The first red flag to me was the aggressive expansion plans in VT less than a year ahead of expiring patents. It just did not add up, it seemed to me that by the time these additional facilities were completed they would likely not be needed.
It may turn out these plans were announce and financed to help build a "wall of credibility" around the insiders. How they financed this expansion by issuing 100's of millions worth of shares at stock price highs all well selling their own shares... it all just looks really bad.