Avocet bosses send $20 million to US for safety

by OUR BUSINESS STAFF

It was a breath taking day for shareholders in the 'disruptive technology' Avocet Group of companies with news of a 'high level investigation' into tax evasion, money laundering and Ponzi funding followed by the eleventh hour cancellation of an eagerly awaited general meeting for investors amid rumours of a planned demonstration.

There was also the revelation that Avocet chairman Martin Frost and his chemist colleague Dr Bob Jennings would remain in charge of flagship parent company Avocet Natural Capital until next February. This, despite the fact that Mr Frost has announced on several occasions since 2019 that he was stepping down.

The fast moving developments over the course of the day left a number of shareholders in a state of disbelief. For they were also informed that the first $20 million dollars from the $40 million dollar sale of Avocet's "jet fuel from air" patents has had to be moved to a bank in the USA for security reasons.

Mr Frost himself was the messenger - some might say the harbinger - of all these factors as he circulated two different newsletters in the space of a few hours.

In his first missive he declared: "At 11am on Monday 27th September 2021, I was formally advised that HMG [presumably Her Majesty's Government] was to conduct a high-level investigation into a series of opportune --- thefts.

"Omega Infinite Plc, its sources of funding, and its interactions with the legal professions. A major problem area is Omega’s loss of some £15 to £19 million in support of (named individual) grandeur."

After naming a host of individuals and firms said to be targets for the investigation, Mr Frost wrote: "It is understood that the complaints which have prompted this domino of enquires have come from other members of the --- family (who are fed-up with ----- deceit); the Law Society of Scotland; English based insolvency practitioners; and Scotland’s Crown Office.

He indicated the inquiry would encompass "crooked lawyers, dishonest SNP politicians, and involves false accounting & theft by (named individual), false deeds & affidavits perfected by Edinburgh lawyers, perceived falsehoods, theft & money laundering by (a named company), bad & unlawful practice by  accountancy & insolvency firms."

According to the Avocet boss directors of Omega Infinite, currently in compulsory liquidation with its creditors seeking millions of pounds, "are asked to provide information to HMRC, on tax evasion, money laundering, and Ponzi funding".

Over the course of this week we had been told that a significant number of shareholders who were seeking to access tonight's planned video link meeting which was to have had Mr Frost and Dr Jennings in attendance did not receive responses to their applications.

There had also been allegations that the calling of the meeting by ANC's directors and the proposal to approve an interim dividend were unconstitutional and any decisions taken without a proper vote could be challenged.

But some four hours before the Avocet members were due to log in Mr Frost announced the meeting had been cancelled with a replacement AGM scheduled for February 2022.

In a second newsletter sent out at around 5pm Mr Frost wrote: "I have to say that I was disappointed today to receive abusive messages & threats concerning this evening’s planned General Meeting. Rightly or wrongly, I am advised that some -----  have planned an outrageous video demonstration and have encouraged members of the Press to impersonate ANC Plc shareholders.

"Personally, I am unsure as to how they think that they can take over a video conference. Other folks are legitimately unhappy about a video conference and their inability to speak or Fili-bust. Consequently, they demanded that this evenings General Meeting is cancelled with a physical February 2021 (surely should be 2022?) replacing such. Listening to all, Bob and I have thus decided to adhere to these wishes – we shall continue in office until February and in the meantime make good on creditor payments and the proposed interim dividend.

"Tonight’s video General Meeting is thus cancelled – next February it is obvious that the AGM will need to be policed to ensure that all can safely attend".

This document also included details of the so-called interim dividend from the intellectual property sale although a significant portion of the first allocation to be released - Mr Frost gave the figure of $10 million - seems destined to pay debt and bankroll the many writs he has been threatening to serve on an array of people for more than a year.

According to the second letter: "As many are aware, ANC Plc along with its subsidiary Avocet IP Limited was in protracted discussions to sell some of the original concepts, copyrights, patents, trademarks, and trade secrets that ANC Plc holds in relation to the manufacture of jet fuel from air. 

"Note: most of this IP was not written upon in the Coller IP December 2018 valuations nor was visible in the 2016 & 2017 intellectual property switches from our US companies to our UK companies. The price obtained for this IP is $40 million US dollars which is paid in two tranches of $20 million. 

"One tranche of $20 million which is received and a further $20 million to be held on escrow in the US until January 2022 end – this second tranche as with the first is subject to anonymity undertakings. No more shall be said of the front buyer who is Middle Eastern."

But because ANC Plc had so many 'headbangers' confronting it, security measures had prompted  the firm's money to be placed "in US corporate protection". 

Mr Frost added: " Dr. Bob Jennings and I, the directors of ANC Plc and Avocet IP Limited, have decided to use $10 million from the first $20 million tranche to pay ANC Plc & some Omega creditors and provide a fighting fund to secure justice against the incompetence and perceived dishonesty of insolvency practitioners".

The rest of the cash is to be used for that long awaited interim dividend. For the avoidance of doubt here is Mr Frost's description of the offer in full:

"The remaining $10 million balance will be paid out to some 30 million one-pound shareholders (over 30 US cents per ordinary share). Payment of this $10 million from the US will occur during the next four weeks after two small hurdles – the first being clearance of the US withholding tax, and the second confirmation that the recipient is a legitimate ANC Plc shareholder entitled to receive this dividend. Subject to 2022 February AGM, ANC Plc’s shareholders will be asked to vote on a final dividend from this transaction which after taxes should amount to a further $15 million or 45 US cents per ordinary share, payable in February 2022. At the February AGM, ANC shareholders will be given alternatives as to the possible sale of the remainder of ANC Plc’s intellectual property (conceptually valued at more than £25 million).

A shareholder who contacted us tonight commented: "Frost seems to have forgotten that in the last sale of the "air-to-fuel" IP, he claimed that he, Jennings and Short were entitled to the first $30M. From the May 31st newsletter: 'Dr. Glyn Short & family is due to receive some £8 million from these transactions. Dr. ‘Bob’ Jennings & family is due to receive some £9 million from these transactions. Martin Frost & family is due to receive some £13 million from these transactions ' What happened to that?"