You do realize that those "those debt converted preferred shares" go to BONAR and his family to pay for the family businesses like DepCo bought by DFCO, don't you?
Then when DFCO goes bust they get the business back anyhow.
My understanding is the debt converted to Warrants and because they are related parties they are restricted in selling and as yet have not been converted into common. The debt holders look to me that they are supporting the company by doing this.