Elite Pharmaceuticals Inc (ELTP)

[WeeZuhl]

Carter addressed the profit split issue in his summary. Nasrat has been letting Elite postpone paying him the profit splits until the end of the year. It is like Nasrat gave them a loan with no interest. It is direct proof that Nasrat buying the other half of Adderall was the best thing for Elite if Elite couldn't afford to buy them himself.

Everyone whining about Nasrat owning half the Adderall should finally shut up about it, but they won't.

Let's first point out that for the life of the Adderall ANDA's the profit splits were being paid directly from Lannett to Mikah. Any investor who listened to the conference call this week and was fooled into believing Nasrat hasn't received millions of dollars in profit splits from Adderall should really just take my advice and stop listening to these propaganda sessions. They are not reliable, and you are too gullible. Wait for me. I'll get around to reading it this weekend (or next week), and I'll let you know if anything important was said.

I will reiterate it was Hakim's fiduciary duty to acquire the full ANDA on behalf of Elite shareholders, by hook or by crook. If he is so generous as described above to provide us with a low-interest loan, then fantastic. If not, then he needed to acquire the financing some other way. It was such a sure bet, he could have gotten a loan from the mob and had it paid back before any bones were broken or their one truck was fire-bombed. Instead he scooped the shareholders on the distressed asset and took the sweet deal for himself. Now here we are presented with an invoice for the millions of dollars we owe him, and the president of the Nasrat Booster Club takes it as direct proof of how awesome he is and everyone should just shut up and worship. Good lord.

Finally, I'll point out (again) that Nasrat has been doing this kind of thing for years, keeping his own books of what we owe him and what we owe Mikah. It's a way of hiding dilution from shareholders. It's not proper or legal or good for shareholders. Carter is his main enabler, which is why he was so happy to lure him back at a pay rate far higher than he's worth.