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.

Technology Stocks : XDSL mPhase tech: TV, Broadband Internet & Phone: 1 line! -- Ignore unavailable to you. Want to Upgrade?

To: xbrent who wrote (55)	2/10/1999 7:41:00 PM
From: jjs64	Read Replies (1) \| Respond to of 292

XDSL may go higher in the short-term (and I pray it does so I can short more) but in the end it will go to ZERO. Why dont you guys read a little bit about XDSL's CEO and the company he used to work for... MEMBER FIRM: GRAYSTONE NASH, INC. (Expelled on 7/31/96) BD NUMBER: 10635 NASD Member Firm: GRAYSTONE NASH, INC. (Expelled on 7/31/96) BD Number: 10635 2/09/99: 5/15/92 SEC PERMANENT INJUNCTION ORDER THE FIRM WAS PERMANENTLY ENJOINED IN THE U.S. DISTRICT COURT FOR THE DISTRICT OF NEW JERSEY, AS THE RESULT OF A CIVIL COMPLAINT FILED BY THE SECURITIES AND EXCHANGE COMMISSION. THE COMMISSION ENJOINED THE FIRM FROM VIOLATING ANTIFRAUD, REGISTRATION AND OTHER PROVISIONS OF THE FEDERAL SECURITIES LAWS. THE FIRM WAS ORDERED TO DISGORGE $60.6 MILLION, IN TRADING PROFITS AND CONCESSIONS FROM ITS ILLEGAL ACTIVITIES. THE COMMISSION, ALLEGED THE FIRM, DIRECTLY OR INDIRECTLY OFFERED AND SOLD SECURITIES IN INITIAL PUBLIC OFFERINGS BY MEANS OF MISSTATEMENTS, OMISSIONS, AND OTHER MANIPULATIVE AND DECEPTIVE PRACTICES, ORCHESTRATED AFTERMARKETS FOR SUCH SECURITIES AT ARTIFICIAL PRICES AND HEREAFTER MAINTAINED, DOMINATED, CONTROLLED AND MANIPULATED THE MARKETS FOR SUCH SECURITIES. [USDC FOR THE DISTRICT OF NEW JERSEY, 91 CIVIL 4327, (LR-13241)] 2/09/99: 6/17/91 NASD EXPULSION GRAYSTONE NASH WAS CENSURED, FINED $1,325,000 AND EXPELLED FROM NASD MEMBERSHIP FOR VIOLATING ARTICLE III, SECTIONS 1, 4 AND 19(a) OF THE RULES OF FAIR PRACTICE. NASD ALLEGED THAT THE FIRM, ACTING THROUGH A CERTAIN INDIVIDUAL, ENGAGED IN THE DISTRIBUTION AS SOLE UNDERWRITER OF UNITS ON A BEST EFFORTS CONTINGENCY BASIS AND ACCEPTED THROUGH ITS CLEARING AGENT PURCHASERS' MONIES INSTEAD OF REQUIRING THAT THEY BE PROMPTLY DEPOSITED IN A SEPARATE BANK TRUST OR ESCROW ACCOUNT; MANIPULATED THE MARKET PRICE OF SUCH COMMON STOCK IN THAT THE FIRM BID FOR AND PURCHASED FOR ITS ACCOUNT AND ATTEMPTED TO INDUCE AND INDUCED OTHERS TO PURCHASE SUCH STOCK AT ARBITRARY PRICES; AND EFFECTED AS PRINCIPAL, OVER THE COUNTER SALES OF SUCH COMMON STOCK TO PUBLIC CUSTOMERS AT PRICES WHICH WERE NOT FAIR. DECISION IS FINAL 6/17/91. [NASD COMPLAINT ATL-1049] Real stand-up guy..... BTW, Kaufman put out those reports because Kaufman was trying to raise money for the company.