Packing the Board With Buddies and Girlfriends, by Ponzi Fiske
Read it yourself, she has responded in the comments on this site.
In private conversations the resigned Director related that she could not stomach the borrowing of more money to finance the day-to-day operating expenses of a business constantly losing money for years, with the same lame General Manager making up the same malarkey.
The financial situation has only gotten worse, and now Fiske is asking the directors on the board to support and vouch for the sale of more C-Shares in this failing company – the sales of new shares will pay for the reimbursement of C-Shares being redeemed by old members. Meanwhile Fiske is publicly claiming in the newspaper that the only tangible company asset is twice as valuable as it is appraised for.
In case you are wondering : This, folks, is what is known as a Ponzi Scheme.
The big news is that Ponzi Fiske has hornswaggled a new friend into the vacant seat.
The reality is that it was Fiske’s female friend on the board who teased this new girl in. ( This is the Director that never says anything but has voted for every motion Ponzi Fiske has ever made..EVER..)
She enticed Ivy Metheny-North to agree to take the seat. Ivy has several years of experience as an employee in a local grocery store, which is a good thing because it increases the odds she may know what the words mean that Barney uses. She is also seriously involved in social organizations devoted to local sustainability. This is also a good thing. Ivy has a decent reputation as a manager of local non-profit gigs, such as the Arcata Farmer’s Market. She also lives and works on a real farm up in McKinleyville. This is a great choice.
The only question, which presents itself as the old “fly in the ointment”, is the question of transparency. Was it explained to Ivy North that some of these Directors are likely pulling out due to current lawsuits on the docket and others coming down the pipe? Did Ponzi Fiske purchase you an Officer/Director’s insurance policy ? Did the company lawyer explain to you that a corporate gross negligence lawsuit lists the Directors as defendants “individually and severally” – meaning that her name would appear on this document and her assets would be at risk if Fiske’s and Kloor’s are not sufficient to pay the costs and damages awarded ?
Welcome aboard Ivy North! You just stepped into two current – and one pending lawsuit.
And did they tell you that, to Save the Coop, Kloor has convinced the Directors into taking a pay reduction. ? Yes, it was whopping big news in the Times-Stansard. You are taking a stipend cut of 20% ! Kloor reported it and the whole of the county let out a big “Phew!”…
So, uhhhm. Welcome to the kingdom of Ponzi Fiske – where the gesture is more important than the effect.