As long as investors of real funds can verify the loans were actually made, then discounted shares are perfectly legitimate in the underwriting world of IPOs, secondary offerings and different stock and bond issues forming the market.
A former CEO, strangely, could not furnish any Corp or bank records that such loans allegedly made by his family were factual, claiming under oath that no such financial records existed.
Hard for some to accept they were not contacted about the opportunity and did not spot it in the financials. Nothing negates that some folks did invest real money and received discounted shares appropriately.
Imagine being upset at not having been telephoned and solicited to invest more money to keep a tiny start afloat, so you could be further screwed by a .0004, SP for years. Hard concept for some to understand. It's called good luck not to have been be contacted. Too funny.
News 
Market Data 
Discover 
