Replies to post #7894 on Sequiam Biometrics (fka SQUM)

[knowlesmsncom]

gabeh smart guy, good eye.......

As to the las default back in June last year, if you recall it was from Three Card Monte paying himself $250,000. At his point there is nothing to indicate this happened this time. I believe what is significant in this 8K filing is that Sequiam has the appearance of running out of money. In order to clear up this immediate problem, Sequiam will need to pay the outstanding payment and penalties which will likely happen.

The way I also see it is that as one investor has stated about the fourth quarter being it's biggest ever, that will also ring true which is not saying much because the debt still outweighs the assets. That being said, the best avenue to take here is if you are stuck with higher priced shares, hold and hope for the best. As far as a good entry, I would wait until after the 4th Quarter Report because not only do I see that revenues have increased but the debt has increased greatly too and DEBT TRUMPS EARNINGS EVERY TIME...........

You know the old saying, "If it is too good to be true, it most probably is."

Look at what a mess Three Card Monte has made here and just before reporting 4th Quarter numbers too, this is just the preview of what to expect when that report comes out.

[analystslie]

What if?

Sequiam's business is fundamentally sound and the reason for Default is due to the inability of their lender due to overall market conditions?

Think about this. In reading the SEC filings it appears Biometric Investors received 115 million warrants for the availability of a $11.5 million line of credit.

At the present time Sequiam owes Biometric Investors approx. $ 8 million which leaves $3.5 million available on the entire agreement they have upon issuing the 115 million warrants.

What if the overall market decline has resulted in problems for Biometric Investors in which they can't fund Sequiam according to the schedule while Sequiam hasn't done anything besides not being able to pay a $40 thousand interest payment?

This $40 thousand interest payment is a very small payment amount to go in Default over when on the surface it appears they have plenty of availability on their line of credit.