$20 Mil Awarded in Internet Libel Case

S.C. Court Grants Judgment to $RMCP Revolutions Medical and Its CEO

CHARLESTON, SC--(Marketwired - July 01, 2013) - Revolutions Medical Corporation (RMCP), a Charleston, S.C.-based medical device and software applications company, and its Chief Executive Officer, Rondald Wheet, have been awarded more than $20 million in a default judgment against Phillip Maurice "Marty" Hicks. A special referee for the South Carolina court awarded the company $3.6 million in compensatory damages and $1.5 million in punitive damages. Wheet was awarded $12,010,000 in compensatory damages and $3 million in punitive damages.

The Charleston County Common Pleas Court found Hicks liable for Internet defamation in September 2011 after he was defaulted as a sanction for disobeying a court order requiring him to participate in discovery in the case. In his decision, the special referee took into account the malicious intent and duration in which Hicks waged his cyber smear campaign against Revolutions Medical and Wheet. He also found that Hicks intentionally interfered with a grant the company was to receive from the Department of Defense in September 2010 to supply its patented RevVac™ safety syringes to its HIV/AIDS Prevention Program.

"This judgment sends a clear message to our shareholders and the market that there are legal and financial consequences when you commit libel," states Wheet, who also serves as the Company's Chairman of the Board. "Looking at the bigger picture, small public companies are vulnerable and can fall prey to these 'short and distort' campaigns waged by individuals, hedge funds and traders. Not only can these campaigns violate securities laws, they can also do severe harm to companies by eroding shareholder value, making it difficult to raise capital, increasing costs and legal expenses, delaying the execution of business plans, stunting job creation, and stymieing the entrepreneurial spirit of small American businesses -- all so they can profit by their actions."

According to Mount Pleasant attorney Stephen Bucher of Bucher Legal LLC, the $20 million awarded in this case should serve as a warning to anyone who thinks they can hide behind an alias to conduct a cyber smear or engage in Internet bullying. "The use of cyber consultants with data mining skills combined with some good old fashioned legal investigation almost ensures that those engaging in these illegal activities can be found," states Bucher who represented the plaintiffs in this case. "The era when someone could use the cloak of anonymity of the Internet to destroy reputations and lives is over. There is no cloak of anonymity. We're coming for you."

Bucher adds, "I admire Wheet for his persistence in this case. He was willing to do what it took legally to take down Hicks."
Wheet notes that he and his company plan to pursue every available legal avenue to collect on this judgment against Hicks.

About Revolutions Medical Corporation
Revolutions Medical is a safety medical device and software application company. Its proprietary technologies and products include: the RevVac™ safety syringe, safety blood drawing device, the RevColor™, RevDisplay™, and Rev3D™ software tools that are compatible with standard MRIs and standard Picture Archiving Computer Systems (PACS) and prefilled auto-retraction vacuum safety syringes.

For additional information, please visit Revolutions Medical corporate website:

http://www.revolutionsmedical.com/

To be added to the Revolutions Medical investor email list, please email:
investment@revolutionsmedical.com with RMCP in the subject line.
FORWARD-LOOKING STATEMENTS
The information contained herein includes forward-looking statements. These statements relate to future events or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Contact:

Revolutions Medical Corporation
Investor Relations
Phone: (843) 606-9461

Source: Yahoo Finance News

Read More

SEC Charges Boiler Room Operators in Penny Stock Manipulation Scheme

01/26/2012 04:24 PM EST 

FOR IMMEDIATE RELEASE 2012-18

Washington, D.C., Jan. 26, 2012 – The Securities and Exchange Commission today charged a Fort Lauderdale-based firm and its founder with conducting a fraudulent boiler room scheme in which they hyped stock in two thinly-traded penny stock companies while behind the scenes they sold the same stock themselves for illegal profits.

The SEC alleges that First Resource Group LLC and its principal David H. Stern employed telemarketers who fraudulently solicited brokers to purchase stock in TrinityCare Senior Living Inc. and Cytta Corporation. While recommending the securities in these two microcap companies, Stern sold First Resource’s shares of TrinityCare and Cytta stock unbeknownst to investors who were purchasing them – a practice known as scalping. As Stern was selling the stocks, he also purchased small amounts in order to create the false appearance of legitimate trading activity and induce investors to purchase shares in both companies.

“First Resource and Stern used a telephone sales boiler room to make inflated claims and defraud investors while simultaneously manipulating the price of the stocks and making profits for themselves,” said Eric I. Bustillo, Director of the SEC’s Miami Regional Office. “The SEC will continue to aggressively pursue perpetrators of microcap stock fraud schemes that hound potential investors to buy stock.”

Since the beginning of fiscal year 2011, the SEC has filed more than 50 enforcement actions for misconduct related to microcap stocks, and issued 63 orders suspending the trading of suspicious microcap issuers. Microcap stocks are issued by the smallest of companies and tend to be low priced and trade in low volumes. Many microcap companies do not file financial reports with the SEC, so investing in microcap stocks entails many risks. The SEC has published a microcap stock guide for investors and an Investor Alert about avoiding microcap fraud perpetrated through social media.

According to the SEC’s complaint filed against Stern and First Resource in U.S. District Court for the Southern District of Florida, they violated federal securities laws by acting as unregistered broker-dealers. Stern hired and trained First Resource’s salespeople and gave them information about TrinityCare to prepare sales scripts and pitch the stock to potential investors. Stern reviewed the draft scripts, made edits, and approved the scripts before the salespeople were allowed to use them.

The SEC alleges that Stern gave the salespeople a list of potential investors to cold call and pitch the stocks. First Resource’s salespeople falsely claimed TrinityCare stock “is going to be $5-7 in 6-12 months” and the company “is going to be a half-a-billion dollar company in five years or roughly a $40 stock.” Stern also disseminated a research report on Cytta to investors and falsely touted: “Sales projections for 2010-2014 should exceed $500 million with a pre-tax net of over $400 million.”

The SEC’s complaint alleges that First Resource Group and Stern violated Section 17(a) of the Securities Act of 1933, and Sections 10(b) and 15(a) of the Securities Exchange Act of 1934 and Rule 10b-5. The SEC is seeking permanent injunctions, disgorgement plus prejudgment interest, and financial penalties as well as a penny stock bar against Stern.

The SEC’s investigation was conducted by Jorge L. Riera under the supervision of Elisha L. Frank in the SEC’s Miami Regional Office in coordination with an examination of First Resource conducted by Anson Kwong, Michael J. Nakis, George Franceschini, and Nicholas A. Monaco of the SEC’s Miami office. Edward D. McCutcheon will lead the SEC’s litigation efforts.

The SEC’s investigation is continuing.

For more information about this enforcement action, contact:

Eric I. Bustillo, Regional Director
Glenn S. Gordon, Associate Regional Director
Elisha L. Frank, Assistant Regional Director
Edward D. McCutcheon, Senior Trial Counsel
SEC Miami Regional Office
(305) 982-6300

Source: http://www.sec.gov/news/press/2012/2012-18.htm

Read More

Stock Pumpers Guide to the Galaxy

Stock Pumpers Guide to the Galaxy

Get out there and .................

Our Constitution guarantees us free speech and we have always valued the lessons gleaned from dissent. When does dissent cross over that imaginary line and become "Pumping"? To often we find well grounded dissent capriciously labeled as "Pumping" by over zealous investors bent on protecting a stocks reputation at any cost. The "Pumping" that is addressed on this site is quite different from dissent. The Anatomy of a Pumper strives to look at the calculated increase of confidence in holding a given stock. Euphoria by means that are, in every sense, void of truth, hinged on deception and innuendo, and motivated by greed at the expense of others. This compendium is offered to aid in identifying the telltale signs of "Pumping", and hopefully provide a counter balance to this heretofore unchecked manipulation of investor's fears for personal gain.

IS IT EASIER TO SCARE PEOPLE INTO HOLDING THAN IT IS TO SCARE PEOPLE INTO SELLING A STOCK? I have asked some knowledgeable investors this question and the answer is always: "YES, OF COURSE YES!"

WHO PUMPERS PREY UPON

Consider the elderly that are investing for retirement, they find their way to the message boards for validation only to see true posts about "SEC Violations" and "Class action suits"... or the head of a "typical growing family", with children to put through college, who is monitoring a message board only to read posts by a "pack of 15 to 20 Pumpers" (probably 5 or 6 under various alias's) posting continuous disinformation... what do you think these new investors will do? It's safer to not buy or even sell the stock, put the money back in the bank than to deal with all this whirl wind of "unsupported" positive chaff.

The Internet has lured a whole new class of investor into the market. A new investor is just that - New! This new investor, while learning the basics, is particularly vulnerable to the tactics of professional Pumpers. New investors tend to lurk in the background of message boards, content to form independent opinions based on what they read with their own eyes. Very often, honest, intelligent and cautious people can easily be overcome by a well orchestrated propaganda effort.

You must always remember that there is a lot of money to be made in just the motion of a stock UP or DOWN it doesn't matter! And Pumpers have money at risk just as you do. But they have the edge of fear, lies, and falsehoods to post while preying on the un-initiated. The average investor does not have the edge of organized deception.

Recent revelations have indicated that even Market Makers (those charged with keeping the playing field level) have been involved in stock manipulation by Pumping on a stock message board. HAVE NO DOUBT THAT THIS IS A REAL THREAT!

Lesson 1: Remember, check the boards for stocks with real potential. They don't need any Pumpers. Pumpers only go after stocks that are moving down or have excellent potential to do so. Pumpers work to drive the price up to either exit their position at the expense of others or help a long make their bones.

Lesson 2: Pumpers ALWAYS BRING UP NEWS THAT YOU HAVE HEARD MANY TIMES. New startup companies always have a few bits of good news. The Pumper will post this over and over again. Unsophisticated Pumpers will try to freshen up old news with a new date or by-line in an attempt to fool you.

Lesson 3: PUMPERS POST MANY TIMES A DAY. They try to wear you out. They comment on everything, every other post, and can answer every question. THEY KNOW IT ALL! There is no negative comment they won't Pump. They try to control the board. True longs may have to confront the Pumpers or they will appear to the newbies as being the people with all the information. This is best accomplished by posting negative, well researched data on the company, repetitively, while trying hard not to engage the Pumpers in direct repartee. REMEMBER, RESIST USING THE PUMPERS ALIAS!

Lesson 4: PUMPERS WILL LIE TO YOUR FACE. Never trust a Pumper. The truth on startup companies is that they make mistakes. What new company hasn't? The Pumper will compare your issue to another companies, financials - deals - management, etc., trying to lure you into making an Apples to Oranges comparison. Remember each company is unique and while it is prudent to seek out established indicators, do so with care and don't take someone else's word for it. Strive to come up with at least a "six-pack" of indicators so your vision of the state of a company is not tied to a single barometer. Not doing so is tantamount to going to a Race Track and betting on the "Pretty Brown Horsey".

PUMPERS WANT TO WHISPER IN YOUR EAR - PLANT A SEED OF DOUBT, AND HOPE THAT YOU ARE NOT SAVVY ENOUGH TO RESEARCH THE TRUTH ON YOUR OWN. This is how they achieve their greatest success.

GREED + FALSE HOPE + LAZINESS = BUY MORE!

This is your money ... you worked for it, protect it and don't panic buy on the words of very shadowy figure that "has your best interest in their heart". Consider that one factor: Someone you have never met, is not a member of your family, is now, out of the goodness of their hearts - GIVING YOU FREE ADVICE (that you didn't ask for). It's a no brainer. They have motives $$$$$$$$$$$$.

Lesson 5: Pumpers know YOU CAN'T VERIFY THEIR STATEMENTS. That's why they make the vague statements they do. They rely on you being to lazy to research their droppings other than to scan the board for others opinions. This is particularly dangerous when you consider that Pumpers work in packs and often validate and back up each others nonsense with what appears to be "innocuous and unsolicited" verification by comrade Posters. Let's face it, we are all conditioned to "believe" everything we see in writing. If others by virtue of their "posts" also confirm this belief, then we are subconsciously doomed to swallow the hook, line and sinker... Pumper - 1 Honest Investor - 0

Lesson 6: The Pumpers PLAY ON YOUR LACK OF KNOWLEDGE. They can lie about information and you won't know the difference (unless you have done your own DD on the company and know the truth and facts).

Lesson 7: Pumpers play on your lack of patience. You have held a stock for a while. You knew it will be a big stock someday, but the PUMPERS CAN GET TO YOU BECAUSE YOU ARE TIRED OF WAITING FOR YOUR GAIN. That's when the Pumper is best. You are tired. You have forgotten the goal for the stock was to hold it for one year. The Pumper is bothersome, so you dump it on a good day. Some others also dump. Then you get mad for your gain and return to let everyone know how mad you are. Then you turn into a semi-Pumperr as well. THE Pumper HAS WON, AND GAINED A NEW ALLY - YOU!

Lesson 8: DRIVE THE PRICE UP. That is the Pumpers job. The truth is not important. Lies are the norm. Post continuously on the board every day. They are trying to scare the newbies that are just investigating a stock. They are trying to wear down the faithful on the board and gain free reign and control.

A PUMPERS HANDBOOK:

Do not underestimate a Pumper influence on a stock. The Pro's are good at what they do and what they do is profit from your losses. Below is their "hand-book". Learn from it or you will be donating your hard earned money to them!

Rules for Successful Pumping:

1. Be anonymous

2. Use 10% fact. 90% suggestion. The facts will lend credibility to your suggestions.

3. Let others help you learn about the stock. Build rapport and a

support base before initiating your Pumping routine.

4. Enter with humor and reply to all who reply with support to you.

5. Use multiple ISP's, handles and aliases on multiple boards.

6. Use two (2) or more aliases to simulate a discussion. Use multiple boards.

7. Do not start with an all out slam of the stock. Build softly.

8. Identify your foes (Detractors) and the boards "guru" Use them to

your advantage. Lead them do not follow their lead.

9. Only Pump until the tide/momentum turns. Let doubt carry it the

rest of the way.

10. Give the appearance of being open minded.

11. Be bold in your statements. People follow strength.

12. Write headlines in caps with catchy statements.

13. Pour it on as your position gains momentum. Not your personality.

14. Don't worry about being labeled a "Pumper". Newbies won't

know your history.

15. When identified put up a brief fight, then back off. Return in an hour unless your foe is strong in reasoning powers.

16. Your goal is to limit the momentum of the drop. Not to let it tank the

company or create a plunge in the stock; be subtle and consistent.

17. Increase the dreams of profits in the company and the stock.

18. Use questions to create critical thinking. Statements to reinforce facts.

19. DO NOT LIE, NAME CALL or USE PROFANITY.

20. Encourage people to call the company. 99% won't. They'll take your word for claims made. If they do call you can always find something that is inaccurate in how they report their findings.

21. Encourage people from believing Press Releases. Discourage them to call the company. They won't out of laziness.

22. If the companies history/PR's are positive constantly point to that. Compile a list of this data prior to beginning your efforts.

23. If the price rises credit it on the hype or the PR, temporary

mass reaction, the market, etc.

24. If other posters share your concerns, play on that and share theirs too.

25. Always cite low volume, even when it's not.

26. Three or four aliases can dominate a board and wear down the longs.

27. Bait the Shorts into personal debates putting their focus/efforts on you and not the stock or facts. Divert their attention from facts.

28. Promote other stocks that would-be investors can turn to instead of the one your Pumping.

30. Do not fall for challenges on the "values" of what you are doing, it's a game and you are playing it with your own rules.

Grade 'A' Pumper:

If you post lots of old news, respond to all negative posts with a positive side. Never respond to being called a Pumper, never post on another board with same alias. Can spend up to 80 hours a week Pumping a stock.

Grade 'B' Pumper:

Very good way with words, always claims to be your "friend" taking the positive poster into confidence, never posts on another board, spends about 60 hours a week.

Grade 'C' Pumper:

Spends less time than the others but is somewhat effective and gets a C grade due to getting excited when Pumpers rules say not to get excited, spends about 40 hours a week.

Grade 'D' Pumper:

Needs to learn the basics about being convincing when making a positive statement. Spends a good amount of time working the stock, maybe 20 hours a week.

Grade 'F' Pumper:

A complete idiot, most readers are not convinced he knows anything about stocks in general. The type that says a stock "will rocket", but gives no rationale, shows up every so often but no regular schedule.

LEARN ABOUT HOW PUMPERS WORK: For instance: did you know that some Pumpers are paid?

Golden Rule:

IGNORE THEM ...learn how professional Pumpers are paid: When you REPLY to Pumpers you give them an opportunity to earn appox. 5-7 dollars. The service agreement they enter into with their employer states their messages will be monitored for content, profanity, lies, etc. but Overseers and the like don't have the time to check all their Pumpers messages. Only occasional spot checks are done. Those who manage the Pumper will generally read the headlines to see if a Pumper is replying to other posters by name. That tells them the Pumper isn't just "posting blindly" or repeating the same message over and over since they won't pay for those.(True to form a Pumper will put the bite on anyone, even their unscrupulous employer). A Pumper will attempt to milk three to five replies per post at one to two dollars each. This way the Pumper spreads negative influence to as many stockholders as possible. A Pumper will create this discussion thread because it takes less time reading more messages than is necessary. This ultimately allows the Pumper more time to post and make money. In general, NEVER ENGAGE A PUMPER. Make them read all the posts and think up ways to enter the discussion. NEVER ENGAGE A PUMPER; if you do so then YOU BECOME THE PUMPERS AID! If you feel compelled to challenge a Pumper do so without mentioning his/her true alias in your response. This will make it hard for the Pumper to use your post as a revenue stream. Read the news, do your own homework and make your own decisions. Get real time quotes and follow the stock for a couple of weeks. Due Diligence is key here. Know that there will be a time when the stock runs up which will be followed followed by the Pumpers and those that missed the boat. The Pumper will boost the stock by saying such things as "it's an easy double or triple” and "other posters are lying" and deceiving.

There goal is to sucker in newbies and potential new investors by "shaking" you into more shares. Take the time to confirm your DD ,trust your own judgement and believe in yourself, pick your point of return or loss and live with it. Don't listen to hype or Pumpers trust your own judgement. Live by the rules you have created .

HOW TO IDENTIFY A PUMPER

1. Check the "Born on Date" Pumpers create identities on a regular basis. Rarely do you find a Pumper with newer "Created On" date. So click on the Identity icon for more details.

2. Take the time to look at the Pumpers history of Posts. Go to other boards and see if their is a pattern to the theme of the posts. Pumpers rarely waste time trying to blend in with "negative" posts, unless they are cultivating a new uninformed assistant.

3. When did the Pumper show up. Pumpers rarely show up when activity is in at a Lull. They show up when activity is up/down.

4. Pumpers never answer direct questions except with another question.

5. Pumpers do their best work in teams (sometimes themselves as a team). So be suspicious of someone showing up and automatically having a Shadow to converse with who supports their argument.

6. Pumpers always select "an argument" that can never be resolved by research.

The Pumper 'Pack' Mentality

Pumpers love to work in packs. It provides the quintessential cover to achieve supposedly "independent" validation of an argument. It is neither independent nor validating.

Pack Structure: Pumper Packs can be comprised of any number of Pumpers. They can be purposely formed within an organization or they can be "ad hoc" formed during a conclave on a particular board. In fact a pack mentality can be achieved by an ambitious "party of one" with a few select aliases.

Once a pack is formed, a leader emerges. This leader is usually acknowledged by other Pumpers because of 1. Knowledge of the stock. or 2. Recognition by current board Shorts (high visibility). Once established the Leader will usually work the Pack members up in to a posting frenzy. Constantly changing themes and even occasionally biting the ear of another pack member (this earns instant credibility), and it doesn't offend the bitten Pumper because he/she knows it is all part of the effect. Quite sophisticated.

Packs will disband and slink away without notice. Usually this is the call of the Pack Leader who is adept at recognizing overplay. More often than not, Pack members must move on because they have other Pumping commitments to fulfill. They will return to the site of a good hunt over and over again, until hamstringing is achieved.

What calls a pack together. The Cry of the Leader. Certain Pumpers love to work together. They know each others bite, how to feign in and out, it is a well choreographed Pump when pack members have worked together before. They constantly check their "Sites Du Jour" for signs of Pack activity. Occasionally they will throw out a "Nibbler" Pump to see if the pack responds or if not they can work the site themselves. It's all about effectiveness, time and earning money.

If one is absolutely to be believed true then so is the other. The original was published several years ago and the Author is Unknown

There were a whole series published like Pump and Dump, Bash and Stash, Pump and Slam, etc. published on websites like themestream, netfirms and freestockpicks some of which are now dotbombs.

But nowhere was there a sequel

 

"Always Keep a healthy emotional/rational balance when approaching everything."

Reprinted here as a service to those who doubt this actually exists, or is simply an unfounded urban legend. Just go check i-H-u-B you will see a boatload of what is described above.

Read More

A BASHERS Handbook Extended

Is the "Bashing" of a stock an essential part of the online investment landscape?

Our Constitution guarantees us free speech and we have always valued the lessons gleaned from dissent. When does dissent cross over that imaginary line and become "Bashing"? To often we find well grounded dissent capriciously labeled as "Bashing" by over zealous investors bent on protecting a stocks reputation at any cost. The "Bashing" that is addressed on this site is quite different from dissent. The Anatomy of a Basher strives to look at the calculated erosion of confidence in a given stock. Erosion by means that are, in every sense, void of truth, hinged on deception and innuendo, and motivated by greed at the expense of others. This compendium is offered to aid in identifying the telltale signs of "Bashing", and hopefully provide a counter balance to this heretofore unchecked manipulation of investors fears for personal gain.

IS IT EASIER TO SCARE PEOPLE INTO SELLING THAN IT IS TO SCARE PEOPLE INTO BUYING A STOCK? I have asked some knowledgeable investors this question and the answer is always: "YES, OF COURSE YES!"

WHO BASHERS PREY UPON

Consider the elderly that are investing for retirement, they find their way to the message boards for validation only to see false posts about "SEC Violations" and "Class action suits"... or the head of a "typical growing family", with children to put through college, who is monitoring a message board only to read posts by a "pack of 15 to 20 Bashers" (probably 5 or 6 under various alias's) posting continuous disinformation... what do you think these new investors will do? It's safer to not buy or even sell the stock, put the money back in the bank than to deal with all this whirl wind of "unsupported" negative chaff.

The Internet has lured a whole new class of investor into the market. A new investor is just that - New! This new investor, while learning the basics, is particularly vulnerable to the tactics of professional Bashers. New investors tend to lurk in the background of message boards, content to form independent opinions based on what they read with their own eyes. Very often, honest, intelligent and cautious people can easily be overcome by a well orchestrated propaganda effort.

You must always remember that their is a lot of money to be made in just the motion of a stock UP or DOWN it doesn't matter! And Bashers have money at risk just as you do. But they have the edge of fear, lies, and falsehoods to post while preying on the un-initiated. The average investor dose not have the edge of organized deception.

Recent revelations have indicated that even Market Makers (those charged with keeping the playing field level) have been involved in stock manipulation by Bashing on a stock message board. HAVE NO DOUBT THAT THIS IS A REAL THREAT!


Lesson 1: Remember, BASHERS NEVER Bash A BAD STOCK. Check the boards for stocks with no potential. They never have any Bashers. Bashers only go after stocks that are moving up or have excellent potential to do so. Bashers work to bring the price down to either increase their position at the expense of others or help a Short make their bones.

Lesson 2: BASHERS ALWAYS BRING UP OLD NEWS THAT YOU HAVE HEARD MANY TIMES. New startup companies always have a few bits of bad news. The Basher will post this over and over again. Unsophisticated Bashers will try to freshen up old news with a new date or by-line in an attempt to fool you.

Lesson 3: BASHERS POST MANY TIMES A DAY. They try to wear you out. They comment on everything, every other post, and can answer every question. THEY KNOW IT ALL! There is no positive comment they won't Bash. They try to control the board. True longs may have to confront the Bashers or they will appear to the newbies as being the people with all the information. This is best accomplished by posting positive, well researched data on the company, repetitively, while trying hard not to engage the Bashers in direct repartee. REMEMBER - LONGS... RESIST USING THE BASHERS ALIAS!

Lesson 4: BASHERS WILL LIE TO YOUR FACE. Never trust a Basher. The truth on startup companies is that they make mistakes. What new company hasn't? The Basher will compare your issue to a another companies, financials - deals - management, etc., trying to lure you into making an Apples to Oranges comparison. Remember each company is unique and while it is prudent to seek out established indicators, do so with care and don't take someone else's word for it. Strive to come up with at least a "six-pack" of indicators so your vision of the state of a company is not tied to a single barometer. Not doing so is tantamount to going to a Race Track and betting on the "Pretty Brown Horsey". BASHERS WANT TO WHISPER IN YOUR EAR - PLANT A SEED OF DOUBT, AND HOPE THAT YOU ARE NOT SAVVY ENOUGH TO RESEARCH THE TRUTH ON YOUR OWN. This is how they achieve their greatest success.

DOUBT + FEAR + LAZINESS = BAIL OUT!

This is your investment... work for it, protect it and don't panic on the words of very shadowy figure that "has your best interest in their heart". Consider that one factor: Someone you have never met, is not a member of your family, is now, out of the goodness of their hearts - GIVING YOU FREE ADVICE (that you didn't ask for). It's a no brainer. They have motives $$$$$$$$$$$$.

Lesson 5: Bashers know YOU CAN'T VERIFY THEIR STATEMENTS. That's why they make the vague statements they do. They rely on you being to lazy to research their droppings other than to scan the board for others opinions. This is particularly dangerous when you consider that Bashers work in packs and often validate and back up each others nonsense with what appears to be "innocuous and unsolicited" verification by comrade Bashers. Let's face it, we are all conditioned to "believe" everything we see in writing. If others by virtue of their "posts" also confirm this belief, then we are subconsciously doomed to swallow the hook, line and sinker... Basher - 1 Honest Investor - 0

Lesson 6: The Bashers PLAY ON YOUR LACK OF KNOWLEDGE. They can lie about information and you won't know the difference (unless you have done your own DD on the company and know the truth and facts).


Lesson 7: Bashers play on your lack of patience. You have held a stock for a while. You knew it will be a big stock someday, but the BASHER CAN GET TO YOU BECAUSE YOU ARE TIRED OF WAITING FOR YOUR GAIN. That's when the Basher is best. You are tired. You have forgotten the goal for the stock was to hold it for one year. The Basher is bothersome, so you dump it on a bad day. Some others also dump. Then you get mad for your loss and return to let everyone know how mad you are. Then you turn into a semi-Basher as well. THE BASHER HAS WON, AND GAINED A NEW ALLY - YOU!

Lesson 8: BRING THE PRICE DOWN. That is the Basher's job. The truth is not important. Lies are the norm. Post continuously on the board every day. They are trying to scare the newbies that are just investigating a stock. They are trying to wear down the faithful longs on the board and gain free reign and control.

A BASHER HANDBOOK:

Do not underestimate a Bashers influence on a stock. The Pro's are good at what they do and what they do is profit from your losses. Below is their "hand-book". Learn from it or you will be donating your hard earned money to them!

---

HOW TO IDENTIFY A BASHER

1. Check the "Born on Date" Bashers create identities on a regular basis. Rarely do you find a Basher with older "Created On" date. So click on the Identity icon for more details.

2. Take the time to look at the Basher's history of Posts. Go to other boards and see if their is a pattern to the theme of the posts. Bashers rarely waste time trying to blend in with "positive" posts, unless they are cultivating a new uninformed assistant.

3. When did the Basher show up. Bashers rarely show up when activity is in at a Lull. They show up when activity up/down..

4. Bashers never answer direct questions except with another question.

5. Bashers do work in teams (sometimes themselves as a team). So be suspicious of someone showing up and automatically having a Shadow to converse with who supports their argument.

6. Bashers always select "an argument" that can never be resolved by research.



Grade 'A' Basher:
If you post lots of old news, respond to all positive posts with a negative side. Never respond to being called a Basher, never post on another board with same alias. Can spend up to 80 hours a week Bashing a stock.

Grade 'B' Basher:
Very good way with words, always claims to be your "friend" taking the positive poster into confidence, never posts on another board, spends about 60 hours a week.


Grade 'C' Basher:
Spends less time than the others but is somewhat effective and gets a C grade due to getting excited when Bashers rules say not to get excited, spends about 40 hours a week.


Grade 'D' Basher:
Needs to learn the basics about being convincing when making a negative statement. Spends a good amount of time working the stock, maybe 20 hours a week.


Grade 'E' Basher:
A complete idiot, most readers are not convinced he knows anything about stocks in general. The type that says a stock "sucks", but gives no rationale, shows up every so often but no regular schedule.

Rules for Successful Bashing:

1. Be anonymous

2. Use 10% fact. 90% suggestion. The facts will lend credibility to your suggestions.

3. Let others help you learn about the stock. Build rapport and a support base before initiating your Bashing routine.

4. Enter w/ humor and reply to all who reply to you.

5. Use multiple ISP's, handles and aliases.

6. Use two (2) or more aliases to simulate a discussion.

7. Do not start with an all out slam of the stock. Build softly.

8. Identify your foes (Longs) and the boards "guru" Use them to your advantage. Lead them do not follow their lead.

9. Only Bash until the tide/momentum turns. Let doubt carry it the rest of the way.

10. Give the appearance of being open minded.

11. Be bold in your statements. People follow strength.

12. Write headlines in caps with catchy statements.

13. Pour it on as your position gains momentum. Not your personality.

14. Don't worry about being labeled a "Basher". Newbies won't know your history.

15. When identified put up a brief fight, then back off. Return in an hour unless your foe is a weak in reasoning powers.

16. Your goal is to limit the momentum of the run. Not to tank the company or create a plunge in the stock; be subtle and consistent.

17. Kill the dreams of profits, not the company or the stock.

18. Use questions to create critical thinking. Statements to reinforce facts.

19. DO NOT LIE, NAME CALL or USE PROFANITY.

20. Encourage people to call the company. 99% won't. They'll take your word for claims made. If they do call you can always find something that is inaccurate in how they report their findings.

21. Discourage people from believing Press Releases. Encourage them to call the company. They won't out of laziness.

22. If the companies history/PR's are negative constantly point to that. Compile a list of this data prior to beginning your efforts.

23. If the price rises blame it on the hype or the PR, temporary mass reaction, the market, etc. Anything but the stock itself.

24. If other posters share your concerns, play on that and share theirs too.

25. Always cite low volume, even when it's not.

26. Three or four aliases can dominate a board and wear down the longs.

27. Bait the Longs into personal debates putting their focus/efforts on you and not the stock or facts. Divert their attention from facts.

28. Promote other stocks that would-be investors can turn to instead of the one your Bashing.

30. Do not fall for challenges on the "values" of what you are doing, it's a game and you are playing it with your own rules.

---

LEARN ABOUT HOW BASHERS WORK: For instance: did you know that some Bashers are paid?
Golden Rule:

IGNORE THEM ...learn how professional Bashers are paid: When you REPLY to Bashers you give them an opportunity to earn appox. 5-7 dollars. The service agreement they enter into with their employer states their messages will be monitored for content, profanity, lies, etc. but Overseers and the like don't have the time to check all their Bashers messages. Only occasional spot checks are done. Those who manage the Basher will generally read the headlines to see if a Basher is replying to other posters by name. That tells them the Basher isn't just "posting blindly" or repeating the same message over and over since they won't pay for those.(True to form a Basher will put the bite on anyone, even their unscrupulous employer). A Basher will attempt to milk three to five replies per post at one to two dollars each. This way the Basher spreads negative influence to as many stockholders as possible. A Basher will create this discussion thread because it takes less time reading more messages than is necessary. This ultimately allows the Basher more time to post and make money. In general, NEVER ENGAGE A BASHER. Make them read all the posts and think up ways to enter the discussion. NEVER ENGAGE A BASHER; if you do so then YOU BECOME THE BASHER,S AID! If you feel compelled to challenge a Basher do so without mentioning his/her true alias in your response. This will make it hard for the Basher to use your post as a revenue stream. Read the news, do your own homework and make your own decisions. Get real time quotes and follow the stock for a couple of weeks. Due Diligence is key here. Know that there will be a time when the stock runs up which will be followed followed by the Bashers and those that missed the boat. The Bashers will trash the stock by saying such things as "it's a Pump and Dump" and "the company is lying" and deceiving. There goal is to scare off newbies and potential new investors by "shaking" you out of your shares. Take the time to confirm your DD ,trust your own judgement and believe in yourself, pick your point of return or loss and live with it. Don't listen to hype or Bashers trust your own judgement. Live by the rules you have created .

---

The Basher 'Pack' Mentality

Bashers love to work in packs. It provides the quintessential cover to achieve supposedly "independent" validation of an argument. It is neither independent nor validating.

Pack Structure: Basher Packs can be comprised of any number of Bashers. They can be purposely formed within an organization or they can be "ad hoc" formed during a conclave on a particular board. In fact a pack mentality can be achieved by an ambitious "party of one" with a few select aliases.

Once a pack is formed, a leader emerges. This leader is usually acknowledged by other Bashers because of 1. Knowledge of the stock. or 2. Recognition by current board Longs (high visibility). Once established the Leader will usually work the Pack members up in to a posting frenzy. Constantly changing themes and even occasionally biting the ear of another pack member (this earns instant credibility), and it doesn't offend the bitten Basher because he/she knows it is all part of the effect. Quite sophisticated.

Packs will disband and slink away without notice. Usually this is the call of the Pack Leader who is adept at recognizing overplay. More often than not, Pack members must move on because they have other Bashing commitments to fulfill. They will return to the site of a good hunt over and over again, until hamstringing is achieved.

What calls a pack together. The Cry of the Leader. Certain Bashers love to work together. They know each others bite, how to feign in and out, it is a well choreographed Bash when pack members have worked together before. They constantly check their "Sites Du Jour" for signs of Pack activity. Occasionally they will throw out a "Nibbler" Bash to see if the pack responds or if not they can work the site themselves. It's all about effectiveness, time and earning money.

< BEWARE OF THE PACK > negativity tends to breed negativity .... Creating uncertianty tends to create fear and fear tends to create selling ... BUY the FEAR. 

Author: Unknown 
Keep a healthy emotional/rational balance when approaching everything.

Reprinted here as a service to those who doubt this actually exists, or is simply an unfounded urban legend. Just go check i-H-u-B you will see a boatload of what is described above.

Read More

Is the SEC Covering Up Wall Street Crimes?

Imagine a world in which a man who is repeatedly investigated for a string of serious crimes, but never prosecuted, has his slate wiped clean every time the cops fail to make a case. No more Lifetime channel specials where the murderer is unveiled after police stumble upon past intrigues in some old file – "Hey, chief, didja know this guy had two wives die falling down the stairs?" No more burglary sprees cracked when some sharp cop sees the same name pop up in one too many witness statements. This is a different world, one far friendlier to lawbreakers, where even the suspicion of wrongdoing gets wiped from the record.

That, it now appears, is exactly how the Securities and Exchange Commission has been treating the Wall Street criminals who cratered the global economy a few years back. For the past two decades, according to a whistle-blower at the SEC who recently came forward to Congress, the agency has been systematically destroying records of its preliminary investigations once they are closed. By whitewashing the files of some of the nation's worst financial criminals, the SEC has kept an entire generation of federal investigators in the dark about past inquiries into insider trading, fraud and market manipulation against companies like Goldman Sachs, Deutsche Bank and AIG. With a few strokes of the keyboard, the evidence gathered during thousands of investigations – "18,000 ... including Madoff," as one high-ranking SEC official put it during a panicked meeting about the destruction – has apparently disappeared forever into the wormhole of history.
Under a deal the SEC worked out with the National Archives and Records Administration, all of the agency's records – "including case files relating to preliminary investigations" – are supposed to be maintained for at least 25 years. But the SEC, using history-altering practices that for once actually deserve the overused and usually hysterical term "Orwellian," devised an elaborate and possibly illegal system under which staffers were directed to dispose of the documents from any preliminary inquiry that did not receive approval from senior staff to become a full-blown, formal investigation. Amazingly, the wholesale destruction of the cases – known as MUIs, or "Matters Under Inquiry" – was not something done on the sly, in secret. The enforcement division of the SEC even spelled out the procedure in writing, on the commission's internal website. "After you have closed a MUI that has not become an investigation," the site advised staffers, "you should dispose of any documents obtained in connection with the MUI."
Many of the destroyed files involved companies and individuals who would later play prominent roles in the economic meltdown of 2008. Two MUIs involving con artist Bernie Madoff vanished. So did a 2002 inquiry into financial fraud at Lehman Brothers, as well as a 2005 case of insider trading at the same soon-to-be-bankrupt bank. A 2009 preliminary investigation of insider trading by Goldman Sachs was deleted, along with records for at least three cases involving the infamous hedge fund SAC Capital.
The widespread destruction of records was brought to the attention of Congress in July, when an SEC attorney named Darcy Flynn decided to blow the whistle. According to Flynn, who was responsible for helping to manage the commission's records, the SEC has been destroying records of preliminary investigations since at least 1993. After he alerted NARA to the problem, Flynn reports, senior staff at the SEC scrambled to hide the commission's improprieties.
As a federally protected whistle-blower, Flynn is not permitted to speak to the press. But in evidence he presented to the SEC's inspector general and three congressional committees earlier this summer, the 13-year veteran of the agency paints a startling picture of a federal police force that has effectively been conquered by the financial criminals it is charged with investigating. In at least one case, according to Flynn, investigators at the SEC found their desire to bring a case against an influential bank thwarted by senior officials in the enforcement division – whose director turned around and accepted a lucrative job from the very same bank they had been prevented from investigating. In another case, the agency farmed out its inquiry to a private law firm – one hired by the company under investigation. The outside firm, unsurprisingly, concluded that no further investigation of its client was necessary. To complete the bureaucratic laundering process, Flynn says, the SEC dropped the case and destroyed the files.
p.2
Much has been made in recent months of the government's glaring failure to police Wall Street; to date, federal and state prosecutors have yet to put a single senior Wall Street executive behind bars for any of the many well-documented crimes related to the financial crisis. Indeed, Flynn's accusations dovetail with a recent series of damaging critiques of the SEC made by reporters, watchdog groups and members of Congress, all of which seem to indicate that top federal regulators spend more time lunching, schmoozing and job-interviewing with Wall Street crooks than they do catching them. As one former SEC staffer describes it, the agency is now filled with so many Wall Street hotshots from oft-investigated banks that it has been "infected with the Goldman mindset from within."
The destruction of records by the SEC, as outlined by Flynn, is something far more than an administrative accident or bureaucratic fuck-up. It's a symptom of the agency's terminal brain damage. Somewhere along the line, those at the SEC responsible for policing America's banks fell and hit their head on a big pile of Wall Street's money – a blow from which the agency has never recovered. "From what I've seen, it looks as if the SEC might have sanctioned some level of case-related document destruction," says Sen. Chuck Grassley, the ranking Republican on the Senate Judiciary Committee, whose staff has interviewed Flynn. "It doesn't make sense that an agency responsible for investigations would want to get rid of potential evidence. If these charges are true, the agency needs to explain why it destroyed documents, how many documents it destroyed over what time frame and to what extent its actions were consistent with the law."
How did officials at the SEC wind up with a faithful veteran employee – a conservative, mid-level attorney described as a highly reluctant whistle-blower – spilling the agency's most sordid secrets to Congress? In a way, they asked for it.
On May 18th of this year, SEC enforcement director Robert Khuzami sent out a mass e-mail to the agency's staff with the subject line "Lawyers Behaving Badly." In it, Khuzami asked his subordinates to report any experiences they might have had where "the behavior of counsel representing clients in... investigations has been questionable."
Khuzami was asking staffers to recount any stories of outside counsel behaving unethically. But Flynn apparently thought his boss was looking for examples of lawyers "behaving badly" anywhere, including within the SEC. And he had a story to share he'd kept a lid on for years. "Mr. Khuzami may have gotten something more than he expected," Flynn's lawyer, a former SEC whistle-blower named Gary Aguirre, later explained to Congress.
Flynn responded to Khuzami with a letter laying out one such example of misbehaving lawyers within the SEC. It involved a case from very early in Flynn's career, back in 2000, when he was working with a group of investigators who thought they had a "slam-dunk" case against Deutsche Bank, the German financial giant. A few years earlier, Rolf Breuer, the bank's CEO, had given an interview to Der Spiegel in which he denied that Deutsche was involved in übernahmegespräche – takeover talks – to acquire a rival American firm, Bankers Trust. But the statement was apparently untrue – and it sent the stock of Bankers Trust tumbling, potentially lowering the price for the merger. Flynn and his fellow SEC investigators, suspecting that investors of Bankers Trust had been defrauded, opened a MUI on the case.

" " " " " " " " " "  " " " " " " "" " " " " " "

p.9 
But even if SEC officials manage to dodge criminal charges, it won't change what happened: The nation's top financial police destroyed more than a decade's worth of intelligence they had gathered on some of Wall Street's most egregious offenders. "The SEC not keeping the MUIs – you can see why this would be bad," says Markopolos, the fraud examiner famous for breaking the Madoff case. "The reason you would want to keep them is to build a pattern. That way, if you get five MUIs over a period of 20 years on something similar involving the same company, you should be able to connect five dots and say, 'You know, I've had five MUIs – they're probably doing something. Let's go tear the place apart.'" Destroy the MUIs, and Wall Street banks can commit the exact same crime over and over, without anyone ever knowing.
Regulation isn't a panacea. The SEC could have placed federal agents on every corner of lower Manhattan throughout the past decade, and it might not have put a dent in the massive wave of corruption and fraud that left the economy in flames three years ago. And even if SEC staffers from top to bottom had been fully committed to rooting out financial corruption, the agency would still have been seriously hampered by a lack of resources that often forces it to abandon promising cases due to a shortage of manpower. "It's always a triage," is how one SEC veteran puts it. "And it's worse now."
But we're equally in the dark about another hypothetical. Forget about what might have been if the SEC had followed up in earnest on all of those lost MUIs. What if even a handful of them had turned into real cases? How many investors might have been saved from crushing losses if Lehman Brothers had been forced to reveal its shady accounting way back in 2002? Might the need for taxpayer bailouts have been lessened had fraud cases against Citigroup and Bank of America been pursued in 2005 and 2007? And would the U.S. government have doubled down on its bailout of AIG if it had known that some of the firm's executives were suspected of insider trading in September 2008?
It goes without saying that no ordinary law-enforcement agency would willingly destroy its own evidence. In fact, when it comes to  garden-variety crooks, more and more police agencies are catching criminals with the aid of large and well-maintained databases. "Street-level law enforcement is increasingly data-driven," says Bill Laufer, a criminology professor at the University of Pennsylvania. "For a host of reasons, though, we are starved for good data on both white-collar and corporate crime. So the idea that we would take the little data we do have and shred it, without a legal requirement to do so, calls for a very creative explanation."
We'll never know what the impact of those destroyed cases might have been; we'll never know if those cases were closed for good reasons or bad. We'll never know exactly who got away with what, because federal regulators have weighted down a huge sack of Wall Street's dirty laundry and dumped it in a lake, never to be seen again.
Editor’s Note: The online version of this article has been amended from the print version to reflect that the SEC’s case against Deutsche Bank proceeded beyond a Matter of Inquiry to a full-blown investigation.

 By Matt Taibbi August 17, 2011 8:00 AM ET  (pages 1 - 2 and 9 full article HERE on RollingStone)

Read More

8 WAYS TO RECOGNIZE A POTENTIAL PUMP & DUMP

Pump & dumps are illegal stock hypes, usually within the penny or microcap market, performed to artificially raise the trading volume and often the price of a stock ("pumping") through a campaign of hype which may include misinformation and/or misrepresentation. This enables insiders or other large shareholders to sell their stock ("dumping"). Dupes purchase the stock and unwittingly create a façade of legitimacy. This can entice even more people to believe the hype and buy even more shares. Once the schemers have sold their shares, the pumping ends, and the share price plummets.

Pump & dumps are indicated by...

1. SPAM EMAIL
A legitimate company will never send you spam email. First of all, spam is illegal. Secondly, all the information that they would need to get out to the public is disseminated though press releases. If they need to make themselves aware to the public, they do it through a number of legitimate campaigns such as advertising, technology fairs and the like.

2. STOCK TOUTS
Sometimes emails received are from a free subscription based touting service. Sign-ups are how these touts get around spam laws. However, the intent is the same: to con you out of your money. These touts are paid by the people intending to dump their stock on you and usually say so in the fine print of their promotions. While their names are constantly changing currently subscriptions are available to StocksGoneWild.com, EpicStockPicks.com and countless others. These sites often tout the same stock and there is a good reason for that. Touts usually own many touting sites and promote under various names in order to give the perception of a wide following for the particular stock they are touting.

MoneyTV with Donald Baillargeon is another touting service paid for by insiders wishing to promote their stock under the perception of a TV interview show. The fact is that these insiders pay to be on this "show" and just about the only place you'll see the interview is on MoneyTV's own website. The insiders will usually disseminate a press release bragging about how they were interviewed on MoneyTV in an effort towards self-importance.

3. THE BACKGROUND OF THE OFFICERS
There's an old saying, "Once a crook, always a crook", and that's why it's always a good idea to see who is running the show at the company. Verify his resume. Most companies at one time, will offer up the qualifications of the President, CEO or other officers. Check his past involvement with public companies and the past performance of that stock. Chances are that if he's been involved with past pump and dumps or other schemes, you're now looking at one that is heading in that direction. Also, it is a good idea to look into court records of the individual(s) involved and their previous companies and see if anyone has been involved in civil or criminal proceedings, especially for fraud.

4. MESSAGE BOARD CONTENT
Yes, forums such as investorshub.com, siliconinvestor.com or the Yahoo Finance Message Boards usually contain contributions from child-like posters who are there for no other reason than to try and convince themselves that they made a good investment. But you can often find the touts or Investor Relations guy posting anonymously trying to keep the pom poms shaking and keeping the naysayers in check. They know that people who are apt to follow spam email or stock touts probably consider these message boards to be research so they want to bluster about their great investment and brag about all the money they are supposedly making. These are the guys who call anybody negative or questioning the company a "paid basher" (there is no such thing) or the ones who claim they have done their "DD" ( due diligence) when there is really none to be done. When you ask what DD they did, they will be vague with their answer or give a non-answer, with a "Because I said so" kind of response. They are also the ones who offer up lame excuses for down days such as naked short selling (does not occur in the penny stock market) or MM (market maker) manipulation. They are also the ones who make bold and baseless predictions like, "This is an easy ten-bagger" (stock price will increase by a multiple of ten).

5. CLAIMS OF BREAKTHROUGHS
Beware if the company claims to be an industry leader (do you really think a penny stock can be a leader in anything except possibly scams?) or has made a breakthrough discovery. A company with legitimate breakthrough technology is unlikely to be promoting itself on the penny stock market and will most likely have funding available to it within a variety of partnerships with major companies. These same companies will not likely be interested in dealing with a penny stock company.

6. PRICE AND VOLUME UPSWING ON NO NEWS
If a stock's trading volume and price per share, show a recent and sudden increase, there is a good chance that the stock is being set up for a pump and dump. Especially if it has been involved in one in the past.

7. FINANCIALS (or lack thereof)
A legitimate company will always make recent financials available, even if it is a penny stock that is not required to file financials with the SEC. And if there are financials are they fabricated? Would a billion dollar company be found within a penny stock?

8. ISSUED AND OUTSTANDING
If nobody will tell you how many shares are out on the street or if that number is disproportionate to the stock price (a billion shares of a stock trading @ one tenth of a penny for example, stay away. Chances are a reverse split is coming and you will be left with only a few shares worth a fraction of what you spent. 

Source: Interesting article on PumpandDumps.com

Read More

(CPMCF) Joe Bucci Fail To File SEC Filing then use 13 year Old Data To Claim $1 Billion Value

Posted by Timothy Sykes on Tue 2nd of Nov, 2010 08:45:13 AM

As I wrote yesterday in an expose entitled How Joe Bucci Of Ox Financial Turned $184k Into $75+ Million In 4 Months Working From This Shabby House & Cell Phone [AMAZING STORY & PICTURE], Coastal Pacific Mining Corp (CPMCF) is nothing more than a one man paid pump from a guy working out of his house via his cell phone.

I am short this paid pump and so far have been deadwrong about how high it’d go, underestimating Joe Bucci and his desire to see his stock rise exponentially, seemingly unaware or more likely not caring that his actions will likely get his stock halted and investigated by the SEC/ASC.

PennyStocking Silver subscribers and TIMalert subscribers know I’ve called several halts/SEC investigations ahead of time, namely EMERGENT HEALTH CORP (EMGE), Spongetech Delivery Systems, Inc. (SPNGQ) and Genova Biotherapeutics, Inc. (GVBP) each time being threatened by the CEO, simply by digging through the companies own SEC filings which are usually so ugly/telling, they can be used as exhibits in court cases against the companies!…and yes, I did warn subscribers of my 4 newsletters in our chatroom less than an hour before Clean Diesel Technologies, Inc. (CDTID) was halted.


This morning Joe Bucci’s CPMCF/Ox Financial failed to report their quarterlies, not ended anytime recent, but all the way back to April 2010. In an SEC filing detailing this one-man operation’s failure to file on time, , Bucci uses the excuse:

The Form 20-F for the period ended April 30, 2010 will not be submitted by the deadline due to a situation where the workload exceeds available personnel.
Why don’t they hire people then?

Because while Bucci pays himself a nice salary, CPMCF/Ox Financial/Joe Bucci (is there really any difference between the three, wouldn’t it be more honest to have the ticker be BUCCI or CELL (based on the fact that Bucci operates this now $100+ million company from his cell phone) doesn’t exactly have much $/an operating budget, the same SEC filing shows:

Net losses for the period ending April 30, 2010 are estimated to be $210,191 (2009 – $140,425) and relate mainly to management fees for fiscal 2010 of $120,000 (2009 – $60,000)

Not that the numbers can even be trusted since:
The Registrant’s independent auditors will also not be able to complete their review of the financial statements prior to November 1, 2010.

I don’t even do the hardcore digging these guys do so I hope Melissa and her team get interested in this as I’d be cruious to see how deep the paid pump hole goes…

But Joe Bucci really just dug his own business grave with his press release last night, by using 13 year-old data “calculates that based on the samplings and other geological work performed through to 1997″ and saying their assets have “potential values in excess of 1 billion dollars.”

The MORON includes a disclaimer IN the press release, not just at the end (although he does that too):
Note that while the above noted estimates are taken from historical data the Company believes to be accurate, these estimates are not derived from NI43-101 compliant mineral resource or mineral reserve studies, and are not to be construed as actual or potential reserves on the Property.

As InvestorsLive did a great post on this new twist on this paid pump, he eloquently states “WHEN A COMPANY HAS A DISCLAIMER IN THE PRESS RELEASE … THAT’S WHEN YOU KNOW … THEY KNOW … IT’S BULL SHIT”
And of course all the paid promoters have sent out more mailers hyping up the $1 billion number…not the disclaimer….

You should definitely read IL’s entire post because there are several reasons why CPMCF is like GVBP, which did get halted before dropping 99% (I shorted in the 40 cent area and while I had similar $6k losses at first, I made it all back and more, covering some of my short at 3 cents/share after the SEC halt

Mark my words, I may continue getting squeezed on my short (I reduced my position to reduce my risk, total realized gains of $400ish LOL) and I may well lose, but I and just about every other short sellers who respects the truth will try to short MUCH more on the inevitable way down/before a potential halt and even if I and others can’t find shares to short, in the end we will all look down from heaven on Joe Bucci who will be burning in hell for all eternity for his sins and subscribers of my 4 newsletters, the most agile who have actually gone long since pumps can be great buys before they are dumps, will have learned and profited…and avoided losses.

Is it illegal what Joe Bucci (who is the ONLY company contact via his cell phone and their hilarious company headquarters and only employee for this now $125+ million company with no revenues, cash or assets…remember he acquired 92 million shares at .002 cents/share) is doing?
That’s not for me to judge…I’m just a trader and teacher, not an SEC/ASC employee. All I know is it’s certainly unethical and wrong and unless we start tarring and feathering these people, they’ll keep doing it and Joe Bucci does deserve to be tarred and feathered for promoting in such a blatant way that will inevitably lose the suckers who believe him millions of dollars.

This great career criminal once remarked to me that people with no ethics, morality and no respect for doing the right thing/being honest have SUCH an advantage over those who do because they know what they’re doing is wrong and their main goal is not to get caught…while it’s much more difficult for honest/hard-working people with actual products and honesty because we do have to play by the rules (finding shares to short, risking pumps existing longer than you expect, risking margin calls…)
But it is right and just to expose such disgusting behavior…and better yet to learn to profit from it because it exemplifies Wall Street.

Read More

PennyStockChaser Stock Promoters Busted By SEC [EPIC FAIL]

Original Post by Timothy Sykes on Tue 29th of Jun, 2010

PennyStocking Silver subscribers and students of my 10 instructional DVD packages know this is bittersweet for me because as much as I despise PSC and KNOW they’re destined for hell due to their ripping off so many thousand people, I also need manipulative bastards such as them to stick around because their manipulation is predictable and by trading legally off of it has made me a millionaire and has helped several of the subscribers to my 4 newsletters get well on their way to becoming millionaires too.


PennyStockChaser has indeed been shut down by the SEC and even had their assets frozen.

SEC Charges Two Canadians With Fraudulently Touting Penny Stocks on a Website, Facebook and Twitter SEC LINK HERE

FOR IMMEDIATE RELEASE
2010-114
Washington, D.C., June 29, 2010 — The Securities and Exchange Commission announced today that it has obtained an emergency asset freeze against a Canadian couple who fraudulently touted penny stocks through their website, Facebook and Twitter. The SEC also charged two companies the couple control and obtained an asset freeze against them.

According to the SEC’s complaint, the defendants profited by selling penny stocks at or around the same time that they were touting them on www.pennystockchaser.com. The website invites investors to sign up for daily stock alerts through email, text messages, Facebook and Twitter.
The SEC alleges that since at least April 2009, Carol McKeown and Daniel F. Ryan, a couple residing in Montreal, Canada, have touted U.S. microcap companies. According to the SEC’s complaint, McKeown and Ryan received millions of shares of touted companies through their two corporations, defendants Downshire Capital Inc., and Meadow Vista Financial Corp., as compensation for their touting. McKeown and Ryan sold the shares on the open market while PennyStockChaser simultaneously predicted massive price increases for the issuers, a practice known as “scalping.”

“As alleged in our complaint, McKeown and Ryan used all the modern methods to communicate with investors including the PennyStockChaser website, e-mail, text messages, Facebook, and Twitter yet failed to adequately communicate that their rosy predictions for touted stocks were accompanied by their sales of those very same stocks.” said Eric I. Bustillo, Director of the SEC’s Miami Regional Office.
The SEC’s complaint, filed in the U.S. District Court for the Southern District of Florida, also alleges McKeown, Ryan and one of their corporations failed to disclose the full amount of the compensation they received for touting stocks on PennyStockChaser. The SEC alleges that McKeown, Ryan and their corporations have realized at least $2.4 million in sales proceeds from their scalping scheme.

The SEC’s complaint charges McKeown, Ryan, Downshire Capital Inc. and Meadow Vista Financial Corp. with violating Section 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934, and Rule 10b-5 thereunder. The SEC’s complaint also charges McKeown, Ryan and Meadow Vista Financial Corp. with violating Section 17(b) of the Securities Act of 1933. In addition to the emergency relief already granted by the U.S. District Court the Commission also seeks a preliminary injunction and permanent injunction, along with disgorgement of ill-gotten gains plus prejudgment interest and the imposition of a financial penalty, penny stock bars against the individuals and the repatriation of assets to the United States.
In the course of its investigation, the SEC worked with the Quebec Autorité des marchés financiers (AMF), which was also investigating this matter. As a result of both ongoing investigations, the AMF obtained an emergency order freezing assets and a cease trade order against McKeown, Ryan, Downshire Capital Inc. and Meadow Vista Financial Corp. The SEC appreciates the collaboration with the AMF.
The SEC’s case was investigated by Michael L. Riedlinger, Timothy J. Galdencio and Eric R. Busto of the Miami Regional Office. The SEC’s litigation effort will be led by Christine Nestor, Amie R. Berlin and Robert K. Levenson. The SEC’s investigation is continuing.

 Here are the exclusive pics of the couple Carol McKeown and Daniel F. Ryan:

Read More