Frogster - Ask yourself the right questions

Your post of the background make good and generally accurate reading but you should ask:

1. Why was the company is desperate need of the 500K loan and what did the Board know at this time?
2. As shareholders, were you ever made aware of the desperate need for funds or was the announcement of the 8th April completely misleading giving that the 500K facility was entered into on the 7th April?
3. What security was pledged for the 500K. It seems that the fall-out and need for a emergency and non-commercial con note would make you believe that DR pledged the farm for the 500K loan?
4. Who was the loan with and what level of governance did the Board play is authorizing the loan. Word on the street is that the loan was with a lawyer so maybe the Robert Richter tie-up has some legs?
5. Why was the comapnys financials allowed to deteriorate to a point where an urgent con note was required with a bloke who's worked with the Chairman in the past? Remember Tom Young ECP worked with Faldi Ismail Otsana.
6. If there isn't a smoking gun here and enough ammunition for a class action against the Board and DR then I'll be amazed.
7. Finally, shareholders have been misled about the state of the company financials. The CFO and DR are directly responsible. There may even be an argument that the company was trading insolvently over the June quarter.
8. Hotcopper is a nice tool to get noise started and electronic complaints to ASIC are nice but you all need to get active. Call ASIC tomorrow and speak to someone to relay your concerns as shareholders.
9. Given the outrage now being shown by shareholders, the Board under the leadership of Stuart Brown need to stop the Con note and get advice. There would be grounds to terminate the con note I am sure without any penalty.