I don't know that simply raising the auhorized shares at this point, even if they try to do it "nunc pro tunc," would make the issuances legal.
On the contrary, you normally have to raise the authorized before issuing shares.
I suppose we'll see soon enough as FGFC received service of the securities fraud lawsuit on January 23, 2007, through service on their registered agent by O'Rourke Investigative Service of Wilmington.
So they have 20 days to appear in the lawsuit by counsel.