Avocet 'wonder' fuel and the world oil price

by EWAN LAMB

The repeated delays in the launch of the 'revolutionary' Avocet methanol fuel as a replacement for petrol and diesel means any attempt to market the product now would prove to be uneconomic following the collapse of world oil prices, according to at least one business expert.

A set of figures included in a 'Strictly Confidential' Information Memorandum (IM) which was sent to wealthy potential investors from October 2016 onwards indicated the substitute fuel being developed by Avocet Infinite plc would be competitive as long as oil prices were at $58 per barrel or above.

The memorandum seen by Not Just Sheep & Rugby added reassuringly: "Whilst oil prices are currently below this level, the five year average is $87.15 and the 10 year average is $84.257 ". 

But the global pandemic coupled with a worldwide recession which could last for several years has driven oil prices down in spectacular fashion. Currently the WTI (West Texas Intermediate) crude oil price, which is regarded as one of the main global benchmarks, is hovering at around $40 dollars per barrel.

Many of the 650 investors in the Avocet group of companies were undoubtedly attracted by the directors' plans to resurrect a form of fuel pioneered by ICI more than 30 years ago but abandoned on grounds of high production costs. Now, the failure to manufacture and marked 'avocet' fuel is said to be causing a great deal of frustration and anxiety among shareholders.

The recent liquidation of Avocet Infinite (now called Omega Infinite) with a replacement shares 'enhancement' in Avocet Natural Capital plc is just one of the recent developments in the Avocet story.

But following the Avocet Infinite prospectus of 2016 the number of investors increased from 118 to 376 just a year later before another significant rise to 605 by November 2018. By that time the list included several names with individual stakes of up to a million £1 shares and more.

There was no indication given back in 2016 that the Avocet fuel would still not be available in the second half of 2020.

Here's what the original IM had to say: "Any competition (to traditional fuels) faces considerable hurdles in terms of taxation, sympathetic regulation, infrastructure and available proven technology. These factors, while daunting, can be overcome, initially in niche markets (such as UK biodiesel), provided there are cogent reasons for adopting a new fuel. Another potential solution to quicker market entry would be to partner with large oil and gas producers.

"Whilst the availability of Avocet additive is expected to contribute to significant market growth for methanol as a transportation fuel, a static analysis in 2015 would mean that there was a potential market of 22 billion litres of methanol transportation fuel, which would provide a £100 million a year licence and royalty opportunity (at 1p per litre of diesel equivalent)."

And would-be investors were also told: "Income starts in Quarter 4 2017 and is forecast at the minimum production of 10,000 tonnes in the first year, increasing to 100,000 in year two, 400,000 in year three and 1,000,000 tonnes in year four onwards."

There was still no sign of any Avocet fuel being distributed by July 2019 when Avocet Infinite chairman Martin Frost issued a letter to the hundreds of shareholders, telling them: "Eureka - The long avocet additive wait is over: land, maritime and aeronautical markets now beckon!

"Some 50,000 plus litres of ‘avocet methanol’ diesel replacement fuel will become available in November 2019. From January 2020, daily some 250,000 plus litres of ‘avocet methanol’ diesel replacement shall be forthcoming.  In 2020, Avocet Natural Capital Plc expects that it will facilitate the sale of some 300 million litres of ‘avocet methanol’ diesel replacement fuel."

However, it appears 'lift off' has been postponed yet again. 

Profit and loss financial projections issued in the 2016 IM promised total revenue from all Avocet activities, including agriculture, of £8.729 million in financial year 2017 soaring to £122.9 million by 2020.

Other seemingly impressive forecasts included Avocet fuels revenue of £96.8 million by 2020 and £176 million in 2021. Avocet Infinite cash balances were predicted to be £2.571 million in 2017, £89.47 million in 2020 and £224.595 million in 2021.

Outlining the investment opportunity, the document claimed: "To date, Avocet Infinite plc has issued 10.91 million £1 shares from friends, family and the angel community which, alongside debt of £3.25 million, has provided capital for R&D investment into the three divisions as well as also being used for the acquisition (subject to conclusive missives) of  433 acres of prime Scottish Borders farm land and buildings (recently valued by Strutt & Parker at £5 million).

"The current opportunity to invest is in a new funding round totalling up to £5 million, taking the total capitalisation of the group up to £15.9 million. It is intended that this will be the last opportunity to purchase shares at £1 each, with a significant future revaluation towards the end of 2016 given the technical and commercial progress of all three divisions."

A business analyst told us: "Based on the break even figure of $58 for a barrel of oil which appeared in the IM there does not seem to be any realistic chance of the long-awaited new fuel being competitive in present day markets. And with the oil price expected to remain way below average for the foreseeable future the outlook for mass conversions to methanol must be fairly bleak".

Brent crude oil prices will average $33.04 per barrel in 2020 and $45.62 per barrel in 2021 according to the most recent forecast from the US Energy Information Administration (EIA).

*Funny things happening on the way to the Forum!

by DOUGLAS SHEPHERD

Anxious shareholders who may be concerned about their investments in the Avocet Natural Capital (ANC) 'disruptive technology' businesses have been warned they have already breached the Data Protection Act after setting up an internet forum to exchange views about the firm's activities.

Not Just Sheep and Rugby understands the forum has attracted scores of users since it was established last October with a strap line 'where has your money gone'.

But its development has not impressed Avocet chairman Martin Frost who told the company's 650 shareholders earlier this month he was taking steps to close the site down.

On July 10th he wrote: "Pending criminal & civil complaints against the administrators, and some users of the ‘Avocet Shareholders Forum’. Note: on Friday 10th July 2020 ‘Wix.com’ the internet owner operators of the ‘Avocet Shareholder Forum’ agreed to shut down this web blog.

 

Then on July 13th another letter to investors warned:"In reference to www.avocetshareholders.om  ANC Plc’s Israeli colleagues & shareholders state that this website is hosted in Israel by Wix.com who provide a website building platform, which Wix.com claim no responsibility for www.avocetshareholders.om activities or for any content they publish.

"That said when approached today in Israel, Wix.com stated that Avocet Natural Capital Plc may seek a court order instructing Wix.com to take the appropriate actions that ANC Plc believes it is necessary for ANC Plc to protect its rights, and that Wix.com of 40 Namal Tel Aviv St. Tel Aviv, Israel will be happy to comply with any such valid order. Arrangements are in hand to bring a case this Thursday 16th July 2020 before the Tel Aviv court seeking full disclosure & discovery."

But the site was still functioning this afternoon. And so far Wix in Tel Aviv have not responded to our enquiries aimed at finding out when the forum would be shut down by order of the Israeli courts.

Not Just Sheep & Rugby does not have access to the forum.But a user told us: "There is a long list of topics many of which contain severe criticism of how the business is being run. And there are complaints about Mr Frost's dictatorial style. Avocet is a one man band, the other directors including Dr Jennings never utter a word".

We were told many of the forum's users post contributions anonymously for fear of retributions from the directors. Our source added: "There is a great deal of concern about the complete lack of any marketing of the 'products' including the much vaunted Avocet fuel additive which so far has remained invisible".

However, the forum members should be on their guard with the Information Commissioners' Office (ICO) apparently investigating complaints of data breaches made by Mr Frost and company secretary Eirlys Lloyd.

In his latest shareholders' letter circulated today, Mr Frost deals exclusively with the activities of the forum.

He states: "I am legally obliged to advise you that the purported Avocet Forum / Avocet Shareholders Association have wilfully made further data protection breaches. So, in addition to the formal complaints made and being made by ANC Plc to the ICO, I am advised that a hundred or, so ANC Plc shareholders are making or have made individual ICO complaints. 

"ANC Plc shareholder complaints centre on the Forum’s information thefts and disclosure failures, and the fact that the forum not only fails to adhere to the law but in addition ignores the spirit of the legislation." 

And Mr Frost's letter bearing the title 'A warning note' continues: "Again factually, because the Avocet Forum is run and governed in such an unlawful way, I need to advise that each user or indeed visitor may incur a personal liability as to the wrongs voiced by others on the Forum.

In perspective, the faceless Avocet Forum as a public forum breaches ANC Plc’s registered trademark and copyrights – this Avocet Forum has no association with ANC Plc and during its eight month existence has demonstrated that it has little or no knowledge on 95% of that which Avocet is about. Also, because it is a public forum it has generated concern by the publication of untruths amongst potential Avocet users."

FOOTNOTE: *With grateful thanks to Hero (Michael Crawford) and the rest of the cast. 

Fall out from that failed Ulster venture

EXCLUSIVE by EWAN LAMB

Insolvent Avocet Infinite PLC, the former parent company of the 'revolutionary' farming and fuel businesses, was facing a damages claim for hundreds of thousands of pounds from a couple whose farm was virtually destroyed by a botched development project.

Not Just Sheep & Rugby has already reported the story of Avocet's failed attempt to set up a demonstrator unit to showcase their 'disruptive technology' at James and Linda Christie's Ballinteer Farm, near Coleraine in Northern Ireland.

A leasing deal was signed by Mr Christie and Avocet chairman Martin Frost in May 2018 which resulted in the demolition of buildings at Ballinteer to make way for a 'cow palace' to house upwards of 250 Piemontese cattle, a £2.5 million anaerobic digester (AD) plant and other renewable energy facilities including a wind turbine.

But in the space of two months the entire venture was abandoned after Mr Frost sought to radically alter the lease conditions. Only the demolition work had been carried out leaving the Christies with a wrecked farm steading, a disastrous legacy of their short-lived business partnership.

A small farm destroyed - how Avocet left Ballinteer on abandoning their Ulster project

James Christie estimates the couple's involvement with Avocet cost them more than £800,000 not including loss of income. Two years later he does not have the financial resources to make good the structural damage inflicted by the demolition squad.

And he realises that because Avocet Infinite, now called Omega Infinite, is in liquidation he has virtually no chance of a successful outcome even if he wins the action he and his wife have raised in Northern Ireland's High Court.

The writ which dates from December 2018 seeks "damages for loss and damages sustained by the plaintiffs by reason of the breach of contract and misrepresentation of the defendant in and about a contract for the lease of premises, and about the employment of the plaintiffs by the defendant".The Christies also asked for payment of interest on their losses.

Court action followed strong claims by James Christie that Mr Frost had attempted to 'move the goalposts' of the ten-year contract to his family's detriment.

Here's what Mr and Mrs Christie were told by their tenant's chairman in a letter emailed to them on July 21st 2018:

"Avocet entered into discussions with James and Linda Christie to lease purchase the Ballinteer farm for a prepayment £100k for ten years with an option to purchase, discussions shapeshifted that Avocet could lease Ballinteer farm for £150k for ten years with no option to purchase. 

"Furthermore: Due to TB proximity, Ballinteer farm until mid-2019 or after is no longer available to breed cattle from. Due to the loss of option to purchase, an increase in farm size is no longer realistically worthwhile thereby denigrating the farm’s prospects of critical mass.

"Due to a failure in securing a proper easement for the delivery of power generated from the wind turbine the viability of the wind turbine and thereafter the AD unit becomes much more marginal.

"A syllogistic conclusion of the above meant that in economic terms Avocet should not proceed with a lease or make a ten-year loan of £150k to the Christies in respect of Ballinteer farm. 

"That said, given representations from the Orr family and others Avocet will proceed on the following variations: Upon the lease and loan signing Avocet will advance within 10 days to the Christie’s the sum of £100k.

"That Avocet will use its best endeavours to establish the viability of the AD unit and wind turbine; and if such is impartially demonstrated viable, the Christies will receive a further advance lease payment of £50k and that Linda Christie will be restored as a paid employee to the Avocet payroll.

"Until the farm is fit to harbour breeding cattle James Christie undertakes at Avocet’s directive that he will largely work offsite from Ballinteer farm.That James and Linda Christie conduct their daily business via Avocet’s nominated representative which in the first case shall be John Commins (the company's agricultural manager).

"That James and Linda Christie make weekly written returns to Avocet as directed by Avocet.

Failure to fulfil and continue to honour the above variations may prompt Avocet to withdraw from the lease, recover loan monies advanced, and terminate the employment of Linda and James Christie."

As previously reported, this set of rigorous and restrictive terms dictated by Avocet was not acceptable to the Christies even though they knew they were facing the equivalent of financial ruin.

In the months before the original agreement was finalised, James Christie was invited to work on Avocet's Berwickshire farms "for wages". Then he was to be paid £40,000 a year to manage Ballateer while his wife would receive £20,000 a year as an employee of the company.

However, according to Mr Christie he never received any of his 'Scottish wages' or the promised salaries. He has joined the creditors of Orrdone Farms (previously Avocet Farms) with a claim for unpaid work on the Berwickshire holdings.

He said: "Between us Linda and I are due about £100,000 from Avocet. Technically I'm still an employee as the company secretary Mrs Eirlys Lloyd has never sent me a P60 or a P45 or for that matter a letter telling me I've been sacked".

Mr Christie was also shocked to discover that in a letter to Avocet's 650 shareholders in March 2018 - two months before the leasing document was signed - Mr Frost announced that Avocet Agriculture Ltd. had assumed ownership of Ballinteer Farm.

Mr Frost's missive, accompanied by an aerial photograph of the farm, declared: "This weekend Avocet Agriculture has acquired Ballinteer Farm in Northern Ireland with all relevant plant and equipment along with additional contracting machinery at which farm Avocet plans to breed 250 plus Piemontese via embryo implant into surrogate mothers. Note: Ballinteer Farm has existing planning permission for wind turbines and an anaerobic digester."

Now Mr and Mrs Christie's hefty claim for damages will be lodged with insolvency specialists Begbies Traynor, currently liquidating Avocet Infinite.

Mr Frost has told Not Just Sheep & Rugby he will provide his 'understanding of Avocet in Northern Ireland' later this week.

Scene of devastation - James and Linda Christie and their two young children face this spectacle each day of their lives

Ballinteer - Avocet's hidden jewel in the crown?

SPECIAL FEATURE by OUR BUSINESS STAFF

Many of the 650 shareholders who between them have invested millions of pounds in the Avocet fuel and farming businesses may never have heard of Ballinteer Farm, a 70-acre holding near Coleraine, Northern Ireland.

And the Avocet stakeholders may also be unaware that planning permissions capable of delivering the company's 'disruptive technology' concepts were in place at Ballinteer, a clear advantage over the group's other agricultural properties all of which lacked the necessary paperwork.

When Ballinteer's owner James Christie and Avocet chairman Martin Frost signed a formal agreement in May 2018 which allowed the Borders firm to lease the farm for ten years with a further ten-year option it seemed the 'revolutionary' production methods promoted in Avocet company literature were about to become a reality.

The demolition crews moved in and began knocking down Mr Christie's farm steading to make way for an anaerobic digester (AD) plant , a cow palace to house hundreds of Piemontese cattle, a hydroponics unit and the installation of various renewable energy structures including a methanol synthesis plant, a wind turbine, solar panels and a battery bank.

But only two months after the lease was signed Mr Frost informed Mr Christie and his wife Linda that he was repudiating the terms set out in the legal document and would be imposing new ones of his own. Their original deal as set down in the agreement was to be torn up

However, these damaging amendments were totally unacceptable to the Christies, and soon the ambitious project which would have secured a demonstration site showcasing Avocet to the wider world was abandoned, leaving Ballinteer's owners with a farm resembling a bomb site.

The ill-fated venture began in late 2017 when James Christie contacted Avocet. He said: "I believed we could assist them in developing their farm and fuel technologies.  Our farm ticked all the boxes and had all the pieces that Avocet needed including full planning permissions for a 250 kw wind turbine and a 500 kw AD plant. Discussions prompted a due diligence visit to our farm by a consultant who was sent by Martin Frost. A full survey of the farm was undertaken and a report produced and submitted to Mr Frost."

Not Just Sheep & Rugby has a copy of the Feasibility Study which quotes the cost of the AD plant as £2.5 million. Its conclusions obviously convinced Avocet's board of directors the project was deliverable.

Next came an invitation from Avocet which Mr Christie felt able to accept.

In an email in January 2018 Mr Frost wrote to another Avocet executive: "Prior to Avocet considering meaningful investment towards James Christie, can we get to know him better? Thus if James is agreeable I would like James to work for pay for Avocet in February in Scotland: in essence he could assist up at Houndwood and at Fingerpost. He could stay in a cottage and Avocet could provide him with transport whilst he is in Scotland."

Mr Christie explained: "I took much of my own machinery across and started work mainly at Houndwood and later Harcarse Hill (two of Avocet's Berwickshire farms). I worked over there from February to the end of May 2018.

"During this time Mr Frost had agreed to lease our farm as a demonstration site.  His plan was to demolish cattle houses and replace them with a cow palace and a hydroponics unit for the pedigree Piemontese cattle, leading on to an AD plant and wind turbine to convert the farm yard manure and feedstock to biogas, then into methanol for Avocet additive production.

"A lease was negotiated via a solicitor: outstanding issues were teased out and agreed and the lease was signed by Mr Frost and myself on 15 May 2018.  There was an outstanding mortgage on the farm, and Mr Frost suggested a forward paid lease to clear the debt which was drawn up in a separate agreement."

Before that, on May 3rd Mr Frost authorised the demolition works at Ballinteer in an email to the Christies: "Please proceed as previously discussed and Avocet shall bear the cost – as to such matters as you and John Commins, (Avocet's agricultural manager) have discussed - obviously including the employment of the two demolition contractors you mentioned to me earlier today."

The lease agreement also contained the following clause: "If the landlord (the Christies) is desirous of selling the property (or part of it) at any time during the term hereby granted the landlord shall grant to the tenant (Avocet Agriculture Ltd) an option for first refusal to purchase the property as well as the farm dwelling".

All seemed well. But with most of the Ballinteen farm buildings reduced to rubble, Mr Frost dropped a bombshell on James and Linda Christie via an email dated July 21st, 2018.

Said Mr Christie: "Martin Frost advised that he was changing the terms agreed in the lease, i.e. he was repudiating the original and presenting new terms.  He advised that as our farm lay in a TB area he could not house cattle here.

"Now TB is found in most areas of the UK and Ireland and indeed upon checking the relevant statistics available online we could see that TB was a bigger problem in the south of Ireland in Tipperary where Avocet Piemontese cattle were on John Commins' farm,and from this area surrogate cattle were being purchased and exported into the farms in Scotland.

"Avocet's chairman also indicated that a loss of option to purchase our farm made proceeding unviable.  Mr Frost was well aware of the option negotiations, it was all in the lease agreement which he signed. If he was not happy why did he sign and why wait two months when demolition had started before telling us? "

In Mr Christie's view  none of the 'excuses' advanced by Mr Frost were legitimate reasons for seeking to alter the terms of the lease. "I believe that Mr Frost was not at all happy that he did not get all

his own way in the lease negotiations, but that’s what negotiations are about: some give and take on both sides."  

The couple were told Avocet would now no longer pay for the lease of the AD plant and wind turbine site; payment would only be made if they could be demonstrated to be financially viable.  

And the 'new' terms meant Linda Christie would no longer be an employee of the firm while James  would have to work away from home on some of the other Avocet farms. 

Mr Christie told us: "So what was happening with our farm? Why it lay in tatters as most demolition had been completed for the cow palace. I believe Mr Frost had calculated that we would be forced into signing these new terms as we had no way out."

 Martin Frost had demanded complete control "and in order to achieve this he decided to move the goal posts when he believed we were at our weakest.  Our farm buildings were destroyed and we were no longer able to house cattle leaving us with severe difficultly as we struggled to earn a living.

"We decided that accepting his new terms and continuing to work for a man who could do such a thing was unconscionable.  We walked away and as a result all 650 Avocet shareholders lost their only chance of a working demonstration farm to showcase their disruptive technology to potential buyers and investors.  Mr Frost deprived the shareholders of that opportunity but failed to inform them of that loss and why it had occurred."

Since parting company with Avocet Mr Christie has been repeatedly demonised and accused of 'possible theft and other criminal activity' in shareholders' letters written and circulated by Mr Frost.

James Christie said: "Yes I am one of the many rogues on Martin Frost's hit list, some of whom you've written about already; miscreants who have apparently stolen, defrauded or the like.

"I often wonder about the advances Avocet could have made by now if they'd completed a working demonstration unit here on my farm. Such a facility would have shortened the odds for a healthy return on investments for Avocet’s long suffering shareholders. Unfortunately Mr Frost decided to throw away that golden opportunity".

"All who worked with him must have been rogues"

EXCLUSIVE by DOUG COLLIE

An experienced Borders agricultural surveyor and valuer who stands accused of indulging in possible fraud, forgery and other criminal activity has delivered a withering attack on his detractor, the chairman of the Avocet green fuel and farming chain.

Neal Thompson, who has been in business with Berwick-based Edwin Thompson for more than 40 years, has been repeatedly pilloried and maligned in letters written by Avocet Natural Capital chairman Martin Frost to the company's 650 shareholders.

Mr Thompson, an Avocet shareholder, is included on a list of people who are regularly the target for Mr Frost's wrath in his written correspondence. As Mr Thompson observed in an interview with Not Just Sheep & Rugby: "It would appear everyone who has worked with Martin Frost must have been rogues".

The attacks on Mr Thompson in recent months via updates by Mr Frost to Avocet investors include the following:

March 30th 2020: "It is a sad fact that Aileen Orr, in conjunction with Police Scotland, Mr Sandy Jeffrey, and Mr Neal Thompson managed to marshal an onslaught against Avocet. In the last 9 months one part or another of Avocet has suffered no less than 112 criminal incidents against it 

April 9th 2020: "Neal Thompson or his business received (wrongly) over £300k in cash & benefits from Orrdone / Avocet – a complex story which I shall relate later."

Also on April 9th 2020: "Neal Thompson appears to have ‘ruined’ the £3 million plus Sunwick farm sale to the Flemings to further his support of Andrew and Duncan Orr (senior). Personally, this should result in a significant damages action – which is probably why Mr. Neal Thomson created ‘fog’ with Mr. W Cleghorn (partner of Emma Porter, administrator of Orrdone Farms Limited)."

June 28th 2020: "Did Edwin Thompson double deal Avocet and fabricate correspondence to the detriment of Avocet and to the benefit of the Sunwick Orr family?"

July 18th 2020: "Mr. Neal Thompson of Edwin Thompson was another I had great respect for – indeed Neal was my preferred choice to run Avocet farming – but from January 2015, Neal constantly refused to take any responsibility. I regret my investigators have unearthed possible duplicity by Neal. Bad mouthing and forged documents shout – such I have passed to others to assess."

Neal Thompson and his company are both creditors of Orrdone Farms Ltd., a member of the Avocet stable which had administrators appointed in January. The combined debt exceeds £33,000.

He told us how he and others did their utmost to bring Avocet's 'concepts' to fruition.

"The vast majority of people who invested did so because of the Avocet clean fuel concept", he said. "They were not interested in the various other ideas which subsequently materialised such as hydroponic forage, methanol synthesis, Piedmontese cattle and so on".

 Mr Frost's stated strategy had been to develop model farms at Sunwick, Harcarse Hill and Houndwood, all in Berwickshire, with a view to demonstrating the various Avocet concepts. 

"My role was to liaise with him and to assist with the facilitation of those model farms using the Edwin Thompson building department, external consultants and certain Avocet employees. To that effect plans were prepared,and in some instances planning applications and building warrant applications were lodged in respect of a wide array of projects on these various farms.

"But Martin Frost ensured that none of them came to fruition. Instead a quite incredible mess was created which completely beggars belief. Most of the people who worked for Avocet, including myself, did their absolute best to implement Mr Frost's plans, but the goalposts were forever changing, the sands always shifting and it became increasingly apparent to me that his objective was different to that to which the rest of us aspired".

No material progress was made with the model farms and Mr Frost repeatedly blamed the Scottish Government, the Scottish Borders Council, Uncle Tom Cobley and all for the lack of progress, said Mr Thompson.

And he added: "For the past few years he has developed an unhealthy obsession with the Orr family, particularly Aileen Orr, which is totally unbecoming of a chairman of any company, particularly one with Avocet's aspirations. Washing his dirty linen in graphic detail in the public domain is a complete embarrassment and no way for a Plc chairman to behave. Since quitting the Borders, and indeed before, he has fallen out with all manner of personnel".

 Many of those people and organisations had been accused of criminal activity - theft, fraud, forgery, pretexting insider dealing, etc. Mr Frost had mentioned the threat of extradition to the United States on the grounds of pretexting. But Mr Thompson said: "Insofar as l am aware, no actual evidence of any wrongdoing has been produced."

"He has made various accusations against both myself personally and my business, Edwin Thompson, including: producing fraudulent and false correspondence to the Forestry Commission to knowingly damage the interests of Avocet; insider dealing with Aileen Orr and Sandy Jeffrey to persuade UK Agricultural Lending Limited to wrongly appoint the "bully girls" (as he calls them) as Orrdone Farms Limited administrators.

"It goes virtually without sayıng that I have had no communications with UK Agricultural Lending Limited whatsoever or indeed Sandy Jeffrey or Aileen Orr on this subject and, indeed, did not know either Emma Porter or Jeannette Brown until after their appointment as administrators".

Mr Thompson revealed that in response to an email from him Mr Frost had promised that a new Board of Directors would be in- place by 31 October, 2019, and indicated that he would step down.

But: "At the AGM when questioned by me again he said that a new Board would be in place by January. Now, in July, nothing has changed other than promises. Those, of course, frequently extend to multl-million (billion) pound projections but it is always jam tomorrow.

"I think most people reading the blizzard of emails that have been coming through recently would believe that our chairman should be focussing his efforts on driving Avocet's core project forward rather than seemingly spending his entire time criticising others, most of whom are shareholders and a good percentage of whom have jumped through hoops to try to help him in the past.

.

In Mr Thompson's opinion the real questions were: What has happened to all the shareholders' money? Is the integrity of the Intellectual Property and the patent secure? What actual progress has he made with the fuel? When will there be a new Board or Directors? 

"Most importantly, what is his actual strategy? One thing is certain, if it is indeed to drive Avocet forward and to produce what he has frequently promised, then he could not have made a bigger mess of it had he tried."

"Marvellous at first - then the money stopped coming through"

EXCLUSIVE by DOUGLAS SHEPHERD

A highly respected Borders livestock auctioneer and land agent with over 40 years' experience and service in the local agricultural community has spoken out to counter a string of damaging accusations from his former employer who owes him six months pay.

The claims of possible criminality by Sandy Jeffrey have been set out in letters written by Martin Frost, chairman of the Avocet agricultural and fuel businesses, to 650 shareholders.

Mr Jeffrey was Avocet's agricultural operations manager until December 2017 when he announced his resignation in front of shareholders at the company's annual meeting. Since then he has been repeatedly maligned by Mr Frost with unsubstantiated allegations which include the possible misappropriation of £400,000.

At the same time Mr Jeffrey, whose son Tristan has also given his 'Avocet story' to Not Just Sheep & Rugby, is a creditor of the insolvent business he served for over two years with a claim for £28,814. He says there is little or no chance of getting the cash he is due.

Mr Jeffrey also told us he had been awarded 100,000 shares in Omega Infinite - another firm now in the hands of liquidators - after he agreed that his company Sandy Jeffrey Ltd. would work for Mr Frost's Avocet Farms Ltd (now Orrdone Farms, in administration) for a minimum of two years.

But after gaining access to the company's shares register he discovered those shares had been transferred to two other companies linked to Avocet directors. He said: "I took legal advice from a barrister in a bid to get the missing shares back even though I know they're probably worthless".

Here's what Mr Frost told Avocet investors in a document circulated on April 9th this year: "There are various other conflicts, a further Omega 100,000 share issue which is unpaid, and the suggestion that Mr Jeffrey abused his Avocet position by running a business of his own within Avocet and thereby securing a pecuniary advantage against Avocet of some £400,000. These and other matters are being pursued by external lawyers on a no win no fee basis.

"There is also the question as to the liability of stock purchased from Sandy Jeffrey Limited having helped introduce Johne’s disease into the Avocet herd. There are also tittle-tattle complaints about Sandy Jeffrey Limited about ‘bad’ dealings detrimental to Avocet – investigations continue." 

And in a separate communication issued the very same day, Mr Frost claimed: "Sandy Jeffrey or his business appear to have received/stole over £700k in cash & benefits from Orrdone / Avocet. Note, this was reviewed by Kit Jarvis of solicitors Fieldfisher who prima facie thought that Sandy Jeffrey had committed fraud when Sandy Jeffrey was running Orrdone Farms Limited.

"Sandy Jeffrey had bought cattle which Orrdone Farms Limited paid for, housed and fattened these cattle which Orrdone Farms Limited paid for – and finally sold these cattle owned by Orrdone channelling all cash receipts into his Jeffrey’s own company."

Mr Jeffrey's version of events is somewhat different.

The former farm manager said: "I believed the entire Avocet concept was brilliant to start with and I agreed to begin working for Martin Frost on 22^nd November 2015. I was to manage their agricultural operation. Initially it was marvellous; the plan was to build up a big herd of Piemontese cattle, and I travelled to Italy and sourced very good cattle from there and from Ireland. 

"Hydroponic units were located at Sunwick and Harcarse Hill farms and everything was progressing nicely. But then the money stopped coming through to pay for things being purchased. I had bought cattle in Italy and we sent a lorry out to pick them up. But the farmers would not release the cattle until they were paid for and when the money wasn’t forthcoming the lorry had to return empty.

"I was not suspicious that something was amiss at this time so I used some of my own money to buy cattle on behalf of the company. It was at that point that Frost accused me of running a business within a business to fraudulently deprive the company of money. But I was able to account for every penny and squared things up with the auditors".

At one time, he said, there were about 500 cattle on the Berwickshire farms with vets present much of the time testing for various diseases. There was also a very stringent vaccination programme in place. "Then Frost stopped paying the vets and started to find fault with everything I was doing so finally I resigned".

In Mr Jeffrey's view the theories and principles behind Avocet's business plans are sound, but Mr Frost never had any intention of fulfilling them.

And Mr Jeffrey told us he has a very personal reason for 'going public' while also attempting to achieve some redress for a group of fellow Avocet investors.

He explained: "I introduced about 25 people who purchased shares in Avocet because I truly believed in the project at the outset. Mr Frost was offering a 5% commission to anyone for selling shares but that was never paid either. I feel I have an obligation to those 25 people who have about 500,000 shares between them to see justice done."

Even during this month of July Mr Jeffrey has had to endure further grave allegations in two of Mr Frost's many shareholders' letters.

On July 6th Mr Frost wrote: "This morning following on from the Harcarse Hill crime report to the Procurator Fiscal; Police Scotland from Edinburgh contacted me about progressing the other theft and fraud complaints including those against Mr.‘Sandy’ Jeffrey and Mr. James Christie."

And there was another salvo on July 18th: " Mr. Sandy Jeffrey in my opinion proved to be a great disappointment – indeed, all Gregor Walker’s tales of Sandy’s misdeeds now appear to be true. Has Sandy stolen land from his neighbour? Does Sandy sell on diseased stock?

"Shortly put: in my opinion Sandy abused Avocet’s trust – namely Sandy purchased cattle which Avocet paid for, Avocet then fed and watered these cattle, and then Sandy sold some 400 head of Avocet’s cattle and kept the money."

But as far as Mr Jeffrey is aware there has been no police investigation involving him.

In previous correspondence with Avocet's shareholders Mr Frost has taken the opportunity to deny allegations he has embezzled £14 million, that he is running a ponzi investment scheme, and that he is perpetrating VAT fraud.

'The condition of those cattle continues to haunt me...'

EXCLUSIVE by EWAN LAMB

                                                     TRISTAN JEFFREY'S STORY

It was billed as a venture which would change the face of agricultural production with herds of cattle housed in Berwickshire cow palaces producing prime beef while also providing waste material for conversion into fuel.

Business projections produced in the early years forecast profits running into many millions of pounds for hundreds of shareholders who had invested their cash in 'disruptive technology' projects flagged up and fronted by a 'serial entrepreneur'.

But according to the manager of the livestock enterprise being run by Avocet Farms PLC life for his charges was less than palatial with staff begging in vain for their bosses to replenish supplies of feed as the condition of the cattle deteriorated.

However, even as the plight of the Avocet herd was becoming a growing issue for local stockmen a very different story was being told by Parliamentary Review, an influential publication chaired at the time by former Government ministers Lord David Blunkett and Lord Eric Pickles.

Here's what the Review had to say in a paid for article supposedly lauding 'best practice': "Using new building design, Avocet has conceptually the world's foremost and most humane animal housing which allows a working environmental symmetry between man and animal".

Try telling that to Tristan Jeffrey, the man tasked with overseeing the Avocet farming business without any kind of budget and no cash to pay suppliers. He was finally declared surplus to requirements by company chairman Martin Frost in April since when he has been accused of 'possible criminal activity' including allegations of attempted blackmail, theft and destroying CCTV footage.

The Harcarse Hill Avocet 'groundbreaking' operation appears to have been abandoned, and this week Mr Frost again suggested there had been a £4 million robbery involving the contents of the farmhouse with former employees apparently implicated. But the charges libelled by the Avocet chief have been dismissed by all of those named as false and without foundation.

The finger has certainly been pointed at Mr Jeffrey - he has told a shareholders' forum the condition of the Piemontese herd continues to haunt him - in several letters issued to investors by Mr Frost over recent weeks.

In a missive dated July 11th Mr Frost claimed: "For example, although Tristan Jeffrey (a Harcarse Hill worker) has not (as yet) been charged with involvement in the Harcarse Hill Orr theft, coincidentally Tristan unusually put the keys in the stolen vehicles to possibly facilitate wrongful removal, and Tristan removed and attempted to destroy the relevant memories of the CCTV cameras."

According to Mr Frost, collectively Mr Jeffrey, Martin Scott, another former worker at the farm, and ex-Avocet staff member Sarah Shotton had attempted to blackmail their onetime boss "over the state of the Harcarse Hill cattle and their abuse and misuse of the Harcarse Hill fodder units."

Now, Mr Jeffrey like Ms Shotton who featured in these columns yesterday, is taking Avocet and Mr Frost to an employment tribunal to recover unpaid wages and expenses totalling at least £15,000.

He told Not Just Sheep & Rugby: "On the day I was made redundant I was with Martin Scott and there was a debate going on about the cattle I was looking after. We were not happy about the way the animals were being treated and there was no feed. We were having to watch the cattle suffer, but no vet would come out as they knew they would not be paid.

"Martin Frost called me and said he’d sold all of the cattle and I was no longer required. It was a bit of a shock for we’d been told previously we’d be getting new contracts with increased salaries. I told Martin (Scott) who was standing next to me, then I told Sarah Shotton we were all out of a job."

Mr Jeffrey explained that he was due about £15,000 in unpaid wages, not counting any compensation or payments in lieu of notice. He says he was not paid for the last five weeks he was in the job and there was also a month’s salary due for the first four weeks he worked for Avocet. He had received no recompense for expenses he had incurred since May 2019.

"We had not had a pay slip since May 2019 and I was getting letters from the pensions company to say our contributions had not been received".

.Asked why he had decided to speak to Not Just Sheep & Rugby Mr Jeffrey said: “There’s nothing to lose and I believe it is important to tell people what has happened to us. I have been unfairly accused of various things by Mr Frost, all of them totally unfounded.

"I have about 150 emails from Mr Frost telling me he is going to buy cattle feed or pay my outstanding wages but at the end of the day there was always an excuse for not buying the feed or not paying what I was due.

"When I first went to work for Avocet I was enthusiastic after hearing what they were planning to do. Investment was being made initially but that soon dried up and nothing ever got finished.I must admit I was taken in”.

Avocet was asked for comment about Mr Jeffrey's tribunal case. Mr Frost provided a copy of his company's lodged defence which we reproduce in full:

"Claimant has been paid, indeed overpaid for the actual time worked. Claimant has not been charged with the theft of the items from Harcarse Hill farm though a report has gone to the PF (procurator fiscal) involving colleagues of the claimant re the theft of some £550,000 of items - that said the claimant civilly is likely to be sued for perceived theft involvement as he left the keys in the vehicles which were stolen and attempted to erase the CCTV. Claimant is to be sued for breach of his NDA Claimant is under investigation, along with his father, for another potential fraud from Avocet involving over £400,000 plus of damages & loss."

Mr Jeffrey said: "We were not involved in any thefts or breaches in data protection. Please also note Janet Orr Frost (Martin Frost's wife and a fellow director of Avocet) was on the farm in the afternoon I was made redundant. She knew the keys were in the vehicles, yet she didn’t remove them.

"I gave all CCTV access to the police. The Avocet directors' allegations that we had some involvement in these 'crimes' was later shown to be unfounded by Police Scotland." 

"Enough's enough", former Avocet employees tell us

EXCLUSIVE by EWAN LAMB

Two former members of staff at the Avocet 'disruptive technology' businesses have taken the courageous decision to speak publicly for the first time after being repeatedly accused of alleged wrongdoing including theft of property and possible breaches of data protection regulations.

Sarah Shotton and Tristan Jeffrey strongly deny all of the allegations levelled against them by Martin Frost, chairman of Avocet Natural Capital PLC, which has 650 investors with stakes in the business said to be worth at least £22 million.

In separate interviews with Not Just Sheep & Rugby, Ms Shotton, a single mother of two children, and Mr Jeffrey, livestock manager on Avocet's Berwickshire farms, revealed they have raised employment tribunal cases against their former employers to try to recover thousands of pounds in unpaid wages, holiday pay and payments in lieu of notice.

Mr Frost says Avocet has lodged defences with the tribunal service based on 'alleged criminality' by both Ms Shotton and Mr Jeffrey.

However, Ms Shotton said a police statement to the tribunal would confirm they were not investigating any 'alleged crime' involving her.

                                           SARAH SHOTTON'S STORY

In a letter to shareholders earlier today, Mr Frost writes about Ms Shotton's 'possible' involvement in a £4 million theft of the contents of Harcarse Hill farm house, the location for Avocet's 'revolutionary' agricultural techniques before the farming business encountered financial difficulties.

According to Mr Frost: "The administrators (of insolvent Orrdone Farms Ltd) with the assistance of Sarah Shotton and Duncan Orr (senior) gained entry into Harcarse Hill Farmhouse and effectively have stolen the contents belonging to me, my family, Loch Lomond Heritage Limited (one of Mr Frost's companies) and Omega Infinite Plc (another business, now in liquidation). 

"They appear to have stolen over £4 million pounds of property. In addition to this theft they allowed, nay appear to have encouraged members of the Orr family to destroy personal possessions, family photographs, and memorials and papers from my parents."

It is yet another accusation Ms Shotton has faced since leaving her office manager's post with Avocet in April after two years in the job. She told us: "I know that the administrators got access [to Harcarse Hill] as they took locksmiths to access and change locks.”

Earlier this month Ms Shotton was the target for another grave allegation, outlined in correspondence to his 650 shareholders by Mr Frost.

He stated: "This afternoon it came to my attention that the ‘Avocet Forum’ – an internet chat room promoted by Aileen Orr (Berwickshire farmer's wife) and nourished by Mr. W. Chisholm (owner of this blog) and Mr. David Liddle put out a spurious circular founded upon an email list rendered by former Avocet employee Ms.Sarah Shotton.

"Anyhow, (i) a complaint of a ‘Theft by a former employee’- which is a criminal offence under section 170 of the Data Protection Act 2018 and (ii) a complaint enveloping Shotton’s associates assistance were reported to the Northumberland Police. Though a criminal conviction is unlikely to carry more than a £10,000 fine per person – damages via civil suit are unlimited."

In a further attack on his ex-employee Mr Frost told company investors: "It does appear that Sarah Shotton may have fabricated her references to secure employment but without the Aileen (Orr) catalyst I doubt if she would have been so reckless with privileged information."

Said Ms Shotton today: "I’m getting blasted, maligned and criticised by Martin Frost in letters to his 650 shareholders of which I am one. I have done nothing wrong and I’m not prepared to put up with his false and groundless accusations."

And she claims: "When I was made redundant by Mr Frost I had not been paid about one and a half months of salary and received neither redundancy pay nor holiday pay. So I have taken the company to a tribunal".

Ms Shotton also told us how she discovered Avocet had apparently not paid her tax and National Insurance contributions for about a year which meant she could not be furloughed during the coronavirus lockdown.

"I was given no notice that I was to lose my job and I have been unable to find alternative work during lockdown", she said. "I am due about £10,000 from Avocet exclusive of any compensation. Had I been furloughed I would have been eligible for up to £2,500 a month from the Government scheme over a four month period. I am advised I am due that (furlough) money as well as pay in lieu of notice and holiday pay.

"I discovered tax and NI payments had not been made by Avocet since May 2019 when I tried to get a copy of a P45 and a P60 as well as a pay slip which I haven’t had either. My tribunal case is due to come up in October by which time I will have gone about nine months without any income".

When Avocet was asked to comment on Ms Shotton's and Mr Jeffrey's tribunal claims, Mr Frost told us: "As you will see both defences involve alleged criminality on the part of the claimant.

"For your information I understand that Ms. Shotton has admitted fault to the data breach (note:Ms Shotton assures us that is not the case)  – and regrettably both individuals now feature in the ‘Orr long fraud investigation’, details of which I am advised have been passed onto you."

Mr Frost attached copies of the Avocet defences.In Ms Shotton's case the response form carries the following statement: "Claimant has been paid, indeed overpaid for the actual time worked. Claimant has not been charged with the theft of items from Harcarse Hill Farm - that said subsequent investigations denote that the claimant appears to have conspired with the thieves to keep secret the stolen goods. Claimant admits to breach of her NDA and a criminal enquiry is proceeding concerning her involvement in data theft."

COMING NEXT: TRISTAN JEFFREY'S STORY

Chairman delivers the ultimate put down!

Guest writer BILL HASBEEN analyses the insults and allegations of Avocet's chief

It has been an interesting few weeks despite having been confined to barracks, cowering in the face of the global pandemic without so much as an immune system to repel the deadly bug.

But at least I've been blessed with a fairly thick skin which has allowed me to withstand the slings and arrows of Avocet chairman Martin Frost - my reward for writing about the activities of his 'disruptive technology' businesses.

I can only assume the 650 shareholders who have large and small stakes in Avocet Natural Capital PLC agreed with Mr Frost when he used letters and updates to those hundreds of investors to accuse me of  being a naysayer, an acolyte, a bag man, and a supporter of the Scottish National Party among other things. And I presume his statements are signed off by the entire board of directors.

I have also been the recipient of correspondence from his company secretary demanding I sign a written agreement to the effect that I will desist from any further potential breaches of the Data Protection Act, and have apparently been named together with a number of other individuals who I've never met in a formal complaint lodged with Northumbria Police by Avocet's chairman. It alleges 'possible criminal activity'.

However, all of these alleged acts of wrongdoing paled into insignificance this weekend when Mr Frost, who throws insults around like confetti, informed his own acolytes that, basically, I'm past it. How hurtful is that?

In what has become an almost daily outpouring of personal opinions and grievances peppered with an occasional reference to Avocet's latest proposals for world domination, Mr Frost writes in his July 18th missive about the 'perceived bag men' in 'Aileen Orr's onslaught against Avocet and myself''.

It does not appear to matter to him that I have never met Aileen Orr who has been the consistent target for much more damaging allegations, including some which could not be published in a family newspaper let alone a humble blogging website most of whose readers tend to be of a relatively delicate disposition.

Here, in full, is Mr Frost's ultimate put down...I suppose I should be grateful I'm first on that list of bag men and bag women: " Mr. Bill Chisholm who runs a web-blog fuelled with deprecating articles – like Aileen, Bill is a strong SNP supporter though once a brilliant reporter the jury (as with me) currently judges him as past his best."

In the face of such a devastating assertion it would be reassuring if the members of 'the jury' could get in touch and confirm they concur with Mr Frost's strident view. After all it will be difficult to accept that one is 'over the hill' despite one's advanced age.

However, having observed the Avocet operation from a distance and without a vested interest it has been noticeable that Mr Frost has harsh words and condemnation for a multitude of people who he appears to believe have either defrauded him or are responsible for Avocet's woes.

Former employees of his companies stand accused of disloyalty and dishonesty while the administrators appointed to the insolvent farming business he re-named Orrdone are invariably branded 'bully girls'. So at least I'm in good company. 

Yet only a few months back Mr Frost was telling his shareholders he was perhaps past it too, his doctor having advised him to stop working, and that he would be stepping down from his position at the Avocet helm to make way for others. For now he remains in charge as at least some shareholders wonder what the future holds.

New faces set to join Avocet 'family'

by DOUG COLLIE

The 650 shareholders who have stakes in Avocet Natural Capital PLC (ANC) have been told the company is to be run by an independent board of directors with current executives, chairman Martin Frost, and Dr Bob Jennings remaining as joint presidents with "a small honorarium".

Mr Frost has outlined a number of developments in yet another update to investors, including the establishment of a web server with an estimated million visitors per day. And the Avocet range of products will be operated by a North American franchise "once there is clearance on US air travel".

The last annual meeting for shareholders in the Avocet businesses which was held in York last October heard there would be a radical change in the way the operation was run by the end of January 2020 with both Mr Frost and Dr Jennings intending to step aside. But so far they remain at the helm.

Now the investors are told in a letter from Mr Frost: "Currently there are 50 million ANC Plc shares in circulation on which recipients will shortly receive an electronic share certificate to trade their shares and receive dividends.

"Dr. Jennings and I remain as joint Presidents of ANC Plc with a small honorarium, otherwise ANC Plc and Avocet IP Limited will be run by an independent board of directors."

The Avocet chairman reveals that subject to certain conditions, Stuart Lucas, of Asset Match, a London-based share trading platform, is prepared to oversee ANC Plc alongside two or three other unpaid non-executive directors together with a chief executive with a background in intellectual property and finance.

"The prime function of ANC Plc is to ensure that Avocet IP Limited has a strong, balanced, and developing portfolio in natural capital related intellectual property", adds Mr Frost.

He explains that Avocet NC Limited, another member of the Avocet 'family' is an independently owned and run private trading company. Its prime responsibility is to commercially spread Avocet technology and philosophy via franchise, golden suppliers, and the promotion of Avocet demonstration units.

This relative newcomer - Avocet NC was only incorporated in February - is registered at an address in Penwortham, near Preston. The sole director of the company is Paul Newsham, a chartered accountant with an accountancy business in Lancashire. Mr Newsham holds all 100 shares in Avocet NC.

At the same time Avocet NC holds all 10,000 shares in The Avocet Clearing House Ltd, another company with Mr Frost and Mr Newsham as its directors.

The new circular to shareholders continues: "Avocet NC Limited as a trading company will have an independent board of directors who may or may not have a direct association with ANC Plc. Current thoughts are that Mr. Paul Newsham will be CEO / Finance Director until a full time CEO is appointed.

"Again, subject to conditions, Mr. Stuart Lucas of Asset Match, may take the ‘umpire’ roll.  As with ANC Plc neither Bob Jennings or I see a long-term involvement in Avocet N C Limited or its subsidiaries."

An explanation is also provided for the so-called Master Franchise and golden supplier Structure – 'linked to the Avocet Clearing by contract but in themselves independent companies'.

"As previously explained, Avocet’s trading activities will largely be perfected via its master franchise and golden supplier philosophy", Mr Frost writes. "I, Bob, and hopefully some of Bob’s old colleagues will be involved in the development of the Avocet master franchise of Avocet North America Plc. 

"Broadly speaking Avocet North America Plc will pay a master franchise fee, one million sterling which will go to Omega Infinite Plc with the balance to ANC Plc. This master franchise will be funded and run by Frost family and their associates and shall commence to operate once there is clearance on US air travel."

The network of entities also includes the Avocet Foundation – "an independent worldwide charitable organisation to become operational early September 2020."

According to Mr Frost: "The Avocet Foundation will have shareholdings and loans in ANC Plc and various other Avocet companies – that said its prime purpose is to use its revenue and influence to assist the developing world in the education and utilisation of natural capital. The foundation in the first instance is in receipt of its capital from the Frost family."

And he adds: "The ‘Avocet Server’ (‘AS’) owned by Loch Lomond Heritage Limited. ‘AS’ has a contract with Avocet NC Limited to provide unique web services. The net profit generated from these web services is to be jointly divided between the Avocet Foundation and Avocet NC Limited – with an estimated million visitors per day, this web server with assistance from Google and Amazon is due to go live at the end of August 2020."

Mr Frost is the sole director of Loch Lomond Heritage Ltd.. All 5,000 of the company shares are held by members of Mr Frost's family.

Avocet Natural Capital has submitted its second list of shareholders to Companies House in little more than a month. In June Mr Frost held 13,853,765 shares in ANC, but now the figure stands at 10,750,173. At the same time Loch Lomond Heritage's allocation has risen from 1,455,000 shares in June to 1,600,500 in July.

A number of other individuals have upped their stake including Eirlys Lloyd, company secretary for a large number of Avocet firms - 522,500 compared to 475,000 last month, and Mr Lucas, of Asset Match - 1,247,400 (1,134,000). Asset Match itself now has 171,600 shares in ANC (156,000 in June) while the ANC Foundation Holdings allocation remains unchanged at 3,458,198.

Forum team warn Avocet chairman they won't be 'bullied'

by DOUGLAS SHEPHERD

The administrators of the Avocet Shareholders' Forum have issued a strongly worded statement dismissing the claims of company chairman Martin Frost that Berwickshire farmer's wife Aileen Orr was behind the establishment of the platform for Avocet investors.

In one of his many letters to the 650 shareholders of Avocet Natural Capital [ANC] PLC, Mr Frost told them: "Aileen Orr’s and her acolytes criminal use of a spying technique known as ‘pretexting’ – simply put when one impersonates another or uses a synonym to denigrate or cause harm to a third party.

"Aileen Orr’s recent information request to many of you to sign up in respect of the ‘Avocet Information Forum’ is perceived to be a US legal ploy to shift legal liability from her onto to you. Shortly put, as US & UK law currently stands, a signed up ‘Avocet Information Forum’ subscriber could / would be extradited along with Aileen to stand trial in the US."

And the Group chairman also claimed: "on Friday 10th July 2020 ‘Wix.com’ the internet owner operators of the ‘Avocet Shareholder Forum’ agreed to shut down this web blog"

The Forum has given Avocet shareholders the chance to air their views about the way the business is being run. The membership has been growing steadily in recent weeks with site visits up by a reported 287% in the last seven days.

In their detailed  response to Mr Frost's allegations the Forum organisers state: "Avocet Chairman Martin Frost has mistakenly assumed Mrs Aileen Orr to be responsible for the formation and administration of The Avocet Independent Forum and as a result has made many misplaced serious accusations.

"The Admin Team wish to make it known that Mr Frost's claims stated in his Shareholder Newsletter of 11th July 2020 relating to Mrs Orr and the Forum are false and complete nonsense.

"It is the right of any shareholder to contribute to this blog for the purpose of discussion and ultimately have a say in the direction their company takes through dialogue and democratic election."

According to the statement Mrs Orr had chosen the platform to share her comments as a shareholder and registered member and "nothing more".

The administrators' statement continues: "Also, in the same shareholder newsletter Mr Frost makes reference to this forum, with serious allegations against a number of Avocet shareholders which are completely unfounded. He attempts to use malicious lies to bully us into submission.

"Please accept this assurance that the forum will continue to present shareholder questions and comments and will not be shutdown. The administrators are aware that Mr Frost has apparently used his shareholder newsletter to threaten, intimidate and prevent a right to open and free speech.

"We shall not be intimidated and continue to report Avocet matters in honest fashion with emphasis on ensuring the truth will out. It appears Mr Frost’s attempt to destroy the forum is testimony to his desire to suppress the truth and conceal his real motive."

Mr Frost's statement is also dismissed as 'utter rubbish' and designed to prevent development of the forum by instilling fear of legal repercussions in prospective members when signing up. "He shall not succeed".

In a further letter to those with shares Mr Frost values ANC PLC at £50 million, largely based on Avocet's intellectual property potential.

The correspondence, entitled A Gift, goes on to say: "Over the next two months I intend to sell off a further 8 million of my shares to either existing ANC Plc or new shareholders for cash: the resultant cash I will donate to ANC Plc to improve ANC Plc’s liquidity and patent portfolio.

"In the Autumn of 2020, some Frost family assets are being sold with the intent to lend the resultant money raised to ANC Plc, this new loan money will be added to existing Frost family loans due from ANC Plc and Avocet IP Limited. Collectively, these loan monies along with all my own remaining shareholding in ANC Plc will then be given to the then newly formed and advised charitable ‘Avocet Foundation’."

Blog boss facing 'criminal activity' investigation

by EWAN LAMB

Retired journalist Bill Chisholm who runs this blogging website Not Just Sheep & Rugby is one of a number of named individuals facing potentially grave allegations of breaching the Data Protection Act from entrepreneur Martin Frost and his company secretary Eirlys Lloyd.

Following an email from Mrs Lloyd demanding a written assurance that he would desist from further data breaches, and after Mr Frost told his 650 shareholders of his complaint to 'Northumberland' Police complete with the incident number 075508Q/20, Chisholm contacted Northumbria Police today and offered his full co-operation in any investigation.

Here is the full text of the email received from Mrs Lloyd, who is company secretary at Avocet Natural Capital PLC and a host of other firms chaired by Mr Frost and registered at an address in Berwick-on-Tweed:

Dear Mr Chisholm,

A number of Avocet Natural Capital Plc shareholders have brought to the directors' attention that a breach of section 170 of the Data Protection Act 2018 has occurred, in that a person or persons have unlawfully obtained or disclosed personal data without the consent of the company. It is understood that you may have been involved in this crime. This has been brought to the attention of the police who are now investigating.

In respect that you may have been so involved we ask that you immediately desist, apologise to the company, and that you  forward and sign an agreement , to the company, stating that you will so desist from such action in breach of the said Data Protection Act 2018 section 170. Said signed agreement should be received by the company at 25, Palace Street, Berwick upon Tweed TD15  1HN by 4pm on Tuesday 14th July 2020.  In the event of said  signed agreement not being received injunctive and interdict proceedings will follow. 

Please note that your desist action may mitigate any civil damages claim though it will not effect criminal prosecution which is independently adjudicated.

Regards,

Eirlys Lloyd EIRLYS LLOYD COMPANY SERVICES LTD Company Secretary 

There was no detailed information in the email issued by Mrs Lloyd as to the nature of the alleged 'crimes'.

Section 170 of the Act which provides the basis for the complaints states: "Unlawful obtaining etc of personal data: (1) It is an offence for a person knowingly or recklessly— (a) to obtain or disclose personal data without the consent of the controller, (b) to procure the disclosure of personal data to another person without the consent of the controller, or (c) after obtaining personal data, to retain it without the consent of the person who was the controller in relation to the personal data when it was obtained."

A legal expert who has been shown Mrs Lloyd's email commented: "Schedule 2 part 5 of the Data Protection Act has specific exemptions from the provisions of the GDPR (General Data Protection Regulations) for the purposes of journalism.  If that was not the case nobody would ever be able to engage in investigative journalism nor publish an article with a person's name in it if that meant they were publishing personal data."

Investigations and further revelations over the course of this weekend suggest several other people have been the recipients of identical emails from Mrs Lloyd.

The claims against Bill Chisholm and the others are repeated in a new circular letter from Mr Frost to the 650 shareholders of Avocet Natural Capital.

In it Mr Frost writes: "Despite my ill health and at short notice, in Scarborough, this lunchtime [Saturday] I met with some Avocet shareholders from Edinburgh and the Border counties who represent over 25% of ANC Plc’s issued share capital and who are very annoyed by the concerted daily Avocet attacks propagated by (named individual).

"These shareholders demand that I immediately share detail and explain Avocet’s response to (named individual)'s perceived large-scale fraud."

The investors are then told: "In respect to crime reference number Crime Reference: 075508Q/20, Northumberland (sic) Police are investigating Mrs. Aileen Orr, Ms. Sarah Shotton, Mr. David Liddle, and Mr. W. Chisholm for criminal activity in respect of possible violations of the Data Protection Act 2018 – such breaches appear to also encompass Mr. Chisholm’s blog and Aileen Orr’s 'Avocet Shareholders Forum'"

Bill  Chisholm would like to make it very clear that he has never met Mrs Aileen Orr, Ms Sarah Shotton, or Mr David Liddle, and as far as he is concerned all allegations made against him by Mr Frost and Mrs Lloyd of 'criminal activity' are completely groundless.

In his missive to shareholders, Mr Frost goes on to mention 'pending criminal and civil complaints' against the administrators, and some users of an Avocet Shareholders Forum, a platform on which investors in Avocet Natural Capital and its insolvent associate company Avocet Infinite PLC (now being liquidated) can apparently express views and opinions about the businesses.

He states: "Note: on Friday 10th July 2020 ‘Wix.com’ the internet owner operators of the ‘Avocet Shareholder Forum’ agreed to shut down this web blog".

And he says: "As you may be aware, in recent months my family has outlaid over £200,000 with investigating lawyers & accountants along with private enquiry agents. I admit to being disappointed with the negative reports received back on some people who I appear to have wrongly trusted." 

FOOTNOTE - In a response to a recent article on this site regarding franchises, Mr Frost stated in another investors' letter: "For the record, sponsored by Lord Louis Mountbatten, 1st Earl Mountbatten of Burma, I attended in 1988, a symposium at the Simon Fraser University in Vancouver – there,as a visiting professor,I gave a number of lectures on franchising and the collection of social information thereto."

It may be worth pointing out Lord Mountbatten was murdered in a terrorist attack nine years prior to 1988 on August 27th  1979.

Avocet global franchises have a familiar ring

by DOUG COLLIE

Shareholders in 'disruptive technology' group Avocet Natural Capital [ANC] heard this week that plans for a so-called master franchise company to manufacture and sell the Avocet brand in the United States were proceeding.

In a letter sent to his 650 investors Group chairman Martin Frost told them that both ANC Plc and its associate Avocet NC Limited had taken and were taking in new investors.

And Mr Frost added: "Good progress is forthcoming from the Avocet Master Franchise company, Avocet North America Plc. The old AFS Ventures Plc US subsidiaries Avocet Inc. and Avocet Solutions Inc. (formulated by US presidential candidate, Joe Biden) are being de-mothballed. Funding for Avocet North America Plc is in place – partly being provided by the Frost family. Note: master franchise payment of £1 million sterling shall then be sent to Omega Infinite Plc."

The establishment of a franchising system appears to be the key which might bring the Avocet venture financial success and secure global domination for the Berwick-based Group..

It was certainly an important component of a 'highly confidential' Information Memorandum, produced by the Group in November 2018 in a bid to attract investment.

The document sets out in detail how the network of franchises would work, each of them forecast to bring in £20 million to the Avocet coffers via deferred payments.

Here is what the IM told its readers: "Avocet Franchises (Franchises) are at various stages of development, with some still at the concept stage. These franchises will enter into a master franchise agreement with Avocet IP to use, commercialise and share intellectual property in different territories.

"The franchises will be purchased from Avocet IP upon a lease purchase agreement. Additional funding into Avocet IP will be generated from royalties... It is anticipated that the cost per franchise will be at least c. £20 million, to be paid on a deferred basis. Among other things, this franchise agreement entitles the franchise holder (subject to conditions) to receive 7% of the distributed income from Avocet IP, implying a minimum arm’s length valuation of c. £285 million for Avocet IP.

"In total, the Company intends to establish seven franchise companies with different economic territories and economic terms with Avocet IP. These franchise companies are: Avocet Fuel Systems Plc – based in the UK; Avocet Bio Solutions Plc – based in the Republic of Ireland; Avocet Africa – based in Geneva; Avocet Americas – based in Panama; Avocet Middle East – based in Dubai;  Avocet Eastern – based in Islamabad and Singapore; and Avocet India – based in Mumbai.

The memorandum of November 2018 predicted Avocet IP would also set up a 100% owned tax efficient subsidiary, Avocet Licenses Limited. 

Then during 2018 and 2019, it was anticipated that Avocet Licenses would sell master franchises to Avocet Fuel Systems, Avocet Bio Solutions, a franchise in Africa, and a franchise for Pakistan and China for £20 million per franchise. To date there is no indication any of these franchise agreements will be finalised in the near future.

The going was equally tough for a system of franchises outlined by Mr Frost to potential investors in a totally different venture back in 2003 and 2004.

At that time the companies concerned were called Dellex Holdings Ltd. and Dellex Ecosse Ltd. based in Penicuik, Midlothian. Both businesses were eventually dissolved in 2015, never having sold a single franchise.

Dellex was to be involved in "concepts concerning explosive suppression and explosive removal" after experts had apparently developed a range of low cost and low maintenance land mine and explosive removal devices, according to Mr Frost's promotional letter. 

In his pitch to investors Mr Frost wrote: "The strength of Dellex Holdings, as will be the case with the Plc, is the fusion of brilliant yet simple ideas into products that not only does the market place need but can afford. The byword of the company is trust. Trust of the product and trust of the vendor. Dellex products and services will be offered from known and respected ex-servicemen who the customer knows he can trust."

And there was this: "Dellex plans a North American franchise that is largely staffed by retired military explosive engineers and ex CIA staff. The US company will purchase the franchise, have its staff trained within Edinburgh University, and pay Dellex a royalty on all products and services sold. 

"Dellex USA will purchase Dellex products from Dellex licensed manufacturers. Dellex Holdings will thus be the fount of excellence, the catalyst, the bridge between the solution and the problem. 

"Currently, Dellex has such embryo franchises for North America; South Africa; Scandinavia; Russia; Egypt; India; Malaya and Japan. Dellex has an inside track of contacts within the explosive world. Via the effective use of contracts Dellex is thus able to become a world wide player of tremendous depth, expertise, and financial strength within a matter of years. Above all the symbiosis of the Dellex concept provides Dellex with a huge positive cash flow from which to generate new products and services."

The planned product range included 'Dervish' land mine removal units; the ‘Micra’, a unit not only offering mine clearance ability but with advanced robotic attributes relating to bomb clearance and reconnaissance; the ‘Swamp’, the classified name for a water bomb suppression device for use in an aircraft; and the Powder Hall,  an anti terrorist or suicide bomber filter.

Council's trips to study Dutch dementia system

by EWAN LAMB

Representatives from Scottish Borders Council made several trips to The Netherlands last year on dementia study visits and tours of a 'dementia village' at a total cost of more than £8,000, according to senior officers' credit card records.

The lists of payments made by the authority's corporate credit card holders for the first nine months of 2019 are available on the council website. Details of attendances at conferences, including travel and accommodation costs can be found detailing the payments authorised by six council executives.

The expenditure records include the following:

TRACEY LOGAN, chief executive: February 2019 - two train tickets Edinburgh-London for multi-agency dementia master-class study tour to Rotterdam £376.94; two Euro Star tickets dementia study tour £576.00.

March 2019 - Great Tapestry of Scotland meeting: room hire and refreshments £231.60; accommodation for one, COSLA meeting £103.50. April 2019 - two train tickets CGI/Apple seminar £463.31; two train tickets dementia study visit £128.00; accommodation for two dementia study visit £969.76; taxi fare, pensions meeting £14; accommodation for two, pensions meeting £491.00.

May 2019 - two officers, digital transition conference £598. June 2019 - train tickets, two representatives dementia study visit £446.00; two Euro Star tickets dementia study visit £654.00; accommodation for two dementia study visit £827.11; accommodation, one officer, electoral duties (reclaimed from Scottish Government) £89.

July 2019 - Travel, dementia study tour £35.85; August 2019 - three train tickets Public Sector Communications Conference £523.50. September 2019 - CIPD Membership £190.00.

DAVID ROBERTSON, chief financial officer: January 2019 - Corporate car: fuel and screen wash £35.00; train tickets for insurance presentation, London £178.00.

February 2019 - Parking, insurance meeting, Edinburgh £7.50; accommodation and underground ticket, insurance presentation £145.00; annual membership SOLACE (Society of Local Authority Chief Executives) £250.00; train tickets for pension meeting, London £999.74; accommodation for pension meeting London £748.00.

March 2019 - promotional material, Fairtrade fortnight £7.30; IT accessories, £29.98; accommodation for pensions conference, Edinburgh £141.00 April 2019 - Taxi fares and underground tickets, pensions meeting, London £121.75; accommodation for pension meeting, London £671.00; airline ticket, adult health and social care IT systems visit £222.49; accommodation for IT systems visit £102.00.

May 2019 - Accommodation, digital customer access IT systems visit £449.50; accommodation, CIPFA Directors of Finance AGM £49.00. June 2019 - Convener hospitality £32.25; IT equpment protective case £80.00; IT equipment screen protector £24.95; CIPFA Directors of Finance AGM, quaichs £49.98.

July 2019 - Accommodation, three officers, JADU workshop £238.50. August 2019 - Booking fee Borders Union Show trade stand £63.50; IT equipment repair £326.44; IT equipment protective case £84.95; Fee, domain renewal (one year) £127.04. September 2019 - Training, one officer, 'Creating a Culture of Trauma Response Practice in Scotland' £80.00.

PHILIP BARR, executive director: January 2019 - Landlord registration fee £132.00; parking, Sunday Mail Scottish Sporting Awards £15; advertising campaign, walking and cycling routes in the Scottish Borders £492.00; COSLA Convention, dinner for two £33.50; accommodation for one, light goods vehicle driving course £147.00.

February 2019 - Accommodation for two, 'Democracy Counts' user group meeting £195.00; Health, safety and environment vouchers X 6 £126.00; book - Safety and Environment Tes for Managers and Professionals 2018 X 2 £15.98. March 2019 - Accommodation for one Scottish Bereavement Benchmarking Group meeting £66.50.

April 2019 - Accommodation for one, food microbiology course £75.00; May 2019 - Accommodation for one, Heads of Planning Service conference £97.50; accommodation for two Democracy Counts software provider training £476.40; accommodation for two officers, Private Housing Repair and Enforcement course £166.00.

June 2019 - Accommodation, one officer Private Housing Repair and Enforcement Course £98.50; conference booking, two officers, GIS update £38.00; airline ticket, Dogs Trust Partnership conference £152.93. July 2019 - Ten safety locks for seatbelts £39.90. September 2019 - Bus permits for in-house fleet routes £275.00; train ticket, attendance at 'Feed' training course £166.90; accommodation for one at 'Feed' training course £155.10.

ROB DICKSON, executive director: April 2019 - Accommodation for one South of Scotland Economic Partnership (SOSEP) event £60.50. May 2019 - Accommodation, one officer, two nights Digital Transformation conference £581.40.

June 2019 - Accommodation for one, two nights, Digital Transformation conference £581.40; accommodation for one,  Strengthening Communities conference (reclaimed from Scottish Government) £109.00; Centre of Excellence in Textiles - vouchers as part of training allowance £1,750.00.

July 2019 - Accommodation, SOSEP event £75; accommodation SOSEP event (reclaimed from Scottish Government) £98.00; Textiles, Centre of Excellence training vouchers £3,158.30.

MARTIN JOYCE, Service Director, Assets & Infrastructure: January 2019 - Road fund licence renewal, 44 fleet vehicles £12,860. February 2019 - Road fund licence renewal, nine fleet vehicles £2,332.50.

March 2019 - Road fund licence renewal, 15 vehicles £3,901.50; four air tickets Edinburgh-Amsterdam, dementia study tour £680.06; driver CPC training £300.

April 2019 - Road fund licence renewal, 27 vehicles £8,987.00; mini-bus hire and parking, dementia study visit £552.94; accommodation and meals, dementia study visit £1,658.48; meeting room hire, dementia study visit £551.04; Cold Comfort seminar, two delegates £504.00.

May 2019 - Road fund licence renewal, 27 vehicles £6,957.50; Refund, Cold Comfort Seminar £504.00; Cold Comfort seminar, two delegates £477.60; two fleet vehicle hydraulic tanks £822.00. June 2019 - Course, electrical safety in street furniture £298.80; road fund licence renewal, 20 vehicles £5,127.00; website renewal (SBC Contracts.com) £38.38; two airline tickets, dementia village visit £739.86; accommodation for two, dementia village visit £493.00.

July 2019 - Active Travel conference £138.00; road fund licence renewal, 15 vehicles £3,933.50; 200 MOT test slots for fleet testing station £410.00; vehicle equipment £441.60.

August 2019 - Road fund licence renewal, 25 vehicles £7,972.50; wall mounted post box, Jim Clark museum £41.78. September 2019 - Book: Scottish Conditions of Appointment of an Architect £31.68; road fund licence renewal, 31 vehicles £9,277.50; 150 MOT test slots for fleet testing station £307.50.

CLAIR HEPBURN, Service Director, HR: February 2019 - Annual subscription, Social Media Management Platform £218.07; annual subscription Flickr £47.88; annual subscription Visual Communication Platform £215.27; annual social media subscription - animation tool £179.40; IT equipment £19.99.

March 2019 - Media workshop, social media, acommodation for one £151.00. April 2019 - Train ticket, Local Authority Research & Intelligence Association (LARIA) conference £110.38.

May 2019 - Accommodation for one, One Scotland Gazetteer (OSG) national meeting £107.75. September 2019 - Domain name renewal (three years) ourscottishborders.com £53.97.