If we beleive what we read recently (some do, some do not and I still wait to make up my mind), we "know" that:
1- During his stay in Bengladesh, Matin did put up a very successful operation that generated a lot of revenues and profits up to the end of 2002.
2- Importing money from that operation into U.S. would mean giving away up to 55% to different governments. Therefore, keeping it out there seems logical
3- By the end of 2002, U.S. operation only generated about $261,000 of revenues.
4- At that specific time, Matin was releasing an extremely (some could say naive) business plan based on an integration of miscelaneous operations presumably generating synergy in view of a fast growth. Trucking was then the basis of his views (some would say dream)
5- Trying to execute on his plan, lacking required experience and not listening to his advisors, Matin went thru major problems (the trucking industry is a tough one to be in for inexperienced newcomers, some of his partners were more crooks than business partners,...). Velyex then most likely went thru major financial difficulties and Matin (not accepting to import Bengladesh funds) decided that using new shares to pay the rent was the best strategy (a lot of discussion can be held on this view)
6- All along, Matin behaved in such a way PR wise that his credibility went right down the drain. Lack of transparency, non met commitments, poorly written releases,...made anyone following this stock a very totally non beleiver of anything he was putting out.
7- Very recently, "apparently" better releases (I still have an issue with not knowing who made the audit in Bengladesh) should have help our PPS but it didn't (at least not at the "apparently" justified level). Credibility is something you take years to built and you can loose instantly.
Assuming the recent release to be accurate, I beleive that follow thru will be needed for the required credibility to be establshed (will promissed audited Q1 and Q2 open up a window on veltex's U.S. operation and what will it show, will Matin endup reporting normally, will he outline a credible plan of action looking a few year ahead, will we end up being listed out of the pink sheet market, ...)
I do not know where this is going but I beleive waiting is the only alternative I had. Not much to loose ($0.0125 per share) if the whole thing is effectively BS as some like to claim but enormous potential profits if recent releases are almost accurate. Still a high risk speculation but justified by potential rewards.
Finally, I doubt that shorting is yet a consideration at the present time. We should not suffer from that before we get in the $0.05 range ... if ever.
