***OPEN EMAIL TO SEC: ENFORCEMENT@SEC.GOV*****
Dear sirs:
After years of making "safe" investments on the NYSE
and Nasdaq exchanges, I decided to get a bit more
daring (or shall I say stupid) and try my hand with the
bb otc stocks.
I purchased 5 companies initially (3 I'm still holding)
I actually went completely against many of my
well established investment principles, and purchased companies on their volume and "buzz" in "hot" sectors like internet companies.
I figured if there were that many people talking about them, then something must be up!
What a fool I was.
Fortunately, I'm a quick study. I kind of figured out how the chat on the internet discussions about certain equities made naive, and even some experienced investors, like myself be swayed by our emotions or, shall I say, our greed and buy on the suggestion of "some news" or "the price is going up"...."better buy now"...et cetera.
Fortunately, I also made most of these realizations before losing any real money.
However, I was completely appalled by the words of the so called "mm's" and their blatant attempts to manipulate some very unsophisticated investors by using the impression of large volume or churning (trades betw. "mm's") and large spreads on prices especially at the openning of the day.
Initially I took it upon myself to spread information about how the market works...this made these manipulative people very mad. I got called just about everything.
Then I became pretty adept at determining who was either trying to raise enthusiasm about a stock to run up its price, or who was trying to raise doubt to control and run down a stocks price.
These people work in teams. Some pose as supporters,
others pose as antagonists....some just lurk with suggestions or pithy comments
After I got really pissed off by these people, I decided to use many of their own games against them, I looked for the stock with the most volume and highest appreciation of value. this stock nearly went up 5 times in less than a week.
The symbol of this company is GLOW.
It has also traded volumes of nearly 11,000,000 shares daily for the last four days on NO "real" news.
If you read through the discussion group or "thread", each and every comment is used to stir interest and excitement about this "company".
From what I can tell I'm not even sure there is a company.
I certainly didn't buy any shares, but I participated in the thread just to be an antagonist.
Below are some excerpts from the "thread"from the person who initiated the "thread" "Cheryl OD". Within the brackets are my comments
This thread is located at
talk.techstocks,com/~wsapi/investor/Subject-20286
and entitled GLOW - GLOBAL GAMES, INC- GREAT PROFIT POTENTIAL
Please review this stock, I feel you should do so immediately
Sincerely
"ztect"
(real name, address, ph.# omitted from this copy)
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Brian, Yes, the company has said they plan to have news out next week sometime. I don't know for sure what the news will be about but it should be good news [RUMORS]
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The last six trades that I saw come through were buys
[POSITIVE SPIN, LAST TRADES WERE SELLS]
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They will have their 97 10K out in June I believe.
[SUPPOSED INSIDER INFO, WILL IT EVER COME?]
==================================================
I just saw a report on Internet Gaming, with Peter Jennings on ABC. It sounded VERY
encouraging for GLOW
[PURPORTED POTENTIAL BY ASSOCIATION]
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WEB SITE: globalgames.com (Currently being updated).
[GREAT WEBSITE ANYBODY ACTUALLY VISITED IT?]
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SEC STATUS:
Currently filing to be a fully reporting company with the SEC by the end of June,1998.
[YEAH, RIGHT WHERE HAVE I HEARD THAT BEFORE. POSTPONED TO NOVEMBER, ET CETERA]
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I dont know how you come up with a revenue growth of over 2500 percent. I dont want to put a damper on your enthusiasm but for people to believe this i think they would need to look at quarter to quarter growth for the last several quarters. Also it would we nice to know how many employees they have and how fast they are adding people to the company. This stock will not trade at sustained higher levels unless the fundamentals start to support your projections. I see this stock as a good short candidate if it balloons up if and when it
starts getting hyped.
[REALITY CHECK FROM DarrenS]
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So now I am trying to accumulate some GLOW while it is still under a dime. I just looks like a good risk to me. I hope I will look back and say, I should have bought even more shares at .09cents but I am glad I got as many as I did
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Darren, If you are interested, I would suggest that you call the company and talk to Gary. Its always best to get information first hand.
[ DEFLECT THE QUESTION)
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