all those in favor say "i", page-10

How many fully paid shares does DHJ hold? I'd be surprised if he has any at all.

He bought 1mn shares as a token gesture during the Smith siege. For a so-called proud, loyal, dedicated founder of the company, he sure doesn't have much financial exposure at stake. Of course, he doesn't really need to since he's being paid 300+k per annum + the boatload of low strike options. If he wants to be exposed to the upside of the company, it's time he use his own money instead of relying on handouts from holders. If he doesn't like it, quit. I'd like to see what other company would take him on. He's on a good wicket here and he knows it. If the holders push hard enough, he'll back off.

And now, courtesy of a lot of good contacts VPE has got some heavyweight partners on board to really give this CSG a crack with some decent money instead of falling over like Roma did. You mentioned Roma...they fell over at half the value they were worth. Jk will ensure that this wont happen to VPE.

No, he would simply dilute the hell of the our holdings so much that any upside is completely diluted by the board issuing cheap shares to his mates. From the time the company went through the 10 for 1 consolidation, how many cap raisings have we had? The total no of outstanding issue has increased from around 160mn to 430mn (including 62mn in Jan 2010 options). If the new incentive options is approved, and the issue of shares ractified, you can bet your farm on another 15% dilution within 12 months. So year end, we are looking at 423mn shares, and about 68mn options, bringing the fully-diluted issues to 491mn. All of a sudden, our market cap is around the 80-90mn mark even though our share price is still at 20c. How much upside will there be left for shareholders if they keep getting diluted, even if there is a takeover? You wonder why the share price never gain ground? It's probably because any value add is being completely offset by the never ending stream of cap raising. In hospital analogy, VPE is the patient whose organs (asset) are improving all the time, but the patient's health is being compromised by a drip (continuous dilution) that is detrimental to the patient's health. How will that patient ever get out of the hospital bed? The most probably answer is never. The only one who wins is the ludicrous doctor who is charging 300+k per annum to look after the patient, until the patient's cash balance is zero. The doctor would probably walk away (very wealthy) and the patient left to die.

As I had mentioned before, the total proportion of the company held by ex-QGC related parties (including Sentient, one of the partners is an ex-QGC director) is now close to 42%. All it takes is one more round of 15% raising issued to one of the QGC-related parties, and they have effective controlling stake in the company without you having a single say. If this shocking scenario eventuate, you can almost bet your bottom dollar that JK will benefit out of this one way or another.

You get the picture!

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