RE: RE: RE: RE: RE: well this has been a long time
"And the bank group who are probably screaming that the Feb draw contravened the borrowing agreement as the funds are now being given to the MTN holders which was not a permitted use.
Given the short duration between the draw and the proposal and the existence of the refinancing committee since September the banks may be on very solid legal ground."
Phoenix, on this point I will agree with you 100% The LOC agreement had limitations for it's use and when YLO announced they were giving it to us to try and sweeten the deal enough to get our vote, alarms went off in my head.
I don't know if I would necessarily go as far as to say 'Fraud' but quite frankly it does not have to be. If the banks apply to the court that their contract with YLO does not permit the disbursement of those funds to the bondholders then there is no way the judge could sign this since YLO does not have alternate funds to use to facilitate the proposal as written.
I am not trying to draw any conclusions about what is going on right now other than to say 'It stinks'.
Oh what a tangled web we weave when first we practice to deceive.