Yippy, Inc. (YIPI)

[JPRMarketing]

Evidence against Magna and Hanover is very bad for Sason and company.

24. As set forth above, Hanover has utterly failed to provide a “full and
adequate accounting”:
• In the February 5, 2016 accounting, Hanover insists that it never
shorted Yippy Stock. That is factually impossible in view of the
October 1, 2013 accounting. Moreover, Hanover’s account statements
indicate dozens of short sale transactions.
• The February 5, 2016 accounting and accompanying account
statements confirm that Hanover commingled its own Yippy stock with
the Escrowed Shares.
• The February 5, 2016 accounting provides no explanation for how
Hanover distinguished between trades for Yippy’s account and trades
for the account of Hanover or Magna. Hanover’s ever-changing
accounting raises serious concerns that Hanover, in commingling client
assets, may have “assigned” Yippy low-price trades using hindsight, or
may have used the Escrow Stock as cannon fodder to drive down the
trading price.
• The February 5, 2016 accounting claims that Hanover liquidated
574,638 of the Escrowed Shares between November 28, 2012 and
October 1, 2013 – which is mathematically impossible.
12
• The February 5, 2016 accounting claims that Hanover only sold
$22,151 worth of Escrowed Stock before December 11, 2012, which is
completely inconsistent with the December 2012 Invoice.

https://iapps.courts.state.ny.us/fbem/DocumentDisplayServlet?documentId=Q2tE_PLUS_iOMcyP6Xhc82X0ZCw==&system=prod