This from the prospectus summary of GRC SEC filing (S1A) 22nd Oct 2008.
"On December 31, 2006, we acquired the assets of Mobilestream Oil, Inc.
("Mobilestream")pursuant to a plan and agreement of reorganization dated
November 28, 2006 (the "Mobilestream Acquisition Agreement") between the Company
and Mobilestream. At the time of the Mobilestream acquisition, Mobilestream was
controlled by Frank G. Pringle, our Chairman, and at the time of the
acquisition, our President and CEO. No Mobilestream stockholder was a party to
the Mobilestream Acquisition Agreement. We issued to Mobilestream 11,145,225
shares of our Common Stock. We also issued 35,236,188 shares of our 2006 Series
of Convertible Preferred Stock to Mr. Pringle. Lastly, we issued to Mobilestream
common stock purchase warrants (the "Mobilestream Warrants") to purchase shares
of our common stock on the basis of 1 Mobilestream Warrant for each 3 shares of
either Mobilestream common stock or preferred stock exercisable at $4.75 per
share for a period ending on December 31, 2007. Subsequently, our Board of
Directors extended the exercise date of the Mobilestream Warrants to December
31, 2008. We also assumed Mobilestream's liabilities which were minimal."
GRC aqcuired Carbon Recovery (CRC)and Mobile Stream (MSRM) in September /December 2006 respectively. A number of issues re the acquisition were dependent upon the registration of the newly acquired stock..... application for which was submitted to the SEC in February 2008.However, a 'Declaration of Effectiveness' from the SEC was never achieved by GRC and so MSRM/CRC stock holders have claims remaining against GRC.
IMO this is relevant to the USA v Gunther et al case because non-USA resident MRSM holders who have made a formal 'declaration of interest' to the court will be eligible for compensation if the USA prevails, although their MSRM shares remain apparently part of GRC stock,notwithstanding the above.
AI
