Yemen’s Nuclear Deal: Another Scam?
According to research, the American company which is partnering with Yemen to produce *five nuclear reactors* has no experience building nuclear reactors, very low operating capital, and is headed by a Yemeni-American who attended the same school at the same time as the Minister of Electricity who inked the deal. Its a USD 15 billion dollar deal. More to come.
Yemen’s nuclear partner: Powered Corp
Mr. Alghani is the Founder and Chairman of Adin Investment Company in Yemen . Mr. Alghani served as Vice Chairman and CFO of Adair International Oil & Gas Inc. from 1990 to 2002.
In 2002, Mr. Alghani was voted out of his position as Vice Chairman as a result of a hostile proxy contest led by a group of stockholders and former members of management, who called themselves the Score Group. Subsequent to the election, Mr. Alghani was terminated by Adair from his position as CFO by the newly-elected board.
During the course of the hostile proxy contest, the Score Group made numerous allegations that Mr. Alghani and other members of management had committed fraud, had mismanaged Adair and had misrepresented management’s ability to raise funds for Adair’s business plan. They also made numerous personal attacks against Mr. Alghani, including that he had misstated his academic credentials and that various governmental agencies were investigating Mr. Alghani for criminal activities. Subsequent to the proxy contest, Adair, renamed EnDevCo, filed charges against Mr. Alghani, the other members of management and various parties seeking to recover damages that Mr. Alghani and the other defendants had allegedly caused EnDevCo. Mr. Alghani and the other defendants denied the charges, and Mr. Alghani and certain members of management countersued for defamation, slander and libel.
The only allegation the Score Group made that Mr. Alghani agrees with was that he misstated his academic credentials. He did attend USC for approximately four years and would have needed to complete about eight to ten credits in order to graduate.
Just ten credits short, thats just like graduating.
Hat tip: The Empty Quarter.
Ok more on Alghani:
But it’s unlikely any will top the sob story that Chris A. Dittmar, CFO of Adair International Oil and Gas Inc., told in his deadline-extension request last quarter. According to the company’s explanation in its Form 12b-25, the newly appointed Dittmar arrived at work the day after Adair shareholders ousted the former CEO and CFO to find that the company’s financial records had all but vanished. “Key computers containing the financial records of the corporation had been stolen and all data on any other computer left behind had been deleted,” with backup tapes gone as well, the filing explains. Further, as a result of the theft, the entire staff had been dismissed.
What the filing didn’t say was that a corporate surveillance camera allegedly caught two direct reports of former CEO John Adair and former CFO Jalal Alghani carting off the computers. “These were evidently not the smartest crooks in the world,” says Dittmar. He claims the two took the information to cover up an alleged securities-fraud scheme.
After reconstructing its financials with information from one former accountant, along with documents gathered from its vendors, customers, and banks, Adair submitted its 10-Q within the extended deadline. It intends to press securities-fraud charges against the two former officers, while the shareholder group that overthrew them has submitted reports to the SEC, the Justice Department, and the IRS, among other federal agencies.
The company seems to have a lot of lawyers and the one guy with nuclear expertise seems to have been hired in 2007.
Actually Dominic Moran nailed it last week:
In a statement carried by Middle East Online, the minister said: “The overall cost of the project is estimated at $15 billion,” stressing that the new energy source would be “economically competitive, that is, cheaper than the electricity we produce today.”
Critics of nuclear generation debunk such claims, arguing that the costs of nuclear generation are invariably understated and underwritten by the state.
Bahran acknowledged that the government would not be paying for the reactors, saying “Powered Corporation will oversee efforts to secure the financing of the project.”
Perusal of Powered Corporation’s website gives no indications as to the company’s ability to raise the required US$15 billion, or of significant experience in Modular Helium Reactor (MHR) generation, which the company says it is moving into.
The company’s site also provides no details as to the potential or existing partnerships required to fund and conduct the massive undertaking of establishing reactors in Yemen.
It is clear that given the risks of tardy or non-existent government payments, the company will not be able to generate sufficient revenue for the fabrication of the reactors from the private sector and will likely be relying on the US government to bear the bulk of start-up funding and provide ongoing payment guarantees.
