Not such a common practice with the involvement of a director. Makes it smell funny. You've got a company that lives on other people's money paying interest to another company that one of their directors "controls". The loan will be earning "HFM Investments" $360,000 pa until it's repaid. Seems like a conflict of interest. Which investors is he looking out for? Carnegie shareholders, or investors in "HFM Investments"?
I'm guessing that "HFM Investments" is not Hastings Fund Management, who I believe are no more since earlier this year, but is actually just MF himself. But it's kind of hard to find out.
CCE Price at posting:
0.9¢ Sentiment: None Disclosure: Not Held
