Why Goulding concoct such complicated deal between SRSR and IGEX when Dan could have bought a shell for $50k? Is that a rhetorical question? Because everybody involved apart from common share holders can make book on two worthless entities.
The way it reads Randy didn't learn from the SEC probe-win in 2016 on moving assets shares to family and friends. In his defense he said holders would still get payed if his friends and family sold. Judge disagreed.
In this new deal which Finra will be looking at, as you mention the paper work looking through filings is either incomplete or a complete mess and Goulding didn't learn anything offering shares in the new deal to family and friends.
Only reason this crazy deal was made up is a match made for Goulding and company directors to make more $'s.
Selling assets and firing directors is no recipe for share holder value. Any payment could be years away.
In consideration for the claims, Shining Tree will receive a 10-year Net Smelter Returns Royalty, at 3% for the first 200,000 ounces of gold and 2% thereafter. During the term of the Net Smelter Returns Royalty, if Green Swan files a NI43-101 compliance resource estimate of at least one million ounces of gold grading at least 2 grams of gold per tonne, Green Swan will at that time make a one-time payment of USD$250,000 to Shining Tree.
"The Shining Tree gold project was an unfortunate failure in the company's past. When I joined the Company Board, the Board told shareholders we would clean up the Company's past and build value for the shareholders. Today's announcement is another step in that process," said Otto Pichler, Director.
"Shining Tree's gold project is another example of the Company not successfully building shareholder value in the past. After the failure to complete the Shining Tree Spinout announced in March of 2011, the failed Shining Tree private placement announced in April of 2012 and the failed acquisition of the Shining Tree properties by Canada Resources PLC in April 2014, these assets were left largely dormant. Further, these mining claims were placed on 'Special Status' by the Ontario Ministry of Northern Development and Mining due to the Company failing to carry out good Corporate Social Responsibility and Community Engagement," stated Dan Byrnes, President and interim CFO of the Company. "With the new Board of Directors strong emphasis on building shareholder value and the complicated issues facing these claims, I believe the sale of these claims provides the best opportunity to create medium and long-term value for the Company shareholders without risking significant additional capital," added Mr. Byrnes.
