Wednesday, October 31, 2018

Anton Billis - Update II

We're perusing the latest financials and shall update soon. Billis and crew made a large cash distribution of $ 3.50 to Tribune holders and $ 1.25 to Rand shareholders, selling down the Perth gold hoard to do it. The boyz did this just 4 days after the regulator gave notice of it's findings and months BEFORE any penalty was imposed. Cos are doing well financially with Tribune booking a $ 42m year for 2017. Film at 11:00
The takeovers regulator has ordered the forced sale of a $60 million stake in WA gold miner Tribune Resources as part of penalties handed down for long-running disclosure breaches. Six weeks after declaring unacceptable circumstances in relation to Tribune’s affairs, the Takeovers Panel has ordered that the company’s sister company Rand Mining vest nearly all of its 26 per cent cross-shareholding in Tribune for sale with the Australian Securities and Investments Commission.

The 12.02 million shares, representing most of Rand’s last reported holding of 13.16 million shares in the tightly traded Tribune, are worth $60 million at today’s current share price of $5.
Mr. Anthony Byron Billis, 'Anton' serves as the CEO and Managing Director of RAND Mining Ltd. Billis has been an Executive Director of Tribune Resources Limited since February 22, 2003 and RAND since January 22, 2003. Both are ASX listed producers. Are they typical? Not exactly.

The East Kundana Joint Venture (Northern Star Resources 51%, Rand and Tribune 49%) is an operational underground gold mining project located in the Eastern Goldfields of Western Australia, 25 km north-west of Kalgoorlie. The project comprises four producing underground deposits, Raleigh, Rubicon, Hornet and Pegasus.

The addition of Pegasus has meant good production with costs somewhere around $400 to $600 per, meaning operations are highly profitable and have been for many years. And there's the rub. What 'happens' to the gold? Something around $315 million 'worth' of bullion from the two enterprises is stacked at the Perth Mint, but that gold is booked at 'cost' (around 200m) not 'market value'.

In April 2013 the twins were then trading on a PE multiple of two. At $85 million, their combined market cap was described by Anton Billis as "about right".
Billis owns minimal stock in his own name but he has managed to control both companies with an iron grip for over 20 years. He says unnamed and mysterious Europeans are behind Yarri Mining Ltd, Transglobal Capital, Sierra Gold, Lake Grace Exploration, and Resource Capital. There are interlocking shareholdings. Tribune owns 44 per cent of Rand, and Rand owns 23 per cent of Tribune, and together with the European holdings, Billis controls 57 per cent of Tribune and some 70 per cent of Rand.

Billis was one of three who won a record-breaking defamation suit against Terence McLernon in 2016 over claims accusing the trio of corporate theft and corruption. Billis led one-time payday lender Oliver Douglas and former company director Paul Matich, who has just recently rejoined the BoD.
A Supreme Court writ was lodged by Billis’ lawyers claiming McLernon is in contempt of court and should be jailed. Shortly after that came revelations of fraud from Croatian mechanical engineer Franjo Bozic. For years he was shown as a Tribune director, although he never attended any meetings. Bozic sought details of share dealings in Tribune and Rand by one of their biggest shareholders, mystery, very private Seychelles company Trans Global Capital. Trans Global owns 16.9 per cent of Tribune and 13.1 per cent of Rand. Bozic says he is owed 1 million Tribune shares by Billis and his 'wife' Phanatchankorn Wichaikul, now worth millions.
Michael Giovinazzo, right, greets ASIC investigators in April 2000Croatian born Anthony Byron Billis, Anton Billis, was sentenced to 29 months in 1996 for attempting to sell Rand shares while in bankruptcy, thus defrauding his creditors. Within days of his bankruptcy order Billis tried to sell a block of Rand (then Tern Minerals) to an associate at a deep discount. In 2004 a 4 year ASIC probe collapsed after laws used to charge Billis were repealed. 6 out of 7 charges were dropped. In June 2006 he was found not guilty on the last charges which included falsification of books and records.

In July 2013 Rand and Tribune were sitting on 106k ozs of physical gold valued at $170m. The two companies combined had a market cap of $ 85m. By July 2017 that hoard was 207,305 ozs. Supposing 250,000 ozs today we are talking about a growing $312m gold hoard.

Michael Giovinazzo and Anthony Byron Billis
Today Rand (RND) has 60m outstanding giving a market cap of $162.4m. Tribune (TBR) has 50m outstanding giving a mc of $ 320m. Financially the past 5 years have been kind to the Rand/Tribune duo.
Terence McLernon watching a pair of boneyard dogs
Last fiscal year ended in June. Appears next numbers, audited, come at end of September.It's been a pleasant $40m per year for Tribune and Rand ($16m) the last couple and the JV is doing just fine with another 1.5m+ ozs in the P&P pipeline at 5 to 8 gms/ton. Duo's stack of bullion (any way valued) is growing, up 21% year over year.

A recent note to annual disclosures reveals Billis had filed false reports and actually has an interest in 12.9m shares. Billis was revealed as the sole director of Sierra Gold and Trans Global, with his wife as the sole shareholder. In essence Billis has admitted to securities fraud extending years. The Australian regulator is reviewing the matter.