6. As ASX reads the Underwriting Agreement, State Securities is...

6. As ASX reads the Underwriting Agreement, State Securities is entitled to: dispose of the SKN shares it is issued on the exercise of the Options; and to be paid its underwriting fee,without actually paying for the Options, leaving the amount due to be paid for the Options outstanding as a Debt . Does SKN agree with this reading? If so, please comment on the appropriateness of this provision from SKN’s perspective?As above, this clause provides SKN with optionality. It does not obligate SKN to exercise such right. SKN would only exercise such right if it resolved that it was in the best interests of the Company to do so. In any contractual arrangement, there is no way to guarantee that a party will perform its contractual obligations. From SKN’s point of view, the inclusion of this right simply provides optionality in the event a contractual obligation is not performed.7. If a Debt were incurred, what agreement (if any) do SKN and the Underwriter have with respect to the payment of the Debt? Please provide any relevant documents (not for release to the market).There are no additional documents. The debt is created upon subscription for the shares and payable on demand.

And to think it was SKN’s lawyers that created the underwriting agreement. Surely looks like they knew at the time that they wouldn’t get the money and now once legal fees exhaust all the remaining cash It’s only a matter of time before administrators are called in.