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Questions On SHRG Lawsuits

|About: Sharing Services Global Corporation (SHRG)
Summary

Why Won't President & Board Member Keith Halls Answer Questions?

Does Kip Allison's Civil Fraud Convictions & TX bar Sanctions Disqualify Him As The CEO & Board Member?

Who Are The Former Insiders That Created Potential Liabilities?

What Happened To Robert Oblon?

On October 23rd, 2019, I sent an email to Keith Halls the Chairman Of The Board of SHRG sharing with him I had sent a detailed email asking the following questions: (See Full Email Questions_on_SHRG_Lawsuits.pdf)

1. Who recommended you to Robert Oblon as potential employees/officers/Board Members?

2. Did you know Robert Oblon prior to being hired?

3. If yes to #2, what was your relationship with Robert Oblon?

4. Keith, did you and Kip know each other prior to joining SHRG as officers/consultants?

5. Who made the decision to recognize Jordan Brock as an owner, or legal representative of Alchemist, when SEC filing clearly shows SHRG recognized Oblon as the legal owner?

6. What led to SHRG Board members and officers to recognize Brock as an owner or legal representative of Alchemist?

7. From reading the 10-Q and 10-K, it is clear an agreement has been entered into with Brock for potential legal liability to SHRG. It seems Oblon was not part of this agreement/settlement, can you share why Oblon was not included?

8. In court documents, it appears Mr. Allison has been appointed as trustee over shares in dispute, which were awarded to Alchemist (Oblon). It is my understanding that Mr. Allison has acted as both as a personal attorney for Oblon as well as he was the COO at the time this transpired. This appears to be a possible conflict of interest. Do you see this as a potential conflict of interest? Why or why not?

9. From a shareholder’s perspective, could the COO of the company taking control of the majority shareholder’s position be interpreted as a breach in fiduciary responsibility? Why wasn’t a 3rd party trustee appointed?

10. In the pending lawsuit, subpoenas have been issues, from what I can see, to active distributors, active employees, former distributors, and former 3rd party consultants. Why does the company find the need to subpoena active and former distributors in its actions against Oblon?

11. Has in the past, or do currently any SHRG Board Members, executives, employees, or 3rd party consultants held positions in the genealogy tree of any subsidiary?

I then text Mr. Halls to let him know I had these questions: See Text Thread Here. 

October 24th - Troy Dooly Text:

“Keith,

Troy Dooly.

I sent you an email to your personal email since I didn’t have any corporate email.

Please review and respond.

I’ll be in meetings most of the day.”

October 24th, 2019 - Keith Halls response:

“Hi Troy

I got your email

Kip and I would be happy to talk and visit with you

We will be happy to answer your questions

Here’s what I would ask of you:

Since our Convention starts today, can we wait until next week?

Also, we would love to have you fly out so we can meet face to face

Thanks

Keith”

October 24th, 2019 - Troy Dooly Response:

“Ah... I would NOT want to interrupt the flow of convention for sure!!!

Let’s get through the weekend and come back around first of the week.

Can’t have y’all pay for anything expenses or otherwise. That could give the wrong impression.

Talking live and me possibly coming back to Dallas May work.”

October 24th, 2019 - Keith Halls Response:

“ We will do whatever is best

I do think that we may be able to have a better conversation with a face to face

Thanks Troy”

End Of Text Thread

On October 28th, 2019 I revied an email with an official response from Mr. Keith Halls, via Julia Barrera, an executive assistant at Eleprenuers a subsidiary of SHRG: Letter_to_Mr._Troy_Dooly.pdf

"

October 28, 2019

Dear Troy --

Thank you for your recent request to interview management officials of Sharing Service Global Corporation (the “Company”) in connection with your potential interest in the purchase of the Company’s stock.

As you know, the stock of the Company is offered for sale on the OTCQB trading platform and is subject to very strict rules and procedures regarding the offer of the sale of its stock. Within that context, the Board does appreciate your taking the time to outline various issues of interest and we look forward to discussing those matters with you at the appropriate time.

However, as you may or may not be aware, a substantial number of questions that you have raised involve issues that are the subject of active litigation between the Company and certain former management officials. Therefore, as a matter of legal prudence, SEC compliance and standard Company practice, the Company is not able to comment on those matters, at this time.

Nonetheless, I can assure you of two things: The first being the willingness of the Company to openly communicate with you regarding its business operations and second, the Company’s confidence that all legal proceedings that are presently pending between the Company and these former management parties, including Mr. Robert Oblon will be resolved in favor of the Company, without exception.

We understand that you do not have the benefit of the exhaustive and extensive investigation of the facts and circumstances that the Company’s legal counsel has undertaken in connection with the questionable business practices of various prior management officials of the Company. Let me assure you, however, that current management officials, including the current Board of Directors, have taken immediate and definitive measures to remedy this prior improper conduct, in an effort to protect the interests of the Company’s shareholders and provide a productive and safe environment for its employees and distributor team.

In the coming weeks, the Company anticipates that a significant number of legal issues pending between the Company and these former officials will be resolved favorably to the Company. In anticipation of that result, at the appropriate time, it is the intent of the Board and Company management to meet with you to discuss your questions as well as explore possible opportunities for collaborative projects with you in furtherance of our commitment to the future success of the Company.

Sincerely yours,

/s/ Keith Halls

Keith Halls, Chairman

Board of Directors"

*************

Now what is baffling to me is the fact, the questions I asked were drawn from reviewing the court filing in the pending lawsuits found at Happy Coffee Truth. I wasn't asking anything that would violate any SEC Rule on the books. However, even if that was a concern, then outside legal counsel could have responded as is common in pending lawsuits. I was following the SEC Filing and asking questions any potential investor might ask before buying stock. 

Since I received the above letter, I have dug deeper into the individuals now on the Board and executives in the company to see what I can discover. 

It has come to my attention that Mr. Kip Allison, a Board Member and Director of the company, has In the past, had what seems to have been sanctioned by the State of Texas ALLISON__KIP_HUGHES.pdf for several purported fiduciary indiscretions Kip_Allison.pdf as well as at least one Civil Fraud Conviction - Kip_Allison_Final_Judgement.pdf. 

With Mr. Halls being less than forthcoming; Mr. Robert Oblon now suing the former CEO/President of Sharing Service Global Corporation, Jordon Brock (https://www.m2compliance.com/hosting/company/SHRG/link_files/2017/02-01-2017/Form8-K(02-01-2017)ServicesSharingInc/Form8-K.pdf); and SHRG now suing Robert Oblon, I do not see that this stock is the best investment at this time, even though the company just released the current press release stating Record Earnings (https://www.networknewswire.com/sharing-services-global-corporation-shrg-reports-record-revenues-continues-impressive-sales-momentum/.) 

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Additional disclosure: I wrote this article based on my own personal opinions gathered through my continued due diligence. I am not receiving any form of compensation for writing it. I have no business relationship with any company or individual mentioned in this article.

This article is not intended as investment advice, only relevant company information that might be useful in forming decisions.