Replies to post #7625 on World Surveillance Group Inc (fka WSGI)

[rocky301]

ecrich,

thanks. Everyone and there brother speculates on what is going on rather than find the answers. I appreciate you posting what happened, I personally am getting tired of it...rock

[No Fear No Greed]

FWIW, everything Huff allegedly wrote in his email, including the following...

"I purchased the shares with my own money. It was not for compensations for salary or bonuses or anything that GTEL owed me. I wrote a check, sent money from my personnel account, gave up dollars that I held in a US Bank, I hope you get the point, it was MY MONEY."

... is perfectly consistent with an option exercise. I know, as I have been there myself. It is a commitment, to be sure, but the AMOUNT of money committed is often orders of magnitude below market value. Note that while he stated it was "not for compensations for salary or bonuses or anything that GTEL owed me", he did not clearly state that it was not an option exercise, nor did he confirm that he purchased on the open market at market prices. The shares acquired through an option exercise technically do not fall under the definition of compensation (the shares themselves are not given to the recipient, he pays for them), although an option would have been granted earlier allowing him to buy at a specified price, and the OPTION would have been part of his compensation.

It's not a big deal either way, which was really my point in the first place. But I will say this - if the additional 6 million shares were, indeed, the result of an option exercise (which, IMO, is the only reasonable explanation why someone would acquire 6 million shares and sell 1 million in the same week), then Huff would appear to be very careful and clever with the words he uses in his communications to shareholders. And that, IMHO, is not a trivial issue.