Replies to post #223632 on NeoMedia Technologies, Inc (NEOM)

[streetstylz]

Hopefully a future lawsuit will target this issue


I share your frustrations vero!


Best,
Sean

[Poptech]

vero: He was not "owed" money. He owned a portion of the YA fund which owns NeoMedia. So he was already an indirect owner. One of the options of the fund's investor is take shares from portfolio companies when they exit the fund. Obviously, it is an advantage do so when an asset is undervalued.

So, good news, Cline sees upside for NEOM.

This type of a transaction is a good thing for everyone. If this were illegal, YA would have to liquidate in an untimely manner which would crash the underlying securities. This is not the first time they have done this with NeoMedia and they have had many such transactions over the years with other portfolio companies.

The sell-off on the 18th was not due to Cline. It was due to the entity which transferred him the shares - the only other shareholder with that large of an ownership position. Can you imagine what would have happened if YA was forced to convert and sell that additional volume into the market? PPS WOULD have dropped below a penny. Again.

So YA knew two things on the 18th. Cline would liquidate a portion of his holding and Klawmonn was refiling. Knowing these simultaneous transactions could further undermine the PPS, they sold into the market to take some profit. Thus a trifecta and the PPS collapsed.

If you want to point fingers, Cline and NeoMedia are not to blame.

[jonesieatl]

Cline's owed money is not Neomedia's business

Did you read the post I put up a couple of times about one of YAGI's other clients?

Company A had some patents, can't even remember what they were, as I recall it was a decent technology.

YAGI owned the patents lock, stock and barrel just like they do NEOM's.

For one reason or another (client's management didn't want to play ball any more? Who knows.) YAGI removed the portfolio of patents and transferred ownership of them to Company B, yet another one of YAGI's clients.

I can't remember why Company B in particular was selected, perhaps they were owed money, perhaps their management was better or more willing to play even nastier ball.

But imagine how the shareholders in Company A felt. All those years of averaging down, losing money, hoping for the best, reading and posting ad infinitum about the market for their patents/technology, then ... wham. Gone.

YAGI can pretty much do whatever they want, any time they want, because every installed YAGI-installed management at NEOM gave away the farm.

And Chas knew exactly what he was doing at the onset because his "other" job was working for a company that does the same thing YAGI does.

It might be possible to catch YAGI in some failure to dot and i or cross a t, but they have made a lot of money, have stashed a lot of it offshore IMHO, and they have VERY good lawyers who help keep them from making such mistakes.

Don't they even have ex-SEC employees on their payroll?

jonesie