Mr. Gad Forced to Once Again Set the Record Straight at Paragon 鈥� Hopefully For the Last Time
Hesham "Sham" Gad, Paragon Technologies' (OTC PINK:PGNT) largest stockholder with a 28.2% stake, has issued a statement criticizing the incumbent board's last-minute decision to spend over $500,000 on director insurance just before the 2025 Annual Meeting.
Gad argues this move follows a concerning pattern of self-serving actions by the current board, including implementing a poison pill and issuing stock grants. He emphasizes that while he supports reasonable D&O insurance, the company has operated without any D&O claims for over a decade under his leadership.
The statement urges shareholders to vote using the BLUE proxy card for new directors focused on transparency, fiscal responsibility, and long-term value creation.
Hesham "Sham" Gad, il maggiore azionista di Paragon Technologies (OTC PINK:PGNT) con una partecipazione del 28,2%, ha rilasciato una dichiarazione criticando la decisione dell'attuale consiglio di amministrazione di spendere all'ultimo minuto oltre 500.000 dollari per un'assicurazione per i direttori, appena prima dell'Assemblea Annuale 2025.
Gad sostiene che questa mossa segue un preoccupante schema di azioni a favore degli interessi personali del consiglio attuale, tra cui l'adozione di una poison pill e la concessione di stock grant. Sottolinea che, pur supportando un'assicurazione D&O ragionevole, la societ脿 ha operato senza alcuna richiesta di risarcimento D&O per oltre un decennio sotto la sua guida.
La dichiarazione invita gli azionisti a votare utilizzando la scheda proxy BLU per eleggere nuovi direttori orientati alla trasparenza, responsabilit脿 finanziaria e creazione di valore a lungo termine.
Hesham "Sham" Gad, el mayor accionista de Paragon Technologies (OTC PINK:PGNT) con una participaci贸n del 28.2%, ha emitido una declaraci贸n criticando la decisi贸n de 煤ltima hora de la junta directiva actual de gastar m谩s de 500,000 d贸lares en un seguro para directores justo antes de la Asamblea Anual de 2025.
Gad argumenta que esta acci贸n sigue un patr贸n preocupante de decisiones que benefician a la junta actual, incluyendo la implementaci贸n de una poison pill y la emisi贸n de concesiones de acciones. Destaca que, aunque apoya un seguro D&O razonable, la compa帽铆a ha operado sin reclamaciones D&O durante m谩s de una d茅cada bajo su liderazgo.
La declaraci贸n insta a los accionistas a votar usando la tarjeta proxy AZUL para elegir nuevos directores enfocados en la transparencia, la responsabilidad fiscal y la creaci贸n de valor a largo plazo.
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靹彪獏鞚� 欤检＜霌れ棎瓴� 韴獏靹�, 鞛爼 毂呾瀯, 鞛リ赴 臧�旃� 彀届稖鞐� 欷戩爯鞚� 霊� 靸堧鞖� 鞚挫偓 靹犾瀯鞚� 鞙勴暣 韺岆瀫靸� 鞙勳瀯鞛� 旃措摐毳� 靷毄頃� 韴憸頃� 瓴冹潉 齑夑惮頃╇媹雼�.
Hesham "Sham" Gad, principal actionnaire de Paragon Technologies (OTC PINK:PGNT) d茅tenant une participation de 28,2%, a publi茅 une d茅claration critiquant la d茅cision de derni猫re minute du conseil d'administration en place de d茅penser plus de 500 000 dollars pour une assurance des administrateurs juste avant l'Assembl茅e G茅n茅rale Annuelle 2025.
Gad affirme que cette d茅cision s'inscrit dans un sch茅ma pr茅occupant d'actions int茅ress茅es du conseil actuel, incluant la mise en place d'une 芦 poison pill 禄 et l'attribution de stock-options. Il souligne que, bien qu'il soutienne une assurance D&O raisonnable, la soci茅t茅 a fonctionn茅 sans aucune r茅clamation D&O pendant plus d'une d茅cennie sous sa direction.
La d茅claration invite les actionnaires 脿 voter en utilisant la carte de procuration BLEUE pour 茅lire de nouveaux administrateurs ax茅s sur la transparence, la responsabilit茅 financi猫re et la cr茅ation de valeur 脿 long terme.
Hesham "Sham" Gad, gr枚脽ter Aktion盲r von Paragon Technologies (OTC PINK:PGNT) mit einem Anteil von 28,2%, hat eine Stellungnahme ver枚ffentlicht, in der er die kurzfristige Entscheidung des amtierenden Vorstands kritisiert, kurz vor der Hauptversammlung 2025 眉ber 500.000 US-Dollar f眉r eine Direktorenversicherung auszugeben.
Gad argumentiert, dass dieser Schritt einem besorgniserregenden Muster eigenn眉tziger Ma脽nahmen des aktuellen Vorstands folgt, darunter die Einf眉hrung einer Giftpille und die Ausgabe von Aktienzuwendungen. Er betont, dass er zwar eine angemessene D&O-Versicherung unterst眉tzt, das Unternehmen jedoch unter seiner F眉hrung seit 眉ber einem Jahrzehnt ohne D&O-Schadensf盲lle operiert hat.
Die Stellungnahme fordert die Aktion盲re auf, mit der BLAUEN Vollmachtskarte f眉r neue Direktoren zu stimmen, die sich auf Transparenz, finanzielle Verantwortung und langfristige Wertsch枚pfung konzentrieren.
- Largest stockholder owns significant 28.2% stake, demonstrating strong alignment with shareholder interests
- Company has maintained clean D&O claim record for over a decade under Gad's leadership
- Board's decision to spend over $500,000 on last-minute insurance policy
- Implementation of poison pill and stock grants potentially diluting shareholder value
- Apparent corporate governance issues and potential violations of company's governing documents
Encourages All Stockholders to Vote on the BLUE Proxy Card Ahead of the Company's Annual Meeting
NEW YORK, NY / / June 27, 2025 / Hesham "Sham" Gad, who beneficially owns approximately
"This morning, less than one business day before the Company's Annual Meeting, I was informed that the incumbent directors wanted to immediately dispense with over
Our shareholders know better - this is not about them, but simply another effort, to benefit these directors at shareholder expense. It is disappointing, though not surprising, to see the current Board of Paragon once again resort to misinformation and personal attacks to avoid accountability. To be clear, I have never objected to the Company having reasonable D&O insurance policies, and in fact, we have had sufficient coverage for years evidenced by the simple fact that for over a decade Paragon has NEVER had single D&O claim under my leadership. What has changed is not the Company's exposure, but the risks introduced by the behavior of this Board. On the other hand, as a significant stockholder, I care very deeply about protecting the Company from BOTH risk and wasteful spending - two elements this Board has exposed the Company to in spades.
The Board in hastily approving this self-serving purchase disregarded the Company's own governing documents, our settlement agreement, and potentially their fiduciary duties. In doing so, they continue to validate why they are so out of touch with Paragon shareholders. As such, it was vital I advised them of their violations and potential liability exposure.
This Board has used substantial Company resources first to entrench themselves, then to defend that entrenchment, and now, just days before the Annual Meeting, to attempt to insulate themselves from the consequences of their poor leadership. As we approach the Annual Meeting, this episode highlights exactly why change is needed. We need leadership that focuses on transparency, fiscal responsibility, and long-term value - not self-preservation.
We encourage our fellow stockholders to continue voting on the BLUE card for a slate of directors that values transparency, progress and fulfilling its obligation to act in the best interest of stockholders.
We thank you for your consideration and support to date. Let's work together to build something stronger - for today and for the future."
PLEASE VOTE YOUR BLUE PROXY CARD TODAY.
Further information and resources in connection with Mr. Gad's campaign for change, accountability and a stockholder-first culture at Paragon are available at .
For inquiries, please reach out to the address below: [email protected]
Saratoga Proxy Consulting LLC
John Ferguson
(212) 257-1311/(888) 368-0379
[email protected]
SOURCE: Sham Gad
View the original press release on ACCESS Newswire
FAQ
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