the effects of nav's failure/rights issue, page-8

The rights issue is perhaps one way the creditors can get some of their money back. They are the underwriters of the shortfall , the funds will be used to pay down their debt so they are hoping there are enough suckers to take up their rights to pay down their debt.
Never seen a company go from 400 million shares to 17.5 billion in 2 years. Having said that I doubt they will survive to see 17 billion shares on issue
I feel for all the past and present holders. To think at what stage I had 400k tied up in it. Thank God I sold out at the first sign if trouble