Voip Pal Com Inc (VPLM)

[Spyke37]

I am not sure that it applies here, but it is customary for company officers and Board Members to have most of their legal liabilities pertaining to the business covered by D&O (Directors and Officers) insurance. I would be surprised if this wasn't the case....I am on several Boards, some of them small non-profits and they all have D&O insurance. Pretty much, none of the even mildly sophisticated board members would sit on the board without D&O insurance in place. So, it is likely that, indirectly, the company is paying for this, which is totally above board if this is simply a question of a mis-understanding. If he was deemed to acting fraudulently (I believe he is not) in most cases the D&O would not cover him, once that was uncovered. I worry that this is more about some people not completely understanding how the system works and further putting strain on the management team as they are fighting for the best possible outcome for the shareholders in general. At least the D&O, for the time being, takes some of that strain off of them.