GREY:CRRVF - Post by User
Post by
buyifisell1on Jan 07, 2020 3:38pm
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Post# 30527496
Dealing with Peter
Dealing with Peter
If I were the one dealing with Peter B., I would probably play it something like this...
Peter, we know that you clearly violated at least one of the regulators rules (not promptly disclosing material info to shareholders). And, it is likely that the regulators would take a very dim view of some of your other dealings (like getting your house fixed up at shareholder expense and the 30% interest rate). [And, likely more that shareholders don't know about]. Bottom line, the regulators would probably fine a company who's CEO/Chairman pulled that type of sh*t. But, we could go to them and cut a deal - basically pleading that trying to fine a cashless company doen't do much. The appropriate remedy is to ban Peter from being an officer or director of any public company again.
Reminding Peter that it will be virtually impossible to raise cash if he has any say so whatever in CVR Medical, offer to buy him off by issuing a special class of shares - ones that are equal to regular shares but that carry no voting rights. And, he is prohibited from ever becoming an officer or director of Medical. In exchange for the shares, he has to transfer control of the product completely to CVR Medical.
Unless he is a total idiot, he has to figure out that a substatial slice of something is better than a huge slice of nothing, which is what Medical will be if he does not relinquish all control.