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There is an entire lack of clarity that B2 Digital has any definitive interest in this hip-hop company. This has been covered before. So why would anyone keep bringing this up so investor smay lose even more money ? BTDG has no value as a shell under current conditions, so why would someone with a potential business consider giving a piece to BTDG ?
How can CEO tell one investor and not all that "news is coming". This is a complete violation of fair disclosure guidelines.
A close look at the filings shows no impact of this supposed ownership interest on the financial statements, and the convoluted wording of the filings do not show clearly BTDG has any firm interest in this hip hop business.Even if somehow it does how will BTDG benefit ?
The CEO continues to advertise fake academic degrees , a first step to uilding credibility would be to stop doing that. Secodn get anyone with a smattering of accounting knowledge to re do the financials. Third do a reverse split.
CEO may be a very nice man who made mistakes in desperation- he should do the right thing : recognize he doesnt have the ability to turn BTDG around, and let someone else take over.
I am curious , how does one define "scam " as compared to simple stupidity.
I know one pink sheet company that has all the earmarks of a scam, but when I talked to a CEO he is so clueless I came to conclusion it was simply stupidty. I see other pink sheet companeis that inevstros throw out words like scam all the time, and others that seem obvious scams to me, but some investors think are great.
So how does one define scam ? Just curious.
At this point just curiosity and trying to understand how anyone thought this company would have been producing this year.
If I recall they never filed a copy of those contracts nor disclosed any details sufficient for an investor to judge their merit. Furthermore since company had no permit, and companies signing contracts not identified as to whether they had ore or not, one wonders what sort of "contracts" signed.
Just part of a consistent pattern of company generating news flow to promote the stock, but without providing investors basic data to make a reasonable judgement.
SEC certainly doesnt have resources to go after every company releasing such press releases immediatey, and must prioritize their efforts. Having said that quietly FNRA can issue a "blue sheet" requesting clarification from the company Just looking at MISM website and personnel , at a glance pretty obvious they really dont have experience in this sector.
Anyway the reality is SEC has more tools to deal with reporting companies, not non reporting companies ! The better solution woudl be for invsors to start campiagn with Pink Sheets to stop quoting companies unless
- They have some sort of independent financial statements
- Transfer agents have to report whenever a company issues over 10% of their shares, or make a company requirement to do so within 5 days
- Have brokerage industry, pink sheets, etc assign aprt of commission to a fund to periodically review pink sheet filings.
These wouldnt be onerous resrictions but would help.
As far as investors, what I find curious is so many comments about "scams" but they keep buying these sort of stocks. If I buy a penny stock I fully understand the risk. Investors like to buy buy and sell low, when price is going up and company issuing inane press releases people accept- when price goes down, then they apply scrutiny.Or start up with urban legends about short selling.
Majority of pink sheet companies probably not scams but due to the increasing difficulty imposed by regulations and brokerage firms, companies are being pushed more and more into weird ways to finance themselves. Try buying resircted stock then after 12 months placing in a brokerage account if stock trades under $05. So Pink Sheet companies being driven the gutter of financing via "IR" companies etc who just want a quick buck.
This companies MISM in claiming billions of $ in value will attract furtehr issues I think.
First it should be obvious to anyone this is pure gambling, so why should anyone complain when even the simplest due diligence not done? Financials have no bearing in US GAAP accounting according to SEC standards In two minutes one finds out (a) financial statements show assets that cannot properly be shown on the balance sheet (b) company refers to NI43-101 reports, always suspect for a US company to do so, and confirmed by BC Securities commission press release. (c) less than $1,000 in the bank claiming a multi billion dollar asset.How could any investors consider this a serious investment or even serious speculation ?
If a company cant afford even reviewed statements by independent CPA,should they be allowed to trade ? On the other hand, maybe stocks like this should only be permissible to purchase after someone signs a document claiming they are fully aware that without knowledge investing in this sector is gambling. These two items could help clean up the market.
Did the company ever publish any details about the supposed milling contracts ?
BC secuities commission take on americna companeis referring to NI43-101 reports :
"The B.C. Securities Commission issued an investor alert Tuesday after becoming aware that Mission, which has no apparent connection to Canada, had issued a news release and posted it on its website claiming that it had received a resource estimate for its Gold Star property in Esmerelda County, Nev., that complies with Canada's National Instrument 43-101.
That is the regulation that governs the requirements for reporting technical information from mining projects. However, the B.C. Securities Commission determined the report has not been registered in Canada, as it would need to be, and includes speculation about the value of gold and silver resources that are prohibited under NI 43-101 rules "
Except for 2 posters on this board it seems pretty darn clear CEO hasnt been able to turn company around for whatever reason, nor will be able to. No one has been able to identify one single accomplishment of CEO that would indicate his ability to turn this situation around.The lack of proper financial statemets alone destroy value as a shell, or to move up to a higher exchange.
Out of curiosity I follow this stock to see what will happen, and I am fascinated by people who continue to promote the stock regardless of results
I feel sorry for CEO as obviously he has had a tough time, even for himself he should turnover the reins.Maybe some say his own fault but I see nothing to indicate the CEO has the ability to discern between reality and fantasy of potential busienss deals.
Hecla has great prospects for the future
-experienced and conservative management
-growing proudction profile
-lots of good exploration potential
And of course, a long term bright future for silver.
Having said that commodities almost by definition are volatile, and investors like to buy high and sell low. So IMO great stock for medium or long term, I have no opinion for immediate short term.
Most larger mining stocks are down 40 to 50% for last 12 months, so whole sector down. Hecla does need to build a larger market cap to attract more institutional buyers, so they should do another acquisition though at this low stock price maybe consider one financed more by debt or preferred shares.
The global lock I find interesting, as if I understand it this means CEDE/DTC will not accept additional shares, but I am assuming- let me know if I am wrong- they will allow trades up to balance they already hold, otherwise with the DTC chill some brokers can only trade the certificates which most brokers will not do.
I find it hard to believe a convertible debt holder would at this time sue the company and spend money doing that,unless for some odd reason they believe this will protect their investment.
The 8k issue I recognize the company makes the determination, and also many probably dont issue 8k's when a conversion takes place. My impression of this company is that they do not take seriously issuing of filing an 8k when a material event occurs, and part of an overall pattern that made me question months ago CFO's ability and experience.
I agree it seems even if they do file this 10k it may be their last, as hard to imagine any convertible note buyer putting new money in at thispoint.
The issue pretty simple- a publicly reporting company needs to file an 8k on material events. Asking why they dont is a reasonable question. Perhaps the question could be why any investor would not wish the company to report material events in a timely fashion.
The covertibles issued were not as far as I undersand under a registration, but would become free trading under rule 144. When issued these convertibles certainly any investor would consider a material event. Hence my question , why arent 8k's filed when covertiblles are issued ? I canunderstand not filing an 8 when the conversion is done, but not when they are issued.
Your second listed item doesnt seem to be applcable, but if it were would imply when shares issued an 8k required, again not done.
Just filing information on 10q's doesnt seem sufficient.
If they are filing a 10k, the subsequent events footnote on the financials will hopefully shed some light on currentstatus of the company. IF they file a 10k this year.
It is unclear whether BTDG even has an interest in the Hip Hop Venture and certainly doesnt appear on their financials.Wouldnt that be first step before promoting this venture, i.e show clearly what the interet is ?
BTDG obviously has no funds for a reverse, and without a reverse no future.
Have you spoken to CEO ?
The litigation referred to is interesting as must be significant to be referred to , yet if it was why no 8k Filed ?
Comment letters can take some time to appear on Edgar, and as you say if no SEC ltigation filed then wont be that. However on 10k filing it is required to refer to any outstanding unresolved comment letter issues.
There is the ongoing past litigation with former officer.
As far as convertible debt holders, would they throw good money after bad at this point ? Would global lock effect shares being issued free of restriction ? Isnt that more a question of Rule144 compliance as opposed to DTC ? (Though I assume that convertible debt arrangements had a clause referring to DTC eligibility?)
I still am curious why when convertible debt financings received there isnt an 8k filing ?
If they file a 10k that should shed some light.
With no bid and DTC global lock, can company get any more convertible debt financing ?
It may be company just cant afford 8k filings, or CPA refused to finish audit without payment.
I forecasted another reverse but maybe company cant afford to do a reverse.
What does "back trading" mean ? The global lock will be released ?
This 10k promises to be quite interesting. In their late filing notice they refer to litigation. Since any material litigation woudl need to be filed on an 8k, I assume therefore ( if they follow a policy of releasing material information on 8k's, which is a big question itself) this relates to the judgement aganst them previously reported. All this time this issue has been out there.
They also refer to project funding, but since no one will provide them $11 million,I assume this simply refers to getting any new funding to keep the lights on.At no bid this must be a challenge to say the least,
Wonder what others think,is the game finally over ? Have they maybe received a SEC engineering office comment letter maybe ? (These are not necessarily posted on Edgar at same time received or response sent). Anyone have an idea which litgation they are referring to ?
Lessons from CGFI - I am interested what everyone says the lessons are since even the true believers evidently understand this game is over.
1. Any junior mining company that disregards being timely on 8k filings, and disregards SEC Guide 7, surely doesnt have the experience or knowledge to build a company in this difficult sector.
2. Any company using convertible financing at steep discounts better have effective volume and a track record of news flow that builds credibility to offset the dilutive effect of toxic financing- and rarely do companies who rely on such financing succeed.
3. Any American company not reporting in Canada that puts out overly promotional NI43-101 references is suspect.
4. True believers posting all sorts of imagined ways to finance such a company must be taken with a grain of salt at best. ( When companies across America having difficulty getting bank loans, and in this industry in particular, it boggles the imagination how anyone could think a bank would lend to this company).
5. Simple math should be involved in taken convertible debt less the discount , then forecasting base quarterly expenses, to forecast increases in outstanding shares.
6. A junior exploration company that never has exploration results is surely questionable at best.
7. Investors love to buy high and sell low- they say no but generally that is the psychology.
8.Any company without even 1 person with experience putting a mine into operation successfully in a public company shouldnot be considered a near term production play.
I am interested what others have for their list- good learning experience.
I was not referring to 10q and 10k reports but specifically to 8k filings. A SEC reporting company is supposed to report material events within 4 days,I have given examples several times of the occassion this didnt happen. Second,a SEC reporting cmpany in the mining sector is supposed to follow SEC Guide 7- as myself and especially 1manband have pointed out,again several times, this company clearly doesnt follow SEC Guide 7 guidelines.
Look at website, investments alone justify a $10 to $.15 share price.
should be good to .001-.002 on promotion. they must be planing a promotion otehrwise we spend money and time getting its filings with pink sheets up to date ?
Perhaps you miss my point- the absence of news whether positive or negative is another indicator management does not take too seriously filing 8k's on material events within 4 days of occurrence. Look at the press releases- it is obvious that many of tehse "deals" had dates that havent been met. Simply putting out a press release stating that the deals havent been completed, or a press release acknowledging the obvious- the permit delays- would be a tiny baby step for management to show they actually wish to follow the intent of being a reporting company.
This is what perhaps those promoting this stock have never recognzied, that everywhere one looks at this company management has shown their inability to achieve results, and disclosures that are untimely,misleading and overly-promotional. The combination doesnt build credibility to potential investors- and this in of itself an indicator of how inexperienced the CFO is.
Simply put for whatever reaosn management has driven this company into a corner, and shows no ability that one can see to turn situation around- and this has been the case for many months. The only think to save this company is anotehr reverse split and new management.
Because of pipe dreams of CFO more likely company will eventually de register and fade away to the grey market.
If not a disappearing act could someone explain how at no bid they will finance this company with convertible notes ?
Is there anyone who could give an example of achievement by management ?
They cant get a permit it seems, cant seem to close their mining deals announced with great fanfare- heck they cant even put out a press release announcing the deals arent happening. Even negative news would be welcome to show management actually wishes to follow the public company reporting guidelines.
When will CFO step down ?
Yes this stock has always been very speculative and anyone buying this stock knew that. However management has consistently not delivered on their own projections, so it is not unfair to judge management by results-according to their own criteria ! The public disclosure by the company as pointed out previously has been untimely, inaccurate, and incomplete.
Commenting that the company doesnt not follow the letter or intent of SEC Guide 7 is not bashing, nor that the company put out projections that could not be met- and havent been.
Maybe one projection not being met could be understood by circumstances, but if company consistently over time meets none of their projections questioning the competence of management not out of line for analysis of this stock.
My own prediction remains that if they have the money to do so another reverse is coming, but eventually even the convertible financing will dry up and the company will gravitate towards the grey market and de-registration OR SEC engineering office will at some point review their filings and request so many re-statements and retractions that company simply wont have funds to do so.
The DTC chill remains unsolved, the permit without conditions remains an issue, the announced "deals" seem dead in water, and at this stock price how could new convertible financing be sufficient to jump start the company with this management ?
well i guess still trading somehow, but did i see correctly down finally to no bid ?
does anyone have idea whether they will make their next filing ?
Has CGI stopped trading or simply brokerage hosues now refusing trades?
Perhaps another way to look at is that market makers are simply in the business of making money on the spread and commissions on trade flow- they are not in business of speculating in stocks though of course sometimes they do. But every position they take for their own account reduces their net working capital that sets the trading volume they can handle per day. Thus generally the thrust of market making is not acquiring a position to earn proceeds from trades going beyond that day or three days.
The persistence of urban market legends about naked shorting penny stocks continues in absence of very much proof whatsoever. Market makers I know point out that the type of scheme you describe carries so much risk that it would be rare for market maker to engage in such activity.
Speculators in the market seem to love this conspiracy theory.FNRA has increasingly over the last years monitored this issue due to constant speculator complaints.I am not saying it never happens that somemarket maker doesnt take the risk, but few who do stay in business.
The 8k needs to be filed within 4 days of the event in question, to reflect material events , which can include significant financing , business agreements, changes in officers,directors, accountants etc etc etc.
An example is this company earlier in the year- they annoucne an agreement with great fanfare about acquiring interests in a property by March 4, which certainly if any investor actually believed their press release could prompt them to buy stock. Then March 4th arrives and they do not announce agreemet not concldued-clearly an announcement about acquiring $100 million in so in assets or whatever it was, is material for a company this size. Read recent SEC litigation releases, and you will see over and over how SEC considers such activity.
Or financings they do for which there is no 8k, but just appears quietly in later 10q filings.
Sometimes companies take position a letter of intent doesnt need to be disclosed ( but if press release put out then certainly company considered important enough !).
What is amazing to me is for many months of following this stock people point out how this company doesnt follow the spirit of disclosure let alone specific guidelines, then people post the contrary with apparently limited understanding of how securities regulation works.All this fits a consistent pattern- simply the CFO is in over his head and doesnt have the experience to perform this function, which is reflected in the results of this company. The lack of adherence to SEC Guide 7 alone can result in some pretty severe SEC comments requiring extensiving re stating of SEC filings, press releases, website, etc etc by this company. What experienced or savvy CFO would open up a company to such scrutiny ?
I still believe the company will eventually de register, and gradually sink down to stop sign status or even the grey market.
In response:
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Absolutely. Not meeting objectives sucks, but is not criminal. Remember, a chance is a chance and not a sure thing. If I feel bad after losing a chance, I should probably blame my risk assessment. What is a reasonable chance - like, almost winning the lottery? Overall, they lose more than they win.
However you do not address the issue- if management puts out obectives and they dont meet them, this means management was unable to perform.Nothing complciated here, simple
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His opinion was the only thing covered, which he has every right. Heck, a lot of people state their opinion for free - the rest either get paid or pay to do it! You have to realize the 8K is pretty broad - you'll have to prove cd sales weren't a normal course of business, (hard to do when there is a few years history). The other issue is if the agreements transferred over greater than 15%. If you find this happened - let me know. Given the fact they file 13G's which is required at 5% is kind of telling, in my free opinion.
With all due respect, an 8k is due for material events, not whether normal course of business.I am completely unaware of 15% rule, I know the 5% and 10 ownership rules. What is 15% rule ? Second, 1manband clearly indictaed- and correctly- hat this company does not follow SEC Guide 7 rules on propert descriptions in any of their filings. Third, 8k's need to be filed within 4 days of the event, my prior posts identified instances where this didnt happen I have seen nothing this year on posts by anyone that confirms this company following SEC Guide 7 guidelines.
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That's opinion. There was volume and demand during every PR drive, and the price went down. Yet there are derivative funds out there that have showed positive gains for years - and were not only not advertized, but purposely kept in the shadows - go figure.
My point as that competent management that takes on convertibles considering the highly dilutive effect, needs to build its IR/marketing strategy + achievable results to build demand to absorb the extra shares, if shareholder value is to be acheived. First, could anyone disagee with that ? Second, could anyone say that this management has achieved that strategic goal ? If there was some volume when a press release made, that doesnt negate the two year declining trend.
The overall impression I am getting is it doesnt matter if management ever performs,dont they have any responsibility ? It would be very different if management made reasonable projections and usually achieved them, if they demonstrated knowledge of the rules and intent of the rules for 8k filings and SEC Guide 7.Any investor looking just at what management has said the last 2years vs results, doesnt have a real reason to speculate in this stock.
1.Not meeting projections : The company provided over quite a perod of time varous projections which were not met- this is an obvious failure of management to not only not meet objectives but in the case of a number of years, a failure in making projections that had a reasonable chance of success.
2. Not making timely disclosures and not in accordance with SEC Guide 7 : 1manband covered this topic at length. The lack of 8k disclosures for material events ( new convertible debt sales, contracts projected for certain dates not being met).
3. Not developing cash flow, not delivering positive shareholders returns- while there may be reasons this was dificult in this time period, the fact is these items not achieved.
4.Inept Marketing/IR -company took on dlutive convertible debt financing which requires for shareholder benefit volume and demand for the stock, which can be created through marketing and results.It is obvious therefore that the marketing and IR for this company didnt achieve objectives.
5 Lack of Permit : For whatever reason a permit without conditions has not been received. I do not know whether this is company's fault or not, but again fits the pattern of failure.
The only achievements if you call them that is (a) company has stayed reporting status (b) it has provided convertible debt holders a profit.
I have listed reasons why I consider that management has not met objective. I am open to hear why these circumstances are an indicator of success or management having the ability to succeed.
You are correct I cannot show what CFO has made,it is just my opinion he is not working for peanuts to incur this sort of liability and bother.
Look, the junior mining and sub-penny sector is inherently speculative and difficult these past few years, but that shouldnt excuse a bunch of so-called experienced people not even being able to read and understand the few pages of SEC Guide 7. Thus they have given the impression that their inexperience is such they couldnt pull off the wacky projections they gave.
What I said was specifically it is hard to believe that CFO is not making compensation out of his involvement with this company, I guess question is does anyone believe he is working for free ?
The company has consistently not met their own projections no matter what excuses are thrown up-and worse as 1manband and others have well pointed out, their projections were unrealistic anyway. This plus the inadequate and untimely disclosures does paint a picture of management not having the ability to succeed. Taking on convertible debt only works if management can build demand for the stock, and deliver on reasonable investor expectations. Management has also failed on both counts.
- This is the situation " as they are ".
It would be interesting for someone to define what "scam" means then test the facts in this instance against such a definition. But whether a scam or incompent management, I really would like to know what indicates this CFO has the ability to build this company. The disclosures are atrocious, and untimely, and clearly material events occur which are not disclosed in a timely manner on 8k filings.
In answer to your question, if you believe that CFO not making money from all this then the alternate explanation is he is a fool. Which is it ?
Interesting perspective about hurdles and fundamental value - a very interesting post.
The company presented itself,as well as those who pushed this stock, precisely as a fundamental play- forecasting revenue and gross margin etc., which now of course it seems no one beleives any longer their projections which they have continually missed.
The convertibles are simply a loan to the company, which after 6 montsh can be converted at a discount to the bid- so if there is any sort of volume, the lender makes money- but if management doesnt deliver eventually so many shares outstanding that a reverse is aprobability. I still dont understand how when new converts taken on an 8k is not filed, surely this is a material event !! Your point well taken that looking at the balance of teh convertibles , discount, and current price allows investors to project minimum outstanding shares in the future- but since management cant hold the price, the amount of outstanding shares always seems to go higher than may believepossible.
Enough time has passed to judge management's ability at investor relations, at operations, etc.-to be clear,I think that ability is minimal.I would be first one to state it has been a tough market the past 18 months for junior companies- even worse for ones that never meet their own projections, have a strange conception about what is correct or timely disclosure,and two reverse splits within 12 months.
The next filing will be interesting to be sure, I am curious what status of convertible holders are, surely they will lose interest at some point I would think.
It is really hard to ask people to believe CFO for all this time is not making a living from this, and while he may not be selling shares directly certainly at the quoted salary I believe he is making money from all this.How I admit I dont know but it would seem (a) somehow shares perhaps collateral for notes and they sell shares and through some loophole not reported (b) people who are selling shares perhaps retaining him seperately . I am not stating that there is anything necessarily wrong from a regulatory standpoint, but does anyone believe CFO not pulling in at least $100,000 a year from all this ?
promotion hasnt even started yet, so stock could double from these levels. take a dormant otc company, spend money to bring it up to date, put an IR guy in charge, and company starts doing deals, all this points to a nice pop sometime in next 6 months.
Market Makers can place bid/ask for retail or institutional clients, and some even use computer programs to palce their own trades.Both groups can play whatever games they want with the bid and ask, so rather curious why market makers always blamed when any retail investor can do the same thing, except market makers can short the stock temporarily until they settle accounts- and on otc stocks this usually means the same day, or if not within three days. urban legends about shorting penny otc stocks are just that , legends.
if retail investor wishes to tease the bid up, he can do so, then hit the bid when others jump in. investors typically love to buy high and sell low,so for astute trade understanding trading patterns and market maker reactions can be profitable.
market makers can trade on their own account but generally try to not hold inventory of stocks overnight for their own account-just not the business they are in.
the trend for the dollar and for silver is clear to see over the medium to long term. fortunes will be made by those who start accumulating now., in my opinion.
HL and PAAS blue chip plays on this long term trend
Just to be objective, does anyone know of a single objective instance supported by facts of a significant short in any sub penny stock ? any retail broker that permits these sort of trades ? for that matter any institutional trader firm that (a) permits short selling of sub penny stocks past 3 days ?(b) past 6 days ?
Just an urban legend that speculators love to blame. I know a for some time a market maker personally and he says amongst market makers it is the biggest joke all these urban legends about short selling. Just think about it, if short selling going on in sub penny pink sheet stocks how come except in extremely rare instances it is never factually reported ?
Thanks for the link. hard to belive this stock is under $7 let alone under $4.
Have you spoken to CEO recently ? When will a reverse split occur? Any objective reason you have been promoting the good potential of this stock for so long ? Are worried that there is no bid on the stock ?