AWESOME post by lowriderbill ! Jan 19, 2006 15:59:13 GMT -4
Post by Nos ProMod on Jan 19, 2006 15:59:13 GMT -4
CMKM Shareholders Group :: General :: General Discussion :: Why I Believe We'll Win
Author Topic: Why I Believe We'll Win (Read 37 times)
Jack of Diamonds
member is offline
Joined: Sept 2005
Why I Believe We'll Win
« Thread Started on Today at 2:50pm »
The CMKX saga has been an interesting one, but I'm sure you don't need me to tell you that. I, like everyone else, bought in on the potential of vast mineral wealth due to the sheer size and location of the mineral claims. I believe that potential still exists and may be more developed than we know at this time. I find it likely that that much of the initial work was completed by Emerson Koch and Roger Glenn under the guise of Koch's private companies and CIM respectively. One only has to look at the speed with which Entourage completed it's due diligence, developed a drilling program, received permits, and drilled it's first holes. Remember that under National Instrument 43-101, assessment work can be carried out as well as drilling core samples. Once those samples are actually tested then the two year clock to report results on said samples starts ticking.
Bottom line, the legal/NSS play is a completely separate issue, but is married to the claims. If there is no valuation then there is no reason to battle the NSS.
This brings us back to the conception of CMKX and the dream of Urban Casavant. The following points could easily take pages of text to explain. However, I'll keep it short as I've already posted a great deal of the DD myself and others share.
1) Edwards, Walters, and the Vegas Group buy a shell and turn it into a vehicle for toxic financing, naked short selling, and fraud through their financing agreements.
2) Most of the companies involved with CMKX are connected through this financing and are suceptible to the same type of problems only on a smaller scale.
3) Edwards sets out to destroy CMKX in order to take over the claims, an asset raid if you will. He uses NevWest Securities as the vehicle to acquire shares and stay under the 4.9% ownership limit. I wonder if Casavant knew he controlled all those companies or if he thought they were just "connections" of Edwards to obtain financing?
4) The A/S is raised from 200 to 500 billion in order to pay Edwards his shares when the par value of the stock is corrected. This is for the "recalculation" of all the loans.
5) The A/S is raised again from 500 billion to 800 billion to do one of two things. Either Casavant has figured out he's been screwed by Edwards and needs to gain the 51% control by issuing so many shares to people friendly to him. Or he figures out Edwards has screwed him and has the right team (read IBM, Roger Glenn, Global Intelligence) to help him setup the bad guys and catch them red handed by making the company appear to be incompentent and that they're diluting. Either way we have the proof, documentation, etc.
6) The dividends force Shorty and the SEC to the table. CMKX presents it's evidence and let's Shorty know he's royally hosed. However, the short is so big that the SEC needs to buy more time and investigate themselves. This is before CMKX is able to open the floodgates of information in October 2004 and force a squeeze through a merger with UCAD. We're now working with the government on a way out of this mess that will punish the Shorty, reward the shareholders, and return the company to the value it should be as if it were conducting it's primary business. I'm just not convinced the hearing was really about CMKX's filings. If it was, why weren't Edwards, DeSormeau, Roger Glenn, and other key figures in the know called to testify?
Here is some additional DD beyond the DEF14C I have discussed to support some of the conclusions.
First, I needed to know the entity, amount of shares issued, the date the shares were issued, the amount of shares surrendered, and the date the shares were surrendered for the 200 to 500 billion share increase.
03/01/2004 ~ Shareholder List ~ 500B Increase
By Certificate Number
Second, I needed to know the entity, amount of shares issued, the date the shares were issued, the amount of shares surrendered, and the date the shares were surrendered for the 500 to 800 billion share increase.
08/18/2004 ~ Shareholder List ~ 800B Increase
By Certificate Number
Third, I needed to know any DD that would identify which of these entities are directly related to John Edwards, Gary Walters, and the Vegas group.
John Martin did some extensive DD along this area.
This information is available on the Owners Group Website.
Also this list by Columbo:
Last, I needed to know any DD that would identify which of these entities are directly related to Urban Casavant.
John Martin did some extensive DD along this area.
This information is available on the Owners Group Website.
What I'm attempting to do is show that the increase in A/S (200-500 billion) was authorized by Edwards.
UC never controlled the company.
Edwards and his Cronies always controlled the Company.
It was the "evildoers" that voted and approved not only the A/S increase, but also voted and approved to pay themselves hundreds of billions of shares.
Not much that UC could do but sign off on the Article Amendments (being that he was the President).
I believe the correction to the par value of CMKX shares last year was a way for him to demand ten times the amount of shares from CMKX. In other words, oops! We valued our shares at $.001 when they should really be $.0001. Now you owe me ten times as many shares.
Here are some more documents that you should look over.
The PAR Value Error occurred on the 12/26/2002 Amendment.
01/18/2002 ~~ tinypic.com/e81r9f.jpg
11/26/2002 ~~ tinypic.com/e81sb9.jpg
12/26/2002 ~~ tinypic.com/e81svo.jpg
Is this why there was a 100-1 Forward Split for only certain Individuals?
It appears that Edwards world may be coming down around him.
Crown was rumored to be one of the entities that heavily shorted CMKX.
Crown Financial Assigns All of Its Assets for the Benefit of Creditors:
From the Crown 10Q October 31, 2004
9. COMMITMENTS AND CONTINGENT LIABILITIES
The Company has entered into arrangements with organizations, including clearing brokers, which provide for indemnification against losses, costs, claims and liabilities arising from the performance of their obligations under our agreement, except for gross negligence or bad faith. The Company believes the likelihood of a claim being made, the adverse outcome of which, individually or in the aggregate, that can be predicted with any reasonable certainty, could have a material adverse effect on the Company’s business, financial condition and operating results, is remote.
10. CAPITAL STOCK
During the three months ended October 31, 2004, the Company issued in privately negotiated transactions 4,824,244 shares of Company common stock not registered under the Securities Act for net cash proceeds of $1,525,000. Shares totaling 4,748,486 were issued to unaffiliated accredited investors and shares totaling 75,758 were issued to an executive officer of the Company.
During the nine months ended October 31, 2004, the Company issued in privately negotiated transactions 7,031,632 shares of Company common stock not registered under the Securities Act for gross cash proceeds of $3,561,101. Placement fees totaling $35,180 were paid to two placement agents in connection with this share issuance. Shares totaling 6,302,086 were issued to unaffiliated accredited investors and shares totaling 729,546 were issued to executive officers, or family members of executive officers.
From the Crown 10K January 31, 2005
The cash inflow from financing activities in fiscal 2004 was due to a combination of seven common stock private placements totaling $4,995,725, two cash contributions to equity totaling $1,830,000, a sale of assets totaling $980,000 and option exercises totaling $448,698. The first private placement commenced in February 2003 and raised $340,000 through the issuance of 377,776 shares to employees. The second private placement commenced in March 2003 and raised $293,150 through the issuance of 205,000 shares to employees. The third private placement commenced in March 2003 and raised $2,419,050 through the issuance of 1,612,161 shares to employees, a director and a private investor. The fourth private placement commenced in October 2003 and raised $100,000 through the issuance of 28,986 shares to an employee. The fifth private placement commenced in November 2003 and raised $811,650 through the issuance of 348,347 shares to employees and directors. The sixth private placement commenced in November 2003 and raised $110,000 through the issuance of 50,000 shares and 5,000 warrants to a private investor. The seventh private placement commenced in December 2003 and raised $921,875 through the issuance of 526,786 shares to current and former employees, plus a private investor. The Company took possession of municipal bonds from J.S.A. Investments LLC that were subsequently liquidated into cash of $1,700,000 on October 17, 2003. In May 2003, the Company completed a transaction with Martin H. Meyerson, the Company’s former Chairman and Chief Executive Officer, totaling $1,350,000, whereby he made a $130,000 cash contribution to equity, he purchased $980,000 of assets and he reimbursed the Company for $240,000 of expenditures related to certain regulatory matters.
John Edwards owns 25.7% of Crown's preferred shares.
Rissington Investments owns 13.5% of Crown's preferred shares.
Mining Feasability Capital Corp owns 12.2% of Crown's preferred shares.
John Edwards controls Rissington and MFCC. Therefore, he controls over 51% of Crown.
So why didn't we file and why are we revoked? Casavant PR'd way back that he'd bought a publicly traded pinky for it's large shareholder base. We don't have official confirmation the deal ever went through, but it is confirmed that this company was PCBM/SRCI. LoCastro of PCBM went through a series of divies and a revocation as well. I have good information that supports the theory that the attorneys for both PCBM and CMKX performed a stock swap of nearly 20 billion shares as early as 2002, before the vast tenacles of toxic financing were discovered. The difference between the struggles of CMKX and PCBM is that CMKX has tons more value while PCBM had to rebuild value over the last year. I believe revocation to lock in the crooks and perform an accurate accounting of shares was necessary. The theory goes that once in revocation, all will happen behind closed doors including any share divies, settlement tenders, cash, etc. I believe the lynch pin for this operation was the documentation of the dilution and then catching the financiers red handed. Imagine the leverage if Edwards was forced to cooperate with authorities against his short selling friends and forced to return his shares in whatever fashion. I find it very likely that Casavant Casavant has control of all 600 billion worth of O/S increases. All one has to do is look at the links provided above. It might take a little leap of faith, but to make this work IBM had to force Edwards to sell his shares back to Casavant while all other shares were being held by forces friendly to Casavant. I find it very likely that IBM has used some of his big money connections to assist. I won't speculate much here, but I have heard some of these connections have a very sour opinion of short sellers and toxic financiers. Basically, it all comes down to leverage.
I realize you raise issues as to the validity of the O/S increases and that they were of great concern to the SEC. However, the SEC ultimately revoked us due to lack of filing timely reports, not 144 share issues. At this point, we don't have anything to confirm that the SEC actually found fault with the share issuances. In my opinion, the O/S increases were perfectly legal due to the original financing agreements with Edwards and the Vegas Group. I believe it's what was done with the shares after the issuance that is illegal, ie shorting against said shares. Glenn wrote many of the opinion letters that removed the restriction to allow these shares to become free trading for a specific purpose as stated above. I find no reason to find Glenn anything other than squeaky clean. After all, he did work in the enforcement division of the SEC, has written text outlining the responsibility of corporate America, and shares a stellar reputation with his firm Edwards and Angell.
So where does that leave us now? Why the cert pull? Well, that's a tough question as we're in the middle of that play. There are too many options moving forward to pick just one at this point as most all are excellent for us.
I believe Entourage is basically a leverage maneuver. I have worked with some other folks to show that the Entourage dividend can't be covered unless the company is approached directly and decides to let loose some additional shares.
703,000,000,000 / 50,000,000 = 14,060 CMKX shares per Entourage share.
There A/S of Entourage is 100,000,000. Per Columbo's DD, the A/S of Entourage is already locked up by the actual O/S plus warrants for additional private placement.
ETGMF has never sold a single share into the market to raise capital. All shares in ETGMF can be traced thru their filings to private placements, options and warrants connected to those private placements, and incentive plans. In effect, thru due dilligence, you will find there is no publicly trading float. The remainder of the 100,000,000 authorized, after CMKM distribution, is reserved for warrants granted to those who recieved the private placement.
undisclosed private placement 6/8/2004 tinyurl.com/8sbhy
6/31/2004 O/S 16,925,505 tinyurl.com/drfnj
8/5/2004 O/S 13,175,505 tinyurl.com/98zr3
9/30/2004 O/S 13,325,505 tinyurl.com/btldn
January 7, 2005
CLOSING OF THE PRIVATE PLACEMENT
Entourage Mining Ltd. is pleased to announce that it has closed a non-brokered private placement of 2,815,500 units at a price of US$0.15 per unit for total proceeds of $422,325.00. Each unit consists of one share and one non-transferable share purchase warrant expiring two years from the date of the placement with each warrant carrying the right to purchase one additional share at a price of US$0.22 in the first year and US$0.25 in the second year.
A finder’s fee of 132,000 treasury shares was paid in connection with the placement.
The shares were issued subject to resale restrictions expiring in Canada on May 1, 2005. Additional resale restrictions apply to shares in the USA.
The proceeds from the placement will be used as a reserve for future property acquisitions, to fund a preliminary exploration program on the Company’s Nevada property and for general working capital.
Count up the shares in the documents dated 1/19/2005 posted earlier
1/18/2005 O/S 13,325,505 tinyurl.com/cucoj
1/20/2005 O/S 16,141,005 tinyurl.com/8s3wq
4/26/2005 JV with Entourage and CMKX tinyurl.com/8ty2p
6/30/2005 "As of the date of this annual report, there are 16,273,505 common shares issued and outstanding in our capital stock. We are authorized to issue an unlimited number of common shares and preferred shares. We have not issued any preferred shares since our incorporation."
"Of our 73 registered shareholders, 66 are Canadian residents representing 14,174,005 common shares or 87.10% of our issued and outstanding common shares. We have 7 registered US shareholders holding 2,224,500 common shares or 13.67% of our issued and outstanding common shares."
Does that math seem odd? 100.77%? O.K.
Also do they all have Certs? Apparently so.
as of 10/14/2005 Entourage Ownership is
Paul Shatzko 1,173,000 tinyurl.com/a78eq
Kennedy Gregory Francis 500,000 tinyurl.com/87jvw
Unknown Private Placement 698,000 tinyurl.com/8sbhy
Unknown Private Placement 550,000 tinyurl.com/8zzyk
Unknown Private Placement 1,275,000 tinyurl.com/anm28
Unknown Private Placement 7,000,000 tinyurl.com/cnaz2
YK Group 6,000,000 tinyurl.com/9gz3j
Fayz Yacoub 125,000 tinyurl.com/9gz3j
Unknown Private Placement 889,500 tinyurl.com/9gz3j
Unknown Private Placement 698,000 tinyurl.com/9gz3j
Finders Fee 132,000 tinyurl.com/9gz3j
William Weston 1,134,000 tinyurl.com/9gz3j
Maryl Shatzko 1,141,000 tinyurl.com/9gz3j
Eric Reid 132,500
Cindy Dwyer 666,500
Wesley Casavant 666,500
Emerson Koch 666,500
Maryl Shatzko 370,000
Kjeld Werbs 133,000
Rick Walker 153,000
Linda Martinez 100,000
Sanya Asprovski 40,000
Lita Cooper 20,000
Total 24,263,500 Shares Closely Held O/S after All Private Placements.
14,060 * 100,000,000 = 1,406,000,000,000 CMKX shares
In other words there are enough Entourage shares to cover 1.406 trillion CMKX shares. However, we've already shown the Entourage A/S is locked up and there is no float. Also, the private placements and the dividend are restricted. Sorry Shorty, but there are over two trillion CMKX shares in accounts around the world. I bet there are many more than that.
Look what happens when you lower CMKX's O/S. I believe it will be 103 billion or less. Why? Because the first thing to do to get control of this situation was to bait, document, prove, and convince Edwards to return his shares that he was shorting against. Edwards may not be cooperating on his own free will, but I'm sure Roger Glenn and IBM had more than enough ammo to make him play ball.
103,000,000,000 / 50,000,000 = 2,060 CMKX shares per Entourage share.
2,060 * 100,000,000 = 206,000,000,000 CMKX shares
In other words, if the O/S of CMKX is only 103 billion, there are only enough Entourage shares to cover 206 billion CMKX shares. Definitely not enough and Shorty is hosed! I will also add that I believe UC has been buying back shares and the O/S may be even less.
In total, Shorty needs a whole heck of a lot of Entourage shares.
3,000,000,000,000 / 2,060 = 1,456,310,679
In other words, Shorty needs 1.456 billion Entourage shares to cover the dividend on three trillion shares of CMKX. Do you think the controlling votes in Entourage have any interest in raising the A/S to accomodate Shorty? I think not. Per UC, burn in hell Shorty!
I think ETGMF will make some move (either merger, another share exchange with a big dog, or move to another exchange) where the net effect is that the DTCC's control over (the clearance and settlement of) ETGMF shares will go away completely.
Next, or simultaneously, valuation of the claims is made known, one way or another.
Then, the paper exchange of physical certificates will cause huge demand for ETGMF shares and send the price through the roof. Do they cover Entourage or finally come to an agreement with CMKX?
This is why I believe a settlement could come at any time. Surely Shorty can see the writing on the wall or have been given a peek by IBM. Either way it's leverage city. In contrast, Shorty may be so arrogant that he gives us the bird and says he'll wait to see if the claims really have any value. Then he'll have to take his chances and will more than likely be paying even more.
If the FALC land claims are as valuable as we think they are, we are going to win big here, regardless. I think there's some brilliant people who have set this deal up and have dotted every I and crossed every T. I also believe elements of both the Canadian and US governments are working hand in hand to see this through to our benefit. I see no other reason for IBM to be here.
This brings me to a question that was asked, "Do you think this sting is about CMKX and it's affiliated companies only or is this a case where IBM is going after the system-wide problem including the DTCC?" The answer is both because they are tied together. I believe CMKX will be the catalyst for market-wide reform and will serve as the example to eliminate this fraudulent behavior. How do we set an example? Set the precedent on how to break a short and hit 'em where it hurts the most - right in the pocketbook! Remember also, this isn't just about capital market fraud. It's about terrorism and national defense. Nobody is going to beat the United States militarily. The only way to do it is economically. That can happen by tearing down the pillars of our society, specifically our capital markets and generally our economy. We must not allow this to happen!
The other question that was asked was, "Do you think that $.238 is an achievable number? Do you have an educated guess as to a number and timeframe?" My answer, I don't know exactly! It all depends how much value our claims hold. I believe IBM would go for the jugular on this one and try to force a settlement where the number is equal to what the share price should have been if we were allowed to conduct our primary business without the negative effects of NSS. This is why I completely disagree with you $.005 settlement estimate. I think it would be a slap in the face to shareholders who believed our company would have been trading much higher had it not been cellar boxed by the NSS.
As far as timeframe? Hell, I thought it was already over a couple of times, LOL! However, I believe we're closer than we've ever been. I even have a suspicion that the reason for the cert pull is to remove every electronic share from the market so that a settlement can be paid directly to each shareholder. No media, no fanfare, under the radar. All ther certs are is a receipt for the payment by Shorty and the final documentation of the CMKX dossier. Yes, I could be wrong and the cert pull could be our evidence to take Shorty to court. However, I feel the cert pull (on both Frizzell's part and the T/A's part) would have far greater resources and emphasis if that were the case. With the limited staff and average equipment they're using it just seems like they need a little more time to finalize the deal with Shorty.
For two years my thought has been a settlement of $.05-$.10 per CMKX share with the ability to roll into another entity and develop our assets. Many say I'm too low while only a few say I'm too high. Do I think it's possible to hit $.23 or even the infamous $.54? Yes depending on the value of the claims and the corrections to the shares structure. However, my shares purchases were always based on being able to live a very comfortable life off of $.05. Anything above that is just gravy, LOL!
In conclusion, all of the above is in my opinion. You can see the DD and how I've drawn my conclusions. Everything is left open to interpretation and there's obviously a lot of that going around! I believe that it's not a matter of IF, but WHEN. Currently, my purchases of CMKX are complete. I've gone back to dollar cost averaging into mutual funds and blue chip stocks for the core of my portfolio. I'm living life as I should. Going to work, enjoying family and friends, and being a productive member of society, LOL! I do check the boards regularly, although I rarely post. I prefer to do it my way and say something when it needs to be said...
...the Lowrider way!
Take care and we'll talk again soon...
P.S. - Many thanks go out to folks who contribute to this DD. Some prefer to remain annonymous and I'll respect that. They will recognize which parts are cut and pasted from public posts or private conversation. If they wish to be acknowledged then i will be happy to do so. I'm not a credit hound, just someone who took a great deal of time to put the pieces of the puzzle together.