via Wikipedia.org - Royalty Trusts

A very interesting article in Wikipedia discussing royalty trusts.

The corporate structure of Golden Band Resources resembles a royalty trust, since the operational work is through the subcontractor and doré is swapped for cash through an escrow agreement. There is a separate board through the Sprott Gold Notes agreement, though the company claims this agreement is no longer in vigour. They also have numerous properties they can rely on indefinitely. It would seem that instead of creating a separate share class such as prefered's, that the royalty structure would be more suitable.

That a company should exist solely as a shell company of no value and provides no financial or operational results to shareholders as a tax dodge appears an adolescent, poorly conceived scheme. They have lied directly to the public about operational status.

That raises the question on what the company intends in the next ten business days when, once again, we are facing year end financials, and the company has been withholding earnings for several years.

https://en.m.wikipedia.org/wiki/Royalty_trust