Found this on Ozestock. Horrific news for the company if its correct:
Posted By: nannook In reply to:
Posted on: 17/12/2004 11:06:19 AM Post: 5409
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Well today only gets worse. I cant believe that it is getting down this low. My one concern now is I noticed that Dr Melrose's shares are held by ANZ nominees which usually means they are held as security for a loan. I wonder whether his bank is thinking of calling in that loan at the moment. If it does then that might be a disaster as banks are notorious sellers when it comes to closing out a share selling program. I watched another company get smashed when that happened to another director. The share price fell too low and the coverage was not enough. Basically it is a margin call. The problem with that is if you dont have the money to top up the margin call then they sell and the lower it goes the more the call is for. Thus the selling is exagerated.
I hope that this does not happen here but if the guy has 25 million shares and they fall by $1 then you are down $25 million and if I was a bank I would be starting to get worried. If the shares are my security some where there is a point that you have to worry about whether the market is right and at the moment the market is saying that this company can not produce its product. And that basically is what is being said in the press and there has been no clarifying statements from the company to suggest otherwise.
Come on guys start putting your PR department to work and start explaining what is happening.
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