Steve Hargreaves aka Stephen Hargreaves
was the CEO of International Innovations Limited (IIL) International Innovations Europe Limited (IIE) until June 20 and has now established a new company in Malta to raise funds for a new venture which, I believe, is going the same way as all his previous ones.
Hargreaves has never established a company that has been successful, starting in 1999 with Richter Technology, Linear Energy, SDTL and recently IIL/IIE. What are the chances his new company, IIL-Malta, will go the same way? I would say 100%!
His only personal investment was $600 for 400m shares in IIL (launched with 600m shares).
His modus operandi is simple:
1. Establish a company and issue lots of shares to yourself - at least a third or more of the shares
2. Get hold of an exciting patent by buying it with newly issued shares and if necessary involve the inventor as co-founder. Get your name on the Patent.
3. Establish yourself as CEO and Chairman making sure that your remuneration is at least €200, 000 plus all expenses with pension pot on top.
4. Issue new shares to whoever needs to get compensated for providing a service to the company; make life intolerable for fellow directors encourage them to leave.
5. Start selling your own shares to unsophisticated investors at fantastic prices to finance your very expensive lifestyle (€200’000 is not enough to make ends meet)
6. Work towards a public listing of the company but never do it. Always find excuses why it couldn’t have been done when intended.
7. Use the “fact” that the company is going to list soon as bait to convince shareholders to buy more shares (average down). Once the company is listed the shares will be more expensive.
8. Delay paying taxes or don’t pay at all. Blame everyone else for failure.
9. Keep pleading for money from shareholders to finance the running of the company, patent renewals etc. etc. because you are unable to run a business with a proper budget and cost control.
10. Do lots of travel (all in style - preferably first class - and take a companion of your choice along). Remember, expenses come first and patent renewal fees last.
11. When the tax office applies too much pressure, skip the country. Relocation paid for by the shareholders.
12. and start steps 1 - 11 all over again preferably in a country where it’s easy to frustrate the authorities of previous countries you have operated from [i.e. Australia then Poland].
Mr Hargreaves always sounds very convincing because deep down he believes everything he says and does. He thinks he is simply the best! Any potential investor is well advised to check Hargreaves’ credentials and should consider the possibility that Mr Hargreaves could be deluded when he tells [his version of] the truth. You will notice he always blames others (events and mostly persons) for everything that didn’t go his way, because his way is the only way - there is nothing else! At the end of the rainbow [after the company is listed on the stock exchange] is a pot of gold waiting for you.
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