RE:RE:RE:RE:WORTHLESS PAPERMoney maker 75 I would like to thank you for your detailed explanation in relation to my previous post and your efforts to straighten out my confusion.
In considering your input and the input of others I wish to apologize for my use of the word “Chinese”’ in my previous post and I am sorry if anyone was offended. I should not have used the word in the context that I did. To the extent there are any issues with this company, neither the fact that it does business in Hong Kong nor the nationality of the persons in charge are among those issues.
In your post you say the dilution of shares I was concerned about was in relation to an asset that was sold in March (before June 30) and sold at a profit. Why then in a statement as at June 30 are the financials showing a write down and loss in respect of the asset if it was already sold at a profit 3 months earlier? And if there was a profit, then why is there a loss being recorded?
Based on Note 10 in the Q2 financials, it also seems that some of the directors have substantial interests in private companies that deal with GPL or are in part owned by GPL and these directors are therefore in a conflict of interest positon. A basic statement of the law respecting conflicts of interest and a director’s fiduciary responsibility ot the shareholders exists on Wiki at https://en.wikipedia.org/wiki/Directors%27_duties where it says:
“it is a rule of universal application that no one, having such duties to discharge, shall be allowed to enter into engagements in which he has, or can have, a personal interest conflicting or which possibly may conflict, with the interests of those whom he is bound to protect.”
The perceived conflicts of interest lead one to think that the directors could be siphoning off corporate funds to their privately controlled companies in non-arms length transactions. This is why directors should not be placing themselves in a position where there is a conflict, or even the appearance of a conflict. Where shareholders see this, they are naturally going to be concerned, whether the company is Chineese, American, Canadian or whatever. I think it accounts for the very low share price and P/E ratio of GPL.