There was no loan provided by any major shareholder. No...

There was no loan provided by any major shareholder. No incentive, no interest free. Nothing.

The loan was granted by the Board of BRK to themselves as a part of the Company's Securities Incentive Plan. This is a quote from his email response yesterday: "The Board resolved to make these loans in accordance with the terms of the Company’s Securities Incentive Plan. I understand that with respect to the loan made available to me, that this had the support of the major shareholders at the time." I would suggest that the major shareholders would have been approached for their support due to the large amount that DP borrowed which was just over $1 million (98 million options converted @ 1.1 cents = $1,078,000).

So while the major shareholder supported the loan facility, they did not provide it. The funds came out of our funds.

As I've been saying all along, the comment made by DP to Paul and Keith that an incentive loan was provided by a major shareholder was not true.

This is from the Half Yearly Report that details the loan facility:


If DP decides to repay the loan - then he has to pay the 3% interest per annum. If he decides that he does not want to pay back the loan then he loses his shares - BUT he does not have to pay any interest. So it's a win win for DP. The only losers are shareholders (if he doesn't repay the loan) because we lose any interest that would have been accrued over the two year period.

This comment is from the Company on their Investor Hub (when they actually answered questions)


All the best