RamPage01 There was a substantial period in 2011 when Cloverdale Pty Ltd was declared to be insolvent by the Supreme Court. The ASIC website says that the court order to wind up was lifted on 6/10/11 and that the Liquidator resigned on 3/8/11. This means that the company somehow raised the $1,142,461.61 to pay the debt after at least 29 unsuccessful applications for finance [Para 22 of decision].
Directors can be either assets or liabilities to their company. The poor track record of PPN makes me wonder whether we are getting value for the $450,000 a year paid to the CEO.
Does anyone know when the CEO's current service contract expires?
Does anyone know which directors were on the board when the $450,000 pa payment to CEO was approved and why they made this seemingly 'inofficious' decision if that is the right word? At the 2008 AGM, when questioned about the increase in his remuneration to $450K, the CEO said that: "... he needs the money and it was either raise his fees or close the business..."
Do the new directors have the 'cojones' to cancel the CEO's service contract and demand immediate repayment of the overdue debt of around $3 million [if only we had financial statements to confirm the actual amount].
In my opinion the many mum and dad investors who paid 50 cents a share at the IPO in 2003 have been let down by the PPN board despite what the blurb on the PPN website says on their Management Team page :
"..... Their friendship and long term understanding of the business ensures a sound yet innovative management structure – and one that should prove rewarding for the industry and shareholders alike...."
Pardon me as I choke on that statement. Give us some professional directors who are not 'friends' and make decisions for the benefit of the company as a whole. If they are not willing to do that, perhaps ASIC can give us an Administrator.
PPN Price at posting:
25.0¢ Sentiment: None Disclosure: Held
