- Net loss from operations explodes to $1,987,061 for first quarter, a 925% increase over the same period in 2020
- Monthly burn rate of $662,354 for general and administration
- Insiders paid aggregate of $78,913 per month but do nothing to increase share price
- Only $50,880 spent exploring Fancamp properties for entire quarter
- VOTE only the GREEN proxy FOR all five of the Concerned Shareholders’ Nominee’s Slate no later than FRIDAY, OCTOBER 1, 2021 AT 10:00 A.M. ET
- VOTE for the Concerned Shareholders’ Nominee’s Slate AGAINST the dilutive ScoZinc Transaction which may have been postponed but not cancelled
- VOTE for the Concerned Shareholders’ Nominee’s Slate FOR good corporate governance and a clear strategy for exploration, marketing and value accretion
- Shareholders with questions on voting should contact Gryphon Advisors Inc. at 1-833-461-3651 toll free in North America (1-416-902-5565 by collect call) or email us at [email protected].
Montreal, Quebec–(Newsfile Corp. – September 30, 2021) – Incumbent director of Fancamp, Peter H. Smith, who together with joint actors James Hunter and his affiliates, Mark Fekete and Heather Hannan, (the “Concerned Shareholders”) hold directly and indirectly an aggregate of 22,285,597 shares, representing approximately 12.63% of Fancamp Exploration Ltd.’s (“Fancamp” or the “Company”) outstanding share capital, have the following comments on the first quarter interim financial statements filed on SEDAR on September 29, 2021. All shareholders are advised to read these very damaging statements to see how their money is being misused and wasted.
Net losses from operations for the three-month period ending July 31, 2021 have exploded to a whopping $1,987,061 from $193,817 for the same period ending July 31, 2020. Exceptional increases to expenses year over year are noted for:
July 31 2021
July 31 2020
|Increase $||Increase %|
|Accounting and Audit||63,978||19,450||44,528||229%|
|Directors and Committee Fees||115,500||18,000||97,500||542%|
|Management and Consulting||379,958||36,000||343,958||955%|
|New Project Examinations||254,200||27,233||226,967||833%|
|Office Rent, Supplies and Services||226,025||22,121||203,904||922%|
The most disgraceful expense is the $870,314 for Legal Fees much of which are related to the various, malicious lawsuits filed against Peter H. Smith to intimidate him, disparage his reputation and ruin him financially all in an effort to discourage the Concerned Shareholders from proceeding with the proxy fight. Including the $596,317 spent in the fourth quarter of 2020, the Entrenched Board and Management has blown $1,466,661 on Legal Fees for the six-month period ending July 31, 2021 largely to maintain their positions with Fancamp at the expense of the Company and shareholders.
Notes accompanying the financial statements indicate that Directors and Committees Fees have become a free-for-all with Mark Billings collecting $12,000 per month, Paul Ankcorn $9,500, Rajesh Sharma $7,500, Debra Chapman $7,500 and Ashwath Mehra $2,000. Sharma is also paid $17,500 per month for management fees, Chapman $5,000, Enrico Di Cesare $8,000 and Francois Auclair almost $10,000 per month. The Entrenched Board and Management is collecting an average of $78,913 per month but are doing nothing to create value in the company or increase the share price.
The notes also show that total exploration work done on Fancamp’s properties amounted to only $50,880 for the entire first quarter. A total of $254,200 was spent on New Project Examinations (presumably ScoZinc) meaning that five times more money was spent on outside projects than on Fancamp’s own properties. Office Rent, Supplies and Services is averaging over $75,000 per month!
The Entrenched Board and Management have run amok in an unfettered, self-enriching spending spree with Fancamp’s money. Shareholders sickened by this vast and destructive misuse of Company funds can do something by voting at the 2020 annual general meeting of Fancamp shareholders to take place on Tuesday, October 5, 2021 at 10:00 a.m. ET.
If you have not already done so, please VOTE the GREEN form of proxy. For those of you that have not voted, you can still vote your GREEN proxy. Even if you have already voted using the gold proxy but you are disgusted by sheer magnitude of the looting of Fancamp’s assets, you have every right to change your vote to GREEN. Only the later dated proxy or voting instruction form will be counted at the AGM.
The excessive expenses noted above highlight how much shareholder money the Entrenched Board and Management are willing to squander to maintain their positions with no care about the financial damage to the Company or the downward pressure on the share price. They have manipulated the rules, regulations and policies that are there to protect shareholders to contemptuously deny you the true owners of Fancamp the right to have your voices heard at a timely and fair AGM.
The Concerned Shareholders would like to thank the true owners of the Company for their tremendous support to date. We urge you to stay the course despite the desperate and unethical attempts of the Entrenched Board and Management to enrich themselves at your expense. Their days are numbered.
VOTE YOUR GREEN PROXY – DEADLINE: FRIDAY, OCTOBER 1, 2021 AT 10:00 A.M. ET
If you have any questions or require any assistance in executing your proxy or voting instruction form, please contact Gryphon Advisors Inc. at 1-833-461-3651 or email [email protected] Shareholders are also encouraged to visit https://www.newsfilecorp.com/company/7723/Concerned-Shareholders-of-Fancamp-exploration-Ltd to read the Concerned Shareholders press releases issued to date.
The Concerned Shareholders have retained Gryphon as its strategic shareholder communications and proxy advisor. Gryphon’s responsibility will include providing strategic advice and advising the Concerned Shareholders with respect to the Meeting and proxy protocol. Gryphon’s responsibilities will also include soliciting shareholders should the Concerned Shareholders commence a formal solicitation of proxies. Dr. Smith has also retained Farris LLP as legal counsel.
The registered address of Fancamp is located at 3200 – 650 West Georgia St. Vancouver, BC, V6B 4P7. The mailing and head office address of Fancamp is 7290 Gray Avenue, Burnaby, British Columbia V5J 3Z2. A copy of this press release may be obtained on Fancamp’ SEDAR profile at www.sedar.com.
For more information regarding the Concerned Shareholders’ position please contact:
Gryphon Advisors Inc.
Email: [email protected]
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/98131.
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