£5 million gifted shares a problem for Avocet chairman

by OUR BUSINESS STAFF

Self styled 'controversial' businessman Martin Frost has today issued a "Putting The Record Straight" communication following weekend claims that shares in his Avocet Group of Companies are worthless, and a forensic audit of the books is urgently needed to probe possible misuse of funds.

The strong views of concerned shareholders in the 'disruptive technology' firms Avocet Natural Capital (ANC) and Omega Infinite (in compulsory liquidation) were set out in a damning two-page article in yesterday's Sunday Mail.

At the same time major shareholder Alistair Munro took to the Avocet Shareholders Independent Forum to outline what he believed should happen next.

Later this month a judge will rule on a petition by an agricultural mortgage company which seeks to have Mr Frost and his wife declared bankrupt. The lenders are pursuing an alleged debt of £4 million. 

This is one of the topics covered by Mr Frost in today's letter to Avocet's numerous shareholders.

Investors with an estimated stake of £30 million in the Avocet fuel and 'healthy beef' concepts are told: "As a precaution against problems that my possible bankruptcy could bring to Avocet / Omega shareholders is the problem that I have gifted over 3.5 million pounds worth of ANC Plc shares along with a further 1.5 million pounds worth of Avocet Infinite Plc shares. 

"To turn this gift into a purchase and defray a possible demand of a pound a share from my potential executors it is suggested you can pay me direct a penny per share in respect of each share you received from me". Mr Frost then provides his bank details, adding "Such payments / agreements negate any danger from my estate."

As a response to the Sunday Mail feature and as a rebuttal to continuing criticism from long suffering investors, Mr Frost includes the text of an email he claims to have received yesterday from a shareholder together with many other messages of support.

The unnamed writer of the email says: "Firstly, can I just say how impressed I have been with the dignified way that you have dealt with the nefarious dealings of those who would do you harm and it’s a tragedy that your time and efforts have been distracted by their nonsense. Lesser men would have weakened but clearly your stature, demeanor [sic]  intelligence and thirst for the truth has them on the back foot and no doubt you will breathe clearly again when they are properly dealt with."

In a reference to Mr Munro, an Edinburgh and Dubai based business executive, Mr Frost writes: "Mr. Alistair Munro was with Bob Jennings & I, in Ireland in February 2019, when it is true that I wished to see Alistair as group Avocet managing director. For a variety of reasons, not least the machinations of Mr. Chris Smylie and Mr. Stuart Lucas such appointment did not happen."

Almost every shareholder letter from Mr Frost contains details of threatened legal action, and the latest communique is no exception.

The readers are told: "Because the strength of Avocet is in its intellectual property, Avocet Natural Capital Plc (ANC Plc.) has just sold its jet fuel from air intellectual property for $40 million, leaving a residual patent strength value of some £25 million sterling in ANC Plc. 

"ANC Plc is proposing to sue insolvency practitioners Begbies Traynor (liquidators of Omega Infinite, and administrators of Avocet Faculties Ltd), and Aver (administrators of Orrdone Farms Ltd) for over £100 million for the intellectual property losses that they have caused to ANC Plc. ANC Plc are proposing to engage Mr. Kit Jarvis of (law firm) Fieldfisher to pursue this recovery."

Genfro Ltd., another associated business dubbed 'son of Avocet' is due to have its first annual meeting in late October, an event for which Mr Frost says "full precautions will be taken so that the conference cannot be hijacked. Note: the hijacking prospect was one of the reasons that ANC Plc’s General Open Meeting was cancelled at the last moment."

Today's newsletter declares: "Many Avocet shareholders are benefitting from their new 2021 investments into Genfro Limited. Genfro has developed new intellectual property in conjunction with a conceptually new share trading platform. Many believe that the share value of Genfros will well exceed their past expectations with Avocet Infinite Plc. On Friday 8th October 2021, opening Genfro share prices shall become public."

In a strong riposte to the negativity currently affecting the Group Mr Frost says: "ANC Plc is a very liquid company. How many companies do you know that have $20 million in the bank / $20 million as good debtors / £25 million in good liquid assets / with a potential recovery of a further £100 million in claims?

"ANC Plc / Avocet / Genfros are recognized success stories – do not let these naysayers baffle you with their nonsense."

One of those investors who may be regarded by Mr Frost as a naysayer commented: "Basically, it's the same old waffle. He doesn't address any of the concerns raised by the contributors to the Sunday Mail article or answer the very salient points made by Mr Munro regarding the responsibility of directors".