Avanti (AVN) did the decent thing yesterday and started to tell the truth. This left the stock down from 60p to, now, 20p. AVN seeks shareholders to put up $50m. Why anyone would subscribe a brass farthing I have no idea. It is astonishing that this stock has taken so long to collapse.
Credit should go to Matthew Earl. He it was who identified AVN’s fraudulent accounting which was ignored by the authorities.
I first met Alastair Ralston-Saul in the late seventies since I was writing up the basic books of accounts of Juliana’s and he was a chum of the eldest Vaughan brother – the two younger ones, Oliver and Tom, had started this disco phenomenon. Many years later I bumped into AR-S on the tube and he persuaded me to buy his Gulf Minerals, then quoted on Toronto. However, I smelt a rat and chucked the lot – about $500,000 Canadian – on behalf of myself and my brother-in-law. Everybody else lost their money.
I accept that losses can arise in investment but I draw the line at being lied to by such as AR-S. I sought to get him ejected from Boodle’s. I think I succeeded.
Yesterday – and purely by chance – I learnt that AR-S is setting up the financing of some company styled Blackbear or something like that. So I got hold of a potential shareholder and he is now warned. I note that Lord (Howard) Flight is, or so I understand, an AR-S supporter. This is termed flight capital in the making.
Finally, I yesterday got a promise from William Hill that I would be paid my £50,000. It’s still not through, though.