This is my theory. Nothing illegal. All above board.Promoters...

This is my theory. Nothing illegal. All above board.

Promoters approached broker who facilitates float with a concept and confidence. Lets call him Mr. Broker
They come to an arrangement to float.

Mr. Broker says, well I can arrange at 5c. But you need to agree to below :

Escrow your shares for so many years. Escrow others for so much.
Keep me abreast with all that is happening with the company. If I say Jump, you say how high ?

I am paying you after all !!

OK.

Float happens. There is stock X+Y+Z amount. Remember Mr. Broker got his at 5c less brokerage, fees etc. Lets say 4.5c his cost
Mr. Broker allocates "X" to promoters and keeps "Y" to him self. Then he has his cronies or those his clients pretty much allow him to trade on his behalf. He has made money for them before. ( 8c for himself leaving 2c for them out of 10c )

He allocates "Z" to few of them.

On open he has all stock under his thumb. "X" is escrowed. "Y" is his own, "Z" in 10 other names which he controls.
Don't forget Mr. Broker got his at 5c less brokerage, fees etc etc. He can happily sell all day, weeks and months for around 5c.

Pump on open. No one has stock to sell at that time. Those brave hearts who buy after open are one in the money. If they sell and take profit that is and never buy again to hold. Mr. Broker will push it as far as he can risk and suck in. Many who believe buy in at 2-3-4-5-6-7-8-9 times Mr. Broker's cost.

Now Mr. Broker starts to sell. Don't forget Mr. Broker got his at 5c less brokerage, fees etc. He can happily sell at around 5c all day.

Some circumstantial evidence :
No one sells for this long that much at loss.
Escrow is in announcement.
No one knows who holds more than 50% as per holders list. Hopefully next "Holders list" will throw some light on it.
No Green days ( Green day - Close higher to previous day ) 1st Dec to 14th Dec. 11 Mar to 31 March. 16th April, current and on going. Traded 115 days of which 27 days only green.
Does not reflect a true buyer seller market. Clear seller market, with seller at will able to sell at any price as of now.


What could change all this -

Some bigger investor showing interest.
Those who bought hold it for long term and don't sell.
Most importantly, business does make progress and throws this stupid game by Mr. Broker out of the window. Hopefully rest of the long term holders make more than Mr. Broker made.
Another pump by Mr. Broker to create market so he can sell into. Needing more brave hearts who wont sell down on him.