The Mulacek web of conflict and corruption worsens... So right out of the blue Phil Mulacek is appointed Chief Investment Officer of Energy Evolution Fund, with no news or press releases anywhere, straight below the radar on the qt……but no surprise after son Sterling had been telling colleagues in recent months he wouldn’t go to jail for his dad….now Sterling will be able to say he was ‘only obeying orders’ if and when the hammer of justice falls on his charade of a fund
So we now have a web of corruption and horrific conflicts that defy all description and show just how desperate these characters now are to keep this house of cards upright :-
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Phil Mulacek is simultaneously the Chair of Empire Petroleum and the Chief Investment Officer of its largest investor, Energy Evolution Fund based offshore in Cayman
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Mason Matschke is simultaneously main board Director of Empire Petroleum and Chief Compliance Officer of its largest investor, Energy Evolution Fund
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Phil has three Empire Petroleum directorships in his pocket as owner of the Series A Voting Preferred Stock issued by Empire as reward for a major investment in the company by his son’s Energy Evolution Fund (thanks son!). Aside from his covert control of the stock (of which more below), Phil now openly controls both the Fund and its largest investment (almost its only investment), Empire Petroleum. Don’t let us wake you up there SEC!
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Energy Evolution Fund has almost all its capital invested in Empire Petroleum. Sounds like a sound strategy to invest almost all your capital in a company controlled by your dad (now your Chief Investment Officer) and on whose board sits your Chief Compliance Officer? Know any Chief Compliance Officer anywhere else who wouldn’t have RUN from this situation?
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The heart of this scheme has been Phil’s coordinating the trading of Empire shares between his family, friends, minor employees, cronies and their offshore nominees, trusts etc (the people who own almost all the shares in reality) in an orchestrated and rotational manner to make it look like a stellar never-ending performance. This then makes the fund performance look incredible (it’s all-in invested in Empire!) and lets them pull 3rd party investor money into the fund that is then wholly under their control and which they can pump into the company and keep this sordid ferris wheel spinning….
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Did the Mulaceks invest big personal cash in the fund? As far as we can see it was instead in-kind subscriptions of Empire shares into the fund that got them their stake in the fund and got the fund invested in Empire. In other words they put in just cheap paper they already owned before they then inflated it. Great scheme as long as nobody notices what you are up to….