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Terpenetech & the Eden Research fraud, fraud, fraud: Part 2

By Tom Winnifrith | Saturday 6 May 2017

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.

Yesterday we saw demonstrable and explicit evidence that AIM Cesspit fraud Eden Research (EDEN) had committed a panama pump stock fraud with its 29.9% owned associate Terpenetech, HERE. But it seems that I was too charitable in my assessment of Terpenetech's laughable accounts. A hat tip to reader CS who points out:

1) The accounts are not audited, which means no external scrutiny of intangible assets. Eden would have this would be the case when it set the company up.

2) Interesting that there is exactly no cash and no bank overdraft - rather suggests there is no trading or unusually TerpeneTech doesn't actually have a bank account. Does that not question the carrying value of the assets (all bought from Eden in dodgy deals).

3) None of the other shareholders have paid for their worthless shares, only Eden's are deemed to be paid up and unpaid balance is recorded in debtors.

4) Note 9 implies minimal trading with Eden, what about supposed royalties for license fees for the so-called intangible assets? The related-party debt only changed by the tiny payments made in the year is by £1,823 of a payment made by TerpeneTech on Eden's behalf. So no royalty cheques at all in period from 24 August 2015 to 31 July 2016? I refer back to that point about the carrying value of the worthless assets.

5) The only employees are the two directors. How much time do they commit to generating sales based on the worthless assets that were bought for almost £700,000 from Eden and paid for with the panama pump?

Anyone owning shares in this fraud is bonkers. Sell.

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