Adaptive Medias Inc (fka ADTM)

[jwayne72]

i'm curious why the company approved a personal loan to the ceo. thsi seems a bit contradictory to earlier statements...say one thing on one day to look good, and then change the story so no one notices. also, i'm noticing that they added an employee on the board and claim that person to be "disinterested" -- that seems strange.

On Jan 3: http://biz.yahoo.com/e/140103/adtm8-k.html

"Mr. Shareef expressed a desire to exercise his Put Right, but was cognizant of the cash flow constraints of the registrant. Mr. Shareef determined that he did not wish to exercise his Put Right to the detriment of the registrant, its operations, and shareholders."

"Effective December 31, 2013, Omar Akram ("Mr. Akram"), the registrant's Co-Founder and Vice President of Product and Technology was appointed by the registrants Board of Directors as a member thereof" http://adaptivem.com/company/team/

then today: http://biz.yahoo.com/e/140121/adtm8-k.html

"the Registrant loaned to Qayed Shareef ("Mr. Shareef"), the Registrant's Chief Executive Officer and a member of its Board of Directors, $100,000 (the "Loan") pursuant to a Secured Promissory Note (the "Note") and Stock Pledge Agreement (the "Pledge") attached hereto and filed herewith as Exhibits 10.1 and 10.2, respectively. The Note provides that the Loan shall mature on January 21, 2019, shall accrue simple interest at a rate of 5%, and Mr. Shareef shall make quarterly payments of $1,250 until maturity. The Note is secured by the 18,628,000 shares of the Registrant's Common Stock currently held by Mr. Shareef, pursuant to the terms of the Pledge. The Loan, the Note, and the Pledge and any document or transaction contemplated thereby, were approved by the Registrant's Board of Directors on January 21, 2013, voting without Mr. Shareef." (Keep in mind, the Board has one other member who works for him -- http://adaptivem.com/company/team/)

so it looks as though Mr Shareef shows he cares about cash flow of the company in the beginning of the month and then gets a loan from the company under 20 days with his subordinate approving it.

Anyone else curious about this?