This post covers information we have on the ownership of J.M. Products, the “customer” for power produced by the “1 MW” Rossi reactor.
Summary: as claimed by Industrial Heat, this was a company created for the “test,” controlled entirely by Johnson, the President of Rossi’s company, Leonardo Corporation. Naughty, naughty!
People have been focusing on the fact that Johnson discloses that JM Products has no corporate parent. However, he never did say that JM Products had a corporate parent, at least not in writing. The disclaimer of conflict of interest that was accidentally included at the end of Exhibit B (the Agreement and attached exhibits) said that JMC was owned by “an individual or entity formed in the United Kingdom.”
I just pulled that page out, so that it can be cited and viewed separately: Johnson certification.
Not necessarily a corporation. What, then?
A trust. And we don’t know where this trust is located, but … we know who manages it and the name of the beneficiary. It’s in the disclosure document, odd that nobody seems to have noticed it. At least it’s likely! Maybe even Johnson went on vacation and drew up the papers while he was there….. Pretty sure there will be questions about Mr. Giovanni! Platinum American Trust is invisible to google, and a trust may be formed with no publication at all. But Johnson is the Trustee and that is enough to establish management. However, who “owns” the trust? Johnson did not necessarily lie in the Complance Notice, but … the Trust was set up to be the owner, apparently.
Henry W. Johnson, as the Trustee of the Platinum American Trust dated effective as of July 14, 2014
Francesco Di Giovanni, the beneficiary of the Platinum American Trust dated effective as of July 14, 2014
… Third-Party Defendant, J.M. Products, Inc., hereby certifies that there is no parent corporation of J.M. Products, Inc. and there is no publicly held corporation owning 10% or more of its stock.
JM Chemical Products was incorporated (document signed by Johnson as incorporator) June 24, 2014.
Rossi suggested the rental of the Plant July 5, 2014.
The Platinum American Trust was “dated effective” as of July 14, 2014, per above.
A confidentiality agreement was signed between IH and Johnson, July 28, 2014, per the Term Sheet that was effective August 13, 2014.
(The name of the company was legally changed to “J.M. Products, Inc,” in September of 2014.)
So, first a “chemical company” is formed by Rossi’s attorney and the President of Leonardo.
Then, Rossi tells IH how amazing it is that he found this company.
Then the owner of the company was created. Uh, who was the owner before the trust was created? Who cares about details like that?
There was no chemical company, in fact, when Rossi proposed the rental, because what was formed, a corporate shell, was formed without an owner, unless Johnson was the owner. The trust was not formed in the United Kingdom, however, it was formed in Florida, by Johnson. We don’t have any information about the trust and what agreements underlie it. There could be a private agreement that, say, Rossi is the ultimate owner. It could be a complete shell, with no significant property.
My own advice to IH would have been to take the money. That is, invoice JMP as requested, with the invoices stating a disclaimer that this was based on information provided by JMP, only. Then, later, follow the money! It could have made things simpler now.