AN
OPEN LETTER TO THE SHAREHOLDERS OF TRANSGLOBAL ASSETS INC
- Recent Legal Activities & Potential Transfer of Control
- A New Vision for the Company
LAS
VEGAS, NEVADA, May
10, 2016
To
My Fellow Shareholders:
By
now, many of you are aware that I filed suit against TransGlobal
Assets, Inc (OTC: TMSH) in July, 2013. This litigation was initiated
as a result of Company Management’s failure to uphold legal and
operational responsibilities, including but not limited to its
contractual obligations.
The lawsuit was a last resort following my repeated attempts to seek
their performance in satisfying the conditions of promissory notes
between the Company and myself, which were first breached in
[December
2010].
This
case was adjudicated in the District Court of Las Vegas, Nevada in
July, 2015. Neither Mr. Strickler nor Mr. Johnson, the two officers
and directors of the Company, chose to appear and testify at their
own trial. At the conclusion of the trial, I was awarded a judgment
against the Company for their breach of contract. It is my opinion
that, in an effort to avoid satisfying the
judgment against
the Company, the sole revenue producing asset of the Company, SLXCO,
was divested without official public notification thus depriving all
TransGlobal Asset Shareholders of their proxy voting rights on this
matter and any foreknowledge of the devaluation of their shares, as
well as removing the Company's financial wherewithal to satisfy the
judgment against it. The Company has since filed an appeal with the
Nevada Supreme Court, attempting to overturn the judgment.
As
with most cases filed with the Nevada Supreme Court, a mandatory
mediation process is instigated to provide the parties an opportunity
to settle the case. The mediation process is governed by the rules
of the Nevada Supreme Court and is presided over by a Settlement
Judge. Such mediation was conducted in February, 2016. After many
hours of negotiation, a settlement was reached, freely agreed to and
signed by all parties. Amongst other stipulations, it was agreed that
the Company would, through its director, Mr. Johnson, appoint me,
Fredrick Conte, as the new and sole director of the Company. The
Settlement Judge reported to the Supreme Court that a settlement had
been reached between the parties. A few days following the
settlement conference, while awaiting the logistics of the transfer
of control of the Company, the Company notified the Settlement Judge
that it had “changed its mind” and had chosen to continue with
its appeal, rather than abide by the settlement which it agreed to
just days before. No reason was given for this action. Through a
motion filed with the Court, I have asked the Supreme Court to
enforce its own mediation rules by ratifying the settlement already
reached with the Company.
This
has been a long, arduous and expensive process. In the end, if, as
expected, the settlement agreement is upheld and ratified, and a
transfer of control takes place, then the new management team of
TransGlobal Assets will be shifting its full attention to aligning
with solid, well established companies that when moved under its
umbrella can and will provide multi-million dollar revenue streams
and thereby bring significant value that is long overdue for the
Shareholders of TransGlobal Assets, Inc. Serious discussions have
been underway for some time with potential quality partners that are
seeking a publicly traded vehicle to enhance their operations. To
provide a glimpse of the future direction of the Company, at this
juncture I can share some of the industries in which prospective
companies operate: Hospitality; Medical/Cannabis; Ancestral Research;
Product Delivery/Distribution, amongst others. Of course, there are
no guarantees that we will be successful in this effort, but we are
very optimistic and we look forward to several new partners joining
our Team in the near future.
I
also wish to make known to my fellow Shareholders that if,
as expected, the
transfer of control of the Company is finalized through the
Ratification of the Settlement Agreement, I will keep Shareholders
informed in accordance with the letter and intent of the laws by
which public companies must abide. Now, more than ever, operational
transparency must be a business practice and not just an empty
platitude used to largely to embellish news releases and marketing
materials. Upon receiving control of the Company, my first order of
business will be to conduct a thorough accounting of all shares. Any
change in the share structure, if necessary will only be due to the
enhancement of the Company through bona fide Acquisitions, Strategic
Partnerships and /or Mergers. and for the benefit of all
Shareholders, not just Company Management as is the case in many
companies today.
It
is my hope, that by sharing with you some of my perspectives of past
circumstances and my hopes for the future of OUR Company, that you
will gain insight and perhaps even optimism into the new direction
that TransGlobal Assets is likely headed. Together we can forge a new
Company for all to be proud of and share in its growth. Please
contact me with any sound opportunities that you feel will enhance
the value of TransGlobal Assets, Inc., for all Shareholders.
For
more information on my professional background and credentials, you
are welcome to review them on LinkedIn:
https://www.linkedin.com/in/frederickconte.
Most
Sincerely Yours,
Frederick
Conte