September 12, 2007
The flood of resent post was caused by a group that have been lead to believe that they have some check coming owed to them by the market. It is really misfortunate that they have been lead to believe this. The problem is these pump and dump pinksheets that don't report. They place the blame for the declining price on naked shorting. It is to hide the fact that company is dumping billions of shares on the market.
What is bad is that the message boards are being used by these criminals to pump these stocks. They lay blame on the SEC and the brokers. Conditioning naive new investors on the message boards that it is some bad man in the market that is the problem and not the company. And when someone tries to tell the truth these paid promoters attack them and have them labeled as bashers. Training these naive investors that these are bad people out to take their shares cheaper or they are paid by a mystical shorty. All the while telling people that if they hold these bad stocks they will be paid off in the end. That the brokers will have to pay them off for their shares.
The sad part is that there is others that post on blogs about naked shorting. Using misleading numbers to help convince these people. And in many cases it turns out that these same people are paid by companies to promote this naked short claim. As long as they can blame naked shorting then they can hide the fact that the company is not telling the truth or hiding it. Convincing them to ignore bad financials because the poor company is being destroyed by the evil market while the SEC is covering it up.
Prime examples of this is in the revoked CMKM which most of these posts are from. The shareholders have been told by people lying to them that there is a trust fund being held up by the SEC that will cover the naked shorting. Or you have many from USXP that where led to hold by a corrupt CEO claiming naked shorting and even going as far as lying about a lawsuit on naked shorting. They did win a case but it had nothing to do with NS and it was against a defunct company that they can never collect on. But the shareholder have been convinced it was naked shorting.
It has become so bad that most of these bad companies now have a automatic get out of jail free card by claiming naked shorting is their problem. And not the fact that they neither have a product in most cases or just have a store front and a shiny display to attract investors while not reporting and dumping billions of shares. And blaming all there problems on the market. It is naked shortings fault and the evil SEC is trying to cover it up when they step in to stop the madness. They have been brainwashed for so long that naked shorting has to be the problem they can't see the truth even when it is staring them in the face.
And the naked shorting activists compound the problem like the recent admission of one stern naked shorting guru that he was paid by one of the companies that claimed naked shorting while the CEO robbed the company blind. Dumping billions of shares while not reporting them. Or another naked shorting guru who was pumping another pump and dump while claiming it was a naked shorting issue. And the same people misleading them with misinformed data to make the problem even look worse. And the sad thing is they have convinced these naive investor to the point that they will not see the truth. And it never ends.