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Strategies & Market Trends : Roger's 1998 Short Picks

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To: drsvelte who wrote (11565)7/15/1998 6:12:00 PM
From: Bill Wexler  Read Replies (1) of 18691
 
The Zonagen fraud has come to an end

I assumed that Zonagen would keep indefinitely delaying the NDA. I was incorrect, as SGP put pressure on the crooked Zonagen management to "put up or shut up" (see recent news release regarding the "accelerted" milestone payment).

The reason I felt that Zonagen would keep indefinitely delaying the NDA is because managemnet's fraudulent stock promotion scheme relies heavily on an information vacuum. That is exactly why they've been obfuscating clinical trial results - until they were finally forced to disclose the last atrocious results at the recent AUA meeting - causing a rapid price decline.

Zonagen's last gasp was the uncertainty surrounding the NDA filing. What was significant about today's trading activity was the massive selloff after the news. This confirms that many investors were relying on the continued information vacuum to create trading opportunities through short-squeezes, etc. It is obvious that these investors understand very well that Vasomax is a scam drug...therefore there is no longer any reason to speculate on the stock.

Now that Zonagen has started the countdown clock towards the inevitable rejection of Vasomax, the stock has ironically become a safer short.

Zonagen ia a fraud and a scam, and Joe Podolski is a filthy crook
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