Replies to post #115957 on NanoViricides Inc. (NNVC)

[loanranger]

This just in from our regional correspondent:

[e-mail]
8:36 PM (13 minutes ago)

to me

Dear Don,

I just noticed this message:
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To: HardToFind who wrote (5507) 11/7/2015 12:05:12 PM
From: BoredMember Read Replies (1) of 5513

I wonder if he is collecting a Theracour salary?

Even if Diwan does not also collect a salary from Theracour (which we would have no visibility into), he is still the recipient of the 30% mark up on all direct and indirect expenses paid by NNVC to Theracour. For staffing along, that's at minimum of $450,000 on staff salaries alone (20 techs at $75K which is likely low). Then add the 30% on materials and other costs and he's pocketing more then $500K plus his salary. All at nnvc's expense.
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NNVC pays TheraCour which pays Dr. Diwan and Tatake’s salaries with NO markup. Their benefits come out of the 30%. What TheraCour does with the money is not my business as long as NNVC gets what it’s paying for. This deal was struck by my predecessor and has been in place since May 2005. It is what it is and it’s not worth discussing any further. Why after 10 years is this suddenly an issue? It’s been disclosed since the beginning of the Company’s existence!

Eugene Seymour MD MPH
Chief Executive Officer
NanoViricides, Inc
[e-mail]
www.nanoviricides.com
310-486-5677
"NNVC" on the New York Stock Exchange


Notes:
Still bullspit.
http://www.advfn.com/nyse/newyorkstockexchange.asp?companies=N


"It is what it is and it’s not worth discussing any further. Why after 10 years is this suddenly an issue?"
He REALLY wants to see this issue buried in spite of the fact that it is one of the most important issues for NNVC shareholders, maybe even more important than the lack of progress in product development.
"Don" should tell him "Good luck with that." It's another item on the long list of items that the CEO would be happy to see current and prospective shareholders (and the rest of us) forget about. Not gonna happen. He might want to take note that even some of the companies staunchest supporters are FINALLY starting to ask questions about this issue.


Regarding his "facts", here's what he says:
"NNVC pays TheraCour which pays Dr. Diwan and Tatake’s salaries with NO markup."
That's right. Exactly as the agreement calls for.

"Their benefits come out of the 30%."
They do? Maybe he hasn't read the agreement lately. It says:
"Salaries paid to Dr. Anil Diwan, Dr. Jayant Tatake, and Mr. Leo Ehrlich shall not be included as Development Costs but such salaries, benefits and other payments shall be reimbursed in full by Nano."

So their benefits DON'T come out of the 30%.

Maybe that's a small point (in shareholder money), but this is just crazy talk for a public company CEO:
"What TheraCour does with the money is not my business as long as NNVC gets what it’s paying for."
How can he say that when he has just shown that he doesn't fully understand the terms of the agreement? Cavalier isn't the attitude one should be getting out of a CEO.
The icing on the cake:
"This deal was struck by my predecessor and has been in place since May 2005."
Sounds like his perspective is that it's not worth talking about any more because it's old and some other guy done it. Maybe "Don" should tell him that the agreements that a company makes don't work that way. Hopefully his shareholders know that...at least a few are showing that they do.