Solar Wind Energy Tower Inc. (fka SWET)

[swingingRichard]

For the ;tldr crowd . . . not that there's anyone left here these days.

Solar Wind Energy Tower, Inc. (“SWET”)

i On June 3, 2014 and May 15, 2015, JDF purchased, via telephone and email, two convertible notes from SWET for $800,000 and $50,000.

ii Pursuant to the terms of the notes, Fierro elected to convert $542,996 of the principal, interest, and OID that SWET owed to JDF under the notes into shares of SWET’s stock on 32 occasions between January 21, 2015 and April 11, 2016. In so doing, JDF received a total of almost 1.4 billion newly issued shares.

iii Pursuant to the favorable terms that Fierro negotiated for JDF, the conversion price for these shares was 42 percent less than the lowest closing price for the stock in the 15 to 25 trading days preceding each conversion. The terms Fierro negotiated allowed JDF to spend significantly less money to acquire the shares than it would have paid on the open market.

iv Fierro sold the shares into the public market from JDF’s accounts shortly after each conversion, generating profits of $340,087, all of which were attributable to the discounted acquisition prices that Fierro negotiated.