Amazonas Florestal Ltd (AZFL)

[blxil]

Insider Trading Likely Occurred before AS Increase

skydog526 brought up a fascinating point regarding the shorting of OTC scams:

Best way to make money off stinky pinkies is to be able to have the right broker's to allow shorting all the garbage pinks

Which, since we know insider trading almost definitely occurs on this ticker, raised the question in my mind: "did insiders short AZFL with knowledge that the amount of authorized shares would double on 10/12?" What I found blew my mind; daily short volume tripled between 10/10 and 10/11, but what occurred on 10/12 was even more shocking:





The short volume on 10/12 increased even more, despite the authorized share increase not being confirmed until after hours, but this probably didn't stop a small group of people with insider knowledge of the upcoming authorized share increase and a lot of money from shorting the stock before it became public knowledge.



In full and honest disclosure, this increase of authorized shares had been rumored weeks in advance, but it does not explain why short volume increased so much right before its confirmation.

There is possibly a more innocent explanation for this: that it was detailed in a prior conference call; however, I admit that because I am relatively new to this stock and was not on the AZFL conference calls. Further, I could not locate a transcript to confirm or refute my theory about insider shorting of this stock (which ultimately cost everyone who owned this stock money by causing the price to drop to its current range). If anyone can provide a link to a transcript of these calls, I would greatly appreciate being wrong about this theory.

Another question I have here is: why did insiders short this stock if the authorized share increase was planned to coincide with the press release about the harvest? Did they know that the press release would be delayed, or did they coordinate with Cortez to make sure they could cover their shorts before that press releasedoccurred? If I'm not wrong about this "insider shorting" theory, then it is totally conceivable that the delay in the harvest press release is linked to insiders and AZFL employees trying to cover their shorts.

Despite not having a position in this stock, I realize that a lot of people have lost a great deal of money in AZFL, and I promise that I will not stop digging into what happened until I find definitive answers to what occurred here.