News to meI hadn't read the full document, but will try to locate it.
Other parts of the article by David Milstead in the Globa and mail are revealing and news to me:
“In short, according to a legal filing from the AMF the younger Mr. Pascali engaged in the “communication of false documents, the use of false signatures and the dissemination of false or misleading information to the market and to regulatory bodies.”
“The AMF says the deal between PyroGenesis and Phoenix got tweaked a number of times via contractual amendments. In two major changes in February, 2012, and December, 2013, new provisions were inserted that would allow Phoenix, headed by the elder Mr. Pascali, to demand all $14-million in payments at once – therefore jacking up the $8-million price of the intellectual property.”
“The AMF alleges, however, there were some problems with the changes. One is that the PyroGenesis board allegedly didn’t learn of the amendments to the deal, which would leave PyroGenesis on the hook for much more money than intended, until 2018. And, the AMF notes, shareholders were not told.”
“But, most startlingly, the AMF is using an opinion from VeriScript, a Quebec expert in signature analysis, to allege that the elder Mr. Pascali did not sign the amendments to the agreement on behalf of Phoenix. The AMF says that during its questioning of his son, the company’s CEO, he “never answered the precise question as to whether he was the author of the signature.”
“Over subsequent years, PyroGenesis did stock offerings, and it said that the elder Mr. Pascali had subscribed to buy shares. But the AMF alleges that he did not purchase shares but instead was issued them by the company to pay off most of the obligation. By Dec. 31, 2017, the PyroGenesis financial statements said the balance owed was $111,928.
PyroGenesis also says “the operations of the company continue as usual.” Perhaps shareholders should neither take comfort nor be reassured by that. The company has never made an operating profit in a dozen years as a public company, and the shares are down 93 per cent from the February, 2021, highs.
The big winner at PyroGenesis, instead, seems to be the Pascali family. At least, for now.”
https://www.theglobeandmail.com/business/commentary/article-pyrogenesis-quebec-regulator-fraud-allegations/?cmpid=rss