Replies to post #78206 on Plastic2Oil Inc (PTOI)

[monkeyfrog]

But he didn't actually use his shares.. he just promised them? Seems like if Mr B claims it was some 500k outta his own pocket that would be quite a sum for the plaintiff to win in court. Not so trivial .

[ergo sum]

NOTE 3 – EQUITY TRANSACTIONS

Beginning in 2009 and continuing through January 14, 2010, the Company consummated a confidential private placement with certain accredited investors for the issuance and sale of 8,439,893 shares of the common stock. The offering was at $0.80 and the gross proceeds received by the Company were $6,751,914. The total shares issued pursuant to the offering were 8,439,893, of which 1,259,910 shares were issued in 2010. As a result of the private placement the Company paid all debt (except normal recurring accounts payable and accruals) and added in excess of $3.1 million in available cash.

In May, 2010, the Company consummated a confidential private placement with certain accredited investors for the issuance and sale of up to 1,000,000 shares of common stock, $0.001 par value per share at per share price of $4.00. The net proceeds received by the Company were in the amount of $1,915,116, for the sale of 478,779 shares.

The Company’s majority shareholder made a capital contribution of approximately $2,000 for foreign currency translation costs.

In March 2010, the President and CEO returned and retired 21 million shares of common stock.

Year-to-date, the Company has issued 839,397 shares of stock as compensation to various parties at an expense of $3,314,609. Of these, 4,700 were issued to employees of Pak-It, 100 shares per employee, on January 7, 2010. On February 25, 2010, the Company issued a total of 400,000 shares to 5 key employees and consultants as bonuses and for past services. During the second quarter, 175,800 shares were issued for services rendered, 10,000 shares were issued to each of the Company’s three independent members of the Board of Directors, and the remaining 13,474 were issued to 3 employees. During the third quarter, 30,000 shares were issued for services rendered and 185,423 were issued to employees as bonuses. The shares issued were generally valued at the closing share price on the respective issue dates and were reported as operating expenses in the statement of operations. Shares issued to settle existing monetary commitments were valued at the existing commitment amount.