No, i was not rushing into judegment. The stock action in the last 2 months is my answer!
Also, from the 10k:
"During the three months ended October 31, 2015, three lenders converted an aggregate of $216,580 of principal and accrued interest owed under certain convertible note agreements into 44,854,970 shares of the Company's common stock. The notes were converted at a discount to the trading price of the common stock in accordance with the conversion terms under the different notes disclosed in Note 12."
Only an absolutely incompetent management with a good product like Veloxum would let their outstanding double in 3 months when they owned over 52% of outstanding before that. now they own less than 32% or so!
