EW FRAUDThe proposed transaction with Juva and the spinning-out of EW O&G assets to a private shell company, appears to have been nothing more than a premeditated, intentional fraudulent investment scheme. EW appears to have utilized material false and fraudulent promises/pretenses to deprive shareholder/investors of the fair value of the EW cash and oil and gas assets.
The oil and gas assets were to be spun-out to a private shell company and "dividended out to the shareholders" for a sum equivalent to about 10 cents per share, in spite of the fact that some estimates place the value of the Romanian oil and gas assets to be worth approximately $1.00 to $1.50 per share.
It appears that essentially all of EW's cash, $4 millon, was to be "invested" (stripped away from shareholders), into a risky start-up cannabis company (Juva Life) and the oil and gas assets "spun-out" to a private shell company, devoid of cash and devoid of the means for minority shareholders to liquidate their investment at fair value. It appears that if the proposed transaction had been affirmed, the shareholders of EW would have been left in a very vulnerable position, subject to the "mercy" of David Sidoo and the board of directors.
Many EW shareholders on this Stockhouse Message Board have suggested or inferred that "fiduciary responsibility" is not the strong suit of David Sidoo's (and the board of directors).
In sum, the transaction proposed by EW appears to have constituted securities fraud, mail fraud and wire fraud.