Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Moufassa's Lair -- Ignore unavailable to you. Want to Upgrade?

To: Tradelite who wrote (4471)	2/5/2002 5:01:28 PM
From: Tradelite	Read Replies (1) \| Respond to of 13660

Apparently we've been giving Enron too much credit as being #1 for fraud, deception and accounting creativity. The following is from class-action lawsuit documents involving HOMS (Homestore.com): ____________________ As part of their effort to boost the Price of Homestore stock, defendants misrepresented Homestore's true prospects in an effort to conceal Homestore's improper acts until they were able to sell at least $27.9 million of their own Homestore stock. In order to overstate revenues and assets in (six quarters), Homestore violated Generally Accepted Accounting principles and SEC rules by engaging in improper "roundtrip" transactions. These transactions had the effect of dramatically overstating revenues and assets. This came to an end (though unbeknownst to the public) in the Company's 3Q 01, as the Company's main roundtrip partner stopped doing these transactions with the Company.