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Biotech / Medical : AHTC Corp (AHTC)-formerly Advanced Health (ADVH)

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To: aliveinsf who wrote (271)7/8/1998 4:11:00 PM
From: Tom D  Read Replies (1) of 371
 
<<<I would not be surprised to see NYO vindicated>>>

NYO insinuated that ADVH was buying patient referrals with stock (i.e. kickbacks). Their stories had no factual basis. The NYO stories had nothing to with the reasons why the stock fell--nonrenewals of physician management contracts.

The NYO stories were a red herring. They were an apparent explanation for why there was a large short interest and and why the stock continually sold off after good news. As such, they might have reassured some bulls that there was nothing wrong with ADVH except for the NYO false allegations. In the absence of NYO stories to explain away poor price action, maybe some bulls (including me) would have been less enthusiastic.

Best Regards,
Tom D
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