Mart Resources Inc MAUXF

RE:RE:RE:RE:RE:What is the true value of MMT

[Obeahman]

ncider wrote:

Obeahman wrote:

My intrepretation is that the taxes on the 5.8M$ will come from the break fee.

Here is the wording:

 The Second Amending Agreement also provides an additional covenant on behalf of Midwestern that should the transaction not be completed, Midwestern will pay Mart's portion of a corporate tax liability out of the proceeds payable under the reverse break fee.
 

I thought the same thing initially but the the way it should read is "Midwestern will pay Mart's portion of a corporate tax liability resulting from the proceeds".  The "out of" part refers to the triggering of tax not the source of payment.

Any condition specifying what MMT should do with the break up fee makes no sense. MMT has never been known for making details clear in their PRs. 

I agree with you. When the announcement was make initially and I read it, it made no sense. Infact I said to myself, this is no deal. But when the second annoucement was made with more or less the same terminoloy, I said to myself that something is wrong. They could not make the same mistake twice. But you never know, lawyers and consultations have made mistakes before. The funny thing I must say, you are dealing with Nigerians, they are the kings and queens of scams.