[Ron Earp]

Dear Members,

This is a little belated but better late than never. This is the latest Creditor Report from CJL Partners, dated 9-19-06. As mentioned it should be read in conjunction with the report dated April 13th 2006 which I've also attached, along with some of the other ones that I have.

To make a long story short, this latest report basically details where some of the deposits went and it was unfortunately not all to CAMCO in SA (maybe unfortunate, hard to say based on some other things mentioned about CAMCO). Monies went to various places where Robert Logan decreed, essentially to try and put out one fire after another while the producing company seemed to receive no working capital. Interestingly enough, some of the rumors like chassis' leaving the company illegally after bankruptcy were true, as well as that incomprehensible story about the black GT40 and money from the US that went to pay for it.

It also seems as if CAMCO is of interest here too, so they must have some information that doesn't sit well with the administrators. There are details of the US account run by Hershal Byrd and where monies from that account went at Robert's direction. Legal costs from the old Levy lawsuit were paid off, some was sent to RF, some for the black GT40, and some to CAMCO as well as other places lists. Bottom line is the deposits didn't go where the customers thought they were going and were directed by RF Australia, specifically Robert Logan.

Looks like there is little chance of getting money back. The administrators indicate some legal action could be pursued against Logan, but it'd be at a cost to the affected parties. Throwing good money after bad is probably not the best way forward.

Elizabeth Michael's sent the following comments:


1. Insolvent Trading Claims - The liquidator does not believe that Mr
Logan has much in the way of personal assets so there would be
little point suing him for recovery of debts owned by the
company. Note that the liquidator would consider pursuing
insolvent trading claims against Logan if the creditors were
prepared to provide an indemnity for costs.

2. Breaches of Corporations Law - The liquidator has made a
preliminary report to ASIC (our governing regulatory body for
companies in Australia) regarding Mr Logan. A further report has
been requested by ASIC. The decision by ASIC to press charges is
one entirely made by ASIC and in my experience it could take up to
12 more months for them to decide to proceed.

And that is about all I have. I don't imagine we'll hear anything else, but I might be completely wrong on that.

Ron

PS-Latest noticeis the top one, 9-19-06 in the list just below.