MedGen Inc (MDIN)

[Jammin1]

Yeah, we've been over that before.
There are terms in the agreement which restrict when it can be paid back.

It's a poison pill put in to keep new owners from firing Nick and Ray. Keep in mind that Celprogen owns over half the shares in the company right now, although their shares are restricted.

Even with Nick's extra 100 million in voting rights from the preferred shares, Celprogen is close to 50% of the votes, and could easily buy enough off the market to get over 50% of the votes.

Without that loan, the chance is much more real that Nick and Ray could get booted out without much of any reward for the effort they've put into the company.