Hi Purpose, well thought out and written post. For the first time ever I use the “great analysis” button.
How could anyone still believe or have faith in the incumbent board?
An example where company Y (administration) is going after directors and the ex comp secretary. This has been going on for over 2 years now. The “saga” is about 5 years old.
I have deleted the company and peoples names intentionally.
It makes me wonder what would have happened if the directors were removed and the company just “moved on” I am not aware of any action by ASIC, ASX or anyone else! Look at what the accusations are!
seuse maybe aware of this one.
Quote - “The case
(h) AAA and NNN advanced funds pursuant to the Facility Agreement by way of six drawdowns between 26 July 2012 and 14 August 2013 totalling $5,950,000.00.
(i) Company Y breached various of its obligations, warranties, undertakings and representations made by it or owed to AAA under the NNN Agreements.
(j) The defendants breached their various duties as directors and officers of company Y , which they ought to have known would cause loss to company Y, and did cause loss to company Y, by failing to keep books and records and comply with applicable accounting standards.
(k) In breach of the duties owed by them to company Y, the defendants failed to use the funds for the purposes permitted by the Facility Agreement or alternatively failed to keep proper books and records regarding the use of the funds and/or deploy appropriate controls and systems to ensure that its subsidiaries used the funds for a permitted purpose.
(l) Contrary to representations made by company Y as well as the second, third and fourth defendants in a letter to Noble dated 11 January 2013, company Y did not hold all mining licences referred to in the Noble Agreements, which the defendants ought to have known constituted a breach of the NNN Agreements and would cause loss to company Y.
(m) In breach of their duties to Company Y , the first, second and third defendants caused company Y to, in turn, breach its obligations pursuant to the Facility Agreement by causing company Y to sell manganese ore to third parties.
CONCLUSION
36 As the subpoena had been complied with and the subpoenaed documents were apparently relevant, inspection was granted!!!
Oh poor Mr X has to face the music!!”
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