Elite Pharmaceuticals Inc (ELTP)

[namtae]

Ok, here's the first installment of the CFO's misinformation being spewed on Elites CC... the first installment, but not the most revealing

CFO:

The series J and preferred shares are not convertible for another 3 years, um, at a minimum

BUt what does the Preferred J Certificate of Designation have to say about this??

(a) Conversion. Each share of Series J Preferred Stock shall be convertible into shares of Common Stock (subject to the limitations set forth in Section 4(c)), at the option of the Holder, on any Conversion Date, by dividing the Stated Value of such share of Series J Preferred Stock by the Conversion Price.

(c) Conversion Restrictions. Anything set forth herein to the contrary notwithstanding, if, upon any Conversion Date there is not a sufficient number of authorized shares of Common Stock (that are not issued, outstanding or reserved for issuance) available to effect the entire conversion of the then outstanding shares of Series J Preferred Stock and the then outstanding common stock purchase warrants issued in conjunction therewith (an “Authorized Share Deficiency”), such conversion shall not exceed the Issuable Maximum; however, the Corporation shall use its best efforts to obtain Shareholder Approval within two (2) years of the date of first issuance of Series J Preferred Stock to permit the balance of the conversion. If Shareholder Approval is not obtained due to an insufficient number of shareholder votes for passage, the Corporation shall continue to solicit for Shareholder Approval annually thereafter.

(h) “Conversion Date” means the date, subject to the provisions of Section 7(d), that is the earlier of (i) the date that Shareholder Approval is obtained and the requisite corporate action has been effected; or (ii) not less than three years subsequent to the Original Issue Date on which any Conversion Notice is received by the Corporation pursuant to Section 4(d).

The above clearly outlines provisions for the preferred conversion WELL PRIOR TO 3 YEARS, UM, AT A MINIMUM!!

Can the CFO please address this??