Yes, that's right. IGE owns Affinity Media, not the other way around as they would lead you to believe. Even though I had received a copy of the document entitled "Restated Certificate of Incorporation of Affinity Media, INC.", Pig over at Wandering Goblin did as well, and he's written a very long and detailed account of some of the history and given details about the above mentioned document, which is a matter of public record:
After reading the Affinity Media stock documents, I couldn't help by feel that Affinity has been hiding quite a bit. In fact, I simply couldn't help but form the opinion that they've been simply lying. They're involved, via Itemmania, in gold-selling. It's not just an auction house, as they claimed. It's gold selling, and the company features prominently in Affinity's legal filings. What's worse, IGE is mentioned in virtually every business deal the document describes. They're involved with Yantis Enterprises, presumably the same company that allegedly bought IGE a couple of months ago. I'm not claiming to be an expert, a stockbroker, or a corporate lawyer, but this document doesn't make Affinity look good. It gives the impression that they've been flat-out deceiving everyone.
I showed the document to a lawyer and he let me know a couple of the more interesting parts. Like this one:
(c) for the shares of Common Stock issuable upon the conversion of the convertible note, dated February 14, 2006, in the principal amount of $1,000,000 issued by IGE to Allakhazam.com, LLC in the acquisition by a Subsidiary of IGE of substantially all of the assets of Allakhazam.com, LLC and transferred by IGE to the Company (the "Allakhazam Convertible Note")
Lawyer Guy told me that this proves beyond any doubt that Allakhazam was bought by IGE, despite what anyone at any of the involved parties has said to the contrary in the past. IGE paid for it, the deal was done in the name of a Subsidiary, and IGE gave Allakhazam to Affinity Media.
Next interesting part:
(xiii) enter into any transactions with IGE or any of its Affiliates (other than the Company and its Subsidiaries) other than the agreements contemplated in Section B.6(a)(iii)(c) above;
This part says that Affinity Media and its Subsidiaries (Allakhazam, Thottbot, MMO Interface, Wowhead) are still Affiliates of IGE. And here's some more fun stuff:
so as to affect adversely the rights or preferences of the holders of the Preferred Stock or amend (or permit to be amended) any of the Unit Redemption Agreements dated as of February 7, 2006 by and between IGE, on the one hand, and each of Randy Maslow, Yantis Enterprises, Inc. and Mark Salyer Consulting, Inc., on the other hand;
So a week before IGE handed over 1 million USD worth of Common Stock to Allakhazam.com, LLC, it had to make an agreement with the majority holders of its Preferred Stock, namely Randy Maslow, Yantis Enterprises, Inc. and Mark Salyer Consulting, Inc.
Salyer? As in Steve Salyer? The President of IGE, LLC? Oh, I'm sorry, he bailed at IGE in March of 2006, 3 weeks after Mark Salyer Consulting, Inc. had secured its Preferred Stock in IGE. Don't worry about Steve, though, he's now the Chairman and CEO of Mark Salyer Consulting, Inc.
The truth about all of this is that Affinity Media in no way "sold off" IGE. It would have been impossible, since IGE owns Affinity Media. Still owns. In fact, Affinity Media can't do anything without consulting IGE beforehand. Things like buying Wowhead.