Innovation Pharmaceuticals Inc (IPIX)

[loanranger]

When you use the term "the court" I assume that you are actually referring to the Trustee for the estate of Polymedix. The US District Court itself naturally wouldn't be in a position to buy or sell any of the estate's assets. Please let me know if that's a bad assumption.

Are you actually suggesting that the Trustee, with the permission of the Court, would have shorted the shares in question for the period of time ("'for two months") from the date of the final court order approving the sale to the time of the filing of the Registration Statement (plus, I guess, whatever time it takes for the Statement to be declared Effective), using shares borrowed from Aspire? I think that would be a pretty unique, and clever, action for a Bankruptcy Trustee to take...I've never heard of it being done before...and I wonder how it could be shown to be true.

Of course, if the Trustee anticipated doing that, there would have been absolutely no need for them to include the following in the agreement:
"(ii) At any time between one day after the Closing and three hundred and sixty-five (365) days after the Closing, the Seller or any holder of the Registrable Securities may make written demand upon the Purchaser for the Purchaser to repurchase the Registrable Securities for $1 per share."

http://www.sec.gov/Archives/edgar/data/1355250/000135525013000032/exhibit_2z1.htm