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Technology Stocks : Globalstar Memorial Day Massacre -- Ignore unavailable to you. Want to Upgrade?

To: Drew Williams who wrote (139)	5/12/2000 6:34:00 AM
From: Maurice Winn	Respond to of 543

Drew, Good letter to Carrie Lee!! Excellent. That explains a thing or two about Globalstar. Meanwhile, John Goren posted another legal opinion on this stuff [thanks John] extracted for convenience from the 'good' stream. <To: Maurice Winn who wrote (12614) From: JGoren Friday, May 12, 2000 1:36 AM ET Respond to Post # 12651 of 12655 Mqurice, you can always sue the Corporations Commissioner employee for libel. But, then, why subject yourself to California jurisdiction. You could probably sue in New Zealand if the WSJ is published there. State securities commissioners know little about real markets. Moreover, it appears that the commissioner does not understand the legal requisites of manipulation as contemplated under the federal securities laws. They are fine at combatting local Ponzi schemes, however. I belive it was totally inappropriate for the securities commissioner to express an opinion on something the facts he does not know. Since the opinion was not made in a judicial proceeding it was not subject to absolute immunity. The WSJ seems to have completely misunderstood what is going on. It's been 20 years since I was with the SEC, but I fail to see how suggesting that those who believe in the company long-term should not sell their shares and should not allow their shares to be involuntarily borrowed to hurt them, would, in any way, be a scheme, device or artifice to defraud in violation of the Securities Act of 1934. Suggesting investors take action to protect themselves is not a manipulation. Greed has no bounds; either on the way up or down. The risk to the shorts at this level is increasing daily. The money was made from 35 down to 9.> Looks as though WSJ and that Corporations Commissioner suggesting I'm a criminal was a bit out of order. Is it really legal to go round claiming that named people are breaking the law? I notice the other guy the WSJ quoted was more circumspect and refused to comment on the specific instance of people discussing a course of action to improve their company's prospects and the security of their own financial position. The Wall Street Journal is published here [in NZ] and of course the WSJ.com is published everywhere. They sure were trying to damage my reputation and named me in quite a damaging way, with the whole theme of the article being the alleged illegality of my actions. I dare say people will read their material, including their now infamous and proven absurd "Jacobs' Patter" and draw their own conclusions about the veracity of that publication and what they say about me. Nevertheless, they still command plenty of airtime, judging from various reactions. Mqurice PS: How about that Rambus graph! Good grief. I'd imagined something like a price rise to $20 for GSTRF. siliconinvestor.com Traders will obviously try to guess the peak of any GSTRF moves. Plenty of people who have felt pummelled having bought on the "Gilder Effect" will be grateful to escape at some price, but I dare say greed will stop them selling until they guess they have seen the top. Heck, this might be a LOT of fun!! But look at the big slide down the other side of the Rambus graph. People obviously carried on selling. Shorts and day-traders will be going nuts with greed and avarice. I suppose tomorrow will see some substantial rise given the publicity that WSJ, CNBC have given. I suppose if the price rises too fast, it might be better not to move shares to a cash account as that would exacerbate an excessively high move by a short term shortage of stock to short. If in the next week or two, the price rises in a silly fashion, I might not move my stock to a cash account after all!! I have no interest in absurdly high peaks only to fall back down again. Silly lows and silly highs are both bad [to me anyway - unless I happen to be buying of course - or selling]. Well, everybody has had a chance to figure out what Globalstar is really worth based on how many minutes they'll sell. It's a market. Each person is their own boss and you don't have to ask permission of the SEC or WSJ before you move your stock around, buy or sell! So, I think the GGMDM will start sooner rather than later. Pre-emptive strikes will have been launched already I suppose. Leobloom for one, bought back in. Let's hope Globalstar raises more money on the strength of the newly improved share price [assuming that happens] and shareholders suffer a lot less dilution than might otherwise have been the case. And let's see Vodafone or somebody try to buy Globalstar and Loral and gain control at shareholder's expense after a bit of price rising! I bet Bernie Schwartz and other shareholders will be happier with a higher share price. But this is just 'market smoothing'. It doesn't replace handsets and minutes sold to real 3D paying customers. Really good advertisements from Vodafone Australia. Message 13692386 Thanks TK! DADxx