FOR IMMEDIATE RELEASE 4/16/2019
SUGGESTIONS ON WHAT TO WATCH FOR ON FAKE JUNIOR MINING COMPANIES
My dear readers, there are a series of junior mining companies from many area such as Canada, Europe, Australia, Africa. Before engage with any of these companies make sure you conduct proper due diligence. Here are a series of steps and what you should look for:
- The company and the history of the officers and directors in the market place (their association with the last three companies they work for) (note: they are very good in hiding information)
- They are expert on what they do, they are very convincing
- Your first clue, they will make all excuses to put money down on signing of an LOI. They will make promises, but will refuse to set milestones of delivery.
- You should make sure your due diligence is a two way due diligence; not just them making due diligence on you; but you should be able to do the same on them and create a termination clause or penalty at all milestone aspects of delivery. Don’t give rooms of misinterpretation of milestones (all milestones, should be set on actual delivery fix date)
- They maintain many companies with different names and different locations. Often time same directors or alternate between directors; this is a method to prevent you from conducting due diligence and interconnect their wrong doings. They goes from one project to another, never last more than 3 years in a project.
- They create Press releases to manipulate shareholders and create new methods by giving bonus shares and large stock options to the purchasers. They have different tricks to manipulate and defraud new shareholders and existing shareholders.
- they kept their share price down as low as possible typically lesser than 0.05 cents and maintain a reasonable floating volumes to fool people of their activities.
- they maintain a group of brokers and work jointly with them to conduct such manipulation; usually group of their friends that work together for assisting in the defrauding process.
- They claims to never sale their shares, while ensuring free traded shares are available under different names to be traded with their brokers.
- Be careful in your agreement, they will try to prevent you from having the rights to create press releases for the truth.
- They will try to rush you in all documents, by trying to meet one and one with you after regular hours and force you to sign document before being reviewed by legal. They usually do so when they are aware you have a deadline; and they will drag all documents until such deadline and forces you to enter into agreements.
COMPANIES MUST BE VIGILANT