Discovery Minerals LTD (DSCR)

[Ryan8]

Does Discovery Minerals Annual Report Admit Fraud & Insider Trading?

Management filed a rushed and incomplete annual report last night for period ending 9/30/2021.

In this annual report Discovery Minerals Ltd. admits for the first time in a public disclosure document that it offered a crypto currency coin for sale.

Note 8 – Subsequent Events

"...In December 2021 the Company entered into an escrow agreement whereby all coin buyers will be refunded their full purchase amount..."

Source *1
https://www.otcmarkets.com/otcapi/company/financial-report/315640/content
Page 22

Why is this a BIG DEAL

1. It proves insider information happened.
Post #105320 is a copied email from Discovery Minerals LTD., on October 8, 2021 to a "select non public Discovery Minerals LTD., shareholder.

"...If you have questions about the coin, we will be issuing refunds. Please send a copy of receipts or purchasing agreements to us via email. Please allow 7 days for a response..."
Source *2
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=166284768

2. It proves managment's scienter, who consciously made a decision to conceal from the minority shareholders, in public disclosures for the last 6 months the DSC Coin sale.

3. On August 18, 2021 Discovery Minerals Ltd. filed a report with OTC markets for period ending June 30, 2021. In this report Discovery Minerals, Ltd., omitted all mention of DSC Coin or the revenue it derived from its sales, including;

1. Page 12. No Revenue - Discovery Minerals, Ltd. reported 0 revenue, analysis of whether the DSC coin sales where accounted for are obvious;

2. Page 16. Revenue Recognition- Criteria of booking the DSC coin sales would qualify;

3. Page 22. Subsequent Events - Management makes a conscious decision to omit in its entirety the DSC Coin sale from OTC mandatory report.
Source *3 https://www.otcmarkets.com/otcapi/company/financial-report/296352/content

Further acts proving management scienter to conceal the DSC Coin sale.

4. Discovery Minerals LTD.,management took down the down DSC coin website on August 15, 2021. This was 1 day before not disclosing the coin sale on a mandatory OTC Market report for period ending June 30, 2021.

*4 Source https://discoverymineralscoin.com
*5. Archive of website that the management of Discovery Minerals Ltd., took down on August 15, 2021. https://web.archive.org/web/20210517233805/https://discoverymineralscoin.com/

6. Proof of the DSC Coin Sale
*6 Source https://etherscan.io/token/0xf4a9b9311d5167dc36e6b39f5c0baaa60bbcbbc1

What is fraudulent concealment?

Under contract law, a plaintiff can recover from a defendant on the grounds of fraudulent concealment where the defendant (1) concealed or suppressed a material fact; (2) had knowledge of this material fact; (3) that this material fact was not within reasonably diligent attention, observation, and judgment of the plaintiff; (4) that the defendant suppressed or concealed this fact with the intention that the plaintiff be misled as to the true condition of the property; (5) that the plaintiff was reasonably so misled; and (6) that the plaintiff suffered damage as a result.


What is Scienter

A legal term that refers to a culpable state of mind. In other words, scienter is a defendant's knowledge that an act or conduct is wrongful and intent to act despite this knowledge. Scienter is often an element of liability, including in most cases involving assertions of fraud. Where scienter is an element of a claim, courts require a showing that the defendant had knowledge that the alleged misconduct (which may include an action or statement) is wrong or illegal before issuing judgment or conviction.

File an SEC Complaint here https://www.sec.gov/oiea/Complaint.html