TSC Posts some responses to H. Greenber-Way to go Armin!
Readers Rake Herb Over the Coals for IDT Article
By TSC Readers (TheStreet.com)
7/8/99 1:26 PM ET
TSC readers, why don't you tell us what you really think about Herb
Greenberg's column Has IDT Been Making Loans to a Company That Doesn't
Technically Exist? Seems Herb hasn't taken this kind of beating since
his Iomega (IOM:NYSE) days. Check out what's been said. Then jump on the
bandwagon or fly to the column's defense by emailing us. Don't forget
your full name, not to mention any position in IDT.
And the Problem Is...?
I don't see the problem with companies funding start-ups. This is not a
conforming bank loan and it's easier if you loan the money rather than
send it as capital to write off if the project goes belly-up. If there
was really something nefarious going on, I would appreciate your
thoughts, but in this case: So what?
P.S. I'm long IDT (IDTC:Nasdaq).
-- Michael Lee (received 7/7)
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I am surprised you released this article without getting all the facts.
It seems to me you were a little hasty and could have done a better job
of filling in the holes.
Tantalizing as it may be, hasty journalism is not that valuable to
serious investors.
-- Erwin Hosono (received 7/7)
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Having been a public accountant for many years and understanding what
you were trying to say in your article on IDT, I feel it was nothing
more than a cheap shot that gives me reason to question your motives and
reporting responsibilities.
-- Chuck Irwin (received 7/8)
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I think that investigative reporting is a good thing, and corrupt
companies should be scrutinized by brokers and journalists to safeguard
all investors. On that point, here's credit to you, Herb!
But if you don't mind my saying so, I think you thought you had a big
story you couldn't wait to publish. You should talk directly to the CEO
of IDT first before going to press.
If this is a favored loan and is related, as you think it is, then you
should as a responsible citizen report the matter to the SEC. As an
investor of IDT, you have created more uncertainty and have not
published anything concrete. On this count, you have failed. I await
more on this story with trepidation!
-- Hock Chua (received /7/8)
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Herb Greenberg: I read your column on IDT. You insinuate many shady
things without evidence. This is shabby journalism at the least and
possibly slanderous and libelous. I had signed up for your service but
now I'm going to cancel my subscription. Do you realize that what you
publish may affect investors' financial health?
I as well as many others lost significant amounts of money today due to
your careless "journalism." I hope that either shareholders or IDT takes
legal action against you for the damage inflicted today by this crap. I
wonder how many other investors will cancel their subscriptions because
of your underhanded work. You will never have any of my business in the
future.
-- Lt. Michael A. Bidus, MC, USNR (received 7/7)
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The first sentence of the article is totally misleading and certainly
doesn't tie in with rest. If you want to be a shill for people like
David Rocker, that's fine, but why not state that and disclose what
benefits you are receiving from this relationship?
I have seen the same kind of slanted reporting once before from you with
respect to C-Cube (CUBE:Nasdaq). It wasn't wrong, just misleading and
slanted and, just like this story, was made public just as the stock
started to gain some nice momentum. That movement was nipped in the bud
by this kind of reporting.
You mention the credit line but do not say how much is outstanding. You
don't tell us exactly what this company does and whether IDT has an
interest in it.
Did you ask these questions of anyone? If the company doesn't exist, why
didn't you speak with IDT's auditors? A $25 million line is a material
item, I would think.
I plan on reporting this matter to the SEC. I am tired of your antics,
and I would hope that the editor would crack down on some of this
self-serving drivel.
-- Armin Sternberg (received 7/7)
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Until today, I had a degree of measured respect for what I thought was
journalism, and the efforts of your company. Yes, I am an IDT
shareholder long term. However, I would be just as shocked if you had
written the article on any other company, public or private. I do know
one thing -- after sampling the "free trial" period with The Street.com,
I will not return.
-- Steve Washington (received 7/7)
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I hope I didn't pay a subscription to have articles like this written.
You guys could write pieces like this all day long about every soap
opera in every company. If you really want to do this, why don't you go
after the big boys?
-- Michael Leone (received 7/7)
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Herb, I really miss your columns that focus on companies that are on the
go, not the decline. I made money off your article on Verity (VRTY
:Nasdaq) and really look forward to discovering what to invest in.
-- Jim Robertson (received 7/7)
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That does it!
That last piece of trash from Greenberg re: IDT was so bad that he hurt
the credibility of TheStreet.com. You really need to rein him in or get
rid of him. That was such unbelievably bad reporting. Send him to the
National Enquirer. He has a future there.
If the TheStreet.com continues such trash reporting, I'll pull my
subscription and encourage many others to do the same.
-- Jeff Colter (received 7/7) |
