Hello MaCloud.

Recently, I read about a lawsuit brought against the managers of Ciber Inc. They were charged with having “breached their fiduciary duties of good faith, fair dealing, loyalty, due care, reasonable inquiry, oversight, and supervision.” Further, “the defendants were alleged to have breached their fiduciary duties by...failing to maintain internal controls, and failing to properly oversee and manage the Company.” Sound familiar?

Some of these same familiar-sounding missteps match criticisms recently made on this Message Hub regarding the “Flow-Through Limited Partnerships” Fancamp sold through Marquest. As well, there have been other Fancamp misadventures that fit this same lexicon. Your post yesterday also brings these same words to mind.

The title that you choose for your post, “Questions,” certainly corresponds to the list of “Transactions” that you presented. To me, the questions start adding up regarding the $216,662 item titled, “Reimbursement of acquisition, exploration and office expenses paid or payable to P.H. Smith.”

What goes on here? Fancamp does not have a checking account? “Acquisition, exploration and office expenses” were paid out of the personal checking account of “P.H. Smith”? And, at a later date, our illustrious leader had to repay himself? I don’t get it. Also, Dr. Smith paid out-of-pocket what kind of “acquisition, exploration and office expenses”? The fact that the CEO needs to be reimbursed for routine business expenses does not evidence an operation that’s running smoothly.

Perhaps, my comparing this (and some of the other Fancamp business practices) with the Ciber Inc. lawsuit is way overblown. My general impression is, with Fancamp, it is not so much a question of legal culpability as much as it’s a question of sloppiness and a question of being blissfully unaware and a question of disrespecting its own Shareholders. The intentions can be entirely different; but the results can be, painfully, similar. Good intentions or bad intentions, in this particular comparison with Ciber Inc., as it turns out, it’s actually the Fancamp Shareholders who are hurting worse than their counterparts at Ciber Inc.

After all is said and done, do we, or do we not, deserve accountability? Two years ago the Shareholders on this Message Hub formed an ad hoc organization. We named it “Shareholders for Accountability at Fancamp.” We recommended Seven Reforms. I repeatedly asked Dr. Smith for a response. I never received it. I tried the telephone. I tried email. I tried regular mail. I left messages with third parties. Together with long and short explanatory letters, I mailed business cards and refrigerator magnets with our contact information.

Around that time, I was introduced to Bob Granger by the Vice President of a well known investment institution. From the very beginning, Bob warned me that I was wasting my time. But he held off the Proxy Fight of 2012 for three months, giving me ample time to turn Dr. Smith around. Although Bob approved of everything I was doing, day after day, his patience with me grew thinner and thinner as it became evident I was wasting everybody’s time.

I started my correspondence with Dr. Smith (and all the Directors) in a very friendly manner and in a very respectful tone. As time wore on, however, even my persistent patience finally wore out, as I increasingly became less and less enchanted with Dr. Smith’s refusal to answer me. As follows is one of my later attempts to get some kind of response out of him (to no avail).

http://www.wwww.agoracom.com/ir/Fancamp/forums/discussion/topics/545133-letters-to-our-great-sovereign-and-to-the-unhurried-directors/?message_id=1718255

If you or anyone else wants to pick up where I left off, be my guest. The Shareholder cause is as valid today as it was two years ago (if not more so). I doubt you’ll get anywhere. Ironically, that’s exactly why the Seven Reforms are so urgently needed to be put into practice. Repeatedly, I posted our them on this Message Hub. For reference or for your use, they are as follows.

http://www.wwww.agoracom.com/ir/Fancamp/forums/discussion/topics/539110-dare-to-monkey-around-with-us/?message_id=1702097