Hey, just reposting some of my old research posts in case it helps you go after Ballas.
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Feb 28 2015 Notes:
Note 12 – Long Term Debt
The company is indebted to R Holdings 9 Inc. for monies advanced to subsidiaries of the company prior to the fiscal year 2011. Accordingly this note was assumed by the company and recorded on the books of the company for the initial indebtedness of $600,392.
During March 2014 $65,000 was advanced to James Ballas, CEO of Ubiquitech Software by Common Sense Holdings LLC to be used for working capital purposes of the company. A note has been recorded on the books of Ubiquitech Software dated March 31, 2014 in favor of Common Sense Holdings for the principal balance.
During March 2014 $50,000 was advanced to James Ballas, CEO of Ubiquitech Software by Beacon Capital to be used for working capital purposes of the company. A note has been recorded on the books of Ubiquitech Software dated March 31, 2014 in favor of Beacon Capital for the principal balance.
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Feb 28 2015 Ammended Notes:
Note 12 – Long Term Debt
As of February 28, 2015 the company had $683,516 of long term debt.
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I can't find mention of this prior to Feb 28 of 2015. So this is what happened:
<2013, Ballas owns Blue Crush and accumulates 600k of debt to R9.
Sells blue crush to to UBQU for 25.5m shares.
UBQU only has 50m total (40m outstanding), Ballas at that point owns 50+% (Controlling interest) of the company.
Balls appointed CEO, pays former ceo (and a few others) with shares shares worth millions.
November 2013 SP is about .46.
I can't find the dates ( I have 30 pdf's open) but If you look at a 5 year daily chart you can see where Ballas immediately began diluting to pay off his debt. And in mid 2016 got 900m more shares to dilute with. Then he not only paid off the old debt that came over with Blue Crush and wasn't reported until 2015 (years after the acquisition), but acquired unnecessary new debt!!, which we already know was paid off with our money (diluting shares).
Look at the notes above, amended vs. pre-amended.
Investors were buying shares in a company that had unreported debt. And Blue Crush/Ballas was paid enough in shares to pay off the debt!! They could have converted that 25m shares in 2014 into anywhere from 2.5 to 12 million dollars! Instead they diluted all of the value out of the stock and screwed investors.
There is so much more here, I just don't have the time or the inclination to sort it all out. The original CEO was on his way out before Blue Crush was "purchased". He was paid millions. The debt showed up on the books 4 years after it was uncured, and 2 years after it should have been reported. Blue crush was purchased for about 12 million dollars. One year later, the entire company is worth less than 4 million, while many millions of dollars worth of shares are siphoned off to private parties. And the debt wasn't reported until after the damage was done. The share price basically didn't move from 2010 until march of 2013. It rose from nothing to almost .5 for one year, beginning a few months before Ballas took over, and crashing with his leadership.
