Conversion Solutions Holdings (fka CSHD)

[cindyyoohoo]

August Toxic posts - appears Phil knows about this issue. also Bodi/MikeA gave a number to call to check to see if the loan was paid off - I don't know if anyone called to check it or not.
From: anniebonny 12/10/2006 2:48:24 PM
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Here are a number of posts from HSM back in August when the Toxic financing issue was being discussed - and a whole thread was deleted apparently that discussed it. Note that Bodi was telling all it was being dealt with....
Buschboy
Aug 16th, 2006, 02:05 AM
SB-2 for FURIA ORGANIZATION INC DE filed on 12/20/2005
(jump down to pg 7)
Risks Relating To Our Current Financing Arrangement
The continuously adjustable conversion price feature of our secured convertible notes could require us to issue a substantially grater number of shares, which will cause dilution to our existing stockholders.
Our obligation to issue shares upon conversion of our secured convertible notes is essentially limitless. The following is an example of the amount of shares of our common stock that are issuable, upon conversion of our secured convertible notes (excluding accrued interest), based on market prices 25%, 50% and 75% below the market price, as of December 15, 2005 of $0.20.
"Table" shows that if converted @ 55% of market price of 0.05, # of shares issuable are 90,909,091
WTF?
Is this a sample of the toxic financing that may be holding up the deal?------------------------------------------------------------------------
Buschboy
Aug 16th, 2006, 02:32 AM
Toxic merger case study:
http://www.downeybrand.com/publications/articles/040916_lawyersued.php
I can only hope Rufus and company was smart enough to prevent any toxic investing situation related to fronthaul. :(------------------------------------------------------------------------
Valis
Aug 16th, 2006, 02:43 AM
Did you even listen to the last interview? I suggest you do before making posts like this. Particularly the end when he talks about clearing up convertible debts.
braveheart
Aug 16th, 2006, 08:13 AM
the toxic investor:
it looks to me as though he has been bleeding his shares into the market a bit at a time and someone has been there to buy them from him.
....if this is true CSHD is being diluted - Rufus & co. did not buy up all the float as they thought, but they are now:
by keeping the stock from tanking. "Dont let anyone talk you into selling", sound familiar?
As long as the longs hold the stock cant tank because they (who ever they is) can then support the pps when it hits the buy trigger. If everyone bails out of panic they wont buy because the shear number of shares are too large to buy. So it will tank and then they will come in afterwards and start the buying again to raise the pps.
Ever wonder how in the world the stocklemon reports could not kill the stock? Ever wonder whose behind them?
Thank you for this info. This should be on everyone's mind for this morning....
I don't know where phil got all this info, but we have all noticed regular buys going in that appear to be supporting the pps, the story fits that at least, and also the amazing recovery from the normal death knell of stocklemon.
This may also go some way to explain the trading that went on while we were all still waiting for our FHAL to convert...
It also fits with some of Kaps DD on FURIA convertibles.... i think Kap estimated 100mil dilution, i need to check back on that....
If the current delay is due to countering the toxic investor diluting the stock, i hope it won't be much longer 'til it's over (an estimate would be helpful),
and i hope it's not enough to damage the new pps (but i think this was discussed in relation to Kaps earlier estimate that would pull
book value down to under $4...).------------------------------------------------------------------------
phil
Aug 16th, 2006, 09:02 AM
quote from Kapone
<<While all of this toxic financing stuff is coming out only now, I think a more important question to ask is WHY would this person or person(s) be selling their shares now, instead of later when they potentially could make way more money, assuming Rufus is doing everything that he says he's doing. Nothing is forcing them to sell.>>
You know better than that. They can only convert at market price. If it converts at .05 they get 90 million shares. If they convert at $15 they get zilch. The bleeding into the market is only my assumption based on what I have been seeing, I do not know if they have converted or not. The agreement called for the investor to file within 30 days of converting, and as far as I can tell there has been no filing done showing them converting the debenture into shares.
bodi claimed and gave a phone number to verify that loan was paid back. So it is still unclear just how much of a risk there actually is.------------------------------------------------------------------------
braveheart
Aug 16th, 2006, 09:17 AM
Quote from Legalnoob:
<<ugh, toxic financing; I like the short squeeze hypothesis better>>
yes, but we have not seen a 'death spiral' have we?
longs need to hold to see this through.... PR would be very useful here IMHO------------------------------------------------------------------------
braveheart
Aug 16th, 2006, 09:21 AM
Quote from Phil:
<<And now you know why such a HUGE bashing effort has taken place.>>
i think i finally have put all the pieces together! :Thumbsup:
indeed, it has been MASSIVE attempt - never seen anything like it, and never seen it fail so spectacularly.
Rufus and co. actively propping up pps makes sense to stem the dilution and
keep CSHD on course for a high pps post-reset
i believe this is going to work out just fine ;)
GLTA------------------------------------------------------------------------
legalnoob
Aug 16th, 2006, 09:22 AM
Man I hope we are right. Otherwise it is going to get really ugly in here.:(------------------------------------------------------------------------
Aug 16th, 2006, 10:43 PM  
clarkeysmalls
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Join Date: Jan 2006
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Kap, did you ever call the number to see if the pipes had been canceled? Bodi posted an address/phone number for all to see. Any follow up? Bodi seemed very confident in what he found out, straight from the horses mouth.
Aug 16th, 2006, 10:45 PM  
kapone
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Join Date: May 2006
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Quote:
Originally Posted by phil
<<The 8-k from 12/09/2005, in it is the toxic investor. Read the deal made and it's easy to see why they are fighting to keep this down. Supposedly these are being dealt with ad are supposed to be getting resolved now.>>
I already know about that Phil. I have known about that for DAYS now. My question was what was that whole "2nd firm in the country stuff"???
And quite frankly, I find it hard to believe that a company will decide to merge with another company without knowing what they are getting into. This is not like you and me buying some stock in a company. In a merger, ALL books and previous records are scrutinized to the T. If you are asking me to believe that Rufus and Co. did not know about these PIPEs before, I don't. That would make Rufus an amateur, and I don't think he is.
Aug 16th, 2006, 11:49 PM   #151
kapone
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Join Date: May 2006
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Quote:
Originally Posted by clarkeysmalls
Kap, did you ever call the number to see if the pipes had been canceled? Bodi posted an address/phone number for all to see. Any follow up? Bodi seemed very confident in what he found out, straight from the horses mouth.
No I did not. Honestly speaking, even if they told me they had been cancelled, I wouldn't believe them. Either they are lying or just not aware of the issue. I'm not being a hardhead about this guys, it's not like I'm trying to put a stake in the ground to say, "I'm right". No, those PIPE's were given out in exchange for money. The people who lent the money want payback. There's no way they could have been cancelled.
__________________
Aug 16th, 2006, 11:52 PM   #158
phil
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Join Date: Mar 2006
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Quote:
Originally Posted by kapone
<<I already know about that Phil. I have known about that for DAYS now. My question was what was that whole "2nd firm in the country stuff"???
And quite frankly, I find it hard to believe that a company will decide to merge with another company without knowing what they are getting into. This is not like you and me buying some stock in a company. In a merger, ALL books and previous records are scrutinized to the T. If you are asking me to believe that Rufus and Co. did not know about these PIPEs before, I don't. That would make Rufus an amateur, and I don't think he is.>>
I never suggested they didnt know, I mean cripes it's spelled out right there in the 8k. So yes they had to have known, and this is supposedly the last hurdle they have to overcome. My bat hairs now senses that is coming to or has come to a resolution.
The 2nd in the country statement came from one of the real longs a P.I. holder. The company is known as the 2nd worst company for toxic financing in the country. You are truly selling your soul to the devil with those guys. The name of the number one was also given but I forget and it was in the vapor thread
(Interesting - it appears that someone deleted a whole thread about discussions involving Toxic financing)
stersuhr
Aug 16th, 2006, 10:49 PM
<<I read 90% of the old thread unfortunatly. I understand the mm's covering theory but not the new theory.
stersuhr, you need to read the old (deleted?) thread. the price going down seems t o be due to MM manipulation to cover, they have 16 mil to cover! the toxic dilution may or may not be an issue right now, we don't know for sure, but a confirmed call to the TA would appear to argue against dilution at this point..>>
i made a post early in the last thread that explained the toxic financing situation but sadly it is gone now....------------------------------------------------------------------------
braveheart
Aug 16th, 2006, 10:54 PM
<<I read 90% of the old thread unfortunatly. I understand the mm's covering theory but not the new theory.
you missed my 1% then :LOL: >>
look, FURIA had convertibles that were bought by an investor, the investor has the option to claim these whenever they want, and the amount of shares they can claim depends on the market price, the lower the price, the more sharesthey can claim. that is basically it. it is 'death spiral' financing. look it up in WIKIPEDIA. Rufus et al should want to stop this dilution from getting out of control to stop hurting their new pps by buying whwnever the toxic fiunacner is selling, but it seems MMs needing to cover is screwing up this objective so far....------------------------------------------------------------------------
kapone
Aug 16th, 2006, 11:11 PM
no. convertibles. shares an investor bought but can claim at any time. under the agreement that the amount of shares they can claim depends on market price, the lower the price, the more shares they are eligible to claim, so they claim their shares, sell them into the market, causing a drop in pps, and diluting, but until now we have been propped up, but MMs are now seriously in need to cover and are doing so in a shameless fashion.
all IMHO
if anyone has reason to disagree with this please let me
PS: i had a good post on the toxic situation on the lsat thread.
look, the basic idea is , RUfus et al would want to prop up the pps and stop the price going lower to prevent more dilution, which could hurt the reset pps
Braveheart, if I made the effort, I could extract all the relevant sections from the old Furia 8Ks, and post them here. The number of shares that the convertibles convert to is related to PPS, but also to revenue. And right now FHAL/CSHD has no revenues. Hence the fear that a large number of shares might get issued and dilute the float. I pointed this out a long time back when I started the whole PIPEs discussion.
The bottomline is, potentially, almost 90M shares could/already have been converted into common stock. I have no idea if some/all of them have been sold into the run or not, but I'd think a fair number have already been sold.
I stand by my suspicion that Rufus and Co knew about these PIPEs all along and may have been manipulating them for personal gains after buying them from the AJW group. There's a reason they picked FHAL as the "shell", and the amazon deal had nothing to do with it.------------------------------------------------------------------------
braveheart
Aug 16th, 2006, 11:12 PM
<<Then that theory would all be well and good... except for the minor fact that the sells to buys was just about 1 to 1 so I guess that brings us back to the dirty rotten MM's.>>
exactly, there has to have been massive manipulation today. but, this does not exclude the possibility of continued toxic financing... bodi posted on the last theread that this may not be the case, and the TA has confirmed the new OS as 97 mil, less than FURIAs 111mil, which also argues against dilution.... the fact is, no-one really knows what is going on here apart from Mr. Harris, Mr Stanley and colleagues.. our fate is in there hands, do they have the winning hand ????------------------------------------------------------------------------
phil
Aug 16th, 2006, 11:27 PM
Braveheart, if I made the effort, I could extract all the relevant sections from the old Furia 8Ks, and post them here. The number of shares that the convertibles convert to is related to PPS, but also to revenue. And right now FHAL/CSHD has no revenues. Hence the fear that a large number of shares might get issued and dilute the float. I pointed this out a long time back when I started the whole PIPEs discussion.
The bottomline is, potentially, almost 90M shares could/already have been converted into common stock. I have no idea if some/all of them have been sold into the run or not, but I'd think a fair number have already been sold.
I stand by my suspicion that Rufus and Co knew about these PIPEs all along and may have been manipulating them for personal gains after buying them from the AJW group. There's a reason they picked FHAL as the "shell", and the amazon deal had nothing to do with it.
I wasnt going to post again tonight after we really did fall in the twilight zone, but I cant resist that.
You are going to need something to substantiate that as happening or drop the accusations. I dont have an issue with there being a toxic investment, and as I understand it the firm is the 2nd in the country for doing that kind of deal. But to accuse rufus of buying them and using them to dilute into the rally for personal gains is simply going beyond where you should without substantiation.
The fact that the T/A has stated the shares include both fhal and cvsu shares and is less than the actual number in the 8-k kills your accusation. Claiming to not trust the T/A is really stretching the imagination in order to try and buy some credibility for it.------------------------------------------------------------------------
phil
Aug 16th, 2006, 11:41 PM
The 8-k from 12/09/2005, in it is the toxic investor. Read the deal made and it's easy to see why they are fighting to keep this down. Supposedly these are being dealt with ad are supposed to be getting resolved now.------------------------------------------------------------------------