RC
From what I remember in reading the Nevada Revised Statutes (NRS 78), they have to be a shareholder in order to file a petition to take custody.
What is still puzzling is if the shell can be seperated from the assets, debt and litigation. I did not find anything that suggest it can be done, but that is not confirmation either way.
The old company we know sold shares registered under the shell, probably paid for debt and services with those shares as well and assigned levels of prefered shares to themselves along with other common shareholders with the swap. The old officers probably still own common shares in addition to the prefered.
What an awful loophole if Paul and crew can end up selling common shares they may or may not still hold for huge profit after running the company into bankruptcy and/or collect on the prefered.
I just do not see how you can segrigate "the shell" from the rest of the companies liabilities when you can use shares from that shell to raise money or pay for debt from said company.
What it does say in the NRS super fun reading material is that if custody is won, they can perform all the tasks the previous officers could including issuance of more shares.
There are many perplexing penny stocks out there, but this has defintely been the most interesting ride in penny land I have had both the pleasure and displeasure of being in.
Regards,
Fizzlegig
AI
