Who's to say there was a settlement and not just a court order to give NIR the shares they are owed, hence no statement of? The way NIR penalizes on these convertibles, the penalties are probably just as much as the principal. I would doubt that the company cares about shareholders enough to buy back shares. They are not in business to make people happy and shareholders would be at the bottom of the payback list.
IMO, sorry.

Posted by: wobblenuts Date: Thursday, January 28, 2010 11:26:21 AM
In reply to: flaflyersfan who wrote msg# 23713 Post # of 24319
Example:
NIR, gets the shares from CYBL at a huge discount (40% of lowest pps in last 20 days). They sell them to the MM's for whatever they are willing to pay (.0001). The MM's sell to whoever is willing to buy (.0002). The MM's only need to sell a percentage of what they get from NIR to break even.
The rest of the shares are all profit for the MM's.
IMO, my guess for reason MM's keep buying from NIR

Gov't policy 2010.

"In 2010 the party's strong agricultural preferential agricultural policy,"

http://translate.googleusercontent.com/translate_c?hl=en&ie=UTF-8&sl=zh-CN&tl=en&u=http://www.zgfl.org.cn/news/nyzc/2010-3-10/10310329028473.html&rurl=translate.google.com&usg=ALkJrhh5wTLq86ut29wissZcRh3JwA1ETA

"Jingjiang City, Jiangsu Province, on the use of Commercial Organic Fertilizer subsidies to promote agricultural production efficiency"

something to read...

http://translate.googleusercontent.com/translate_c?hl=en&ie=UTF-8&sl=zh-CN&tl=en&u=http://www.zgfl.org.cn/news/nyzc/2010-3-12/1031260228514.html&rurl=translate.google.com&usg=ALkJrhix0ggCCa411eMgWtlNgVz55b0uGw

There's more bad than good in these small OTC's. People are better off starting out pessimistic, doing their own research (reading message boards comments is not research)and finding the legitimate hope. Rather than, starting optomistic and disregarding every negative viewpoint. There's more pumper agenda here than basher. There's nothing in it ($) for a basher to bash, so I would tend to take their comments with more consideration and strive to validate them.
Some people work just as hard to be a con as those that do so legitimately.
JMO

Oh c'mon now...your only following 2 stocks. Their annual should be out in a week or so. At least we'll have something to read for a minute or two, ha.

Mr. Woog, thanks for agreeing with me then...

Another week or so the annual should be out.

NIR pursues troubled small companies desperately in need of financing so that they can control the terms of the notes in such a way as to guarantee the returns they want. They do not invest for returns on growth, they invest to manipulate the greatest return. They have no interest in a companies success. Your earnings are a reflection of the success of NIR's manipulation of the securities trading model. Anotherwords, your investment hurts us all. Your feeding the manipulation, further eroding the notion that private investment in securities is an alternative investment vehicle. You hide behind the protection the Hedge funds have in PIPES. Their investment is secured by the terms of the agreement, my common shares are not. The integrity of the model is breached by the bridge between the secured private investment and shares of stock via the convertible clause.
MyPOV and I'll stick to it. It's a matter of ethics and morals, traits that are in short supply in this world.

Yes, and they get their shares at a huge discount.

Are the Feds getting closer to nailing NIR Group for stock kickback scheme?

http://blog.ctnews.com/teribuhl/2010/02/26/are-the-feds-getting-closer-to-nailing-nir-group-for-stock-kickback-scheme/

There's a link under "these guys" at the end of the article for the attorney, if anyone would like to vent.

Somewhere, in one of these articles, reference was made to one of NIR's lawyers. The last name was Schechter. I certainly hope there is no relation to KWBT's I.R. Schechter.

NIR Probe Expands As Feds Look Into Alleged Kickbacks

Feb 26 2010 | 1:34pm ET

Authorities have expanded their investigation of hedge fund NIR Group, looking into whether the firm paid kickbacks to people in exchange for helping it inflate the value of some of its investments.

According to The Wall Street Journal, officials are questioning individuals close to the firm about the alleged kickback scheme. NIR has been the subject of a federal probe since last year, and has been sued at least twice, accused of misleading investors about its performance.

The criminal probe is focusing on whether NIR officials—including founder Corey Ribotsky—overvalued some convertible bonds, which it often receives in exchange for investing in small public companies. Investigators are also looking into whether the hedge fund improperly disclosed some of its investments.

NIR froze redemptions at the end of 2008 as it ran into trouble valuing some of its investments. Investors in its largest fund still have not received an audit for that year, despite claims last year from NIR that the audit was forthcoming soon. FTI Consulting, which NIR hired last year to advise it, quit earlier this year.

Authorities are trying to determine whether NIR sought to boost the value of its investments by offering kickbacks to outside individuals in exchange for those individuals buying assets at inflated prices. Neither NIR nor Ribotsky have been charged with any wrongdoing.

http://www.finalternatives.com/node/11570?utm_source=feedburner&utm_medium=twitter&utm_campaign=Feed%3A+Finalternatives+%28FINalternatives%29&utm_content=Twitter

Ribotsky article.

http://blogs.wsj.com/law/2010/02/26/on-snowy-long-island-feds-probing-alleged-kickbacks-at-hedge-fund/

Seems they are living off the dilution until they start bringing money in from actual work. There's a vote coming to increase AS soon. IMO, they'll keep diluting until cash flow improves. Could go lower if buyers aren't there to pick up the extra shares.

Clean your glasses.

NIR selling their shares to MM's for whatever they can get?

Volumes running out. MM games not working (no more market left for this one).
IMO secured creditor (NIR) will force RS and ticker symbol change in order to carry one with dilution to get paid. Anotherwords, time for a new storefront to attract more/new investors to pay off NIR debt.
Gotta hand it to NIR, just wish their hedge fund investors knew how their money is made, not from growth, but by killing distressed companies with their convertible's. No one has won against them yet and they have past precedence and more money to spend on lawyers. Apparently, according to the SEC, scamming the little people like us is ok.
Caveat Emptor, or something like that...

He probably would, but NIR goons probably have G.U.N. to his head.

"There are currently no plans, arrangements, commitments or understandings for the issuance of the additional shares of Common Stock which are proposed to be authorized:"

Flat out lie or the guy didn't read his own filing.

"In the near term, we can’t expect to stop raising capital through the sale of equity, but we expect to see a transition during the year where this goal will be possible."

He might be more correct stating it this way,

"In the near term, we expect new investors to pay off our old debt, but we expect to see a transition this year where revenue may increase enough to make a payment."

You would think the PPS would have been slowly climbing as of late, given the positive news. I'm worried that they will approve the increase of AS while pumping the press releases. They will be enrichened while the PPS stalls because of dilution. May even go lower. Don't pile too much into this until you know the results of the vote.
IMO

I would hope here that shareholders have the majority on the next vote to increase AS and shoot it down. Further litigation would take another 2 years like the litigation that just ended. That might buy them time to get their sh!t together and find other financing to replace the convertibles, but new financing wouldn't be had without a very substantial increase in sales. Banks aren't into hope and their loan would be secured, which means again, shareholders lose, if business does not pan out.
I don't mean to bash CYBL's product and accomplishments, that's where the hope comes from. The reality is shown in the filings and what type of debt they have.
Newbies need to take time and familiarize themselves with "death spiral convertibles" before they put to much stock in hope.
I've learned the hard way on this myself (see KWBT). They only owe $1.5m to NIR/Ribotsky, but shareholders were able to shoot down the last request for the AS increase. KWBT now has some time to refi. or come up with the cash before NIR can force the issue.

Good luck.

My guess, the CEO is happy NIR didn't force a bankruptcy because NIR knows they have diddly for income and the CEO wants to continue to play whatever games they play to get rich first, then grow the company, then maybe care about shareholders.

That's the game. Let uninformed shareholders pay off the debt to NIR. The money has to come from somewhere, if CYBL does not have the income. Since they have a lot of debt and little income, you would be best off putting this on the watch list and waiting to see what their next move is once the AS is maxed out again. If you buy in now, you can still lose on a RS, which is highly likely considering other company's with the same scenario.
IMO, you'll be tempted by the pumping, but it's really a ploy to keep the shares being dumped moving. It's all about the money owed, not that the company cares about it's stock. I wish I could take peoples money without consequences...

They are still hiring.

http://translate.googleusercontent.com/translate_c?hl=en&ie=UTF-8&sl=zh-CN&tl=en&u=http://www.288job.cn/jobs.aspx%3Fid%3D7645&rurl=translate.google.com&usg=ALkJrhixeaR-9WpWOB-BxIATKsDIIiNqAw

Seen awhile back they want to increase AS soon. If they don't have the income, the shares will go straight to the holder of the notes at a discount, then the real dilution and erosion of share price will begin.
Does not matter what's in the pipeline for future work if the PPS gets diluted to sub penny land and the AS is a billion+.
See CYBL, JUNP for similar circumstance.

IMO of course.

Reverse Split
Change Name
Continue Dilution
Repeat step 1
Until secured creditors get paid back, because company has no assets to liquidate in bankruptcy. Unsecured creditors and individual shareholders get screwed.
See JUNP.

Chinese New Year Holiday for the next week.

Similar notes between NIR and other companies. I assume it's the same range. I think it's set that low so that when NIR sells to the MM's, the MM's have the opportunity to cover by selling less shares than they received, if they can't dump the shares to the open market. I'm sure it's all designed to remove the money from the individual investors pocket.
IMO

With NIR's discount, 5 billion shares hardly puts a dent in what's owed. They will commit acts of desperation when they are required by the terms to increase the AS again. I think there are limits as to the $ amount of shares NIR can convert per month. Once they hit that limit, the dilution will stop or slow for a period before it picks up again.
IMO

Where's the share price going to go once they vote to increase the AS from 100 to 300 million? Why do they need the increase with all the contracts in mix or is this a requirement of the convertible notes? Does management own the majority? I like the potential, but if the stock gets diluted after an increase in AS, the rise will be much slower, if any at all.
IMO

I think it's 40% of the lowest share price in the last 20 days.

"Sheds a serious soil-borne diseases should be increased Shi helpful in preventing some of the difficult function of disease type Bacillus fertilizers (such as Quentin production of bio-group mu-ling)."

http://translate.googleusercontent.com/translate_c?hl=en&ie=UTF-8&sl=zh-CN&tl=en&u=http://cache.baidu.com/c%3Fm%3D9d78d513d9d431db4f9d93690c66c0176843f0682bd6a0020edf843ce0732a36501197af60624e0b89833a2516ae3a41f7b57337200357f6ce94c35dddccc7756b9f274321409b12529542fe951132c157c31babb81893e1a62592d8d2d4d55754%26p%3D882a9002ce955dfc57ef873749%26user%3Dbaidu&rurl=translate.google.com&usg=ALkJrhgrqJxnMgri77F8kszQ2whs4Gj5bw

FYI, The NIR/Cyberlux (CYBL) litigation (another convertible PIPE) has ended in favor of NIR last month. There is a filing now by NIR to sue Juniper Group (JUNP). The Cyberlux litigation was started in '07. I have not seen anything related to KIWA.
IMO. hopefully this means KIWA has time on their side...

Failure to pay on convertible debt. Ref. CYBL for the latest...

Stay away from companies with NIR/Ribotsky loans. Things don't go well.

IMO

New Millennium Capital Partners, III, LLC et al v. Juniper Group, Inc.
Plaintiffs: New Millennium Capital Partners, III, LLC, New Millennium Capital Partners, II, LLC, AJW Partners, LLC, AJW Offshore, Ltd., AJW Qualified Partners, LLC, AJW Master Fund, Ltd., AJW Partners II, LLC, AJW Offshore II, Ltd., AJW Qualified Partners II, LLC and AJW Master Fund II, Ltd.
Defendants: Juniper Group, Inc.

Case Number: 1:2010cv00046
Filed: January 5, 2010

Court: New York Southern District Court
Office: Foley Square Office [ Court Info ]
County: Nassau
Presiding Judge: Judge P. Kevin Castel

Nature of Suit: Contract - Other Contract
Cause: 28:1332 Diversity: Notice of Removal
Jurisdiction: Diversity
Jury Demanded By: None
Amount Demanded: $8,000,000.00
http://dockets.justia.com/docket/court-nysdce/case_no-1:2010cv00046/case_id-356872/

ref. JUNP's history. Before the RS it was JNIP. very similar...

The 5 billion increase in AS is not enough to pay Ribotsky/NIR off, with the discount they get. CYBL will have to increase the AS shares again, if they have no income or financing to pay NIR, or run.

You are right on.