How EIGH free trading shares were dealt with in the past.
Andretti/Wall/Bryant(TMG Technologies)
http://www.courthousenews.com/2008/03/19/AndrettiCball.pdf
11. Cannonball was planning its 5th Annual Cannonball 8000 Road Rally that was to be held in September, 2007 as well as planning to launch its publicly traded stock on the Pink Sheets in the United States as part of an initial public offering.
12. As part of this planning, Cannonball approached Andretti in an effort to secure the Andretti Rights as a spokesperson and to utilize the endorsement, recognition, and reputation of Andretti toward the marketing, advertising, and promotion of Cannonball’s name and brand, its initial public offering, and its various events.
13. To this end, on July 25, 2007, Andretti and Cannonball entered into a written agreement (“Agreement”) wherein Andretti provided the Andretti Rights to Cannonball in exchange for, among other things, the following:
In consideration for the rights, grants, benefits and services conveyed by Andretti to the Company hereunder, Company shall issue to Andretti one million (1,000,000), unrestricted, freely traded shares of the Company, at a par share price of at least $.60 (the “Shares”). Upon the execution of this Agreement, the Company will facilitate the set up of a brokerage trading account for Andretti for liquidation and management of his stock. The Company guarantees minimum net stock proceeds of $250,000.00 (the “Fee”), with the minimum net proceed value being available on or before 14 days from the date of float, in any event no later than the 31st August 2007, and upon receipt be immediately paid to Andretti. Failure to achieve the net minimum liquidation value within the 14 days and 31st August 2007 time lines will result in default. In the event of default, the company will issue an immediate wire to settle the outstanding shortfall.
Agreement, p. 6 (Exhibit 1).
14. A material part of inducing Andretti to enter into the Agreement was TBG’s and Bryant’s promise to guarantee Cannonball’s obligations to Andretti (Exhibit 2).
15. Despite Defendants’ multiple repeated promises to pay Andretti accordingly to the terms of the Agreement, they failed to do so