I am beginning to get very concerned about the Gandel loan that is due in February in 2019. Announced on page 10 on 31st October 2018
The Board of CTL have used the excuse of not being able to repay the $2.5m con. note @ 3.5cents to write con. notes for the major shareholder, Gandel and other insiders ( employees and suppliers) at the unheard of and ridiculously discounted price of .35 cents.
The behaviour of this Board can only be described as disgraceful. They have shown no regard for the Corporations Act, ASX listing or disclosure rules. It is obvious what they are up to and also the top 20 do not appear concerned which is another worry for ordinary shareholders as a poster Yummy posted
" Spoke to a former large holder who got out because of dodgy management. He thought Gandel has to protect his interest to get his money back and has every right to do that anyway he can"
Gandel could easily have replaced the "dodgy management" but chose not to....WHY?
If in February 2019 the company have AGAIN not put money aside to repay this loan then Gandel will probably take over the company by DEFAULT as CTL were very diligent in making sure that the new note holders had security over the company's assets
Maybe the Board is not going to worry about an AGM as they are going straight to DEFAULT as they know shareholders will not vote for CONVERSION
I appeal to concerned ordinary shareholders to go to ASIC and their local Federal member of parliament as this STINKS...go now before February 2019
CTL Price at posting:
0.9¢ Sentiment: None Disclosure: Held
