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Gold/Mining/Energy : Medinah Mining Inc. (MDHM) -- Ignore unavailable to you. Want to Upgrade?

To: Ronald A. Rosano who wrote (16356)	6/30/1999 10:22:00 AM
From: Ronald A. Rosano	Read Replies (2) \| Respond to of 25548

To the thread: The URL that I posted in my last post is apparently not functioning. In order to avoid a lot of PM's, the information is as follows: -------------------------------------------------------------------- Here are a few notes regarding my visit to the brokerage house today in order to expedite having my Medinah Mining Certificates issued in my name (they're in street name currently). The broker spent at least an hour with me; and here is my recollection of our lengthy but less than satisfactory conversation: 1. My brokerage does not have a segregated safekeeping account. The broker said if I request my certs, I take possession of them and my brokerage is out of the picture. 2. The broker says he sees absolutely no reason to do this as our shares are in a cash account, not a margin account. He said there was no risk factor as my shares are insured (thus completely covered). He says the brokerage doesn't like to loan shares in cash accounts out to someone who wants to short shares. 3. He says moving shares around is paper intensive (but soon to be less and less so). The brokerage currently charges $15 for certification of shares, The price will go up to $25 on July 1, 1999. 4. He HIGHLY RECOMMENDS THAT I DO NOT mail in my cert request letter for the following reasons: a. There is a three BUSINESS days difference between trading day (the day one orders buying/selling of shares), and the settlement day (the day the brokers settle up with each other). b. Brokers no longer will "eat" the costs incurred if certs are not in your account like they used to do (he says). c. The brokerage will not allow customers to place either a buy or sell order for a stock if you have the certs (3-day window to get them in). d. He says the brokerage provides free safekeeping in cash accounts and he thinks Medinah Mining is having shareholders go through this for their own benefit. He says this places the burden for safekeeping upon the shareholder. He adds he sees no benefit for the shareholder in doing this as he says it will not bring stock prices up. He says interest rates, the price of gold, and a company's earnings is what drives a stock's price/changes. e. He feels that the company wants their customers to do all the legwork acquiring certificates to enable them to get a handle on the short position. He says this benefits the company/and is not in the best interests of their customers in today's market world. He said that customers buy stock from the company - it is not their job to do the leg work. (His Opinion) 5. He reiterated that I should not be worried about the shares being shorted as my shares are in free safekeeping cash account. (He says individuals will short shares if they think a stock will drop in price, but will be forced to cover if it rises, which is what seems to be happening now) Hope this helps. Best regards, Carol

To: Ronald A. Rosano who wrote (16356)	6/30/1999 10:52:00 AM
From: Alan Whirlwind	Respond to of 25548

Carol, When I was with my discount broker, Bank 1, I asked about getting certs and they said just request them and I think it was $15 a cert. In the last couple of years tranferred my account to a local broker. When I asked him about calling in my certs he was aghast. And he didn't understand why I would ever wish to do so. I do believe that before December, I will pull in certs on my larger holdings just to be safe, given possible Y2K problems. --Alan

To: Ronald A. Rosano who wrote (16356)	6/30/1999 11:18:00 AM
From: Dave D'Biker	Read Replies (1) \| Respond to of 25548

To Ronald and All: I would like to address the letter received from Les Price and my previous post #16198 pertaining to Medinah Gold Certs. The following portions of this letter are of concern to me: Message 10289333 ::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: Included in the distribution was the application number of shares registered to Cede & Co. of New York, who hold the shares for their member brokers including such firms as Charles Schwab and Company, Inc., National Discount Brokers, etc. It was, is and remains the responsibility of the individual broker firms to obtain from their agents, Cede & Co., the applicable number of shares that you might be entitled and deliver same to you forthwith. If we can assist you in you pursuit, we would be pleased to co-operate, however, your ownership and entitlement remains with your broker and it is their responsibility to obtain your shares from Cede & Co. Thank you, Yours truly, Les Price :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: I have since met with my broker addressing Cede & Co. Upon my visit, I presented him with the letter mentioned in my previous post. After previewing it, he then stated that he never heard of Cede & Co. He checked further on my inquiry and came back with the address of the transfer agent and claimed that is all he could give me. Later I performed some internet research of my own and verified for myself this mysterious entity. IMO, my broker knew damn well who Cede & Co. was, but was not willing to let me in on the connection. My question is; has anyone else been given this run around? I have a little DD on this "Cede & Co." that I will post shortly for your reading pleasure. dd