Enzolytics Inc (ENZC)

[foxi]

Anyone aware of the settlement agreement with Livingston would have known that starting in 2018 hundreds of millions of shares would flood the market. They would also have known per the terms of the settlement, Livingston wasn't allowed to hold many of the shares.

Right after Livingston finished liquidating, a flow of company news suddenly appeared and made for profitable trading for anyone who'd accumulated in the low trips.

Each new issuance under the 3(a)(10) increased the float in the same years and by the same number of shares as the Federal Court approved settlement. This settlement required the original shares be issued with no restrictive legend. The total increase in original issued shares and public float during this two-year period was 1,165,021,256. Total float at December 31, 2020 was 1,670,830,512. Livingston Asset Management held no position in ENZC shares at December 1, 2020. The shares from the 3(a)(10) and fee note transferred from Livingston Asset Management to the general public at prices presumably below .0145 by open market sales.
Page 1 https://www.otcmarkets.com/otcapi/company/financial-report/323613/content

At no time may Livingston beneficially own more than 9.99% of the Company’s outstanding common stock.
Page 9 https://www.otcmarkets.com/otcapi/company/financial-report/355547/content

Other interesting details:

- Around the time Livingston finished liquidating, Enzolytics entered into a Securities Exchange Agreement which on November 16, 2020 turned outstanding convertible notes issued between 2018 and 2020 into Series C Convertible Preferred stock (locking them away from being converted to Common stock, i.e. taking control of supply.) Convertible notes for this period are listed starting near the bottom of Page 12 https://www.otcmarkets.com/otcapi/company/financial-report/355554/content

- Sky Direct and SeaCorp were issued huge tranches (about 400 million shares total) they presumably cashed out around September and October 2020, competing with Livingston to dilute the market right before the big run.

The Crooked Mark Makers sold all their stolen shares at the top to cash in Millions at retail investor's expense who sold at a loss prior to the run leading up to January 2021.

Not sure the Market Makers are the ones who exploited this scenario, and they certainly didn't steal any shares. 1,165,021,256 shares at .0005 per share would have only cost about $583k.