any logic in holding this stock?

From a normal stock trading point of view, No, everything says get out and cut your losses. That's what traders would do and very sensible too.

But we long term holders are not traders, we are investors who, for whatever reason, have placed a huge amount of faith and in many cases large dollars in this company and its technology. We have taken risks, seen fortunes made and lost and in many ways we have been let down by extremely bad management decisisions. However, the fact remains that the current team have made great strides in the development of the various systems and products and the company is at the jumping off point to make sales in the not too distant future. For that, they are to be congratulated, particularly Mr Finnear.

The stock price has been manipulated by market forces, day traders, perhaps by an organisation trying to establish its control over the company, we don't know - but we will find out eventually. The board is still maintaining that the funds required should be available by the end of the week, though there is some significasnt doubt in our minds that it is going to happen. On the face of it, if the board had strong doubts about this, the board would have to reveal this to the market. They have not said this, merely that if there is no money, the company may go into administration. The board and staff of the company have their necks on the line here as well and I would expect that they are just as anxious as we shareholders and I strongly doubt that they are going to be telling lies which will get them into trouble later. (They're inevitably going to cop a lot of flak about how it has been handled though).

What happens if the money does not arrive and the company goes into administration? Administration is not the end of the world and does not necessarily mean that you lose all your value in the shares - though you wont be able to sell them until the company comes out of administration (if it does). The company does have significant non cash assets in its technology and it seems that there is going to be a mrket for it so there is a good chance that there will be residual value in the company even if it never trades on the stock market again.

Who will the company be administered for? Primarily the secured notholders, then noteholders and other creditors, then shareholders. Even in administration, somebody is going to tip some money in at some stage - this company has extremely valuable technology and expertise and it will be picked up. I would doubt that it will go completely bust because it does have these assets.

Once it is all sorted out, there is a pretty good chance that there will be at least some value left for shareholders. Therfore, there is no point in selling out at rock bottom price (say under 1 cent) as long as you have the patience to remain in the game.

If the money does come through (and maybe it still will) then we are off and running. If not, it will be very messy, but probably not a total loss.

Take this as you wish, it is merely my opinion, I have no inside knowledge.