FAB Universal Corp. (fka FABU)

[eastwindwards]

Great insights here. Given how things have played out with the SEC rejecting the S-1 after 5 months (that virtually never happens!) and this history of the CEO/CFO, it's certain that the $0.15-0.20 recent trading range is unjustified and that latecomers will lose money as the stock slides back down to that $0.01 zone.

What confuses me in all of this is that there does seem to be some value in Libsyn. I think that value will go away quickly because bigger companies as well as smaller innovators are moving into Libsyn's niche and the company has done nothing with its product. Still, you would think a deal could be done to get Libsyn into the hands of people who would value it and run it properly. I get that the CEO/CFO might run a calculation that tells them that they are better off continuing to skim company profits rather than sell the company. But, aren't the other board members exposing themselves to serious personal liability here? It's my understanding that these guys have actually been ignoring outside parties approaching them for a purchase. Isn't it board 101 that they need to consider offers and even solicit offers if it looks like there is interest?

Seems the only way to make money here is to move the CEO/CFO off of this thing or get the board to realize that they are opening themselves up to major personal liability by rubber-stamping the CEO/CFO's actions.