I would respond to you frequently if it was not for your holier than thou attitude towards me.
Getting the shares back from Collins will not make a huge difference. Getting the assets back and damages for what he did to the company would make a difference.
Little by little we are gaining ground on this. Our new attorney feels we can do both. People don't realize that there are two separate contracts. Collins signed his employment contact a day before we did the 2nd contract to by all Punch assets. He was President on IC Places at the time he signed off on the assets purchase agreement. He had full access to every book and record before he signed. There is nothing in either agreement that gave him majority control of the company. He could get shares but no place is any percentage of ownership talked about.
We have very little debt. In the last 6 months we only borrowed enough to pay for our Q and Ks fees. The amount of debt would have meant nothing to us if it where not for the terrible slide in the price. Again, we where doing very well until Collins imploded on us. He lied to try to grab control of the company.
As an example, Collins said there was no record of my employment contract but it was in all the books and in public filings. This is our annual report for 2011. This was public 4 months before we bought the Punch assets.
Form 10-K - Annual report [Section 13 and 15(d), not S-K Item 405] SEC Accession No. 0001530981-12-000027
10. Related Party Transactions
The majority shareholder has advanced funds, since inception, for the purpose of financing working capital and product development. As of December 31, 2011 and December 31, 2010, these advances amounted to $50,013 and $102,312, respectively. There are no formalized agreement or repayment terms to this advance and the amount is payable upon demand. In the absence of a formal agreement or stated interest rate, the Company is accruing interest at a minimal variable rate, currently 3%. Management will periodically adjust the rate recognized, following guidelines of applicable federal rates of interest. In December 2010 the majority shareholder, with the approval of the Board of Directors, converted $70,000 of the advances into common shares.
On September 23, 2011, the Company entered into an employment agreement with the President and Chief Executive Officer, who is the majority shareholder, whereby the Company’s Board of Directors declared a $250,000 amount payable for a five (5) year employment commitment. The amount has been deferred and will be ratably expenses, as compensation, over the length of the agreement.
We depend on our sole officer and director, to provide the Company with the necessary funds to implement our business plan, as necessary. The Company does not have a funding commitment from him or any written agreement for our future required cash needs.
The amounts and terms of the above transactions may not necessarily be indicative of the amounts and terms that would have been incurred had comparable transactions been entered into with independent third parties.