Response from CGB, page-151

@Luke164

That is bending the truth a little, the loan was essentially vendor finance for the sale of a sapphire project to Volcan. So instead of paying $1.2M for the project, Volcan essentially acquired it for free. This is taken directly from CGB's financial statements.

Just as an aside note I wonder if Volcan was an unrelated third party whether the debt would still have been unsecured (as opposed to secured over the sapphire project) and whether CGB would have provided the same level of financial accommodation or whether they would have taken Volcan to court to recover the debt and put Volcan into liquidation.