Thread by @dsmart

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Since last year when I wrote an analysis of Star Citizen financial filing in the UK (it's public there), I have been saying that they were going to start issuing shares in the companies, both here in the US and in the UK.

dereksmart.com/forums/reply/5…

In Dec 2017, they eventually filed the paperwork to set that in motion.

In the past 24hrs, they have now publicly filed the actual paperwork to issue shares in the UK. They prepared these back in May.

beta.companieshouse.gov.uk/company/088152…

The paperwork itself is standard fare that's not noteworthy.

They issued 113,861 shares valued at £0.0001 each.

If you were wondering about that number, it's because they are diluted (worthless) share amounts based on the company value.

However, in that same filing, there is a stipulation that shareholders are not entitled to the company's financials. Ever.

Remember when they promised financial accountability to backers, then removed it in TOS updates? Yeah, me too.

I already pointed out in my article (prev link) that both brothers already extracted wealth by selling their IP + ownership rights back to the co.

£440k purchase of Foundry 42 Ltd from Erin Roberts and others

£1.36m IP purchase from USA company/Chris Roberts?

Though this is public filing due to UK rules, sources said (and they showed me evidence - which I have refrained from sharing) they have done the same (and worse) here in the US. I am 100% certain it's going to show up during discovery in the Crytek lawsuit.

The thing about this shares is that they are still looking to raise money both here in the US and in the UK - where they are already saddled with loans.

There is speculation about what these shares are for. If it's for backer whales, then fucking hell, that would be hilarious.

Why? Because any idiot who buys JPEGs from a company that's running an active SCAM, is the same fool who would buy WORTHLESS shares from a co in which the execs have already extracted a significant amount of wealth, thus saddling them in the on-going cash flow crisis.

Better still; ss most of their employees have bonus incentives in their contracts, those pay outs are cold hard cash - which they no longer have to give.

So it makes sense they would also seek to issue WORTHLESS shares in lieu of bonuses - or as signing incentives.

The drama which has been playing out behind the scenes these past months, will be public soon enough - and I have a blog all ready to roll for that one - even as the 3rd anniversary of The July Blog is fast approaching next month.

I have been proven correct on so many things about this project, that my list reads like a road map from a time traveler.

Going forward, two things are certain

1) they are OUT of money to finish the games

2) someone IS going to prison over this farce - mark my words.

When Madoff's empire was about to crumble - with the last bits of money left, he asked that employee bonuses be paid.

Less than 48 hrs later, after he told them, his own sons reported him to the SEC & FBI, leading to a complete collapse and the exposure of a massive fraud.

The execs running the Star Citizen project, are engaged in a massive scam of global proportions.

Like the Madoff, Theranos, Enron and similar enterprises which ALL had the outside appearances of legit businesses, they are about to be COMPLETELY EXPOSED.

I have written about this specific aspect before, in my 2015 Interstellar Pirates blog.

Key members of that Gizmondo scam are also involved in Star Citizen.

dereksmart.com/2015/11/inters…

Sources have once again confirmed to me that they are frantically focused on checking off boxes of promises - even as they continue to lose key people at the studios.

robertsspaceindustries.com/funding-goals

The key here is that they made specific promises at $65M raised. Since that time, they have made other promises while increasing the engineering debt by selling in-game assets which stand very little chance of ever going into the game before they finally run out of money.

I have written about this in two blogs.

What they’re doing is trying to implement as many of the promised features as possible - regardless of functionality.

If they manage to check all those boxes, they are in the clear as far as non-delivery goes.

Unfortunately for them, they’re not getting there fast enough - and it would take a least another 10+ yrs and another $250M+ to get that far.

starcitizentracker.github.io

Remember back when I said that for them to ever hope to pull off Star Citizen, they would need a custom engine, experienced people, and $150M+? That was July 2015.

I had warned that they would HAVE to change engines.

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They switched to Lumberyard (a CryEngine derivative) in 2016 - without saying anything.

Until I made it public.

Then I wrote a blog about it.

dereksmart.com/2016/12/star-c…

Similarly, while Chris was lying to backers in all of 2016 about the state of 3.0, even as sources were saying that it didn't EXIST, while he was saying it was coming in Dec 2017. They were right.

dereksmart.com/forums/reply/4…

And when a source later shared info about the actual internal dev schedule, and said that the public version (live in April 2017) was just bs, I wrote about that too.

dereksmart.com/forums/reply/5…

That internal version went BEYOND 2021 - and included existing promises.

Sure enough, when I made that public, CIG once again changed the format of the dev schedule and unveiled a new version...which goes up to Q1/2019 and still isn't even 50% of the games they promised. And it doesn't include SQ42

robertsspaceindustries.com/roadmap/board/…

To this day, over 6 months later, they have yet to produce the dev schedule for SQ42 as promised.

Sources are telling me that dev on that game has completely STALLED in EVERY aspect.

We already know it's NOT coming out in 2018 either.

As if there weren't enough Red flags that the project was completely off the rails and doomed, they are still running sales of JPEGs of ship assets which stand very little chance of ever being in the game.

Take for example the mining feature...

Instead of implementing ships they already SOLD, there's no money to be made. So they sell new ones.

The Orion mining ship platform was sold back in 2015 - as a JPEG.

robertsspaceindustries.com/comm-link/tran…

That was almost 3.5 YEARS ago!

And to sell it, they unveiled a mining design doc with so much bs in it, that I was astonished at the time.

Bear in mind, the game engine simply could NOT support ANY of this. And still doesn't.

robertsspaceindustries.com/comm-link/engi…

Now, having moved ALL relevant features from 3.2, in order to sell yet another mining ship (the Vulture which is the subject of the Eve Online furor), they have yet to fully implement the Prospector which they sold as concept in April 2016

robertsspaceindustries.com/comm-link/tran…

That Prospector was implemented in the game late last year.

There was no mining mechanic to support it.

robertsspaceindustries.com/pledge/ships/m…

With the upcoming live release of 3.2 (which just release to the public test universe, PTU), the Prospector mining is NOTHING like they pitched in 2015.

And as expected, it's bug ridden.

So with the released of 3.2, they get to check another box (mining mechanics) which, regardless of functionality, they can claim is done. On to the next box to check.

robertsspaceindustries.com/spectrum/commu…

Each time I use the analogy that backers paid for a Gold box, but are going to end up with a cardboard box - with no lid, some people just lol and think I'm trolling. But that IS the reality of what is happening, right here - right now.

And it's 100% legal.

You see, when a publisher funds your project, they know what they are getting for their money. It's called milestones - and they come with accountability. You're not getting $1M to deliver watered-down $250K drivel, as that would be the end of your studio - and project.

Don't believe me? Well, this Chris Roberts in a live interview back in 2013 denouncing the SAME thing they ended up doing to backers.

It gets better..

Star Citizen Chris Roberts BAFTA LA Presentation - Jan 2015

Star Citizen: Going Beyond Crowdfunding - GDC 2013

gdcvault.com/play/1019681/S…

This one was good. He wanted $14M for the over scoped game.

I liked the part where he claims he could make the game for 1/3rd of what it would cost a publisher.

It's now 3yrs + $150M later.

No games.

So when I tell you they're actively running a scam, I know precisely what I'm talking about.

In 2015 I never once thought they would raise the $150M I had estimated, nor that they would exceed that amount and NOT deliver ANY game.

Funding track:

docs.google.com/spreadsheets/d…

So, anyone who thinks that giving them money, either by buying JPEGs or via investment is somehow going to yield either of the two games, is pretty delusional. Either that, or those people are using the game's lax fundraising scheme to launder money.

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ps: In case you missed this, or you don't recall..

"What Star Citizen's Chris Roberts thinks of Derek Smart" - Aug 2015 via @PCGamesN

pcgamesn.com/what-chris-rob…

Clarification:

Prospector mining ship, in game since 3.0 (Dec '17)

Vulture salvage ship is a JPEG

You can't mine in 3.2 without a Prospector - which is not on sale atm

BUT if you buy a Vulture, you get a Prospector as a loaner.

I shit you not. It's all true.