Game,

Thanks for providing the links to the Form 4s filed by Cardiogenics Directors and Officers. These provide clarity and IMO may enable us to understand the origin of the $655k reported raised via Series B debentures.

Two corrections to your summation of these links -

1. Essex received a warrant to acquire 37,500 shares due to his May 31st purchase of Series B debenture;
2. Tabatznik received warrants due to his February 27th purchase of Series A debentures; consequently his warrant share price is $0.25 not $0.15.

Now for some IMO deductive reasoning regards Cardiogenics use of debentures -

• On February 27, 2012 three investors were reported to have purchased Series A debentures generating $300k in cash for the Company. The Form 4s filed for Gawad and Tabatznik inform these men were two of the three investors; leaving us with one mystery investor (Saunders?).
• On May 31, 2012 four investors were reported to have purchased Series B debentures generating $655k in cash for the Company. The Form 4s filed inform Gawad, Sterling and Essex (directors/officers of the Company) were three of the four investors and responsible for $155k of the cash raised by this sale; leaving the same or new mystery investor (Saunders?) to pay $500k for Series B debentures.

Two items worthy of note

1. Tabatznik did not participate in the Series B round;
2. Mystery investor(s) has the right to acquire 3.35 million shares of common stock via conversion of debentures and exercise of warrants.

Ante