Cal-Bay International Inc (CBYI)

[crooked33]

THIS IS WHY HE IS/WAS BUYING ALL IMO

The wheels started with my call to the T/A earlier this week...Tracy told me that they are working some things out and it's not clear who is in control here and there may be some unauthorized O/S increases...she said they hope to be 'back on track' and with updated info (contact, structure, etc) by end of this week...so that got me to thinking...

Here is what is going on

Rizvi stumbles onto Cal-Bay and knows the portfolio is $65M...given the pps he decides he wants control of Cal-Bay...and why not...as he notices that the company has 41M O/S and is trading at .0001...so he tries a hostile takeover...where he can essentially buy the company with a $3700 investment! (.0001 * 37,000,000 shares)

- Sept 6th. he buys 37M shares or 90% in an attempt to take the company over. he thinks the O/S per the filings is 41M...he thinks immediately he can now assume control with his purchase and subsequent form 4

- Sept 11th he puts out an 8k where he assumes 90% control and fires Pawson

- Sept 14th he deals HIMSELF, at Lenox, his already established company, the assets of Cal-Bay which he thinks he just purchased for $3700 (37,000,000*.0001)...he plans on taking Lenox public under the ticker LNOX

- Sometime between Sept 14th and Sept 18th Rizvi realizes that Pawson has been issuing himself unregistered shares and selling them in the open market...and Rizvi then also realizes that he currently does not have control yet

- Sept 18th ,Rizvi now realizing he must go out in the open market and buy at least 2B shares b/c Pawson has raised the O/S...so he decides to authorize a F/S so Pawson has no more room to raise O/S...In the mean time, he starts buying again making a purchase for 100M shares.

- Sept 19th and on he continues to buy shares, cancels the F/S due to the recent A/S increase by Pawson...IMO at this point he has now been working with the T/A...if Tracy is speaking of unauthorized increases in O/S that means that most likely Rizvi is currently in control...

So, here's where we are at...Rizvi will continue to buy until he has a controlling interest in CBAY (which he may now have given no further form 4's)...it will cost him more than what he thought but paying $300K for $65M in assets is a good deal

the tricky part is that Rizvi WAS set to have Cal-Bay shares expire...I am assuming worthless...however, given the surging interest and following, what does he do now? It's clear that Lenox was going to acquire Cal-Bay and the assets therein...but what assets does Lenox have? Could this now be a R/M play with Cal-Bay assets having the Lenox added to them? Is there ANY NSS position? What about Pawson's illegal shares being issued? Initially, Rizvi had authorized 100M shares for Lenox...what will the new Cal-Bay structure look like?

it is also important to note that Lenox is no longer active on the Georgia SOS…indicating that the plans have since changed and maybe Cal-Bay will indeed be the surviving entity…

Looks to me like Cal-Bay will survive, with assets, assuming that Rizvi takes control...that means higher PPS

ALL IMO via my own DD - cheers