th. You entered into a subscription agreement to
18 sell them, 4 million shares for $1 million at 25 cents a
19 share?
20 A. Correct.
21 Q. And what was the price for -- the closing price on the
22 shares on March 15th, the date of the subscription agreement?
23 I think that March 15th was actually --
24 A. 75 cents.
25 Q. Right. And so we're going to March 16th.
ASSOCIATED REPORTERS OF NEVADA (702) 382-8778
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1 A. This says 75 cents.
2 Q. Right. This document lists the closing price of March
3 16th, which is the next trading day after March 15th, at being
4 .7656 per share, which is approximately three times the price
5 per share as the price at which you agreed to sell the shares
6 to Andy Mann, correct?
7 A. Correct, standard practice.
8 MR. MONTAL: Move to strike, your Honor.
9 THE COURT: I'm sorry?
10 MR. MONTAL: I move to strike the last part of that
11 response.
12 THE COURT: It will be stricken.
13 MR. MONTAL: Thank you, your Honor.
14 BY MR. MONTAL:
15 Q. And based on exhibit 44, what's the closing price of the
16 stock on October 2, the date that this Court entered the
17 previous restraining order I believe which was entered on
18 consent of the parties?
19 A. This document says $1.37.
20 Q. And so that's significantly more than the price on the
21 date that you agreed to sell the shares to Mr. Andy Mann,
22 correct? That's more than 50 cents more a share, that's close
23 to twice the price.
24 A. Therefore.
25 Q. Is that right?
ASSOCIATED REPORTERS OF NEVADA (702) 382-8778
SYLVER - CROSS 66
1 A. That's correct.
2 Q. Because on March 15th, the closing price was about 76
3 cents a share and when this Court entered the order on October
4 2nd it was at $1.37. And in fact if you look at exhibit 44,
5 the last available date on this sheet of Amazon's closing
6 price which is January 27, 1999, which is the first line on
7 this document. It shows a closing price of more than $1.40 a
8 share, correct?
9 A. That's what this document says.
10 Q. And so it is just about twice the price that the shares
11 were on the date that you agreed to sell 4 million shares to
12 Andy Mann which he didn't -- you claim he didn't pay for. But
13 that was at 25 cents a share, correct? Is that correct,
14 Mr. Sylver?
15 A. Yes, it's correct.
16 Q. And it's a lot more than the price was in May and June of
17 1998, correct?
18 A. Yeah, it was $1 -- 93 cents in May.
19 Q. What date are you looking at?
20 A. This says -- May 5th.
21 Q. May 5th, 93 cents. But then you go to May 21st, and it's
22 at a nickel a share. And now we're talking --
23 A. What date?
24 Q. May 21st. And that appears that whole week.
25 A. Okay. This is the --
ASSOCIATED REPORTERS OF NEVADA (702) 382-8778
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1 Q. Yes or no?
2 A. This is no. It's never been a nickel a share.
3 Q. Not -- excuse me, 50 cents. I stand corrected. I
4 apologize.
5 A. Okay.
6 Q. About 50 cents a share, right?
7 A. Yeah.
8 Q. And now we're talking a stock price that's approximately
9 three times --
10 A. Correct. |
