Elite Pharmaceuticals Inc (ELTP)

[WeeZuhl]

I rather enjoyed the argument that Elite's CEO, the guy who owns 260 million common shares...who would benefit more than anyone with the shareprice rising..."gave away" and "screwed shareholders"(himself, btw) by selling off these "$100 million revenue drugs". Ohhh but "Nasrat helped his pharma bros at Nostrum by giving them these $100 million/revenue products". Wow thats a nice friend to give away that kind of money when you own 26% of the company that used to own them!

Oh well. Next.

It's probably a good time for all of us to remind ourselves that ignoring gross behavior doesn't mean it didn't happen (and won't continue to happen).

I never made any argument that Nasrat just gave away the opioid ANDA's to Nostrum and thereby screwed himself. My argument was that selling the extremely valuable ANDA's for pennies on the dollar has the APPEARANCE OF IMPROPRIETY, especially when the CEO has a secretive private company and is also a member a secretive investment group (Epic). There are many ways for Nostrum to secretly return Nasrat's generosity, without any benefit to Elite shareholders. Mikah and Epic are the most obvious vehicles. The APPEARANCE OF IMPROPRIETY is why the boards of publicly-traded companies don't usually allow their CEO to run secretive private companies on the side, not to mention making non-arm's length business deals with that private company. Can anyone find any examples of similar arrangements, where a public CEO does business with his own private company?

Also, if Nasrat's goal is to continue to increase his percentage of ownership, then it is to his benefit to keep the share price low, until he is ready to let it go. Mikah is a tool for Nasrat to enrich himself while he keeps Elite poor. And as for Nasrat owning 26%, I've already addressed that. If he sells the company for 10 cents per share, he'll get $24M just for his pathetic 13 ANDA's. Add millions $$ more for garbage trimipramine. 100X his investment. Cry me a river, poor Nasrat.

Feel free to ignore whatever facts are causing cognitive dissonance, but don't expect the rest of the world to wallow in the same ignorance.