Suppressing a discovery
According to a KiOR team member, at this time R&D manager John Hacskaylo concealed invention disclosures that showed promise in improving bio-oil yields, lowering production costs and replacing the BFCC Technology.
His motive? It is alleged that “such an event would in the eyes of the public and investors indicate that the BCC/BFCC Technology was not really working, and that past claims of 67 gallon yields, projected 80+ gallon yields, and $1.80 per gallon costs were false claims.
Ditsch departs
In April, a signature event occurred for those who had theorized that a “troika” was running every aspect of KiOR, when one of the troika, Andre Ditsch, resigned. A bitter KiOR staffer recalled, “The head-fraudster…made his millions by badly screwing KiOR.”
Meanwhile, a stealthy effort, described as “outside regular office hours , weekends and vacations,” principally involving Zhang, Dydak and Stamires but also with the unpaid support of Vasalos and Lappas, was underway to develop an alternative technology, as the summer unfolded.
The stock in free-fall
The stock had hit $20.74 in September 2011, and then drifted downwards to $10.18 by December 30th. The stock recovered to a 2012 high of $13.37 by March 30th, and then went into abject free-fall. By June 8th, the stock was selling for $6.82, more than 50% off the IPO price of a year before.
Investors were worried. And the stock would rise and fall in fits and starts but would close out the year at less than $7 per share.
Use your ← → (arrow) keys to browse
