Bioelectronics Corp (BIEL)

[Sharemaniac]

BIEL's notes to the public markets,40 they justified this immediate harm to BIEL's shareholders
by suggesting that "all ships would rise, as the saying goes, with the success of the firm" and
FDA approval.41 Thus, BIEL concluded "as a business decision," that "it was [BIEL's] best
36

Although Mr. Whelan admitted that when
the Liquidating Entities convert their notes and sell shares of BIEL into the market, it shifts risk
onto the investing public, he expressed no concern for his own responsibility for that shift.43
Richard Staelin, BIEL's sole inqependent Board member, was similarly nonplussed. Mr. Staelin
professed that his "primary role as an independent Board member is to look out for the
shareholders and shareholder value,"44 but during Mr. Staelin's tenure on BIEL's Board, BIEL's
share price. has gone from a high of 12 cents per share in 2009, 45 to just eight one-thousandths of
a cent at the time of trial. 46 Respondents' actions deprived public investors of the knowledge
that "they [we ]re helping to support the issuer by the passing of the proceeds right back to BIEL.
If they had known that they might not have bought it. '"'7
II.