Posted On: 12/17/2015 11:37:39 AM
Post# of 3605
Kid, here is my take on company management.
George has total control of the company because the corporate charter states that he is to always own a minimum of 78% of all outstanding shares. For example, when he issues stock shares as collateral for a loan, he is gifted additional shares by the company to maintain his minimum percentage of shares owned. (The other two insiders are on the same program but at a much lesser scale.) That is what the SEC Form 4s are all about and that is why they are always issued in sets of three; one for each insider.
And that is why GC can have his way on all issues concerning CIL. From his stock ownership point of view, even though CiL is a charted, public company, he treats it as if it is his own private company.
I agree that he should not spend his time answering private emails but he should be more attentive to keeping the stockholders informed. That is, if there is anything new to inform them about.
George has total control of the company because the corporate charter states that he is to always own a minimum of 78% of all outstanding shares. For example, when he issues stock shares as collateral for a loan, he is gifted additional shares by the company to maintain his minimum percentage of shares owned. (The other two insiders are on the same program but at a much lesser scale.) That is what the SEC Form 4s are all about and that is why they are always issued in sets of three; one for each insider.
And that is why GC can have his way on all issues concerning CIL. From his stock ownership point of view, even though CiL is a charted, public company, he treats it as if it is his own private company.
I agree that he should not spend his time answering private emails but he should be more attentive to keeping the stockholders informed. That is, if there is anything new to inform them about.
(0)
(0)
