The Dump Explained

www.afristratpumpanddump.co.za

THE LONG DROP – DUMPING

The fair value of the 60 month redeemable preference share liability for both the income provider and capital growth products issued by the group in South Africa, Swaziland and Botswana is determined at initial recognition and accounted for at amortised cost DECEMBER 2015

For the purpose and illustration, we will have to travel once again back to 2013 No provision has been made for 2013 tax as the group has no taxable income:

It is our contention that the company back in 2013 with no taxable income and a destressed Other financial liabilities and Trade and other payables to the value of R37 230 580 for the period ending December 2013, was not solvent not liquid.

The directors believe that the group has adequate financial resources to continue in operation for the foreseeable future and accordingly the consolidated financial statements have been prepared on a going concern basis. The directors have satisfied themselves that the group is in a sound financial position and that it has access to sufficient borrowing facilities to meet its foreseeable cash requirements.

The directors are not aware of any new material changes that may adversely impact the group. The directors are also not aware of any material non-compliance with statutory or regulatory requirements or of any pending changes to legislation which may affect the group.

Sales of Preference Shares R18 739 000,00 Add: R3 752 445 shares sold prior to June 2014 Revenue generated by Subsidiaries 13 Subsidiaries R 570 068,14 Other Liabilities R49 715 442 Generated Liabilities R72 206 857 and an income generated by subsidiaries of R570 068.14 they would never even in 2014 been able to redeem any capital to investors.

Sales of Preference Shares R220 544 799,12 Revenue generated by Subsidiaries 18 Subsidiaries R25 555 896,00 Other Liabilities R26 255 204

Generated Liabilities R243 036 244.12 and an income of R25 555 896 they would never even in 2015 been able to redeem any capital to investors who invested in 2014 never mind the additional capital of 2015.

Sales of Preference Shares R474 388 700 Revenue generated by Subsidiaries 25 Subsidiaries R4 977 539.00 Other Liabilities R11 347 364.00

Generated Liabilities R254 383 608.12 and an income of R4 977 539.00 they would never even in 2017 been able to redeem any capital to investors who invested in 2014 never mind the additional capital of 2015/17

Other Liabilities R222 955 000.00 Generated Liabilities R1 542 540 694.12 and an income of R71 848 444.00 they would never even in 2018 been able to redeem any capital to investors who invested in 2014 never mind the additional capital of 2015/17/18

The company debt stressed had to secure a loan to buy shares in MYBUCKS, claiming it was due to the collapse of the MYBUCKS shares that investors lost everything however the misstatements are as follows:

09/02/2018 Ecsponent Limited Botswana, agreed to acquiring an additional 444 000 shares in MyBucks for a total consideration of R59.2 million. Ecsponent has lost R29.5 within 6 months of the first investment into MYBUCKS.

On further investigation it has been established that the company did not pay for these shares they actually made a loan as recorded and reported.

Norsad Finance (Botswana) Limited 2021 FINANCIALS , company liabilities of R76 469 000.00 USD5 million loan is secured by a pledge of 444,000 MyBucks shares that bears interest at the three-month LIBOR plus 11% per annum, payable quarterly. The loan is repayable on 11 July 2022. The Group has entered into negotiations with the lender to amend the terms and requested an interest holiday for a period of 12 months. The negotiations are ongoing at year end.

PLAN B – The company adapts a Gung-Ho attitude and opens another portal to generate further debt, with little or no regard to the “knowing” fact that they would never be in any position to redeem the 2014 - 2017 mandatorily redeemable Preference Shares, they create the “NOTES PROGRAMME”

Generated Liabilities R3 336 200 294.12 and a loss generated of R59 041 244 they would never even in 2019 been able to redeem any capital to investors who invested in 2014 never mind the additional capital of 2015/17/18 and now they have notes as a added liability to investors.

And then the company not quite satisfied with the noose getting tighter they decide to create further debt by making a reckless loan from: Afreximbank on18th February 2019. Sens Document -The board of directors of is pleased to announce that the company Ecsponent Limited has concluded a term sheet with the African Export-Import Bank (“Afreximbank”) for a R700 million dual-tranche medium-term loan facility.

Directors Report 2019 : - T.P. Gregory “In 2014, we introduced a preference share programme, which offered investors attractive yields and 100% capital redemptions after five years”.

June 2019 MYBUCKS FINANCIALS: According to the South African Reserve Bank’s Financial Surveillance Department (FinSurv) document released on 17 November 2016 entitled Exchange Control Special Voluntary Disclosure Programme policy loop structures entail the formation by a South African resident of an offshore structure which, by reinvestment into the South African Republic, acquires shares, loan accounts or some other interest in a South African resident company or a South African asset. The Policy Document adds that transactions creating loop structures contravene, amongst other provisions, Regulation 10(1)(c) of the Exchange Control Regulations, 1961. Resultant from this legal requirement MyBucks had to divest from any investment in South Africa (and the whole common monetary area) in order to secure the relevant regulatory approvals to conclude on the debt to equity conversion of Ecsponent Limited. The anchor debt to equity conversion received all required approvals on 20 November 2019,

Balance Sheet June 2019 Page 9/10 -Assessing stage 1 – 3 categories and probability of default: Tested the assumption applied by management as to whether the preference shares liability disclosed in the Statement of Financial Position should be considered as equity for the going concern assessment;

Balance Sheet June 2019 Page 61 -the Group has various investors including, ordinary shareholders, preference shareholders, listed bonds and debt funders; most of these investors are not related parties to the Group, and they do not have a significant influence over the Group and its strategic direction.

MyBucks Control Circular OCTOBER 2019: Issued by Ecsponent Limited The Group’s Preference Share Programme and Note Programme, which raise capital to fund investments, are instrumental in facilitating the Group’s expansion strategy.

Working capital statement, The Directors are satisfied that the working capital of the Group, after the Proposed Transaction, is sufficient for the Group’s present requirements, specifically that: the Company and the Group will be able in the ordinary course of business to pay its debts for a period of 12 months from the date of this Circular; the assets of the Company and the Group will be in excess of the liabilities of the Company and Group for a period of 12 months from the date of this Circular, as recognised and measured in accordance with the accounting policies used in the latest audited consolidated annual financial statements of the Company and the Group, which are in compliance with the Companies Act; Investors verily believe that the above statement has been made with the full knowledge that at October 2019, the company had no intention to do any redemptions yet they continued in procuring capital from potential investors under the disguise that the company presented that the solvency and liquidity of the company was not in question.

THEY CONTINUED TO SELL PREFERENCE SHARES AND NOTES EVEN AFTER APPLYING FOR THE DEBT TO EQUITY CONVERSION AS FAR BACK AS MARCH 2019 A MONTH AFTER MAKING A LOAN OF OVER R700MILLION

During January 2020, investors’ received notification of the maturity of investments. The company created an expectation to have their capital returned to investors. These investors obligated themselves to various financial obligations due to the promise of redemption of their capital. As expressed herein, an expectation been created of the full redemption of Capital invested by investors and or clients of the company

Notification to investors of the ‘collapse” of the program, default and no redemptions including the Conversion takes place 48 hours after the last sale.

February 2020 the investigation starts to the “Shenanagans” dealings and the Pump Dump Ponzi scheme orchestrated and conducted by the company known as ECSPONENT LIMITED

The Ex Chief Executive Officer Mr Terence P Gregory confirms after he had sufficient time to validate claims on a website “AFRISTRATPUMPANDDUMP.CO.ZA” are: “Thanks for the link I have read through the website and (apparently from one or two inaccuracies) find the information to be correct. Some of the assumptions which are arrived at are not accurate but this is understandable- email sent to the webmaster of the site on the 03rd February 2022.

The link has been sent to both Mr Manyere and Mr T de Kock, they have both decided not to comment on the allegations made in the website.

In George Manyere’s own words: I mean it’s not like you are taking money from billionaires who will not care if they lose a little bit of their money, but you are taking hard-earned money from Pensioner’s. He was open and transparent in his assessment, as most investors were in fact pensioners.