Replies to post #73309 on Treaty Energy Corp. (fka TECO)

[tdbowieknife]

How could Treaty make a claim that they sold 84,557,360 shares at more than the normal 40% discount when they had no shares to sell???

NOTE 10 – DERIVATIVE LIABILITY

On April 15, 2013, the Company issued 1,049,036 shares that exceeded our authorized amount of shares. To account for this error, we have recorded a Derivative Liability of $26,750 related to these shares. Fair values for exchange traded securities and derivatives are based on quoted market prices. Where market prices are not readily available, fair values are determined using market based pricing models incorporating readily observable market data and requiring judgment and estimates. Upon recognition of the derivative liability, the Company reclassed the value initially recorded to additional paid in capital with the issuance for $10,490 related to the 1,049,036 shares to derivative liabilities. In adjusting the related derivative liability to the market price at June 30, 2013, the Company realized a loss of $16,260.

At June 30, 2013, the Company a stock payable obligation recorded of $1,066,019. Until the increase of authorized shares is completed during the fourth quarter of 2013, we have re-classed the stock payable to Derivative Liability as there are not any authorized shares to settle this obligation. In conformance with Generally Accepted Accounting Principles we have recorded a liability of $3,993,078 and recognized a loss of $2,926,696. Where market prices are not readily available, fair values are determined using market based pricing models incorporating readily observable market data and requiring judgment and estimates.

The BK was filed May 7th... Treaty was not only out of shares but had exceeded their A/S by April 15th, 3 weeks before the BK filing. How can Treaty claim they had to sell shares at more than the "usual" discount when Treaty was already out of shares to sell???

The A/S was raised 10/31/2013 well after the BK was dismissed.

[bigdaddy21c]

Treaty Energy Corporation is asserting $41,733.75 in attorney’s fees, $453,750.46 in lost investment capital, $50,000.00 in increased costs of public and investor relations, and a MINIMUM of $200,000.00 in punitive damages. In total, Treaty Energy is seeking $745,484.21 in damages associated with the filing.

[Running1]

Yes sir, and TECO was never in Bankruptcy,
and work is started and ongoing. Stocton #2
is producing good commercial oil, good explanation
for the water in the oil they are working on it.
Good very open personal news letter I feel good about it.
Go TECO