J'accuse!
Dreyfus Aggressive Fund affair continues
By Craig Tolliver, CBS MarketWatch
Mutual Fund Center
Robert J. Flaherty, editor of Equities magazine, assailed Barron's for two articles published in July on the continuing saga of Dreyfus' Premiere Aggressive Fund (DRLEX) and Aggressive Fund (DGVAX).
"J'accuse," said Flaherty likening the Barron's stories headlined "Wounded Lion" and "L'Affaire Dreyfus" to that of the French generals who victimized a defenseless Jewish officer named Dreyfus more than a century ago. Underwriter Peter Janssen, Flaherty said, was blamed unfairly by Barron's for the poor performance of the two Dreyfus funds.
Flaherty pointed out that during the period in which the magazine graphed the collapse of the funds, the value of Janssen's three medical picks rose. The much-reported Chromatics Color Sciences (CCSI), Cytoclonal Pharmaceutical (CYPH) and MacroChem (MCHM) have, however, taken a drubbing in recent months.
Equities, a 47-year-old monthly, accused short sellers of bringing on the demise of these funds, adding that Barron's relied heavily on charges broadcast over the Internet by short seller Manuel Asensio of Asensio & Co.
Flaherty labeled his magazine's investigation one of the most important stories of his 37 years in financial journalism. The entire career of one individual could be damaged by this smear, he said. |
