C.wells, I believe you when you posted the following, "I just talked with BGM and they indicated that the loan was approved when the press release was put out. They also indicated that all the assets of the company were listed for simplicity and if it ever came to the point of a default then the controller would simply sell off an asset to fulfill the loan. This makes perfect sence to me."
Sure is simple to say something that isn't put on paper in black and white.
Why don't they instead of saying it to investors, just have indicated it in the loan document? Why? In contract law the simple handshake and taking someone's word for it days, just doesn't cut it anymore, IMO.