"Tossing in the Towel" isn't something the judge could allow or disallow -- it's not something Acropolis would WANT to do -- it would be the end result if Acropolis has no other alternative.
If the LLBO books are in such disarray that the auditors say "Sorry we can't complete this audit," Acropolis has no choice but to toss in the towel. Perhaps a better phrase would be "shelve it." LLBO would live on forever in the Expert Market. Canadiens could still trade it to their hearts' desires.
I doubt that will happen but it is certainly something to keep in mind. Pinksheet "investing" is more "gambling" than "investing."
I think Holmes misled investors in many ways on many occasions but not in the financials when he said the Cyrcadia stock owned by LLBO was 35% of Cyrcadia. Initially it was 47% of Cyrcadia, then it was 35%, and the lates on the Cyrcadia website claims it's 30%. If Acropolis hadn't stepped in, LLBO would still own a percentage of Cyrcadia, maybe 30%, maybe 25%, but WHO CARES because it was restricted stock and Cyrcadia is dead.
Yes Cyrcadia is dead. Holmes and his friends drove a dozen corporations into the ground, Cyrcadia being the last in a long list. DD on "Shoshone Corporate Services" will reveal that list of dead corporations. Cyrcadia might still be active in Nevada, but that's on paper only. Nobody is even checking the mail at the "Office" in Suite 175 of 1325 Airmotive Way in Reno -- that is one of the main reasons the judge gave LLBO to Acropolis.
Acropolis never "promised Investor Value." They promised to TRY but nobody could promise RESULTS. And Acropolis is definitely trying. The problem is that it might be an impossible task. LLBO might not be resurrectable and that would not be Acropolis' fault.
RE: "where would the Cyrcadia stock go?" That's a question for Acropolis. In theory, LLBO still owned that stock when Acropolis became Custodian. Do they have proof of LLBO's ownership? Do they have Stock Certificates? Can Cyrcadia (Holmes/Benardis/Royea) cancel that stock? Will Acropolis use it to cancel the $390,117 debt?
