'Short term cash squeeze'? Please, we are in administration! ASIC states that 96% of companies that go through administration end up in compulsory liquidation or receivership where shareholders get nothing.
http://www.dissolve.com.au/information-centre/statistics/asic-statistics/
That is a terrible record, and where administration does end in restructure for the 4% of companies that make it, heavy dilution and loss of value ensues. And we have precedent here; when MBN came out of admin the last time, shareholders lost 98.2% of their shares and that 1.8% holding lost some 90% of their value, a loss exceeding 99.5% in terms of market value.
The Directors have resigned because the Board no longer has control over the company - the administrators do. This is entirely up to the administrators and secured creditors to work out now. If a 'white knight' doesnt come up, we end up in receivership; if a 'white knight' does show up, we face heavy dilution which will have the same effect. Litigation would take up years and millions in legal fees which even if distributed among the 100 odd participants would still mean tens of thousands in split contributions. There's just no way to win!
And before you accuse me of 'down-ramping' (if such word still exists considering we are in perpetual suspension, feel free to check my history with MBN. I've been holding/posting since it came out of DOCA in Feb, so am proverbially, in the same boat. If at the end my shares are enough to pay for the brokerage charged to sell them, I'll count myself lucky.
The sentiment of some on here reminds me of exactly what happened with DML, Newsat or even the last time MBN went into admin. Some people just remain unbelieving until the very end, and even beyond that.
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