Hardboy
29 Oct 2015
Re: Class Action Gallant, I'd be pleased to join in, on the outline basis you describe. A friend of mine, who does not post on this BB would also be interested.Are you going to contact Forum, and the L&G fund manager you mentioned in an earlier post?The bigger the potential pot, maybe the less the solicitors will take off each shareholder (if we win anything.)
gallant02
29 Oct 2015
Re: Class Action - EDWIN COE We go after the auditors and claim for negligence so we can rely on their PI cover.As stated earlier I will provide the grounds in a few days. I'm told the Nomads are safe because they report to the Stock exchange, not members, unlike the auditors. Seems we can go after Costis if we manage to freeze his account holding the share sale proceeds.
TX2
29 Oct 2015
Re: Class Action - EDWIN COE I will be pleased to stand correction but I understood very little cash was returned to very few people in Langbar case!(Some shares bought back @ 5.1p).If only because few of the claimed assets existed.It went on for years.Edwin Coe also tried to act for shareholders in the failure of Cattles Holdings Plc(in 2008/9);once a major billion pound main market listed finance company which was subject to Director fraud without success.Cattles even had a rights issue signed off by advisors,accountants,auditors et al with what proved later fraudulent accounts.Nobody got a penny;actually they did as part of reorganisation by secured lenders shareholders were paid ex gratia 1p per share to go away! But do remember if any assets remain other creditors in fact everyone ranks before shareholders for payment.The pecking order is Government creditors,employees wages,secured lenders,unsecured & trade creditors,outstanding pension contributions etc,then last shareholders are paid any surplus.If any proven criminally involved Director should have funds available other outstanding prior ranking creditors will have first claim.
JakNife
29 Oct 2015
Re: Class Action - EDWIN COE The main legal work for Langbar was done by Jones Day:[link] I've no idea what Edwin Coe are claiming that they did?
Bigbootsss
29 Oct 2015
Re: Class Action - EDWIN COE are the law firm, they got shareholders a fantastic return for Langbar shareholders They should be the one to go to
JamToday
29 Oct 2015
gallant02 Re:Class Action: count me in
gallant02
29 Oct 2015
Globo revelations stun high-yield investors Seems they nearly got away with it...Globo plc 's announcement that it is under investigation from the FCA has shocked high-yield investors that the British mobile technology firm recently tried to sell a bond deal to.Trading in the AIM-listed firm's shares have been suspended since Monday, when its CEO and CFO resigned after disclosing financial irregularities at the company.Globo had announced only days previously - on October 21- that it had postponed a proposed issue of senior secured high yield notes due to market conditions.Imperial Capital had acted as book-running manager with ISM Capital as international co-manager. One fund manager that said that while his firm had decided not to invest in the deal, he had no inkling that there was any "foul play" on the part of the issuer. "The business actually looked pretty good on paper, and the yields they were offering started to look attractive," he said.According to documents seen by IFR, Globo first tried to sell an US$180m five-year non-call two senior secured deal in June. But after market push back, the trade was switched to a US$130m 5NC3 deal in August. Leads tried to sell the deal unsuccessfully at a 94 OID with a 10.375% area coupon, according to the documents."First they tried to sell it at 7%, then at 9%, then at 11%, then they said they'd do a private deal," the investor said.Globo said the bond would refinance 45m of debt. The company had 108m earmarked for general corporate purposes, including future acquisitions, at the original deal size but scaled this back to 58m when the deal was reduced to US$130m.The company pegged its adjusted Ebitda in 2014 at 51.4m.The revelations of financial irregularities this week came after US hedge fund and short-seller Quintessential Capital Management published a report last Friday that raised questions about Globo's revenue model and finances.The report actually focused on Globo's attempt to tap the high-yield market as a source of concern."Globo's decision to raise funds in the high-yield bond market seemed strange for a company claiming large cash reserves," Quintessential's report said.The bond documents listed 82m of "actual" cash on balance sheet as of December 31, 2014, but said it would have 140m after raising the US$130m bond. Globo was looking to issue the bonds out of its subsidiary Globo Mobile Inc. (US), although they would have been guaranteed by parent company Globo plc.
frigginrascal
29 Oct 2015
Where is he? Have they caught him?
paccamac
29 Oct 2015
Re: We don't know anything yet "It could be Costis is financially inept not a crook"With respect, it is not a fairish comment at all. Falsifying revenue and profit numbers and misleading auditors is not something you do by mistake. It is deliberate and blatant fraud for the purpose of personal enrichment.Costis sold down a huge volume of stock and put £12M in his own pocket. He did so without disclosing this information to the market and in full receipt of the underlying fraud. This is not only a breach of AIM rules but also blatant insider trading.He should (and likely will) be going to jail along with his CFO.
gallant02
29 Oct 2015
Class Action I have spoken with my lawyers who do believe there are grounds for a Class Action, probably against the auditors and Nomad/ brokers. They have promised to provide me with details of the legal grounds we have in the next few days, it will then be down to us to garner enough people that want to be involved.It would be on a "no win no fee" basis where they share in the spoils if successful so we have nothing more to lose.They are a top 50 firm with a good litigation unit so will advise more when I get the information.
Hardboy
29 Oct 2015
Re: We don't know anything yet Goofy,"It could be Costis is financially inept not a crook"Fairish comment. I don't think there is much doubt given the falsification of accounts that he is guilty, but we do not know the scale as yet. However we do know that as a dirctor of a plc he sold bucket loads of shares when he was aware of price sensative information which had not been published. This is a criminal offence. Therefore he is a crook.
Richygm
29 Oct 2015
Re: The cash has probably all gone If there is any cash, then it all belongs to Barclays, according to the covenants. (See SP.)
Hardboy
29 Oct 2015
Re: The cash has probably all gone You don't expect auditors to verify the validity of each & evdery invoice or receipt, but they should verify bank statements.
JakNife
29 Oct 2015
Re: JakNife I was late to the party with Globo and didn't start selling myself until the beginning of August:[link] free to give me your email address and I'll happily tell you in advance of everyone else what I'm shorting next.warmest regardsJakNife
JakNife
29 Oct 2015
The cash has probably all gone As suggested by Matty Earl: [link]
