Jack Lu still runs the show at UTStarcom. He took what he wanted and then bailed. I think in the U.S. this would be considered fraud against the stockholders. I wrote to the management in China expressing my thoughts, and of course did not hear back. If IPTV was the centerpiece of their strategy for growth then why did they offload it without being given a dime for it? Not only that but they are paying 20 million to get rid of it. My God, this almost makes Blackmore look good!!
So Mr Jack Lu tells shareholders during the first quarter conference call that he is pleased with company progress. Looking for faster growth in the second half of 2012. Meanwhile he is plotting with so called Independent Directors and Company Board of Directors. "BETTER KNOWN AS OTHER INSIDERS" to take the IPTV business private. Low and Behold then on 7-27-12 UTSI Announce Strategic Initiatives.Who is named CEO of this new company? By god it is Jack LU. Really?? Nothing more than Highway Robbery.
I also wrote to IR and demanded to show , how common share holders will benefit from this "Strategic Initiatives". The only hope goes back to the large shareholders such as Softbank, Chinese local government, and Shaw to see if they want to salvage anything from this mess. If we don't get reasonable response, its time for SEC. People have to speak up !