What Leung didn't say
The most significant aspect of Leung's latest annoucement is what he didn't say:
Nothing was said about Empower Defence Systems. In fact, Leung has said nothing about EDS since his July 23,2013 annoucement when he claimed EDS would "fully functional by the fall of this year."
Its now more than 2 years since the entire EDS saga began. Where are the military contracts?
It seems certain now that the Northstar/EDS acquisition is another one of Leung's failures. This is yet another massive waste of energy, resources and investor money.
Does Leung understand the concept of conducting "due diligence" before he commits to a project? It would seem he doesn't. We have gone through this over and over and over.
Leung has never produced any product that he has been able to sell with the exception of a few computer boards that produced very little revenue.
And now with the acquisition of AIC, Empower is once again at the beginning of yet another one of Leung's adventures. We are now well into year 15. Will this business plan work or will it be like all the rest? History says Leung will somehow find a way to screw this one up like everything else he has attempted.
Did Leung conduct thorough due diligence this time or will he somehow find a way to bungle it?
I also note that Leung has not made any changes to the website. You will see that EDS is still listed on the site as is Empower Engineering and Empower Imaging Laboratories. Where are these divisions of the so called "Empower Group" located? Are they in the new office? Hardly. They don't exist except on the website and thats misleading. The point is the website is misleading to shareholders and potential investors. Thats just simply unethical.
Patent:
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I am becoming very suspicious of the patent and its apparent lack of progress. Its now nearly 1 year since Leung claimed the following:
"The Company will vigorously protect its stylus based handwriting recognition Utility Patent to exclude anyone from infringing or misusing the Utility Patent without first obtaining a proper license and permission from Empower."
I doubt anything signficant has occured on this front. Has Leung been advised the patent doesn't apply to the technology being used? Is it too expensive to pursue these companies? Leung claimed in his Dec 2,2013 announcement there would be revenue from the handwriting patent. When? A decade from now?
My default position with Leung is to disbelieve anything he says. In the past my suspicions about projects have sadly come true. I would like to be wrong and have Leung surprise us all with a success but thats unlikely.
Forward Looking Statements:
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You will notice at the bottom of each annoucement Leung posts a disclaimer. It basically means his annoucement may or may not come true but if it doesn't come true he has no legal obligation to correct the record and ensure shareholders are advised of the state of their investment. Its a legal excuse that keeps shareholders misinformed and uninformed when things fail which for this company is nearly 100% of the time.
What Leung doesn't understand is this type of behaviour only reinforces in the minds of all the shareholders who have been burnt by this guy over and over again that they can't rely on Leung to inform them of the state of the company and their investment.
With the stock almost completely dormant and trading at 3 cents after falling from its high of $2.35 nearly 9 years ago its clear very few people if any trust Leung to actually be successful. His withholding of information, legal or otherwise [ie: failures] only exacerbates this problem.
How much has the financing announced July 2,2013 raised? Leung was asking 10 cents per share. I'll bet he hasn't sold any or very little. That financing was never officially closed off either.
There is a great deal more I can say about the state of this company but I will leave it for another time.