Thursday, August 28, 2014

Van Krikorian and Global Gold Corp.(otcqb:GBGD) Seeking to Swindle CONVERSE BANK of Armenia with Illegal Loan Application for their 51% Owned Toukhmanuk Gold Mine

  • Van Krikorian seeking to swindle Converse Bank of Armenia;
  • Van Krikorian and Global Gold Corp (otcqb: GBGD) breaching injunctions ordered by Royal Court of Jersey not to encumber the Toukhmanuk Gold Mine;
  • Van Krikorian and GBGD make an illegal loan application with NO shareholder and NO noteholder approval from GGCRL and CRA;
It is not often that someone confesses to breaking the law ... but that is what Mr. Van Krikorian did when he sent out an email describing PROGRESS in his nefarious plan to illegally encumber the assets of Mego-Gold and the Toukhmanuk Gold Mine.

Mr. Van Krikorian and Global Gold Corp., the 51% owner of the Toukhmanuk Gold Mine in Armenia, are restrained by an injunction issued by the Royal Court of Jersey not to encumber or diminish any of GGCRL's assets which include the Toukhmanuk Gold Mine.

Van Krikorian and GBGD had already illegally encumbered the Toukhmanuk Gold Mine with an $8.8 million debt facility with the shell company Linne Mining.

Yet, Mr. Krikorian and Global Gold have confessed that they are breaching the injunction by applying for a loan at the CONVERSE BANK of Armenia, to support the financing of the Toukhmanuk Gold Mine. This is evidenced by the following email:

Global Gold is very much aware that the injunction exists and has disclosed such in its SEC filings, Form 10-Q, on August 19, 2014. Global Gold confirms: "On March 10, 2014" ... "CRA received an" Order of Justice "and injunction from the Royal Court of Jersey against GGCRL, the Executive Chairman [Mr. Van Krikorian] of GGCRL and the Company [Global Gold Corp.]". Following a hearing on April 2, 2014, Global Gold Corp. and Van Krikorian's application to lift the injunction was rejected. ( see htm )

Global Gold Corp. is an OTC listed penny stock, trading under the symbol of GBGD. The Company is being sued by Consolidated Resources of Armenia (CRA) for collection of a defaulted note of at least US $ 1.6 million, plus interest and damages. CRA is the 49% shareholder of the joint venture company GGCRL, registered at the isle of Jersey, which owns the TOUKHMANUK Gold Mine. Starting in 2010 CRA invested US $5 million to develop the Toukhmanuk Gold Mine and issued an additional note of US $2.2 million to support those activities. Mr. Van Krikorian and GBGD are trying to swindle their JV partner (CRA) out of their investment by claiming that the transaction is "void ab initio" and therefore CRA is forfeiting its entire investment. In support of their fraud against CRA, GBGD created fraudulent financial statements for their 51% owned JV (GGCRL) claiming over $ 3M in debts in an attempt to offset the notes. Neat trick, Van Krikorian and GBGD take US $7.2 million dollars from an investor (CRA) and declare unilaterally that their agreement is void (sound familiar?).

Presently, it appears from the email, that CONVERSE BANK is in the process of being swindled to provide a loan for an asset that Mr. Van Krikorian and GBGD are restrained by the Royal Court of Jersey in encumbering .

I can only hope that CONVERSE BANK does a thorough due diligence, not only in the affairs of GBGD and is subsidiaries in Armenia, but also in the current legal challenges against Mr. Van Krikorian and GBGD in the Royal Court of Jersey. 

CONVERSE BANK should also investigate if there really is any gold worth mining at the Toukhmanuk Gold mine too.

From my analysis of SEC filings and Armenian Government records I have discovered that the GOLD grades at the Toukhmanuk Gold Mine are suspect. I come to this conclusion because GBGD has overstated it mining volume over the last few years by 104% .... see my blog. 

About this Blog:  Between 2009 and 2012 I was an active investor in the mineral exploration sector in the Republic of Armenia.  Our main project in Armenia was the MARJAN polymetallic gold and silver project located in near Sissian.  My JV partner, Mr. Van Z. Krikorian, President of Global Gold Corp (otcqb: GBGD) and Trustee of the Armenian Assembly of America, used corrupt means including using his influence with the US EMBASSY in YEREVAN to secure an indictment against me for theft of the JV and to corrupt the Armenia judicial system to give him a favourable ruling.

Mr. Van Z. Krikorian is the President, CEO and Legal Counsel of Global Gold Corp. (otcqb:GBGD), a penny stock listed on the OTC  markets. His public filings with the US Securities and Exchange Commission  fail to fully disclose the reality on the ground in Armenia in the promotion and development of GBGD's gold project, the TOUKHMANUK GOLD MINE.

This blog is an effort to bring transparency of the activities of Global God Corp. (otcqb: GBGD) and Mr. Van Z. Krikorian in Armenia.


Tuesday, May 28, 2013

Global Gold Corp. (GBGD) Overstates Mining Volumes At Its Toukhmanuk Gold Mine by 104%

I recently received copies of a letter including a summary of production reports filed by MEGO-GOLD LLC, a Global Gold subsidiary for production at the TOUKHMANUK GOLD MINE in Armenia.

The letter was issued by the Chief of Staff of the Minister of Energy and Natural Resources, Mr. Karen Kagramanyan, (MENR) following an access to information request by Mr. Arthur Grigoryan, the President of "ECOLOGICAL RIGHT", an Armenian Environmental NGO.
I have compiled the data and have compared it with the mining volumes published by GBGD in its December 31, 2012 annual 10-K report. The report is signed by Mr. Van Z. Krikorian as CEO and the rest of the Board of Directors and audited by RBSM LLP of New York.

Since 2006, GLOBAL GOLD CORP (otcqb: GBGD) has overstated its mining volume by 104% from its Toukhmanuk Gold Mine located in Armenia.

In the 10-K report, as filed with the United States Securities and Exchange Commission (SEC), for the year ending December 31, 2012, Mr. Krikorian and his board certified the following statement:
The Company has mined mineralized rock of approximately 52,000 tonnes in 2006 with content of approximately 1.27 g / t gold and 6.37 g / t silver, no mining in 2007, approximately 82,000 tonnes in 2008 with content of approximately 1.85 g / t gold and 5.21 g / t silver, no mining in 2009, approximately 21,000 tonnes in 2010 with content of approximately 2.08 g / t gold and 5.68 g / t silver, approximately 21,400 tonnes in 2011 with content of approximately 0.92 g / t gold and 3.32 g / t silver , and no mining in 2012. 
The production records filed by Global Gold in Armenia paint a different story. Below is the translation of the table received from the MENR. This table is drawn from the official reports of production at the TOUKHMANUK GOLD MINE filed by MEGO-GOLD, since 2006.
Converting the GBGD data to conform to the Table provided by the MENR we see a different picture emerging.

Converting the Armenian data to conform to the GBGD data published in its 10-K we get the following table:

In 2006, GBGD claimed it mined 52,000 tones of ore when it actually mined 12,100 tones of ore. In 2008, GBGD claimed it mined 82,000 tones of ore when it actually mined 45,660 tones of ore.

Meanwhile the GOLD content remains the same, at approximately 66 kg, even-though the volumes differ dramatically. This implies the grade of the ore for 2006, as filed with the MENR, graded for Gold was approximately 5.45 g / t but the grade for Gold reported by GBGD in its SEC filings was 1.27 g / t. The ore for 2008, as filed with the MENR, graded approximately 3.34 g / t, but GBGD reported in its SEC filings that it was 1.85 g / t.

In 2010, it claimed GBGD 21,000 Tones of ore mined with GRADE A Gold of 2.08 g / t, equivalent to 43.68 kg of Gold content. The official records show that GBGD Armenian mined ore with 16,800 Tones of Gold content of 18:31 kg of Gold content, equivalent to 1:17 g / t. overstated Global Gold Gold mined in 2010 by 24.1 kg in its SEC filings.

In 2011, it claimed GBGD 21,400 Tones of ore mined with GRADE A Gold of 0.92 g / t , equivalent to 19.69kg of Gold content. The official A rmenian records show that GBGD of ore mined 11.860 Tones with Gold content of 18:31 kg of Gold content, equivalent to 1.54 g / t. overstated Global Gold Gold mined in 2011 by 1.38 kg in its SEC filings.

No investor can now TRUST what the real grade of the TOUKHMANUK Gold Mine is. Global Gold reports one grade with the MENR and a different grade in their audited financial statements filed with the SEC. This is A Huge problem for Gold since Global Investors rely Published On GRADES to evaluate the value of Gold Assets. Investor's in Global Gold Have been misled?

Is Global Gold Corp. (GBGD), Mr. Van Z. Krikorian and Mr. Ashot Poghossyan willfully and knowingly conspired to file FALSE and misleading statements in their 10-K audited Financial Statements or have they Actually FALSE Reports filed with the Ministry of Energy and Natural Resources of the Republic of Armenia (MENR)?

There clearly has to be an investigation by the SEC, PCAOB and the MENR to find out what the real truth is.