Paragon Diamond Share Discussion Threads

[club sandwich] 25/9/2017 12:38

Latest update from Peter Petyt sent to CA 'preference' members today, and quoted with his permission...

"By way of brief update, we are now in contact with approximately 90 investors who have invested in excess of £1.4 million in Paragon Diamonds. We now need to do some additional work on the numbers in general, linking the investments to periods following the issue of the RNSs signed off by Northland, so that we can validate the claim value further for the purposes of funding.

We have also received and analysed some very valuable research from one of the investors which will certainly strengthen the basis of the claim.

Capital Law are currently working on bringing this all together and I am hopeful that we will be able to obtain funding approval before the end of October, at which point we will be able to issue you with formal paperwork to allow the claim to proceed. You may be aware that we are also working on a very similar claim for shareholders in a company called African Potash and it is likely that the two different cases, although independent of one another, will be run in tandem as they both rely on the same cause of action."

Super - I think that's you he's referring to in his second para. Good work, man ;-)

Sounds very much - as I suspected - that CL are keen to proceed with this; but obviously can't unless a funding application is successful to part-pay their time while they work on it (the balance, plus presumably a bonus, paid on success).

If you've wavering about whether to join the CA, sounds like crunch-time could be approaching in the next month or two. Once the paperwork has gone out to s'holders agreeing for CL to formally represent them, the CA subscription list closes and - as I understand it - no new s'holders can join. If you're not on-board by then you have two hopes: that Manduca will deliver (I know! I know! It's the way I tell 'em...) or that a second CA will happen.

But given that the total losses have increased even since I last communicated with PP at the beginning of last week, it now seems very doubtful whether there's enough quantum left for a second CA. I'm not stating that as fact, of course - decide for yourself.

[club sandwich] 23/9/2017 20:38

you say something, moron?

[lama_rail] 23/9/2017 16:46

Good luck to you Uncle Fester, Supergran and Sandwich Short of a Picnic. You can never have too many people on a fools errand I say. Does CL stand for Clubbies Lawyers?

[club sandwich] 23/9/2017 15:19

in terms of support: well clearly there is because we're 30% above the necessary minimum quantum required.

as regards basis: the next step is to see whether CL will take the case: if they do, then clearly they think there is sufficient cause too and we move on to a funding application. If they don't, then there are other solicitors we can try - but all the conversations I've had with them (CL) so far have been very encouraging.

[festario] 23/9/2017 14:43

LamaRail, irrespective of anything else you say, there IS sufficient support and basis for the Class Action.

[club sandwich] 23/9/2017 13:07

I know that Manduca reads these boards - wonder what he thinks of what his chief acolyte and kool-aid drinker Bryan was saying in private emails to another s'holder?

[lama_rail] 23/9/2017 10:30

Well I don't know much about this Bryan guy apart from emails he sends to friends of mine but it looks to me like he was saying what you wanted to hear. Do you think................and I know you don't really think, as thats an impossible proposition for you CS but perhaps, maybe, possibly this guy was saying what you wanted to hear? All this would have been music to your ears. I have it on good authority that you 'were being played'. Far from ruining this guy's credibility, you are just showing your own stupidity and exactly how he managed to hold you back for so long. Your blood must be boiling regarding Bryan. No wonder you hate him. Its funny really when you "think" about it. Nice one Bryan.

Dont forget you posted all of Barrys correspondence as soon as Barry saw you for what you are, so I doubt if Bryan sent anything in emails that he didnt expect you to put on here. Your so predictable. You even used the words "open season" on Barry. Barry couldnt take it by all accounts. Time you got a new script.

[club sandwich] 23/9/2017 09:57

Been going back over my emails with Bryan. As far as I'm concerned it's open season on him now, and I intend to use his emails to destroy whatever credibility he may have left. It was expensive employing Capital Law to write that letter to him, and I intend to get my money's worth - if he had an ounce of sense he would have apologised and retracted.

On 15th March 2016 I sent this email to Bryan:

"BTW, I forgot to ask you when we spoke: do they still have Lemphane, or was the Lesotho Times article correct and the license lapsed after they failed to pay the $12m (which they [the license] must have, since they don't have it)...?"

the same day Bryan replied:

"It's crazy but it's one question that was never asked in the meeting. It was touched on by PM that his offer for Mothae was dependent on retaining Lemphane, i.e. it was an offer for both, and with that offer came the increased employment and wealth that mining the two sites would bring. So, I think hearing that, we all forgot to ask whether Lemphane was still licensed to PRG but the inference there is that they no longer have the license, otherwise why bother to mention Lemphane in the offer for Mothae?"

Quite unbelievable IMO - Paragon was delisted, according to the Lesotho Times Lemphane had lapsed, and Manduca was, apparently, *still* trying to dictate terms to the Minister, demanding both Lemphane and Mothae before Paragon would do anything with either of them (and quite how that was going to happen, since they had no funding, no listing and no Nomad is a question that didn't seem to occur to anyone at the time).

My reply, the same day:

"Well you can't fault his ambition/delusion: if only he had the wherewithal to deliver it - after all, he's not exactly ina strong bargaining position ATM...

this from the RNS of 5th May 2015:

"Paragon's Executive Chairman, Philip Falzon Sant Manduca said, "This is a
tremendous opportunity, a major coup for Paragon, one which we had to
prioritise the acquisition of, once Lucara announced their intention to dispose
of the asset at the end of last year, and wholly justifies, in my opinion,
minimally re-scheduling our intended production timetable by a matter of a few
weeks for Lemphane from Q2 to Q3 2015 to benefit from joint production savings
and production efficiencies from both assets.

"This hugely important acquisition re-rates and simultaneously de-risks
Paragon's business model, and elevates us overnight into an important and
sizeable diamond company. Our Dubai based partners, ITGT, have agreed to
provide the entire funding, for both Lemphane and Mothae, of approximately
US$28 million, to allow us to accelerate the combined production schedules of
both assets. I do not expect any undue delay in signing the acquisition
contract, as the Lesotho Government has been informed of the intended
acquisition at every step of the process, intensively so in the last two weeks,
and is encouraging a rapid commencement of the production schedule, which suits
all of us."

and this from July 2015

"Paragon Diamonds Ltd
Mothae Acquisition Update

Paragon Diamonds Limited / Index: AIM / Epic: PRG / Sector: Resources

14 July 2015

Paragon Diamonds Limited

(‘Paragon̵7; or the ‘Company’;)

Mothae Acquisition – Update

Paragon Diamonds Limited, the AIM quoted diamond development company, is pleased to announce that, further to the announcement of 5 May 2015, the Company has now entered into a legally binding share purchase agreement with Lucara Diamond Corporation (“Lucara”;) with regards to the acquisition of the Mothae Kimberlite Resource (“Mothae”;) (the “Acquisition”). Mothae is located close to Paragon’s nearby Lemphane Kimberlite Pipe Project in an area of Lesotho known for producing large high value diamonds.

The Acquisition remains subject to approval from the Government of Lesotho and completion of funding, as previously announced.

Paragon’s Managing Director Dr Stephen Grimmer, who is based in Lesotho, has provided extensive details of the Company's ability to fund the long term development of the Mothae mine to the Minister and the Company is now awaiting formal Government approval for the Acquisition. Further announcements regarding the Acquisition will be made at that time."

Quite stunning negligence, not making absolutely sure that the supposed funders actually had the money they said they did (and were prepared to commit it) before releasing RNSs like those. And/or: when he discovered the funding wasn't there (or that they wouldn't commit funds), where was the announcement to that effect? It was clearly price-sensitive, and denied shareholders the ability to make a rational decison about whether to stay invested. I think he'd have major problems explaining that away from the witness stand..."

and Bryan replied (again, the same day):

"Exactly - he's either the world's greatest business man, world's greatest optimist or world's greatest con man. I'm just hoping that it's the former!!!!!

It's like walking in to a Rolls Royce showroom, telling them that you'll have the most expensive car they offer and then telling them you are working on getting the money together but trust me, I'm good for it!"

My reply (same day):

"If he was the world's greatest businessman we wouldn't be where we are - so take your pick between your options 2 and 3...

The more I think about it the more confident I feel about a legal action. I really don't see what his defence woud be - he was under a clear legal obligation to RNS price-sensitive information; the funding (effectively) falling through clearly qualified, and yet there was no notification to shareholders it had happened - the first we knew was a suspension on 16th November 2015. Notifying the market that the funders either didn't have the money or wouldn't commit it would, of course, have caused the share price to collapse - but at least we would have been able to get out, even at a big loss. Far better than being trapped in a delisted stock with no liquidity whatsoever...

He can't argue he was forced into those RNSs by the nomad - the language in that 5th May RNS is Manduca talking, not a dry-bones notifcation. He has made a noose for his own neck (metaphorically, of course)..."

and Bryan's reply (also on the 15th):

"I must confess to taking the Ostrich approach until it's over. The other option, which I fear is more likely, is one that I don't allow myself to think about. When you think how hard it is to get money and how easy it is to lose the lot!

You are right regarding options 2 and 3. Let's hope it's option 2 (optimism can still lead to success) as if it's option 3 there won't be a court case. There's people who specialise in permanent resolution."

That sounds like a clear threat of violence against Manduca, if you want my opinion.

Two days later (17th), after a disussion about legal action against Manduca (which I won't quote for now), Bryan mailed:

"................................................let's hope all comes good and we don't even have to think about this scenario.....................................when I think how much money I'm in for it makes the adrenaline pump! Doesn't do my blood pressure any good. At this rate I may not be around to worry about it!"

That's all just one email exchange - there are probably a couple of dozen others.

More to follow.

[club sandwich] 22/9/2017 05:28

4 posts on the trot that you know I'm not going to read?

rattled, by any chance?

[lama_rail] 21/9/2017 23:32

Hoisted on your own pickle!

[lama_rail] 21/9/2017 18:42

How does anyone stand a prayer? Mixed metaphors abound. You dont have a prayer, or dont stand a chance. Stand a prayer? Now that is funny! Mrs Malaprop has some competition! In future itll be known as doing a sandwich.

[lama_rail] 21/9/2017 17:54

No, I iz not bright at all. I are completely stupid. I told u I iz. I must be if you and CS say I is! Still, good to see that I dont bother either of you. Keep it coming people.

[ilovefrogs] 21/9/2017 15:37

Hey lama-genius - Clearly CS has not un-filtered you, but surmised the nature of your post from reading my post. You're not really very bright are you....?

[lama_rail] 20/9/2017 18:37

I thought I was blocked CS? Another CS lie I guess, which means I was correct and you read every word I ever wrote. Got yer soft lad! This is too easy. I beat you every time one Westbrook short of a picnic!

Im not a PRG shareholder so what do I care? Sticks and stones.........................

When you say 2nd class action do you mean like a 2nd class stamp, like not a 1st class class action? You see Im simple CS and I need your help. Please talk down to me and I might just get it.

[lama_rail] 20/9/2017 17:46

Ive written the script already. Its about a bunch of losers who buy in to a company with no assets, no funds, no prospects, a license for a piece of wasteland in Africa and the fiasco that ensues. Its laugh-a-minute and is called Diamonds Are Never, starring Ian Eaststream as Captain E.Row.

[lama_rail] 20/9/2017 15:11

Thanks to my friend who give me thumbs ups and thumbs down to the losers! You are a friend of good taste, sense and sensibility! Keep it up.

[lama_rail] 20/9/2017 14:17

You guys speak great words of wisdom. Its almost as if you see everyone else as gullible and you guys as so worldly wise. Good job you didnt buy in to Paragon in the first place! Oh, wait a minute, you did! That ivory tower is beginning to collapse.

[club sandwich] 20/9/2017 13:29

"Its just West African criminal networks they have college classes on how to do it"

super - they're called 419 scams, after the section of the Nigerian penal code they breach. and yes, the average loss to a 419 scam is - apparently and unbelievably - £20k: after the first payment the mark is emotionally invested and just keeps ploughing more in, not listening to anyone - even the police! - who tell them it's a scam.

some people are infinitely gullible. religions of all ilks have relied on the fact for thousands of years...

[festario] 20/9/2017 12:54

In the immortal words of the late Gary Coleman, 'What you talkin' about Willis'?

[superg1] 20/9/2017 12:43

So on that point goodbye and goodnight to the LN lot I'm just about to start blocking email accounts so I don't have to listen to any more of just how gullible and what a bunch of liars they are.