Got this note from Eleos today. They owe me 1.55 million. That is the same number that we got a long time ago. Let’s see if I dont get checks for $29k/mo now. Very cool.
Wednesday, April 05, 2017
Mr. Stein:
We sincerely appreciate your patience as we continue working through what has become a much more protracted period of time to receive initial “seed” capital than we had projected. As you are aware, obtaining the needed capital to begin business operations has yet to occur. That statement is true for all of Eleos Group International, Inc. (“Eleos”), including all the “for-profit” industry groups, all the “for-purpose” non-profit entities and all potential project groups.
Your employment agreement was issued on the basis and belief that funding was imminent which, again, we all know has not yet happened. Consequently, the enterprise continues to accrue unpaid salaries for you and for every other current employee. We have had to ask ourselves are we being good stewards of the funds we believe God is entrusting to us by continuing to accrue salaries and expenses for work that for all intents and purposes is not being done. The obvious answer is no.
Therefore, the decision has been made to stop that accrual for all employees and thereby fix the amount of unpaid salary due to each and all of us as of the close of business today. While that decision was difficult to make, we believe you can and do understand the associated business reasons for doing so. The method by which we are stopping the referenced accrual is the immediate termination of all employment agreements. Officially then, this e-mail message is formal notification to you that your Executive Employment Agreement is terminated as of the close of business today, Wednesday, April 05, 2017.
The Eleos mission and vision remain vibrant, worthwhile and achievable! And Eleos will aggressively answer the call! Do not read more into this decision and action than is there! This action in no way absolves Eleos of either its legal or moral commitment to meet its financial obligations to you! Following is a summary of those financial commitments and an estimate of how and when payments will be made to you. Also, at the end of this message is a synopsis of what happens next.
To begin, your employment agreement was effective on: Saturday, October 24, 2015
All employment agreements ended the close of business on: Wednesday, April 05, 2017
Your total unpaid accrued salary for that period is: $ 506,913.07 USD
Initial amount of unpaid accrued salary to be released: $ 25,000.00 USD
Estimated date* for receipt of initial payment is: Friday, April 14, 2017
Total remaining unpaid accrued salary due: $ 481,913.07 USD
Periodic amount of unpaid accrued salary to be paid: $ 10,000.00 USD
Estimated date* for receipt of first periodic amount is: Friday, April 28, 2017
Periodic amount to be paid every four (4) weeks thereafter: $ 10,000.00 USD
While we cannot currently determine the date by when the total remaining unpaid accrued salary due will be paid in full, we are confident that payment will occur by or before the end of the current Eleos fiscal year, i.e., by or before September 30, 2017. However, we must stress that this is only an estimate at this time and is subject to change. You will be notified when a definitive date for payment of the total amount of remaining unpaid accrued salary has been set by the Board of Directors.
Included as part of your previous employment agreement is an Executive Performance Incentive Fee (“EPIF”) bonus award of one million dollars ($1,000,000 USD) all of which is currently unpaid and due to you. As stated in the preceding paragraph, while we estimate payment in full to occur by or before September 30, 2017, we cannot currently determine the date by when this EPIF will be paid. Thus we must again stress that this is only an estimate at this time and is subject to change. You will be notified when a definitive date for payment of the EPIF has been set by the Board of Directors.
We know you and the other members of the team will have questions as a result of receiving this email message and we want to give you an opportunity to ask those questions directly. To do so in the most expedient manner available, we will conduct a conference call that we are now asking you to be a participant along with other members of the team. To control the number of participants on each call, we have set dates and times and we need you to block that as a “critical appointment”. Time is also critical for us, so we will only conduct three conference calls and participants will be by invitation only. Thus, only participates will be allowed on a particular call as specified by their invitation. We have set Friday, April 07, 2017 at 12:00 PM MDT for your call. The conference call-in number is: 712-432-3100 and the access code is: 525622. We will start on time, so please do not be late as the conference bridge will be closed to callers once the call has begun.
Eleos continues to aggressively pursue funding from multiple sources. The Eleos Executive Management Team plans on reengaging employees as quickly as resources and business requirements permit. Once funding is secured and the all-important “solid and sustainable foundation” has been put in place, we would like to meet with you and discuss extending a new employment agreement to you for your consideration. That discussion will include how you could become fully engaged and making meaningful and ongoing contributions to achieving the Eleos mission and vision in support of Gods’ people and HIS Kingdom!
Keep the faith and please continue to pray!!
Terry A. Hunter
Chief Executive Officer and Chairman of the Board
Eleos Group International, Inc.
Steven G. Williams
President and Chief Operating Officer
Eleos Group International, Inc.