"once again there may be more here than meets the eye"
What you see is what you get. The chaps (phew! close one there - I nearly wrote "crooks"!) running this show have decided that they've pretty well wrung you shareholders out, and now it's time for a new game.
At Feb 29 2008, less than 18 months ago, Biophan's 10K showed assets of around $27 million.
The two biggest components were cash, at a shade under $7 million, and the carrying value of the Myotech CSS device, valued at a shade over $17 million (as this was what Biophan's "management" had paid the private owners of Myotech, some of whom were, of course, the same people).
Cut to today:
Virtually no cash, except $250,000 received for the asset that was purportedly worth shelling out $17 million of the shareholders' to buy. That asset has been transferred to a company that is also controlled by the current CEO of Biophan, Mr. Lanzafame.
Wonder where the money went?
It wasn't you shareholders who got it, best as I can determine.
Nor was it spent on any activity that would have moved the Myotech CSS device closer to FDA approval.
As for Myotech CSS, I have previously predicted that the IP would be transferred out of the company.
I can guarantee that the next thing to happen is that any cash Biophan has remaining on its books will be:
- paid to John Lanzafame as salary (who could begrudge him, after all?),
- given to various employees and consultants of Biophan as "termination payments" (these guys like to get their paws on the readies before the rest of the creditors, and that's the way to do it)
- and transferred to MyoCardioCare as payment for equity, or product rights ot whatever flimsy excuse they can think of.
And of course, none of that will be transparent, because now as a "dark" company, they don't have to file a thing.
Until they file for Chapter 11.
Frankly, anyone who doesn't acknowledge that the game is up, and that the ordinary shareholder has been fleeced, is either extraordinarily optimistic to the extent that they are in denial of the facts, or is not being entirely straighforward in their posts.
And like all the best shell games or three card Monte tricks, there's usually a shill in the crowd pretending to be an ordinary punter.
I wonder who that could be?