Is this another farce by possibly an illegimate Board

CTL are now telling us that it took 2 months to have the first ranking security removed to "avoid the risk of the Representative Note Holder enforcing security". This Note Holder was Squadron Resources ( Twiggy) and the debt was $2.5m and the conversion price was 3.5cents.

These new Note Holders have a conversion price of .44 cents and are UNNAMED employees ( maybe the CEO ), suppliers and the major shareholder. We now owe them $3.6m and at a conversion of .44cents represents over 818 million shares. Was Squadron offered a new note @ .44 cents or expected to roll over @3.5cents? What happened here and why did we end up in suspension?

Interestingly most shareholders believe that the board is working to further their own interests not shareholders and many believe that it is setting the stage to privatise the company. Looks like they will easily achieve this now that they can enforce security as soon as they have exhausted shareholder funds raised by the next CR. It must be noted here that the company got to this dire situation by ignoring the warnings of the auditor and spending recklessly.

CTL's current board (last 4 months) has only 2 directors, one is the CEO and the other represents the interests of the major shareholder and therefore both are not independent.

Our constitution calls for at least 3 directors, one of whom must be independent and the independent directors must have a lead director. Most would interpret this to imply that in the case of only 1 independent director, this director should be Chairman. This was the case until the current Chairman became CEO but did not step down as Chairman!

This means that ordinary shareholders have no representation which is unconstitutional and undemocratic and in the light of the massively diluting, highly unusual, suspicious 5 for 2 rights issue, quite a farce as it wipes out small shareholders.

So our Board is embarking on a highly irregular rights issue and taken another debt with unnamed employees, suppliers and the major shareholder without shareholders having any Board representation !!

If this farce goes ahead with this unconstitutional Board it will send a message to other directors that anything goes in this country and the Corporations Act is just a large volume of meaningless words as these directors have shown no obligations to their shareholders or their own company's constitution.

Just like the Royal Commission into banking it will prove that the regulator is not doing it's job and in neglecting it's duties it is encouraging a system of wrong doing that is only going to get worse until we have another Royal Commission and this time into the Corporate sector at another great expense to the country but of course too late for the poor shareholders at CTL.

Behind banking, corporate and other financial services mischief is GREED and DISHONESTY as described by the Commissioner, but surely we do not need a Royal Commission into every sector and the regulator should take action regardless of what sector it is, as history has shown that ignoring these offences only encourages others to do the same.