Ann: Responses to ASX Queries, page-28

There really needs to be a thorough investigation into the flow of money from Merlin to AXIS to ??. I wouldn't be surprised if the shuffling of funds are being channelled through AXIS back into company names under Gutnick family members then flowing back to Merlin through convertible notes resulting in more control for the Gutnicks & more dilution for shareholders. If in fact this situation exists then shareholders have been compromised and we need more independent board members pronto.

If Merlin currently had these funds to invest in mining equipment and operations without the need to raise through convertible notes then the current sp would be a LOT higher than today.

The fact that non-independent directors loaned $14 million of shareholder funds to another related entity UNSECURED should be against the law.no