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Technology Stocks : SEITEL (SEI) -- Ignore unavailable to you. Want to Upgrade?

To: Don Earl who wrote (415)	4/1/2002 8:55:40 PM
From: Don Earl	Read Replies (1) \| Respond to of 427

I'm getting censored on Yahoo, so will post here. Once again Paul Frame gets rich by ripping off shareholders. I had expected to see earnings restated at the end of FY 2000 due to SAB 101, but Seitel fired Andersen at the end of the year and somehow got Ernst & Young to sign off on the cooked books. Frame collected record bonuses in 2000 on the fraudulent books and refuses to pay that money back. He also collected $2.5 million on cooked books in the first 9 months of 2001 and decided to keep the money on a 4.5%, 5 year loan rather than giving back the improperly collected bonuses. In the past year insiders have sold $15 million worth of stock on the strength of the improper accounting while hyping the numbers to investors and claiming the stock was "under valued". My guess is there will be a ton of class actions against both Seitel and E&Y. I also expect we'll see a full scale investigation by the SEC and plenty of down grades by the analyst community. There isn't a chance in the world Bank One will extend credit to these dead beats again and I imagine they're counting their blessings they were able to collect the principal amount at all. Anyone who bought stock based on the PE just found out there isn't a PE because the company has been loosing money the whole time. Any forward looking PE just got shot down in flames. The company has to liquidate DDD just to raise operating cash and if they finish liquidating DDD before they file Chapter 11, there will be massive write offs from all the unrealized losses. Under the circumstances, I find it hard to imagine anyone paying over a buck a share even to cover a short position.