We
recorded
$73,115
in
legal
and
professional
fees
for
the
three
month
period
ending
September
30,
2013,
which
is
unusually
high
when
compared
with
the
same
period
in
2012
($31,512).
These
fees
primarily
consist
of
activities
relating
to
our
dispute
with
Steven
Oshinsky
and
others
(see
note
11,
“Contingency”)
Looks like Lambirth is the only one making money at this company. $250,000 per year in legal fees in the SFV of Los Angeles.
The issuer only has $158,000 in assets, and has only generated $1.5 million in gross revenue since inception in 2005.
But the issuer is hell bent on paying Tim Lambirth $250k per year. Seems like the Board of Directors have their fiduciary responsibilities upside down. How much of the contingent liability on the books for Mr. Oshinsky or the value of the claim is made? Is it really worth $250,000 for a lawyer to rake in shareholder's hard earned money for personal gain? Has Lambirth abstained from any board meetings, or did he vote to pay himself?
This could be a serious breach of fiduciary by the BoD and a conflict of interest as well as legal ethics by Lambirth. Calbar is only a phone call away.
