The complied statements clearly proved that everything BGMO issued to OTC markets and through press releases regarding revenues, profits, assets and retained earnings prior to January 2012 was a misrepresentation. Whether it is a commercial or civil fraud would be up to any regulatory body or court to determine.
The complied statements wiped out the impact of about $ 3 billion in fund raising activities, hundreds of millions in revenues and over $ 50 million in retained earnings.
This raises two fundamental questions.
The first, based on the previous and proven track record, how can we now believe BGMO is telling the truth?
Our company has issued financial statements in the past. They have issued press releases announcing major offshore financings often in the form of high yield investment programs. BGMO has created numerous offshore conduits to move the money into the US and elsewhere. There have been countless investment announcements made in the past four years. L L Bradford proved that none of it was true.
The second, based on the previous and proven track record how can we believe that BGMO that the VSTA will close
There are countless examples of BGMO amending the investment purchase agreement. First, GreenSafe was amending from a lump sum payment then changed to an instalment investment with the payments moved out. This happened to that company more than once. Even those weekly high yield income streams were proven to be false. Second, take VSTA. The agreement called for an IPA to be completed in the second quarter. Then it was amended to push it out to the end of the third quarter. Now the VSTA 10-K filing suggests that there is some material risk that it will never close.
