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Technology Stocks : IFLY - travel sales on the web pure play -- Ignore unavailable to you. Want to Upgrade?

To: LTK007 who wrote (3304)	1/2/1999 1:19:00 PM
From: simarx	Read Replies (1) \| Respond to of 4761

You conveniently forgot Smith Barney for Guadagno...He was a director when the company did their IPO. That means that all the current directors were closely scrutinized. And, I understand that NASD and SEC was using a fine toothed comb. Nothing bad came out. How ABOUT GEORGE WARDI or Carl A. Bellini or L. Douglas Bailey. These are not names you can't ignore... They have a tremendous board of directors.

To: LTK007 who wrote (3304)	1/2/1999 1:37:00 PM
From: Sir Auric Goldfinger	Read Replies (1) \| Respond to of 4761

I sez boom, ya got some right there Max:"Well Guadagno's background was as Senior VP at M.S.Farrell inc. and before that Euro-Atlantic Securities M.Gaggi was Senior VP at Joseph Stevens Investment and also at Barrington Capital." Ok big hint, kids: Euro-Atlantic was and is a Mob firm. Perhaps someone will provide the Biz Week article. Check out nasdr.com Barrington Capital is where all the DH Blair brokers went (well not all of them, some went to Janssen Meyers-some real churners). None of you youngens ever heard of DH Blair? Well it is where Morty Davis (aka Morton Davidowitz) ripped off the public for many moons and paid a massive fine and is now gone from the biz.DH Blair was second only to First Jersey. All the leftover churn masters from Morty's shop went to Barrington Capital. Great work, Max, it is good to see that someone can leave this thread and actually do some real homework. But there is more, much more...

To: LTK007 who wrote (3304)	1/4/1999 12:04:00 AM
From: Mad2	Read Replies (1) \| Respond to of 4761

Info on Barrington Capital Copyright 1998 Law Bulletin Publishing Company Chicago Daily Law Bulletin November 9, 1998, Monday SECTION: Pg. 6 LENGTH: 496 words HEADLINE: Another brokerage firm, another restitution fund BYLINE: JAMES J ECCLESTON; another restitution fund BODY: Reminiscent of the Prudential Securities and Paine Webber settlement funds to reimburse investors for abusive sales practices involving limited partnerships, the brokerage house of D.H. Blair recently agreed to establish a $ 2.25 million restitution fund. While D.H. Blair is now defunct, several of its former brokers have transferred to Barrington Capital Group in New York. Investors beware. D.H. Blair has had lengthy and significant regulatory problems. For example, in August 1997 the firm was censured and fined $ 2 million by the National Association of Securities Dealers. In February 1998, the New York Stock Exchange censured the firm and fined it $ 250,000. In January 1998, the Illinois Securities Department alleged that the firm engaged in inequitable business practices by unauthorized transfers in a customer's account. Moreover, some of its brokers, such as Alfred Salvatore Palagonia, have been permanently barred from the securities industry. The $ 2.25 million investor restitution fund now available results from an agreement with state regulators from Indiana, Missouri and Connecticut. Investors are eligible to participate if they file a complaint based on trades made between Jan. 1, 1996, and June 30, 1998. The NASD will be the forum for filing and resolving investor claims. The funds will be available to Illinois residents in the event that state securities regulators sign on to the agreement. Nonetheless, whether or not the regulators join the accord, Illinois investors should act independently, quickly filing claims to recover any losses in connection with D.H. Blair, its brokers and its principals. D.H. Blair specialized in the sale of small-company stocks. In selling those stocks to customers, the state regulators alleged that the firm committed sales practice abuses. Ordinarily, these abuses relate to the Hook, Pump and Dump scam. In an effort to win investor confidence -- setting the Hook -- brokers sell a well-known, typically local, stock (such as Motorola) to gain the trust of customers. Next comes the Pump phase, when the solid stock is sold in exchange for a high-risk, no-name company of which the brokerage firm insiders own stock at pennies a share. The move usually leads to a series of lies, and omissions designed to keep a grip on the investors' money. Finally, in the Dump phase, the insiders at the brokerage firm sell the no-name stock for hefty profits, leaving the investors holding the bag and incurring large losses. Profitable Counsel By James J. Eccleston Eccleston is a Chicago-based securities attorney, representing investors as well as brokers and brokerage firms nationwide. He is a registered investment adviser and a licensed principal of the National Association of Securities Dealers. Further information, including previous articles, investor alerts and an annual check-up for investors, can be obtained through his site at www.FinancialCounsel.com on the Internet. LANGUAGE: ENGLISH LOAD-DATE: November 10, 1998

To: LTK007 who wrote (3304)	1/4/1999 12:22:00 AM
From: Mad2	Read Replies (1) \| Respond to of 4761

Euro-Atlantic on the list of diciplined firms Copyright 1998 Law Bulletin Publishing Company Chicago Daily Law Bulletin September 21, 1998, Monday SECTION: Pg. 6 LENGTH: 614 words HEADLINE: Taping rule to unmask fraud BYLINE: JAMES J ECCLESTON BODY: In my previous column I explored how investors can protect themselves against the boiler rooms," chop shops" and bucket shops" of the brokerage world -- firms known for perpetrating investment scams, such as Concorde Capital, Biltmore Securities, A.R. Baron & Co., Sterling Foster & Co., Stratton Oakmont and LaJolla Capital. Although several of these notorious brokerage firms have been closed down, the problem persists. That's because many of their brokers, branch managers and owners often transfer to other firms, continuing their investment scams with new affiliations. Given this risk of recidivism, the question becomes, How can investors protect themselves against the next Stratton Oakmont? Fortunately, the Securities and Exchange Commission recently approved a rule that should greatly benefit investors. It's called the Taping Rule. The rule requires certain firms to record conversations between their brokers and both existing and prospective customers for a period of two years. Special supervisory procedures must be established. These requirements are designed to discourage abusive sales practices. Most firms do not record conversations voluntarily, and under the Taping Rule, only a minority of firms will be required to do so. Which firms? Firms that have hired a specified percentage of brokers from so-called disciplined firms." Disciplined firms are those firms that have been expelled from membership or participation in any self-regulatory organization (such as the National Association of Securities Dealers), or that have had their securities registration revoked by the SEC. The NASD updates this list of so-called disciplined firms on a monthly basis and publishes it on its Internet site. For August, the disciplined firms are: A.R. Baron & Company Inc. Beacon Securities Inc. Capital Investment Managers Inc. Coastline Financial Inc. Escalator Securities Inc. Euro-Atlantic Securities Inc. F.N. Wolf & Company Inc. Feltman & Co. H.L. Camp & Co. Hibbard Brown & Company Inc. Johnston Kent Securities Inc. L.C. Wegard & Company Inc. M.H. Novick & Company Inc. M.G.S.I. Securities Inc. Penn Capital Financial Services Inc. Prime Investors Inc. Selheimer & Co. Shaner & Company Inc. Stratton Oakmont Inc. Townsley Associates & Company Inc. U.S. Securities Corporation of Washington, D.C. Westcap Securities, L.P. Firms that hire a specified percentage of brokers from these disciplined firms may be subject to the Taping Rule depending on the size of the firm: - A firm with five to nine brokers, if 40 percent of them have been employed by one or more disciplined firms within the last three years. - A firm with 10 to 19 brokers, if at least four of them have been employed by one or more disciplined firms within the last three years. - A firm, with at least 20 brokers, if at least 20 percent of them have been employed by one or more disciplined firms within the last three years. Consequently, the Taping Rule may provide aggrieved investors with superior documentary evidence of abuses in brokerage sales. Brokers practicing the hook, pump and dump" will be caught on tape, and claims against them to recover investment losses will be easier to prove. Profitable Counsel By James J. Eccleston Eccleston is a securities attorney, representing investors as well as brokers and brokerage firms nationwide. He is a registered investment adviser and licensed principal of the National Association of Securities Dealers. Further information, including previous articles, investor alerts and an annual check-up for investors, can be found at www.FinancialCounsel.com on the Internet. LANGUAGE: ENGLISH LOAD-DATE: September 22, 1998