The following information is all taken from the Mo Tonya facebook page. All credit goes to whoever runs the page as I'm not sure it's an actual person named Mo Tonya and may just be a "nom de plume". With that being said, it seems that this page is dedicated to stamping out corruption and stupidity that's so very inherent in anachronistic bureaucracies we see at every turn. I see no reason to doubt what seems like a reasonable citizen trying to do what is best for their community.
Here is the body of the post dated: September 26 at 11:02pm.
FORMER CITY MANAGER ADDRESSES BIONITROGEN REPS
Bill Brynes - Who is Travis Brooks?
Carlos Contreras Chairman and CEO of Bionitrogen - Travis is an attorney who has worked for us in the past.
Brynes - Not in the past, Sir. In the information that you've put out, Travis Brooks and Christine Brooks is on the information. If it's wrong you need to fix it. Who is Andrew Fentrest?
Contreras - Friedman?
Brynes - No, Fentrest. [Spelling is MORE than likely wrong. ]
Contreras - I'm not sure.
Brynes - I'm neither for you nor against you. I think the chance of our getting our 5 million back is less than 10 percent, and I base that mainly on past experience. How many years have you been attempting to come up with the financing to build the plant?
Contreras - 3 years, sir.
Brynes - You've had no takers.
Contreras - No, the project has evolved from a smaller plant to a larger plant, from one technology to another technology.
Brynes - This 8 million that you just mentioned you've given, is that bartered or cash?
Contreras - No, that's money that came in.
Brynes - Came in.
Contreras - Yes.
Brynes - How much barter have you done? How much of the 20 million dollars that you have lost has been bartered? Have you done a 1099 for the barter? I've got to watch my clocks. (Referring to the 5 minute time limit Council imposed on members from the public). You've lost 20 million dollars so far, where did it come from? It was bartered. In 6 months this year you've lost 1.6 million dollars, where did that come from? You've only got $31,000 in the bank.
Patterson - You're asking questions. I want them to answer them.
Brynes - I only got 5 minutes now. You gave them 2 hours. I got 5 minutes. How can you put a 5 million dollar (this 5 million that the City's gonna put up) and set a financial dated June 30, when that didn't take place til sometime in September?
Ernie Iznaga, VP of Operations, or Donnie Cunningham, accountant (I couldn't tell which one said this) - Where are you reading from? That might be a fair...
Brynes - It's called research. It's called information that your names are on. If you can't answer those questions, my gosh, you think you can build this plant? Come on , guys. Brian owns 12% percent as of June 30. And the deal about Brian not being in this is totally false. Are you going to continue to pay him his $500,000 dollars a year?
Contreras - Like I said before, he's no longer in the company.
Brynes - So he did that whole deal on faith of the company and he doesn't have a contract with you for $500,000 dollars a year?
Contreras - He does have a contract under this company, yes.
Brynes - B Group, with you?
Contreras - With Bionitrogen, yes.
Brynes - Yes. Are you going to continue to pay him $500,000? Now I'm sure you all have seen this going through your due diligence. (talking to the Council and Commissioners). This is a list of all these little companies that these guys are in. It's comingled, just like this (intertwining his fingers). Brian is in 12 of them. Carlos is in 7. And Ernie's in 6. And there may be more. If you go back, let me read something that they say. This is how they feel about their company. "The ability of the Company to obtain necessary financing to build it's manufacturing facilities and fund ongoing operating expenses is uncertain. The ability of the company to generate sales revenue to offset the expenses that obtain profitability is uncertain. The company had a net loss in 6 months of 1.6 million".
Mayor Deming - Thank you Bill. (The five minute clock ran out).
Commissioner Page - Mr. Mayor. I would like to offer a suggestion that we allocate an additional three minutes to Mr. Brynes.
Commissioner Feagle - I agree. He has a lot of information I would like to hear and I'm sure the audience would like to hear and I'd like to hear answers too.
Mayor Deming - I'd like to hear exactly where he's referencing from - investor relations, websites, is it their website, is it whatever? But we'll allocate him the three minutes.
Commissioner Page - Let's make that five.
Brynes - This information came under the signature of Carlos.
Mayor Deming - Okay. 5 minutes.
Brynes - But it goes on, "These material uncertainties cast doubt on the company's ability to continue to operate as going concern". Fair statement?
Contreras - Now I recall where that comes from. And that is on our reporting to (inuadible). And that is standard in all the companies that report to them.
Brynes - That's standard?
Contreras - Standard language used by the accountant.
Brynes - Sir, I've been a CPA for 30 years plus. I've seen it twice in my entire working career. Once out here at Doctors Memorial Hospital, once in these statements. What you're telling the world when it goes out to SEC, what you're telling the world is that chance of success is probably close to failure, and I'll say again, or absolutely no success. (He continues to read) - "We are pleased about this pivotal point in Bionitrogen's life. The closing of this funding facility will allow us to complete the basic engineering design and advance forward the process of building plants and producing urea. Bionitrogen Corp announces that it has closed on the convertible(?) adventure(?) facility of 400,000 dollars. The initial round of financing will allow us to complete the basic engineering design and advance for the process of building plants and producing". What happened? Gentleman, that's where we are now. How much have you paid out to employees, consultants, engineers, whatever in barter? Do you have any idea?
Contreras - I don't have that number off the top of my head. No, I don't.
Brynes - Close to 20 million?
Contrearas - No. Can't be.
Brynes - Why? That's what you've lost so far. You got no cash. You got no sales. You got nothing. What you're doing is telling an engineer, "Do this and I'll give you..." By the way they got one billion authorized shares of stock. You're telling them, "If you do this for me, I'm gonna give you 10 million shares and if we make it, you'll make a lot of money". The real question is have you filed the 1099 with these people, including employees, with the Internal Revenue Service?
Contreras - As far as I'm concerned, yes.
Brynes - As far as I'm concerned you haven't though. Because you don't know. You don't know. Only way you'd know that, did you file one? Did any of ya? You get a 1099? (Looking at the other reps with Bionitrogen).
Contreras - I got a 1099 ,yes.
Brynes - Was it barter?
Contreras - I'm sorry. I have to apologize. I don't understand what barter means. I mean, I don't. Brynes - What barter is - is say you're going to provide engineering services for me.
Contreras - yes.
Brynes - But you're not gonna pay me. I'm gonna give you stock for it.
Contreras - No, we paid for all the engineering we done.
Brynes - Sir. Please! Please. Please. I need to quit. I have that lady back here fiddling that wants to see that. Guys, (referring to the City) you haven't done your homework is all I can say. Whoever was in charge of doing it - failed. And we're gonna be 5 million dollars down.
To all the longs on the board. I'd love to read what you all think of recent developments. As an investor with 500k shares, I have no reason to try and pummel the stock down to $.00 and stand to lose a substantial amount if any speculation of scam/corruption turns out to be true. I only want to know the truth. At this point even if the company is completely legitimate, how can BION get in front of this controversy and stay afloat? Judging by the responses by Carlos Contreras, I get the feeling that the CEO is detached in the day to day operations of this company. I didn't want to say it, but I lost a lot of hope with the departure of Terry Collins. It seems the only person on the executive team with a respectable resume and easily researched background has decided to go..
