Alright, here we go...those easily offended by my post, stop reading now, don't want you to get any tears all over your nice computers.
Let me start by saying I did like the most recent PR, it showed a number of things. It showed MDGC is taking a proactive role in growing as a company and it showed that MDGC is working on its national presence.
Unfortunately for MDGC, I may be young, but I was not born yesterday. Only a few months ago this company had the audacity to release a PR via newswire that it is suspected that most, if not ALL companies in this industry may be infringing on MDGC pattents. But now, all of the sudden, this crucial little detail, which should be the primary concern of the company, or at least as important as widening their service area, has vanished and the company has not mentioned it. This is where I raise the BS flag. I don't care what company it is, no matter how big or small, if you think that EVERYONE in your given industry may be infringing on what you own, essentially stealing, you will get to the bottom of it. Quickly.
This leads me to believe that yes, MDGC does own patents, but, they are not as crucial to the industry as the company claims. If they were, MDGC would score a far better deal than a LOI from Unilava Networks. And for anyone who is not aware, LOI's are not set in stone, they fall through everyday as a matter of fact. Not saying this LOI will fall through, but, it is a regular occurance. Unilava may be a great company, but, if MDGC has what it claims, they could, and would, do far better.
On to the next subject. Anyone remember AXS? Anyone remember the report they did on MDGC? Now, who can tell me what it said? You can't, and the reason why you can't is because this is yet another crucial bit of information MDGC has swept under the rug, I assume hoping investors will forget it happened. Now, I am going to take the liberty of using a little common sense and mix that with a bit of logic to conclude why details of this report have not been released and/or discussed. I hypothesize that the report contained little to no positive information. If it did, the company would be more than happy to release these details to the public, and they have had ample time to do so. Whatever AXS found, could not have been good news, and MDGC's actions speak to that effect. The company is trying to divert our focus using forward looking statements.
The company has added executives, thats excellent. The company has searched for AND found companies to partner with, thats excellent. These are extremely positive signs and could lead to a substantial revenue stream. But, we are still missing a few things we were promised. I feel we should also be informed about what CPA firm is handling the accounting. It's great MDGC has hired accountants, but, if they are the same accountants that handled Enron, what good does that do us? Everyone remotely familiar with accounting knows that an accountant can make a balance sheet and an income statement say just about anything they want, and still be well within the law. Does the accounting conform to GAAP? Also, what lawfirm are these lawyers from? All lawfirms are not equal, are these guys fresh out of law school or are they from big name firms with good track records?
Just some things that have crossed my mind during my self-imposed MDGC board ban. Feel free to comment, or not comment. Maybe Val will read this and get a couple ideas.
AI
