Case updates, legal news, and company announcements
UPDATE AUGUST 11, 2016
Investors will be receiving notice of the settlement that we hope to have the court certify in the fall. You have been asked if you object to the settlement. We are getting a few objections that essentially are venting that the Cadman’s are not personally being made to suffer. There are claims there is criminal activity here. Civil litigation is not about punishing the other party. This is focused on maximizing restitution for investors. While people are understandably upset here, investors are encouraged to look at what your offering memorandum said was going to be done with the monies raised. This investment disclosed what was being spent and how it was being spent. So this is not a situation that attracts the personal or criminal liability that some investors demand. Once the settlement is certified, all investors will receive an opt out notice. If you do nothing, you are contained in our settlement and you will participate in our settlement. You don’t have to do anything going forward to participate in our settlement. We will take control of the property and investors will decide what happens next, without fear of loss of the property in receivership, foreclosure or sale to third parties. All that investors own are bonds in a company and that company does not own the property. So there is a real concern that currently, there is nothing of value for investors to pursue. Our settlement gives us direct ownership of the property. There is nothing without this settlement.
This settlement is about preservation of the sole remaining asset. When you get your opt out notice, if you don’t like the settlement, you are entitled to file your opt out notice and you can then proceed on your own and sue on your own. That is your right and option. I will encourage everyone now to participate in this settlement as the sworn evidence obtained in this action is that there is nothing left. This settlement is your only means of resolution to get some sort of restitution. We will work with investors to figure out how to maximize it. You will have direct ownership of the lands by owning shares of the company that will own the property. It will be shares equal to your total investment, which will be provided by the defendants. And you will participate in the settlement on that basis.
I understand that people are frustrated and upset that this investment failed. Right now you currently own shares in a company with no assets or monies. We are undertaking a settlement to take over the property into a new company we will control. You will be given direct ownership of the property by grant of shares in the company actually holding title to the property. We will then figure out how to proceed from there. This settlement is your only way to get anything back here. However, people can opt out if they believe they can do better in a separate lawsuit against the defendants. Please understand that is what you risk if you opt out. I look forward to helping investors clean up this mess. We did not create this mess, but we will work to clean it up. We ask for your patience while we do so.