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Strategies & Market Trends : CAVALRY'S SHORT BUSTERS - MAGIC EIGHTBALLS PICKS -- Ignore unavailable to you. Want to Upgrade?

To: The Street who wrote (977)	10/7/1998 9:29:00 AM
From: Cavalry	Read Replies (2) \| Respond to of 1637

i was talking about this, which chat room and which poster made accusations in a chat room and caused the sec to initiate investigation Newsletter denies wrongdoing in online chat probe NEW YORK, Sept 28 (Reuters) - The editor and publisher of the financial newsletter S.A. Advisory said he told federal regulators investigating boat distributor Great White Marine & Recreation Inc. <JAWS.OB> that he was never paid for publishing a buy recommendation on the company's stock. "They can tie me up and burn holes in my body before I do that," William Velmer told Reuters in response to questions surrounding the Securities and Exchange Commission's (SEC) probe of Great White. The SEC is trying to determine if such payments -- which are legal as long as they are disclosed -- were made by Great White without proper disclosure. Great White, saying the SEC probe was sparked by someone -- possibly a short-seller -- bad-mouthing the company on the Internet, has denied any wrongdoing. Velmer is one of several newsletter publishers pulled into the investigation of Waco, Texas-based Great White, which distributes products ranging from cabin-cruiser style boats to outboard motors to all terrain vehicles. Velmer said that while he sometimes gets paid for his profiles of companies, his recommendations to his subscribers and readers of his online newsletter cannot be bought, he said. Such payments are fully disclosed, he added. "I look at the numbers," he said. "I never meet management." Velmer publishes S.A Advisory both on the Internet and in a hard copy that has circulation of up to about 3,000 which comes out usually every other month. Velmer said he first recommended the stock on March 30. By May 13, after the company's stock had increased 200 percent, he told his audience to sell. The day after he issued a second sell recommendation earlier last week, the company came out with its announcement that it was being investigated by the SEC. "I would never own a stock of a company being investigated by the SEC because you don't know how what the outcome is," Velmer said. Great White has denied any wrongdoing and said when it had paid for write-ups in newsletters, the articles appeared with a disclosure saying so. S.A. Advisory's Internet address is www.saAdvisory.com. cav

To: The Street who wrote (977)	10/7/1998 9:34:00 AM
From: Cavalry	Respond to of 1637

wierd two releases for jaws on 9/24, here is unedited version, re chat rooms Internet chat leads SEC to probe boat distributor By Ilaina Jonas WACO, Texas, Sept 24 (Reuters) - Great White Marine & Recreation Inc.<JAWS.OB>, a distributor of powerboats and other marine equipment, said Thursday it is being investigated by federal regulators in the wake of an Internet chatroom participant's accusations of wrongdoing against the company. The chatroom talker accused the company of failing to disclose that it had paid for articles about it that were published in certain investment newsletters. A company representative told Reuters the accusations are false, and said Great White is cooperating with the U.S. Securities and Exchange Commission (SEC). "Great White has gotten an extreme amount of attention in (chatrooms)," Jeff Brummer, an investor relations representative told Reuters. "There have been false rumors and accusations by an individual on the company. There had been some bashing on Yahoo," he added. The rumors have hurt the company's stock with enough frequency to make Great White suspect its shares may be at the mercy of short sellers. The company's shares sold off sharply after news of the SEC investigation was released Thursday, falling $1 to $2.40625. Its high for the year was $4.50, and its low was $0.50. For its part, the SEC has subpoenaed copies of several newsletters and other information from investment consultants for Great White, which, until May, was known as Tigershark Inc. <TGSK.OB>. The company distributes products ranging from big cabin-cruiser style power boats, to outboard motors and even all-terrain vehicles. Among those newsletters that the SEC wants to review, is S.A. Advisory, which recommended what was at that time Tigershark, said Scott Citra, another Great White investor relations representative. Brummer did not deny that the company paid for some newsletter articles, but said, in such cases, a disclosure always appeared with the story. Brummer and Sitra said they too have received subpoenas requesting their personal information about the company. Regarding the possibility of concerted short selling, both Sitra and Brummer said the company has complained to its congressional representatives about the possibility of illegal short selling on false rumors about Great White on the Internet. "He ends up hurting the small investor, while he thinks he's a white Knight," Brummer said. "For some reason this person has an ax to grind with the company." Neither Brummer nor Sitra would identify the man, even though he is well known to the company. But Sitra did say the man uses his own name as well as aliases in the chatroom. 16:45 09-24-98 Copyright 1998 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon. All active hyperlinks have been inserted by AOL.