Nothing needs to be clarified as it is all in the report if you care to read it properly along with prior reports where this too was disclosed.
Unsecured advances have been made to AXIS. AXIS provides company secretarial, finance, geology, exploration, IT and other services to Merlin. AXIS pays the Chairman and Managing Director’s remuneration. AXIS invoices the Company for remuneration paid to the Company’s Executives (not being Directors) based on the time the Executive spends in servicing the requirements of the Company.
A formal loan agreement was put in place during the year. The loan is repayable in June 2020.
Auditors have flagged the $13m + loan to AXIS & have fully provided for it as it is unsecured & unable to obtain sufficient appropriate audit evidence in respect to the collectability or otherwise of this amount.
