Subscribe to this topicForums > Sky Power Fund > Topic: Proposal/Vote 4 POW and the Sky Hedge Fund
| Mar 9th 2008, 18:16 Sully Okelly |
Proposal/Vote 4 POW and the Sky Hedge Fund | |
| Ok all who are interested, Here is what I KNOW, since the December 2007, regarding Skyranger Hammerer, the POW Company and the Sky Hedge Fund. Get out your reading glasses. Sky was CEO of POW, Chairman of Sky Hedge Fund and Compliance Officer at CapEX. POW had assets $ 197,430L, the Skyranger Hammerer Account had 1,162,522.10L at the end of the day 11/18/07 before Sky received the POW company (source=sky’s main account print out from CapEX). As of January 25th, 2008, by Sky’s accounting (http://spreadsheets.google.com/pub?key=piZl2XI-FUtJLW96BBybQAw&gid=0), POW had decreased to $151,654L or $164,454L or $171,654L, depending on which of the sheets you choose to read and the Sky Hedge Fund had increased to $ 2,382,170L. $1,127,211.00L had been deposited into his account between the dates of 11/18/07 & 1/23/08. $1,135,039L had been withdrawn during that period to his avatar. $1,802,479.06L is the screen shot value of his CapEX account, as of 2/6/08. Keep in mind that only dividends and conversion to SLW shares occurred since the freeze on 1/23/08. Sky’s google sheet shows $1,733,824.00L in assets at CapEX on 1/25/08. If you are getting confused, join my world. Today the value of his entire account, at CapEX, using 1.05L for JTICs, .97L for LCAs, .90L for POWs and 1.00L for SLWs, is $1,799,613.16L. This is split 3 ways in the account $124,392.46L for POW Portfolio, $771,161.70l for the Hedge Fund Portfolio and 904,059 SLW shares that represent cash before the conversion (co-mingled for both companies). Since I can’t get any answers from Sky, regarding how much he has in his avatar that belongs to Hedge Fund investors, I can’t possibly reconcile accurately. A few more things I KNOW. The Hedge Fund has 66 investors ranging from $1000L to $531,000L, in the respective accounts. Sky’s personal spreadsheet states that the total of these accounts are $2,642,130.00L minus $52,842.60L in fees and that the investors own $2,589,287.40L of that value. These figures are since the freeze. Dating back to last May and possibly earlier. 13 investors (over 100k each) represent 2.17 of the initial 2.64 million in deposits to the hedge fund, that means less than 20% of the Hedge Fund is owned by the other 53 people. So, what does all this mean? My “opinion” is that Sky has been overcome by the following problems: First, he’s over his head (never gave Morphine enough data to actually help him). Second, he’s been overcome by fear and thus locked up (fear of losses). Third, he’s a lousy communicator, but a great salesman. Fourth, he is no MBA (his own spreadsheets are contradictory). The audits have found, as much as, 160K linden unaccounted for, which I have painstakingly tried to clear him of, but can not justify my hopes. Fifth, his prospectus shows the diversification of funds on 3 exchanges minimum, yet all the assets were on one exchange (is that a lie or an oversight?). Six, he traded 5 different stocks shares (JTIC, LCA (IPO Purchase Only), SLCX, MECH & POW (firm he was running)) in the entire course of his command over POW (11/18/07 til’ 1/23/08) and that DOES NOT constitute a hedge fund or any “special formula” he personally developed (this one is a lie). Seventh, he compromised the financial stability of his clients with his own fear (offering a 25% buy out for people invested in the hedge fund as an emergency, when none really existed); this is simply bad guidance IMO. Eighth, he’s acted as a child would have, when caught with his hand in the cookie jar, by denying any wrong doing and trying to blame CapEX for his woes and the subsequent woes of ALL INVESTORS involved. Ninth, He has completely avoided a confrontation with me to correct matters. I believe, and can demonstrate, that the proposal I sent Sky on the 3rd of March, had not only the investors’ best interests at heart, but his as well. Yet, no real contact, no possible schedule, no attempt to get in touch with me or anyone else in this matter. Tenth, when finally forced to step down from the CEO position of POW, to keep from something Sky didn’t want he has disappeared and stopped cooperating (if POW delisted then 565K(market cap (number of shares times last sale price .90L) less his personally held shares (387500)), would have been paid out of some of the linden that belonged to the Hedge Fund, but was co-mingled with POW assets. Why would these things be missed by so many, for so long? Excellent question, perhaps we all need to ponder it, but the facts are accumulating towards deceit and not towards a lack of competence. I will not pass that judgment, but you should for yourselves. Where to from here? Very tough question! First, since I am the CEO of POW, my responsibility is to protect and indemnify the POW shareholders and all of their assets, so I have an immediate obvious set of conflicts (as well as the one that I am a POW shareholder (25050 shares) myself and throw in that I’m a hedge fund investor (10000 linden) too). All those things being true, I am trying to be completely impartial and fair. CapEX has offered to me to be the TRUSTEE for all of the CapEX assets that Sky has in his account (that means everything except what he withdrew before the freeze and conversion). I need only demonstrate that I have backing from a reasonable number Hedge Fund investors (frankly, I already the backing adequate), but since some will wince at the thought of me having that power/responsibility, I will put that question out to the Hedge Fund Account holders and I will do it with this attachment. If you want to stay with Sky running your private account, he has possession of some 1.1 million linden to work with. If you’d like to have me Trustee your funds at CapEX, then I’ll accept that position. The difference to be paid to the other party (Sky or myself) according to the percentage of the fund each voter has and where they’d like it. I will respect any wishes here, but I have zero control of the funds outside of CapEX. Only Sky can honor that. For the Sky investors I will do the following, if you choose to have me administer your funds, then I’ll convert your funds to POW shares and make you shareholders. I will develop a rate (near .90L) from both the percentage of Hedge Fund linden you have left and after all costs are paid (some of the hedge fund investments include POW shares), so this is not something I have an exact figure on, nor will I calculate it exactly, until I have your decisions. This is also going to be contingent upon the vote of the shareholders of POW, that is being offered to them below, but I feel I know what they will choose already and thus this potential offer. Any unclaimed funds (that end up in my possession) shall be segregated for future claims and be invested in a safe vehicle until such time as they are claimed. The earnings from the investment of these funds will go to the profits of POW for dividends/retained earnings, as I &/or the Board of Directors of POW deem proper. So, to that end, I’ve developed 3 options for POW shareholders to choose from. I preface this vote with these words. CHOOSE WISELY for WHAT COMES AROUND GOES AROUND and GOOD KARMA IN INVESTING IS INVALUABLE. You hold the happiness of many investors in your hands. Lat it also be said that some of you are some of them, so the deck is a little stacked in the hedge funds favor, as it should be. I, as CEO, shall vote on behalf of the Sky shares for the Hedge Fund investors, should I take/accept the roll of TRUSTEE. Option #1 POW shareholders shall delist the company and accept the .90 L per share posed by CapEX from the assets of Sky’s account. He is held responsible for the costs of the Audit and shall indemnify the 160K in discrepancies from his assets. All shares of the company will be dissolved and all other holding will revert to Sky’s ownership that remains after liquidation. This shall be chosen knowing that the net effect on Hedge Fund account holders will be quite negative. This is roughly a 25-30% loss of value for those investors of the Hedge Fund. Option #2 POW shareholders shall retain the assets that Sky has offered as his list and remain trading. He is held responsible for the costs of the Audit and shall indemnify the 160K in discrepancies from his assets. All of Sky’s POW shares (387500) shall be locked, by POW, until the Board of Directors allows for there release or repurchase at market price, at that time. Any dividends those shares earn shall be held in an escrow account on Sky’s behalf until the ultimate determination. The Board will act to protect the shareholders, in these decisions. The trading halt on POW shall end immediately upon acceptance of this choice. This shall be chosen knowing that the net effect on Hedge Fund account holders will be quite negative. This is roughly a 25-30% loss of value for those investors of the Hedge Fund. Option #3 POW shareholders shall accommodate the merger of the Sky Hedge Fund account holders that choose to join POW of their own free will and shall jointly accept the assets and liabilities of both companies as scheduled by POW’s CEO (Sully Okelly) w/ full input from the POW Board of Directors. These shall be calculated fairly and evenly according to percentage of ownership as established by the BOD/CEO of POW. All Hedge Fund account holder linden shall be merged and shares for those funds shall be created as deemed appropriate by the BOD/CEO of POW. All of Sky’s POW shares (387500) shall redeemed first, by POW. The Board will act to protect the interests of both the existing and new POW shareholders equally, in all of its’ decisions. The trading halt on POW shall end immediately upon acceptance of this choice. This shall be chosen knowing that the net effect on POW shareholders will be least favorable financially of the 3 options and that the proposed union of the 2 firms linden will be the only major gain for POW, but that it is the most right and proper avenue for our fellow SL investors. That is the sum total of what I/we can do until questions and subsequent voting is over. I’d hoped not to be at this point ever, but here we are. I pose these choices now, because simply waiting longer does no one any good. Sky, I feel, has forced us all to this point, of his own knowledge and free will. I am sure that some will balk at my position in all of this and I accept that. I am solely motivated to move this along. I will administer the results of the voting and then call for a vote of confidence at that point from whomever remains. Should it be decided that I should be replaced, I’ll accept that without hesitation. Should it be decided that I should be retained, then I’ll accept that gratefully. Good luck to all involved and let your conscience guide your decision. Respectfully, Sully Okelly CEO of POW and the POW Board of Directors |
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| Mar 9th 2008, 19:25 Sully Okelly |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| If you are an investor in either company, please send me an IM in world with your desires or e-mail me at michaeljsullivan@gmail.com . Thank you and know that we will do everything we can to satisfy every person involved. | ||
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| Mar 9th 2008, 21:31 Kaffe McMahon |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| I think that option 3 is the best way out of all of this tangled web of ineptitude, and evident deceit. | ||
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| Mar 10th 2008, 02:35 SkyRanger Hammerer |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| Sully, As a warning, if what you are doing is what it seems (a deplorable attempt to further drag down the Hedge Fund value) I advise you to cease the attempts. Thank you, SkyRanger Hammerer |
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| Mar 10th 2008, 03:33 Delicious Demar |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| Wow, what a mess. I have tried to get up to speed on the developments over the last two months with the Sky Hedge Fund and POW, and I must say it has become a tabgled web indeed. Sully, I can only assume that you are doing what you are doing out of a conviction that you are right and have some moral authority to take charge of Sky Hedge Fund assets. As for POW, I neither know, nor care, except insofar as POW forms part of the SHF portfolio. I am not a direct investor in POW. I am an investor in the Sky Hedge Fund (SHF) The problem is, I don't recognize your authority to make decisions for the hedge fund. I understand that you have been appointed CEO of POW through whatever passes for official channels in this mess - and that is fine - and you and your investors can decide what to do with POW as you wish. My take on this is that you have created an unneceesary sense of urgency in the situation - forcing the issue with SkyRanger Hammerer, and creating arbitrary deadlines for issues that require careful thought. Reading your posts, it appears that only a few days ago, things were still positive and colleagial between the two of you, but have devolved in the last 3 or 4 days because you want to (have to?) get things resolved so quickly. In fact, all of the suggestions that SkyRanger Hammerer has absconded with funds, or has "taken off" with our money, are totally unsubstantiated - he has continued to be seen inworld and post on these forums throughout the period of time he was supposed to have been unreachable. My opinion on the matter is this - the Sky Hedge Fund is not yours - you have no authority to demand anything about it. As CEO of POW, you are entitled to whatever assets were held in SkyRanger's account that are owned by POW. I understand that valuating that is difficult, but a close estimate should be possible if an executive decision needs to be made in short order. The rest should be returned to SkyRanger, since he is the original, and as far as I can tell, current owner and operator of the SHF. In any case, it will be my direction to you as one of the SHF investors, that the portion of my investment in SHF that you currently control (whatever amount it turns out to be) should be returned to SkyRanger Hammerer. SkyRanger has made some mistakes - no doubt. But he has never shied away from them, and the fund value has dropped much less than might have been anticipated in light of the banking ban and the current woes of the financial sector in general in SL. SkyRanger and I are acquaintances only, and have met only under the auspices of the SHF, but I have always found him to be honest and straight in his dealings - and I submit that your sense of urgency to resolve this in a few weeks is just that - yours. I do not share it. I would rather see it resolved more slowly, through mature and professional dialogue, rather than through grandstanding and creating a sense of panic. I do understand that POW is under pressure to resolve issues in order to remain active on the exchange. But I think you need to do a better job of disentangling POW nad SHF in your own mind and deal with them each as separate issues - as much as possible, and resolve the POW issues in isolation of the SHF issues, if at all possible. But hey - that's just me... dd |
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| Mar 10th 2008, 03:54 SkyRanger Hammerer |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund
Edited by author Mar 10th 2008, 04:02 |
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| Delicious, Thank you for the insightful post - My final comment on this thread will be the following: Sky Hedge Fund has been managed by myself since day one, with no wrongdoing or malice, or cowardly act committed. As you can see, I am still here and will be until my investors are fully reimbursed the money invested in the highest market value possible. My plan has not changed, and that is to continue liquidating assets for the Hedge Fund and offering an alternative for investors who are not willingly to wait for the the liquid cash (which according to SLCAPEX may be delayed until May), the Hedge Fund would distribute shares in companies it currently owns. Conversions would be done for investors willing to do so and receive instant payment. There has been great interest and feedback provided for this type of return. This has been my plan and laid out on our website since January, this apparent haste by Sully, which would lead one to question his motives - does not change what has happened and been followed upon. The only question withstanding is when will we have access to the funds again? Unfortunately for the $1.6 million lindens worth, it is up to SLCAPEX as it was chosen presumably as a safe haven for our investment. One that has conspicuously turned out to be the opposite. Please contact me directly or follow the Sky Hedge Fund notices for updates. Thank you, SkyRanger Hammerer Sky Investment Funds Chairman & CEO |
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| Mar 10th 2008, 05:40 Scott Nestler |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| Sky, Why don't you release the results of the CapEx audits that were done that show how wonderful of a job you did managing the assets of POW and the Hedge Fund. Why don't you tell everyone that you cannot account for the over 1mil lindens that you withdrew from JTF/CapEx? Why don't you tell everyone that over a week after Sully was elected and appointed CEO of POW you have yet to turn over assets that are clearly marked POW's? Why don't you tell Fund Holders that anyone that speaks out and ask questions is removed from your groups even though there accounts are active? Why are you afraid of the truth? Why are you continuing to strut around here in the forums and tell people you have this great plan when your own website, http://skyfunds.4um8.com doesn't even show this plan? If you want to manage a fund, then manage it otherwise put someone else in the drivers seat. |
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| Mar 10th 2008, 06:47 Surek Saarinen |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| "Why don't you tell Fund Holders that anyone that speaks out and ask questions is removed from your groups even though there accounts are active?" Y'know, that's funny, considering I've spoken up and I'm still a part of his group. Also from what I can tell, you're the only one that really seems to be after Sky. Now why is that? at least Sully seems reasonable, but you're hounding him at every turn. Just what is your damage, honestly? As an investor of Sky Hedge Fund, I will state here and now that Sky has done his best to retain our invested funds despite you all coming after him. He still has my respect and trust. I only have a measly 13,056 L in the Fund, last I checked, but those are my funds, by right. You want 'em? Then you'll have to deal with not only Sky, but myself. |
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| Mar 10th 2008, 10:03 Raymond Izumi |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| Just a word of respect to Sully Okelly, Your doing a great job so far and this is here to let the shareholders decide what they want. We as the Board of Directors and CEO tried to get contact for almote 1 week with Sky to resove this (problem's). As he didn't reply in any way it seems the best way to Vote and decide after that. We came to this in meetings with Shareholders and SL CapEx. I only can say Lets vote and let Sully Okelly know what u want with POW. We will work on the best for Our Shareholders. Thank you, Raymond Izumi. POW (Board of Director) |
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| Mar 10th 2008, 16:55 Lindsay Druart |
Re: Proposal/Vote 4 POW and the Sky Hedge Fund | |
| I have just been following this attentively but in all objectivity, I think Sully may be overstepping boundaries. POW is the responsibility but I am not clear on whether SHF is an asset of POW. If it is, then yes, he is in the right and Sky should comply. But seeing so much more hash fly here than actual business, I am confused as all get out. | ||
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