Unfortunately for all of you, I must respond to this.
Al-len,
Since you choose to use a straw man argument, allow me to knock it down.
First of all, let me say that I'm not a broker and have no association with the securities industry in any way, shape, or form.
Since July of 1997, Al-len, and many others have formed a group they name "The Cartel" founded and led by a self-proclaimed psychic detective. This group has focused upon an alledged 4 million share short position in their little stock, RMIL. Their strategy has been to buy shares and take immediate delivery hoping to "squeeze" these naked shorters into covering. To be brief, their stock ran from 0.19 to $4 in early November as people bought into the squeeze scenario. The stock last traded on 22 December at $1 1/4 despite claims that almost the entire float is in certificate form.
However, this company has apparently failed to provide proper and current financial statements and has issued what seem to be misleading press releases related to a $10 million financing agreement that was supposed to be "in the bank" anywhere between the first week of November up to the absolute drop dead date of 24 Dec.
This company was halted by the SEC on the 22nd of December.
Now for Al-len's statements towards myself. Over the past 2 years I have been involved in utilizing the internet as a tool for creating investor groups that share collective due diligence. I published a electronic shareholder "gossip" letter as a means of relaying information of which I became aware related to a company, GRNO. This was information that the CEO of this company wanted his shareholders to know but was not worthy of a press release. It was information that he would be willing to tell any shareholder who called him. It was not insider information, and I NEVER encouraged anyone to buy or sell the stock. My purpose was to encourage confidence through knowledge of the company.
There was considerable discussion of this stock on SI and AOL last spring. Many of these shareholders also had held shares in another stock, GIFS. GIFS was a fraud, internet discussions of which, I opine, bear remarkable similiarties to the discussions over RMIL. These include the inability to verify assets, operations, status of insider's stock positions, and claims of a LARGE SHORT position. There existed a strong effort in GIFS have people take delivery of certificates as well. GIFS was halted in April, 1997, and its CEO is a fugitive from the law.
GIFS plays an important part in all of this since I strongly believe that the cross-pollination of postings between GRNO and GIFS shareholders, to include myself resulted in GRNO being painted with the same brush as GIFS. GRNO was halted in May of 1997. In all, 6 companies were halted by the SEC's internet surveillance pilot project in Miami last spring. Of those 6 companies only GRNO and one other are still trading and in operation.
In late May, I contacted the SEC staff attorney in charge of the GRNO investigation asking him the reasons for the halt. I told him that I had been very active in creating shareholder awareness of the company and operated an unofficial shareholder newsletter(with disclamatory paragraphs) for the purpose of promoting diligence and shareholder education. He issued me a subpoena for my trading and financial records which were provided in full cooperation with the investigation. I have complied and since September of 1997, have heard nothing further from the agency. I have no reason to expect any future contact. Furthermore, my belief in this company is so strong for the future that I continue to hold every share that I have purchased. GRNO has recently began issuing financials once again, and has entered into an agreement with the SEC that has no apparent financial sanctions. There is more to this story, but it will have to wait for the company to officially release it.
The SEC, as I have subsequently discovered, is having a very difficult time policing the internet. They only have so many personnel and much of their equipment is out of date. For instance, I was told that the staff attorney looking at GRNO was using his own AOL account to look at internet postings. They don't know who is a broker, promoter, or merely an individual investor. The internet is the equivalent of the "wild west" and nearly impossible to police properly. Investigations are expensive and require considerable fact finding on their part. Thus, I, and others, are utilizing our combined "bad experience" with frauds in an attempt to prevent further instances of it, or at least to make investors aware of the risks they are incurring. I told Al-len back in October that I feared RMIL was heading for a trading halt. He ignored those warnings and instead has attempted to impugn my reasons for being a naysayer.
So yes Al-len...
I was requested to cooperate with the SEC investigation of GRNO. I provided documents that verified by position as an individual shareholder and not a paid promoter. And the only reason that you know this is because I TOLD YOU. I have also warned you that if it can happen to me, it can happen to any of us when our stocks get halted. You haven't revealed anything that I haven't freely admitted to, yet you continue to imply something more insidious.
Based upon my experiences with GIFS and GRNO, RMIL was brought to my attention. I saw the indicators of a likely SEC trading halt and have attempted to analyse and assess the company based upon publically availble information released by the the company. With over 40,000+ postings about this company, it was little wonder that the SEC took an interest in looking at the company. And based upon what they have discovered in preliminary inquiries, they have halted the stock's trading.
If you wish to see how Al-len, and his "buddies", have hyped this stock, while agreeing the company was not worth much, I have an email lurking around here somewhere, where he readily admits this. Look at his list of postings regarding RMIL. They are revealing in themselves.
Allow me to once again apologize for interrupting your thread by having to respond to Al-len. But let me warn you that it can happen to each of you should be place yourself in a position where you are part of a internet hype job. They don't just subpoena brokers and promoters. And being subpoenaed is not the same as being charged or convicted of an offense. Those of us who live in DC often find it becoming a badge of courage. Look at the recent congressional inquiries into the election scandals.... they have subpoenaed people right and left.
That does not make me a liar.. Al-len. What is does indicate is that you are desperate to shut me up and will disrupt unassociated threads to do it. It isn't going to work Al-len. Reserve discussion of RMIL for the RMIL thread. Don't attack me on other threads as I will bite back... Mister.
Regards,
Ron |
