Replies to post #77670 on GSDT Fintech Group Inc. (GSDT)

[evermedia]

What do you think those loans were for?

The largest expenses in the company were back office expenses and salary, which I would assume was Sym, Lawrence and Robert plus office space. Of those three, who do you think was earning the most money? How much do you think they spent on their office run by some rental company? Maybe 1-2k a month?

Just look at the financials, Sym loaned the company 100k, yet paid 77k in sales general and admin in Q2 of 2015. Who do you think that money was going to? Only 27k was spent on operational costs.

Look at Q3 of the same year, 17k in operational costs, and nearly 30k in back end expenses and office salary.

Why is sym paying the back office team almost double what is being spent on operations? Why aren't they taking a short term hit to ensure the long term success of the company?

How much does he take from that personally? I suspect the majority of his loans were to pay his own salary and the salary of the back office employees, those salaries are what puts this company in the negative, not their field operations per their own cash flow statements. So the question is, why is Sym paying himself and his team a barrel of money, and loaning the company money to do it, when he could just show some leadership and take a cut through the tough times?

Sure it sounds great, "CEO LOANS COMPANY MONEY" but the reality of their spending doesn't hold up that narrative. Does any one know how much Sym made those two years in salary during which he lent the company 100k? What if he lent the company 100k but paid himself 150k? Then he can take the money back at the end of the lawsuit for "loan repayment" and effectively bonus himself that 100k at a reduced tax rate since it isn't salary but repayment of a loan. We don't know because those debt notes were never made public for shareholders, and they should have been since so much money from the lawsuit went out the very months it came in.

You realize, 167k of the settlement money went to loan repayments and 77k went to back end expenses that quarter. that's 244k in cash gone. Where did it all go? They had two line items, of which the 100k was all for sym, what about the 67k? Did he get any of that too, on a different debt note? What about the 77k in salary and expenses, how much of that did he get??

So yes he "loaned the company the money" but we don't know for what, under what terms, and how is was dispersed. The evidence suggests it all went right back to him and his team.