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Biotech / Medical : Zonagen (zona) - good buy? -- Ignore unavailable to you. Want to Upgrade?

To: Hank who wrote (6036)	12/30/1998 6:30:00 PM
From: Claud B	Read Replies (1) \| Respond to of 7041

If you insist on accusing me of being a "paid shill" the least you could do is address me directly instead of hiding it in a note to someone else. It would be the decent thing to do, wouldn't you say? Claud

To: Hank who wrote (6036)	12/30/1998 8:04:00 PM
From: Bill Wexler	Read Replies (1) \| Respond to of 7041

<<I must say, you really do deserve the title of Clueless so bestowed upon you by Bill Wexler. Most of what you posted were his claims, not mine.>> Actually, they were gross distortions of my claims and outright lies. But it doesn't bother me since I continue to be 100% correct about the Zonagen fraud. However, for the sake of amusement, let's review the Clueless list: 1) Zonagen will NEVER get a marketing partner - they did I never said that Zonagen would not get a marketing partner. However, the marketing partner is irrelevant. Some of the most spectacular biotech blowups and stock frauds have had ties to "respectable" drug giants. 2) Zonagen will NEVER get a patent for Vasomax - they did Zonagen's first purchased patent covered transmucosal administration of Phentolamine but NOT oral. Mr. Podolski tried to weasel his way out of that one by arguing that the intestines had mucous membranes...so the patent was still valid. After the laughter subsided somewhat, the company went shopping for a second patent from a former employee. This new patent covered a mixture of common bulk fillers and disintegrants. This was done to divert attention away from the fact that oral phentolamine is ineffective into a debate about "fast-acting" vs. "slow-acting". The second patent is - of course - worthless, since there are countless ways to mix oral phentolamine tablets, and the ingredients are neither unique nor proprietary. Phentolamine, Vasomax's only active ingredient, is a generic vasodilator which has been around for about half a ccentury. Vasomax therefore has no real patent protection. 3) Zonagen will NEVER get a patent for Chitosan - they did Zonagen has no patent on Chitosan. They do have a worthless patent covering an adjuvant and the "Immumax system" - another useless and ineffective "product". The press release concerning the patent was simply another attempt to perpetuate the facade that Zonagen is a drug development company, when in fact it is simply a stock promotion fraud. 4) Zonagen will NEVER file their NDA - they did I did say that Zonagen would not file an NDA...and was surprised that they did so. However, Clueless conveniently takes my comments out of context again. The only way that Zonagen could perpetuate its stock fraud was to keep speculation rampant while insiders unloaded their shares. I assumed that they would put off the NDA as long as possible in order to do so. Unfortunately, Zonagen ran out of options after the last AUA conference which exposed Vasomax as completely ineffective...at that point it actually made sense for the company to put on a show of confidence by filing, and at least getting the delay of setting the FDA countdown clock. 5) Zonagen will NEVER buy back a single share of their stock - they did I also incorrectly assumed that Zonagen would simply put out a buyback press release withou following through. Of course, it is completely irrelevant since it makes absolutely no sense whatsoever for a startup with a $50,000,000 deficit and an enormous burn rate to go out into the open market to buy back its own stock. I classify this action once again as a phony show of confidence. 6) Zonagen will NEVER have appreciable sales in Mexico - they did This is simply a lie. Zonagen has had no appreciable sales in Mexico. This is easy to explain since the product does not work. 7) ZONAGEN WILL NEVER GET THEIR NDA ACCEPTED - THEY DID!!! Also a lie since I had no comment at all over the NDA being accepted or not. Ironically, acceptance actually helps the short sellers because it puts us closer to the day when the stock collapses upon rejection. If the application would have been kicked back at an early stage, then the company could have continued to fuel speculation while they refiled. Note that while we patiently waited, a platoon of lawsuits have been filed against the company alleging fraud and misrepresentation. Furthermore, an investigative reporter dug up the company's scheme to steal trade secrets and defraud former employees. Zonagen will eventually and inevitably trade in the low single digits...and I continue to build my short position that was started when the stock was trading in the 30s.