we went over this yesterday. and you've been around the OTC a long time. the laws are clear. companies can't sell shares directly into the market. note holders can, that's why companies sell notes, but the funds are transacted up front, and dilution can't happen until notes mature... months later.
once the note is due to convert, the note holder gets shares from the transfer agent, based on the terms of their agreement. only then can any share be monetized.
there's literally no such thing as "CEO's diluting".
so CEO bob can't decide "oh, i need some quick cash" and sell stock to create it.
think this through.
do you believe CEO bob has a magical brokerage account, where he can create his own stock out of thin air, and sell into the market?
it doesn't work that way.
and it never has.
:-D