BlackStar Enterprise Group Inc (BEGI)

[Bubae]

Another outstanding share increase for 68,424,833 shares which closely matches that last tranche of shares ordered in the preliminary injunction of the GS Capital lawsuit. The March 1st update of 65,168,333 exactly matches that of the third tranche to be issued. The outstanding share count increase dated February 2nd for an additional 62,027,333 shares closely matches the second tranche of shares ordered by the preliminary injunction.

The January 5th update revealed that 300,124,013 shares were issued after the December 22nd update. The January 5th increase included 153,350,000 being restricted with a balance of 146,774,013 shares. Add in the three subsequent increases we have a total of 342,394,512 shares. This appears to be more than the total ordered in the preliminary injunction of 257,701,499 shares.

That is an extra 84,693,013 so we have to question if the restraining order that GS Capital was able to get last November preventing Blackstar from trading any new shares was lifted or are all those shares for the lawsuit. There were a ton of conversions queued up for this promotional period before lawsuit shut it down so stand by for more. Next up for the lawsuit are the question of legal fees, interest, and that note had nasty default terms including daily penalties for not delivering the requested share conversions. Blackstar needs to "make hay while the sun shines" and new money will be needed. These bag holders who have been pumping the he77 out of this for months are looking for the exits in my opinion.


FORM 8K Lawsuit Update
Date of report (Date of earliest event reported): January 11, 2024
https://www.sec.gov/ixviewer/ix.html?doc=/Archives/edgar/data/0001483646/000106594924000003/blackstar8kjan232024.htm

At the outset of the case, a temporary restraining order was entered preventing the Company from trading any shares. As currently postured, Plaintiff seeks specific performance (a mandatory injunction) requiring the conversion of approximately 257,000,000 shares and possibly additional recovery of legal fees and interest. The lawsuit increases the Company’s financial and administrative burdens and is a risk to the Company’s capital.

Meanwhile, the preliminary injunction ordered the Company to honor the conversion requests of November 2, 2023 (for the conversion of 62,084,333 shares of common stock – completed December 21, 2023) and the three subsequent requests GS Capital claimed it “would have” made (62,023,333 shares, 65,168,333 shares, and 68,425,500 shares). In order to comply with the mandatory injunction, prior to the stay, the Company increased the share reserve for GS Capital Partners LLC and they subsequently completed the first two conversions.