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13 Million in 18 minutes at .0012
Total volume all day - 14 Million
hhhmmmmmmm.
Hector Aleman in the news
http://www.sen.parl.gc.ca/nkinsella/English/Events-e/Panama-e.htm
Sorry if a repost.
Reasons why I'm excited....I have PNMS!!
In no particular order. I reserve the right to add more and would like for everyone here to make additions as you like.
-- Float is drying up as more and more shareholders pull their certs. When buying pressure comes, this stock will run like it never has before.
-- Float is drying up as the company is buying back (Midas has convincingly shown that this is most likely the case) When buying pressure comes, this stock will run like it never has before.
-- We have been shown certified documents that prove Panamersa has over $100 million in assets as described in the 12/31/06 financial statements. http://www.panamersa.com/documents/2005_2006_paypro_ar.pdf
-- Panamersa made more money in the First Quarter of 2007 than it did in all of 2006. Those financials should be out on or before May 15th, 2007. http://www.panamersa.com/news/detail/44
-- PDR trading platform soon to be operational. As PDRs begin to trade free of manipulation and MM trickery, the US PPS will closely mirror the effective PPS of PDR transactions. PDR Exchange (Panama), Inc. will be an operating company of Fundacion Pan America and will be the engine used to trade receipts issued by Fundacion Pan America. Known as a Pan American Depository Receipt (PDR), it allows beneficial owners of the Fundacion to buy and sell PDRs online anywhere in the world. This will in effect create a private trading system that is open 24 hours a day, 7 days a week to anyone in the world who has a computer and is a beneficiary of the Fundacion. The beauty of the system is it completely eliminates any naked shorting or manipulation of Share Price (PPS) by brokers and market makers, while giving the individual beneficiary complete anonymity. http://www.panamersa.com/news/detail/41
-- The addition of Friedman and Feiger, a high-profile, 21-attorney, national law firm based in Dallas. Friedman and Feiger’s specialties in commercial litigation, banking, bank and lending transactions, business transactions, real estate and securities made them a perfect fit for PANAMERSA Corporation. One of the partners, Robert Feiger used to work as an SEC Enforcement Attorney. He served as Staff Attorney for the United States Securities and Exchange Commission in the Division of Enforcement, in Washington D.C., 1974 through 1977. These guys will be able to bring Ameritrade back to the table, and the divvy situation should be resolved. http://www.panamersa.com/news/detail/45
-- The addition of Lori Lynn Baker as Panamersa's National Marketing Director. Baker holds a bachelor of science from Florida State University and has served in all aspects of marketing, public relations, sales, special events and product launch. She brings more than 25 years of management experience to PANAMERSA and will be responsible for all public relations, investor relations and marketing incentives involving PANAMERSA Corporation and their holding companies. http://www.panamersa.com/news/detail/45
-- The addition of Brit Chambers as Panamersa's Director of Public Relations and Communications. Chambers holds both a bachelor of arts and a master of journalism degree from the University of North Texas, where she is also a member of the adjunct faculty. Chambers will be responsible for the creation, editing and distribution of all public relations materials and will play a role in the announced Web site remap, providing content and copy for the site. http://www.panamersa.com/news/detail/45
-- The addition of Ideawire to help remap and revamp the Panamersa website. “Ideawire is excited to help create a robust, remapped site for PANAMERSA Corporation, which will provide investors and the public with the information they are seeking regarding PANAMERSA and the company’s holdings,” said Mark Harlien, president/CEO of Ideawire, Inc. Ideawire, Inc., is a full service creative firm based in San Antonio, Texas. Ideawire provides corporations a multi-faceted resource for marketing strategy, interactive Web site development, print and graphic design. Since 1996, they have designed and launched successful Web sites and marketing strategies for some of the largest and most recognized organizations in the country. Some of Ideawire's other clients include: Time Warner Cable, Cargill Turkey, Advantage Rent-A-Car, and Disney. http://www.panamersa.com/news/detail/45
-- Partnership with Desimplex, a global software solutions company. DESIMPLEX and PANAMERSA Corporation Joint Venture to Bring $70 Million in Projected Growth Across Four-Year Period - DESIMPLEX currently provides solutions to many clients, including Banco Continental de Panama, Scotiabank, Bladex, Global Bank, Banistmo, Paribas, Cuscatlan, Banco Mercantil (Venezuela), Banco del Caribe (Venezuela), Banesco (Venezuela), Telefonica de Panama, Petroleos Delta, Nestle, Cable & Wireless and employs more than a hundred people, thirty of which are involved in research and development, expected to bring Future 500 partner. Consultants involved with DESIMPLEX hold more than twenty years of experience and have worked across the globe, most notably in a research capacity at some of the largest corporations in Spain, Venezuela, Hong Kong, Chile, Italy, Panama and the U.S. http://www.panamersa.com/news/detail/33
-- PANAMERSA Corporation Reduces Authorized Shares by Over 4 Billion, Offers Current Share Holders up to $0.04 -- — PANAMERSA Corporation authorized shares will be reduced by 4 billion shares. — The Share buy back will begin in conjunction with a shareholder price guarantee — A guarantee will be extended to loyal shareholders who wish to be a part of PANAMERSA Corporation’s future. — All shareholders who request their certificates from their broker and exchange those shares for PDRs issued by the Fundacion and agree to hold them for 1 year will be guaranteed a minimum price of $0.02 per share or the current market price, which ever is greater, or the option to keep the PDR. In addition each guaranteed PDR will be backed by Gold reserves. — All shareholders who request their certificates from their broker and exchange those shares for PDRs issued by the Fundacion and agree to hold them for 2 years will be guaranteed a minimum price of $0.04 per share or the current market price, which ever is greater, or the option to keep the PDR. In addition each guaranteed PDR will be backed by Gold reserves. http://www.panamersa.com/news/detail/40
-- Board of Directors = Influential Pan-American businessmen, politicians, lawyers & bankers -
>Pedro Borges Fiol, a Costa Rican citizen, holds a Master in Business Science Degree in Marketing Management with emphasis in Financial Products. Pedro's graduating thesis was "The Commercial Integrations of Latin America into the Economic Development of Pan-America (The Western Hemisphere)." For the last 30 years, he has been a militant and promoter of Pan-Americanism ... "a sense of belonging" ... as a forward-looking vision that establishes equitable commercial integration as the only solution to Latin America's survival in our globalizing economies. His professional career has been in banking and finance in the Latin American region, with operations hubs in the Republic of Panama, the Pan-American Banking Center and Costa Rica, the Pan-American Service Center. He is the Founder of "Fundacion PayPro," a Panamanian Private Interest Foundation, legally authorized to act as the depository, clearing house and safe keeper of PayPro's Incorporated shares for the benefit of its beneficiaries, legal entities or persons of good standing. He offers logistical advise to high level government officials in Latin America and the Caribbean.
>Hector Bolivar Aleman Estevez is an international analyst, having graduated from the Faculty of Public Administration with a title in International Relations. He has studied Biology and Industrial Engineering at the University of Panama and has a Diploma in International Negotiation, Treaties and International Commerce from the Latin American University of Foreign Commerce and the University of Santiago Chile.
He has given seminars at the Center for Democratic Studies of America (CEDAL), the Friederich Ebert Foundation, and the International Organization of Public Servants all over the world. He was General Director of the Institute of Formation and Utilization of Human Resources (IFARHU) from 1994 to 1999. From this position he promoted the assistance and educational credit for the bulk of the populace.
He has been an active member of the Revolutionary Democratic Party (RDP), holding major positions in the administration of the party. He also participated in the Table of Dialog for Economic Reactivation of Panama by the RDP.
Elected as a Legislator from 2004-2009, he was designated as the Minister of Government and Justice, which he held until May 2006 when he was selected to take charge of the Enlargement of the Canal project. He was also the secretary for the Political Committee of the Latin American Parliament.
He is currently Second Under Secretary of the Executive National Committee of the Democratic Revolutionary Party, member of the National College of Career Diplomats, Member of the World Network of Solidarity, and Principal Representative of the PRD before the Committee of the Free Trade Agreement between United States and Panama. At this moment he leads the process of concessions for the Enlargement of the Panama Canal Process.
>Manuel A. Gonzalez - Puron is the former Director Sony Music Entertainment, Latin America, and Media Director for Philip-Morris International and is presently the General Manager of G.A.M.E Factory Distribution, a partner in The Trinitum Group, and a Partner in The MFL Group.
G.A.M.E Factory Distribution distributes products for Warner Bros and several major record labels. In addition he brings major concerts to Latin America.
The Trinitum Group has Latin American distribution rights to such companies as The Limited, London Fog, Victoria's Secret, Overstock.com, BGB (paint), and Jacobs (Wal-Mart overstock)
In addition The Trinitum Group deals in Real Estate in Panama, including Micro Forests. In Costa Rica, it owns Net4Tel and Telco, the first privately held Communications Company approved by the government of Costa Rica.
The MFL Group has the Latin American Distribution rights from MTV, Mossimo, and Mormaid.
If Trump gave me ten cents a share,,,
NO ONE COULD SHUT ME UP!!!!!!
YEEEEEEEEEEEEEEEEEHAAAAAAAAAAAAAAAWWWWWWWWWWWWWWWWW!!!
yep.
Very nice and brings a lot of credibility to the country.
Trump doesn't do 3rd world.
Hey, they ARE listening to us!
Picked up some "tax" shares today.
Now all of my other shares will be "tax free" - I like them the best!!
Standard & Poor's Depository Receipts (Spiders)
http://en.wikipedia.org/wiki/Standard_&_Poor's_Depositary_Receipts
Standard & Poor's Depository Receipts or SPDR is an US-based exchange-traded fund which is specifically linked to the S&P 500.
The fund is formulated as a Unit Investment Trust with the sponsor being PDR Services LLC, a wholly-owned subsidiary of American Stock Exchange LLC.
SPDR, also called Standard & Poor's Depositary Receipt are often referred to as "Spider" are shares of a security designed to track the value of the S&P 500 (Standard & Poor's 500). Spiders trade on the American Stock Exchange under the symbol SPY. One SPDR unit is valued at approximately 1/10th of the value of the S&P 500. Dividends are distributed quarterly, and are based on the accumulated stock dividends held in trust, less any expenses of the trust.
Philippine Deposit Receipts (PDRs) - A PDR is a security which grants the holder the right to the delivery or sale of the underlying share, and to certain other rights including additional PDR or adjustments to the terms or upon the occurrence of certain events in respect of rights issues, capital reorganizations, offers and analogous events or the distribution of cash in the event of a cash dividend on the shares. PDRs are evidences or statements nor certificates of ownership of a foreign/foreign-based corporation. For as long as the PDRs arenot exercised, the shares underlying the PDRs are and will continue to be registered in the name of and owned by and all rights pertaining to the shares shall be exercised by the issuer.
http://www.pse.org.ph/html/InvestingInPSE/investing_pse.html
plus,
isn't the "Forget your password?" feature new as of today?
Mikey Likey
The Financial Times preparing special report on Panama
From primapanama.blogs.com -
I've also made LL Baker aware of this as an advertising possibility. The Financial Times' average reader is as much of a sophisticated investor as you can hope for.
http://primapanama.blogs.com/_panama_residential_devel/2007/04/special_panama_.html
Special Panama report in the Financial Times
Many of my readers are business leaders in Panama who have been instrumental in Panama’s recent emergence on the world stage as booming and prosperous country. I usually don’t promote specific publications or advertise for other businesses on my blog, but I want to make an exception because I believe all of our participation in an upcoming report on Panama in the Financial Times could be very beneficial as the special edition is only the third report devoted to the country in the last decade and comes at a pivotal moment in its history. With a daily circulation of over 450,000 and 30% readership in Great Britain, it is a perfect opportunity for Panama business to get great exposure. I read the FT on-line and find it to be a wealth of timely information that helps me to be better informed on the economic activities of the world as well as specific countries. Down load these word and Power point documents for more information on this opportunity to promote Panama! Check it out.
Download panrep_july_07_profile.ppt
Download ft_readers_reports_may_07.doc
Download panrep_july07_cover_taliaferro.doc
Panamersa Certs Love Song - for PI
Maybe I didn't flip you
Quite as good as I should have
Maybe I didn't pump you
Quite as often as I could have
Little things I should have said and done
I just never took the time
You were always on my mind
You were always on my mind
Tell me, tell me that your sweet momo hasn't died
Give me, give me one more chance
To keep you, I'm satisfied, satisfied
Maybe I didn't hold you
All those red and lonely times
And I guess I never told you
I'm so happy that you're mine
If I make you feel second best
Certs, I'm sorry I was blind
You were always on my mind
You were always on my mind
Tell me, tell me that your sweet momo hasn't died
Give me, give me one more chance
To keep you, I'm satisfied, satisfied
Little things I should have said and done
I just never took the time
You were always on my mind
You are always on my mind
You are always on my mind
-- The King
payprogone = gone
------------
No bash here - The Panamanian laws that govern the creation of entities like Fundacion Panamerica seem to operate much like the proverbial "Galt's Gulch" for American investors who may be losing confidence in the US financial system.
See - http://en.wikipedia.org/wiki/Gulching
Gulching refers to the act of forming a localized, underground economic community. The term comes from Galt's Gulch, the fictional village of economic outlaws in Ayn Rand's novel, Atlas Shrugged. Galt's Gulch was hidden in the Rocky Mountains and protected by a holographic shield. Modern gulching does typically occur in remote areas, but can also take place in suburban or urban areas, or even online. These underground communities are called gulches, and the inhabitants thereof are called gulchers.
Gulchers trade and barter with each other outside of government regulation and tax systems. The intent is to create a greater degree of economic freedom, while building a local trade network to provide goods and services that might become unavailable if the mainstream economy collapses. Gulchers are also free to trade outside of the gulch, though a remote location might make this difficult.
Welcome PI - Thanks for the DD.
youda-assistant-man
NO CENTRAL BANK !!!!
If you want to know why this is significant, you should research the role that "National" banks have had in the history of the world.
The VERY BEST source of information that I've found is here:
Part I - http://video.google.com/videoplay?docid=-8753934454816686947&q=money+masters&hl=en
Part II - http://video.google.com/videoplay?docid=-7336845760512239683&q=money+masters&hl=en
WHOLE - http://video.google.com/videoplay?docid=-515319560256183936&q=money+masters&hl=en
EVERY American should take 3 hours out of their life and watch this documentary. It is completely verifiable and true - and it is VERY eye opening!
It will take nothing short of a revolution to free us from this corrupt system.
Panama Has No Central Bank
By David Saied
http://mises.org/story/2533#_ftn1
In this modern, post-–Bretton Woods world of "monetary order" and coordinated central-bank inflation, many who are otherwise sympathetic to the arguments against central banks believe that the elimination of central banking is an unattainable, utopian dream.
For a real-world example of how a system of market-chosen monetary policy would work in the absence of a central bank, one need not look to the past; the example exists in present-day Central America, in the Republic of Panama, a country that has lived without a central bank since its independence, with a very successful and stable macroeconomic environment.
The absence of a central bank in Panama has created a completely market-driven money supply. Panama's market has also chosen the US dollar as its de facto currency. The country must buy or obtain their dollars by producing or exporting real goods or services; it cannot create money out of thin air. In this way, at least, the system is similar to the old gold standard. Annual inflation in the past 20 years has averaged 1% and there have been years with price deflation, as well: 1986, 1989, and 2003.
Panamanian inflation is usually between 1 and 3 points lower than US inflation; it is caused mostly by the Federal Reserve's effect on world prices. This market-driven system has created an extremely stable macroeconomic environment. Panama is the only country in Latin America that has not experienced a financial collapse or a currency crisis since its independence.
As with most countries in the Americas, Panama's currency in the 19th century was based on gold and silver, with a variety of silver coins and gold-based currencies in circulation. The Silver Peso was the currency of choice; however, the US greenback had also been partially in circulation, because of the isthmian railroad — the first railroad to connect the Atlantic to the Pacific — that was built by a US company in 1855. Panama originally became independent from Spain in 1826, but integrated with Colombia; however, being a small state, it was not able to immediately secede from Colombia, as Venezuela and Ecuador had done. In 1886 the Colombian government introduced several decrees forcing the acceptance of government fiat paper notes. Panama's open economy, being based on transport and trade, plainly could not benefit from this; an 1886 editorial of its main newspaper read:
"there is no country on the globe, certainly no commercial center, in which the disastrous consequences of the introduction of an irredeemable currency would be felt as in Panama. Everything we consume here is imported. We have no products and can only send money in exchange for what is imported."
In 1903, the country became independent, supported by the United States because of its interest in building a Canal through Panama. The citizens of the new country, in distrust of the 1886 experiment of forced fiat Colombian paper notes, decided to include article 114 in the 1904 constitution, which reads,
"There will be no forced fiat paper currency in the Republic. Thus, any individual can reject any note that he may deem untrustworthy."
With this article, any currency in circulation would be de facto and market driven. In 1904 the Government of Panama signed a monetary agreement to allow the US dollar to become legal tender. At first, Panamanians did not accept the greenback; they viewed it with mistrust, preferring to utilize the silver peso. Gresham's Law, however, drove the silver coins out of circulation.[1]
In 1971 the government passed a banking law that allowed for a very liberal and open banking system, without any government agency of consolidated banking supervision, and confirmed that no taxes could be exacted from interest or transactions generated in the financial system. The number of banks jumped from 23 in 1970 to 125 in 1983, most of them being international banks. The banking law promoted international lending, and because Panama has a territorial tax system, profits from loans or transactions made offshore are tax free.
This, and the presence of numerous foreign banks, allows for international integration of the system. Unlike other Latin American countries, Panama has no capital controls. Therefore, when international capital floods the system, the banks lend the excess capital offshore, avoiding the common ills, imbalances, and high inflation that other countries face when receiving huge influxes of capital.
Fiscal policy has little room to maneuver since the treasury cannot monetize its deficit. Plus, fiscal policy does not influence the money supply; if the government tries to raise the money supply during a contraction period by obtaining debt in international markets and pumping it into the system, the banks compensate and take the excess money out of circulation by sending it offshore.
Banks cannot coordinate inflation due to ample competition and the fact that (unlike even the United States banking system prior to the Federal Reserve) they do not issue bank notes. The panics and general bank runs that were so common in the US banking system in the 19th century have not occurred in Panama, and bank failures do not spread to other banks. Several banks in trouble have been bought — before any runs ensue — by larger banks, attracted by the profits that can be made from obtaining assets at a discount.
There is no deposit insurance and no lender of last resort, so banks have to act in a responsible manner. Any bad loans will be paid by the stockholders; no one will bail these banks out if they get into trouble.
$45
After several years of accumulation of malinvestments during the booms, banks begin the necessary liquidation of bad credit. Since there is no central bank that can step in to provide cheap credit, the recession begins without any hampering by monetary policy. Banks thus create the necessary contraction by obeying market forces. Panama's recessions commonly create deflation, which mollifies consumers and also facilitates the recovery process by reducing business costs.
Only the fact that the law does not allow for the downward flexibility of wages makes recessions longer than they would otherwise be.
Deflation happens without the terrible consequences that Keynesian economists predict; and the country, now under democratic rule, is experiencing its 4th year of market economic growth well above 7%. So the policy makers who have said that abolition of the central bank is unfeasible need only look to Panama's macroeconomic environment, which has been favorable for over 100 years, to realize that it is, in fact, not only possible, but very beneficial. Clearly no government-forced fiat currency, no central bank, and the absence of high inflation are working quite well in this small country. Who can argue that these policies would not work in larger economies?
--------------------------------------------------------------------------------
David Saied is head of National Public Policy for the Government of Panama and also directs the National Competitiveness Program. Send him mail. Comment on the blog.
Note
[1] Carlos E. Ramirez, Monetary History of Panama, p. 5.
Panama Canal's new big dig draws a crowd
By JENALIA MORENO
Copyright 2007 Houston Chronicle
Crossing the Panama Canal
Business expands to Panama Canal PANAMA CITY, PANAMA — Hordes of tourists clad in cruise line T-shirts and baseball caps shared the observation deck with men dressed in business suits and monogrammed company shirts.
The crowd gathered this sweltering March morning at the Panama Canal's visitors center was there mostly to watch multistory tankers and container-laden ships make their interoceanic journeys.
But the guys in the suits had an additional reason.
They are part of a growing number of business owners, engineers and contractors, including some from Houston, who hope to win a piece of one of the biggest construction projects in the region.
Last October, Panamanian voters approved a referendum on a $5.3 billion expansion of the 93-year-old global shipping corridor. Plans call for a third lane of traffic and a new set of locks.
With a wider and deeper corridor, the Panama Canal will be able to capture the business of larger ships. It will also mean increased business for the Port of Houston. Ships sailing from the growing Asian market to the Port of Houston, for example, will be able to take a shortcut.
Twelve percent of the tonnage handled at Houston's port traverses the Panama Canal, according to Port of Houston Authority officials.
"The canal is an important link in connecting Houston to the Pacific Ocean," said Alberto Alemán Zubieta, the Panama Canal Authority chief executive officer and administrator. "The expansion of the canal is immense for Houston and actually all of the transportation system of the Americas."
The expansion is expected to be complete in 2014.
Contracts get attention
Until then, the buzz is in the building industry.
More than 600 people from 222 companies hailing from 31 nations attended a March conference in Panama to learn what contracts will be up for bids for this big dig. And officials from at least a half-dozen Houston companies were among the attendees.
"Any major company out there that deals with this is going to be involved because it's a huge project,"said Armando Deschamps, business development specialist of Houston-based Innovative Hydraulic Designs. "There's a lot of money in this."
His company is interested in providing hydraulics for the canal's new set of locks. Deschamps and a Colombian co-worker attended the conference, touring the canal and meeting with potential partners interested in bidding for the project.
Jim Wiehage, district manager of piling sales for the Houston office of Pittsburgh-based LB Foster Co., also listened to the presentations. He visits Panama several times a year for other business.
"We're a supplier of steel, and there's going to be massive amounts of steel in this project," he said.
Bigger presence
Houston resident David Taylor, project manager for British firm Halcrow HPA's Houston office, has spent so much of his time working in Panama recently that he's learned some Spanish. In the past two years, he's noticed several international companies opening offices in Panama City to prepare for possible canal contracts.
"Not to say that's the only work, but it's the big work. It makes economic sense to keep an office here," said Taylor, as he visited Miraflores, which is on the Pacific side of this intercontinental divide. "They're looking for other work, and they're doing other work. There's lots of other things going on, but their prime focus is the canal project."
Officials with Halcrow HPA hope to work on the design of a new set of locks — the massive entrance and exit gates for ships. The locks act as water elevators, raising ships above sea level to the level of the Gatun Lake, a man-made body of water.
And Jesus Silva, vice president and chief executive officer of Houston-based PC Oil and Gas, expects to spend so much time in Panama that he plans to buy an apartment in this cosmopolitan city.
"There's very good opportunities for us," said Silva, who hopes to work on several projects on the isthmus of Panama.
Revenue booster
For Panama, expanding the canal will pump more money into the economy. In 2005, the canal contributed $545.1 million to the government's coffers from tolls ships paid to use it. And a canal study predicts the canal administration will pay $4.2 billion to the government in 2025, after the expansion is complete.
"The investment in the canal itself is the tip of the iceberg," said Diego Eleta, president of Panama's chamber of commerce, industries and agriculture.
Slideshow on Panama Development
http://www.chron.com/content/chronicle/special/07/slideshow/panama/
U.S. retirees fuel boom in Panama
Dollar economy, cheap health care are drawing many
By JENALIA MORENO
Copyright 2007 Houston Chronicle
related links
U.S. retirees looking to Panama PANAMA CITY, PANAMA — Sharyn and Reuben Bronstein are witnessing a building frenzy from the balcony of their 22nd-floor apartment.
Towering cranes and more than a dozen residential skyscrapers under construction obscure the retired Houston couple's view overlooking Punta Pacifica, Panama City's hot new foreign enclave.
In one direction, Donald Trump is building a 68-story, sail-shaped edifice on the Pacific Ocean called the Trump Ocean Club International Hotel & Tower.
In another, Spanish company Grupo Mall, which is selling properties out of Houston, is putting up Los Faros de Panama, The Lighthouses of Panama, a glitzy development complete with apartments, a casino and a hotel.
At least 170 residential towers worth $3.2 billion are planned or currently under construction, according to a recent survey by real estate consultancy Prima Panama.
Fueling this boom, in part, are U.S. retirees lured by Panama's cheap health care, dollar economy and widespread use of English.
More moving south
Between 2003 and March 2006, the Panamanian government issued 1,379 visas to Americans 55 and older, according to a report by the Washington, D.C.-based Migration Policy Institute, adding to the already growing retiree population.
In 1990, by contrast, 491 American retirees called Panama home, according to the institute.
With 78.2 million U.S. baby boomers expected to reach retirement age in the next two decades, developers and the real estate industry are counting on Panama to issue many more visas.
"Panama is the latest country to join this boom — and with a lot of dynamism," said Orlando Lopez, general manager of Central America for Houston-based Stewart Title, which plans to open an office in Panama City later this year.
Lopez, who's based in Costa Rica, estimates the office could guarantee $300 million in properties within a year of operation.
Other Houston-based companies are also hoping to get a piece of this market.
Houston-based AbroadEstatesgroup has the exclusive rights for the Texas market to sell homes in Grupo Mall's development, which will have three towers, the central one reaching 84 stories.
A handful of Houstonians are expected to produce down payments for units in the development, said Jose-Pablo Fernandez-Cueto, international operations officer for AbroadEstatesgroup, which also offers financing for homes in Mexico and Costa Rica.
Incentives abound
Panamanian developers began aggressively catering to U.S. buyers, with golf courses, gated communities and American-style shopping centers, about three years ago.
Magazines and even television shows with tips for buying property abound in Panama. Promoters tout the nation's warm weather, flights to the U.S. and discounts for a variety of items, including movie tickets and doctor's visits.
The Panamanian government is also selling the nation, offering some exemptions on property taxes, duties for importing household goods and a car.
Such incentives seem to be at least sparking the interest of American retirees.
A Panama Marriott Hotel guest from Wisconsin recently stopped at the concierge desk to ask about the location of retirement communities. One March morning, a group of visiting Americans met with real estate agents in the lobby of the InterContinental Miramar Panama for tours of properties.
And more than 150 U.S. real estate agents recently attended Panama Spectacular, a weeklong conference providing tours of dozens of properties in Panama City and along the Pacific Ocean.
Promoting the country
Panamanian native Xiomara Samudio, an Atlanta real estate agent and Continental Airlines flight attendant, was one of the attendees.
"I thought it was just a wonderful idea for my business to be able to visit all the developments so that I can go back and sell Panama," said Samudio, who walked barefoot on the beach at a gated community.
"As a Panamanian, I feel extremely proud that the government of Panama and all of the real estate people have done an extraordinary job promoting the country."
Though there are plenty of promotions of projects, real estate agents and interested buyers can view few completed developments for now.
Instead, they stop by fenced-in construction sites, model homes and empty Pacific Coast beaches where developers promise to build high-rise buildings and gated communities.
"This phenomenon right now is all about sales and beginning to get into construction," said Paul McBride, chief executive officer of Prima Panama, the real estate consultancy, which also publishes Paradise, a magazine for North American retirees. His company also offers a travel-discount program, and in 10 months it issued 3,500 memberships.
"The inventory is not going to show up for another three to six years," McBride said.
Although few properties are complete, Panamanian, European and American developers continue their plans for posh skyscrapers in the city and luxury beachfront communities in the city's suburbs.
'Fighting for resources'
"We're finding the city is getting a little bit crowded with developers," joked Jose Manuel Bern, sales director at Empresas Bern, a nearly three-decade-old developer and builder. "It seems like everybody is either a developer or a Realtor."
The pace of construction tends to delay some developments as builders cannot find enough equipment or workers.
"We're fighting for resources," said Bern, who recently described his company's high-rise and gated communities under development to the attendees of Panama Spectacular. "If you want a scaffolding today, there's not one to be had."
Martin Bronstein, founding principal and chairman of Houston-based commercial real estate consulting firm The Situs Cos., and his nephew, Maury Bronstein, attended the conference to learn about bringing U.S.-style lending to Panama.
It was Martin Bronstein who encouraged his brother Reuben and wife Sharyn to give Panama a look.
"For the dollar, you can get a lot more here than you can get in the States, and it makes for a nice getaway,"said Maury Bronstein, an independent management consultant.
Martin Bronstein said he is concerned about builders overestimating the size of the foreign market.
"I have concerns about it, just like anyone should be that's being cautious about financing projects," said Bronstein. "We're not cowboys in terms of our approach to business by any stretch of the imagination."
Gotcha - thanks for the digging Snick.
Takereasy,
Google Translation
Barcelona, 15 of January of the 2007
To Don Pedro Borges Fiol
President
Bread America Joint-stock company (MMVII) PANAMERSA
After the present I communicate and I point out, like Spanish citizen, author and promoter of PORT SAE “the Strength” the GREATER CULT TO the HISTORY OF the PIRACY. , my intentions, performances and actions, that I detail to them next:
In first instance: I am carried out the inscription of the Rights of Author of PORT SAE “the Strength” That next encloses text of this published registry day 20 of Julio of 2006 Nº 140 of the National Newspaper of the Republic of Costa Rica.
This action constitutes like the introduction to the development and construction of PORT SAE “the Strength”, a tourist project within the frame of thematic park, recovering all the activity and Historical File of the colonial time of all those Countries which were witnesses of this legacy.
In second instance: Day 01 of December of the 2006 the denominated company is constituted in the Republic of Panama:
PORT SAE Productions Joint-stock company (PORTSAE)
In third instance: The day of 04 December of the 2006, day of Santa Barbara, the Agreement of Economic Interest between the companies PORT SAE Productions Sociedad Anónima (PORTSAE) and PANAMERSA is signed Corporation, company publishes in the EE.UU., which having the professionals of international signs along with the own ones of our organization will be those that they were in charge of the promotion, development and construction of pentápolis detachhed in the Prohibited ones, the Port, the Bunker, Pirate Park and Guaridas forming PORT SAE “the Strength”.
With these actions east Mega institutionalizes Project within the category of Thematic Park, allowing us to supply the participation in PORT SAE “the Strength”.
I) Like seat and host of PORT SAE “the Strength” to the Countries that were dumb witnesses of this historical legacy.
II) Like Active investors, Passive and Strategic. To all those physical or legal people interested in the participation of the financial structuring.
Messages:
Through mail to PORT SAE Productions Joint-stock company in District of Panama, Group of judges of Beautiful Vista, building World Trade Center suite 603, Panama, Republic of Panama.
Through form of contacts in our Web: www.port-sae.com
Or remítanos its message email: gerencia@port-sae.com
Kindly.
Jorge Giménez Huguet
President
Port Sae Productions Joint-stock company (PORTSAE)
OMG, 13yo grl nu txt champ
April 23, 2007
http://www.theage.com.au/news/world/omg-13yo-grl-nu-txt-champ/2007/04/23/1177180529572.html
It's a sport only for the fleet of thumb with a ruthless dedication to punctuation.
And while competitive text messaging may not have quite gained Olympic status, the hundreds of mostly teenagers who took part in the US championships in New York yesterday could think of little but the $US25,000 ($A29,900) prize money.
Some 250 challengers shunned the warmest day of the year for a dark ballroom where they battled it out for a chance to take on the reigning West Coast champion, 21-year-old Eli Tirosh, for the title of US Texting Champion.
Contestants had to stand with their hands behind their backs until a bell sounded and a message appeared on an overhead screen. The winner was judged on whoever's message - checked for exact punctuation - reached the judges first.
The text tests ranged from "faster than a speeding bullet..." and "what we do in life echoes in eternity" to the less poetic "OMG, nd 2 talk asap," which (for those over 30) means "Oh my God, need to talk as soon as possible."
The 250 competitors were quickly whittled down to eight semi finalists, one of whom, Anne Finn, 24, of Allegany, New York, said the pressure was too much.
"It was so nerve-wracking. My hands started to shake. I couldn't get my apostrophe," she said.
In the end, 13-year-old Morgan Pozgar faced off against Michael "Cheeser" Nguyen in the east coast final, with Pozgar slipping past her challenger to face west coast champion Tirosh, a law student from Los Angeles.
"I just wasn't fast enough," said Nguyen, a 23-year-old engineer from Pennsylvania. Asked how it felt to take second place, he was clearly disappointed: "I just got beaten by a teenage girl, but you know."
Tirosh said she practised with her friend and trainer Amy, who threw out random words or symbols and even motivational Buddhist quotes.
Wearing a satin boxing robe before her championship bout against Pozgar, she said success would come down to who could marry lightning speed and accuracy.
"It's all about the thumbwork," she said.
"It's about balance." She said she owed her success to relaxation and deep breathing.
So dedicated is she to the art of the text message that Tirosh apparently unwittingly uses initials such as BTW (by the way), TTYL (talk to you later) and LOL (laughing out loud) in her normal speech.
Pozgar said she trained by sending on average 8,000 text messages a month to her friends - an astonishing rate of one every five and a half minutes. She pays $US10 ($A12) dollars a month for an unlimited text package on her mobile phone.
In a tense championship final, Tirosh seemed to have won after putting down her phone first, only for judges to rule she had made an $A18,000-dollar typo in the lyrics to Mary Poppins song "Supercalifragilisticexpialidocious."
Pozgar, who says she wants to work in fashion when she's older, had no hesitation about how to spend her prize money - $US10,000 dollars for the east coast championship and a further $US15,000 dollars for the national award.
She said she was going to hit the stores in New York City.
Her mother, Shannon, said she would let Morgan spend some of the money but was eyeing the rest for her college fund.
AFP
The smell of money brings six more banks to Panama
This article from the local paper announces that six banks are applying to the bank commission to open their doors and vaults here in Panama. That puts us well over 100 in this small country of about 3 million inhabitants.
Panama, Friday 20 of April of 2007
PROCEEDING OF LICENSES.
Six banks will open in panama coming from France, Switzerland, Cayman Islands and Honduras wants to initiate operations in the local market.
La Prensa/Jorge Fernandez
The Superintendent of Banks at this moment is analyzing the documentation of six new banks coming from France, Switzerland, Islands Caiman and Honduras, that they want to initiate operations in the local market. The organization did not reveal the names of the groups. Other eight new banking groups coming from France, Guatemala, China, Venezuela and Brazil have expressed to the regulating and supervising organization of the banking activity their interest by the Panamanian market.
The last year eight organizations that registered assets by 392 million dollars, which they emphasize Produbank, Natexis Banques Popular, Savings bank of Galicia (Caixa Galicia), Bank of Pichincha, Colpatria and the FPB International Inc. Bank, of Brazil initiated operations. This interest must, according to the superintendent of Banks, Olegario Barrelier, to the fort incentive that represents the execution of the project of expansion of the Panama Canal and to the perspective of greater financings of foreign trade related to regional commercial integration with the United States. The Bank of Guayaquil, on the other hand, is planning to open to this year offices of representation in Panama, Madrid and Spain
GDP Outlook 2008: Venezuela Worst, Panama Best
Venezuela's oil boom is coming to an end after several years of strong economic growth, the IMF predicts.
BY CHRONICLE STAFF
Venezuela, Latin America's fourth-largest economy, will have the lowest economic growth rate anywhere in Latin America next year, while Panama will have the highest growth, the International Monetary Fund predicts.
Venezuela's GDP will only expand by a mere 2.0 percent in 2008, the IMF says in its latest World Economic Outlook, released last week. That follows four strong years with average economic growth of 11.3 percent, according to a Latin Business Chronicle analysis of IMF data for the 2004-07 period.
That is the worst performance since the 2003 (when the economy declined by 7.8 percent). The slowdown comes as Venezuela also is expected to post the highest inflation rate in Latin America next year.
Venezuela's growth rate next year is also less than half of the forecast for Latin America as whole - 4.2 percent, according to the IMF.
REDUCED REVENUES
The forecast of a Venezuelan slowdown comes two weeks after PDVSA, the country's state oil giant, announced that its net income fell by 26 percent last year. PDVSA accounts for nearly 45 percent of the government's revenues and 78 percent of Venezuela's total exports, according to the Associated Press.
Venezuelan economist Pedro Palma, who heads up MetroEconomica consultancy in Caracas, has repeatedly warned against a slowdown in the economy.
Brazil and Mexico, Latin America's largest and second-largest economies, are expected to expand by 4.2 percent and 3.5 percent, respectively.
Ecuador, Latin America's eight-largest economy, is expected to post the second-worst result in 2008. Its economy will expand by 2.9 percent, the IMF predicts.
Venezuela and Ecuador are both advocating populist economic policies, which the IMF warns against.
"Policy slippages that undermine investor confidence are [a] concern, particularly against the backdrop of pressures for populist fiscal measures in some countries," the fund says. "In Ecuador, concerns about a possible external debt restructuring saw spreads on external debt widen sharply earlier this year, although they have narrowed more recently."
PANAMA BEST
On the opposite end is Panama, which will likely expand its GDP by 6.8 percent next year, which is higher than any other economy in Latin America. That follows four years of solid growth, averaging 7.3 percent per year, according to our analysis. And in contrast to Venezuela, Panama will post low inflation next year - only 2.4 percent, the IMF forecasts. That's the second-lowest rate in Latin America.
Argentina and Peru follow Panama in terms of the highest GDP growth next year. They will each post GDP growth of 5.5 percent. In the case of Argentina, the 2008 rate is a marked slowdown compared to the high growth seen in the five year period 2002-07, when GDP expanded by an average of 8.6 percent per year. Peru's 2008 growth comes on the heels of four years of growth averaging 6.4 percent.
All in all, 11 countries will see reduced growth rates next year compared to 2007, while seven will see increases and one (El Salvador) will repeat the same growth rate, the IMF predicts.
Among other noticeable changes:
Bolivia's GDP is expected to grow by 5.3 percent - its highest level since 1991.
Haiti's GDP will grow by 4.0 percent - its best performance since 1996.
Paraguay's GDP will grow by 4.5 percent - the best result since 1995.
Measured by trade pacts, the Andean Community will perform best, growing by an average of 4.6 percent next year. The CAFTA countries follow, with an average growth of 4.3 percent, while Mercosur will see the lowest growth rate: 3.9 percent, according to a Latin Business Chronicle analysis of IMF forecasts.
2007 ESTIMATE
This year, the IMF estimates Latin America will grow by 4.9 percent, which is slower than the 5.5 percent registered last year. That is higher than the growth expected in the United States, the European Union and Asia, but lower than Africa and the Middle East, according to a Latin Business Chronicle analysis of IMF data.
"The external environment is expected to become somewhat less favorable as global growth moderates and oil and metals prices decline from the record levels of 2006," the IMF says. "A sharper-than-expected slowing in the United States would hit Latin America harder than other regions."
Countries and regions that have particularly close trade links with the United States (such as Mexico, Central America, and the Caribbean) or are significant exporters of oil and metals (Chile, Ecuador, Peru, and Venezuela) will be most affected, the IMF warns. On the other hand, lower oil prices will benefit countries that are not significant exporters of commodities (including many in Central America and the Caribbean). And the strength of grain prices will help exporters of agricultural products such as Argentina and Brazil, the fund says.
Argentina will see Latin America's strongest growth this year (7.5 percent), followed by Panama (6.6 percent) and Venezuela (6.2 percent). Ecuador, will see the lowest growth (2.7 percent), followed by Mexico (3.4 percent) and Haiti (3.5 percent). Brazil should grow by 4.4 percent, the IMF estimates.
All in all, 13 countries will see reduced growth rates this year compared to 2006, while only four will see increases and two will repeat the same growth rate, the IMF predicts.
Measured by trade pacts, Mercosur will perform best, growing by an average of 5.4 percent this year. The CAFTA countries follow, with an average growth of 4.9 percent, while the Andean Community will see the lowest growth rate: 4.7 percent, according to the Latin Business Chronicle analysis.
The 2006 growth marked the third consecutive year of strong growth. "2004–06 was the strongest three-year period of growth in Latin America since the late 1970s, although growth still lagged that in other emerging market and developing country regions," the IMF points out.
Pec,
No one who posts here is "objective"
You either own or you don't. One's view is likely to be influenced by their beliefs.
Of course, I'm sure you are above any "guile" - LOL!
Pec.
Yeah,
Probably the folks at Ideawire and the F&F Law Firm.
Hit the PR wires with this news on Monday morning please.
Iggy = Peace.
They asked for a PR with "verifiable" facts.
They got it.
HUGE news!!
Thanks 4G.
Is there a link somewhere to the bios of the BOD members?
Feldbush + Belchenko + Dovgan + Valentin + Chobonian = SUCCESS!!
This is a major card.
Do we have a collection of info on these guys?
Thanks,
Plus,
remember in your calculations that the future price of gold is bound to be higher than today.
By the time many of those ounces see the light of day, the price of gold will be well over $1,000.00 per oz
GO AUR2C!!!
Oh glorious day...
it will be when Stewie drops the BOMB on us!
I hope he's got an evil plan for world domination, with wave after wave of killer PRs that will drive this mutha through the roof.
Come on Stewie, just pretend the shorts are Lois.
BLAST!!!
vonroe,
I like this part at the end.
In his closing address, Calderón quoted the late Octavio Paz, one of Mexico’s most famous men of letters, saying, “The integration of Latin America is not a dream but a reality that we are building day to day.”
That quote sounds like it's right out of Pedro's mouth.
"Integration of Latin America" seems to have legs.
Thank you sir,
Great post.
Your time is appreciated.
OT: Must Read About NAKED SHORT SELLING!
Here's how the game is being played.
Not sure if this has been posted here yet.
(excerpted from Dateline Research)
To get a handle on the concept of naked short selling, one has to know a little about the steps and players involved in the processing of a buy order on the OTCBB and Pink Sheets.
Step 1: The purchaser either calls his broker on the phone or reaches his brokerage firm on the Internet. Let’s assume he decides to buy a 1% interest in a penny stock that has 100 million shares issued and outstanding. The buy order is thus for 1 million shares. Let’s assume the buy order is “at market”.
Step 2: The broker on the receiving end of the order then writes up the buy order and places the order on his firm’s “Trading desk”.
Step 3: Assuming that the firm does not make a market in this security, they will hand the order on to a market maker that does.
Step 4: This buying market maker will then either go to the selling market maker showing the lowest offer or to a favorite market maker of his and ask him to match the lowest offer. The trade is executed between the buying and selling market makers at the agreed upon lowest offering price.
Step 5: Assuming the buying and selling brokerage firms are small and do not have the facilities to “clear” the trade, they then send the details of the trade to their respective clearing firms.
Step 6: Since both clearing firms have both “cash” and “shares” accounts at the DTCC, the buying clearing firm wires the purchase price from their “cash” account to that of the selling clearing firm in exchange for the selling clearing firm wiring the 1 million share block from their “shares” account to the buying clearing firm’s “shares” account. This is called “Delivery versus payment”. The buying brokerage firm then sends out both a trade confirmation and a monthly statement to their client, the buyer of the 1 million shares, indicating that he does indeed “own” the 1 million shares, what he thinks to be 1%, of that company. Thus the transaction is complete. A “real” buyer paid “real” cash to a “real” seller for “real” shares. An intermediary known as a market maker provided a mechanism to bring the buyer and seller together. This basically is an over-simplified explanation of the system used on these trading venues, the OTCBB and the Pink Sheets. Selling market makers do not really have to have a sell order in hand to sell securities. Their job is to provide liquidity and to buffer the market from sharp peaks and deep troughs when an imbalance of buy or sell orders appears.
The phenomenon of illegal naked short selling (INSS) is a form of market manipulation/securities fraud that can be perpetrated at any step in the process. A legitimate short sale involves the seller following the letter and spirit of Rule 10(a)1, “The short sale rule”. It involves the selling firm making “affirmative determination in writing” that the shares being sold are indeed “borrowable”. It also prohibits short sales on a downtick. The borrowed shares are later returned. In illegal naked short selling, the shares were not only not borrowed, but they never did exist in the first place. They were created out of thin air. The legal term that describes this fraud is that the perpetrators created an “Artifice to defraud” the purchasers of the shares. Rule 10(b)-5 of the 1934 “Exchange Act” addresses this behavior.
PREEXISTING CONDITIONS AMENABLE TO NAKED SHORT SELLING
In order for this fraud to be perpetrated on unsuspecting investors, two main prerequisites exist. The first is the fact that purchasers of shares on these trading venues do not request the registration and home delivery of their shares. They see an entry on their monthly brokerage statement and have no reason to question its validity.
The second prerequisite is the fact that brokerage firms do not monitor for the “good delivery” of shares purchased by their clients as mandated by “The Customer Protection Rule” or Rule 15 (c) 3-3. With the presence of these two prerequisites as being the “norm” on these trading venues, clever opportunists have realized that they can sell nonexistent shares through Canadian margin accounts, in an undetected fashion, and thereby assume a “naked” short position.
This followed by the subsequent selling of yet more nonexistent shares tends to result in a precipitous drop in the share price, a share rollback of the victim corporation and its disastrous loss of market cap, or the outright bankruptcy of the victim corporation which circumvents the need for the naked short position to be closed, as it no longer trades. This lack of closure of the “sell then buy” circuit allows the massive proceeds of this fraud to bypass the taxman.
The typical naked short selling campaign or “bear raid” results in the death of the victim company within a 6 to 9 month period. The management teams and investors are often left scratching their heads wondering what hit them.
A variety of other preexisting conditions are present on these trading venues that allow this fraud to be perpetrated with little chance of detection. One of these is the inherent inability of a public corporation to communicate with its shareholders holding shares in “Street Form”.
The advent of the Internet has helped somewhat though. Statistics show that 8 of 10 companies trading on these 2 trading venues, the OTCBB and Pink Sheets, will die within their first three years of existence. These thinly traded and under-capitalized companies are often no more than “shell” companies whose existence was designed to line the pockets of their creators. The level of chicanery on these trading venues is distinct and the investment community knows about it. When the Vancouver Stock Exchange drastically buckled down on fraudulent behavior several years ago, the scamsters headed south of the border to the OTCBB and Pink Sheets.
The above statistic of 8 of 10 failures combined with the knowledge of the massive amounts of “pump and dump” programs in effect has caused the investment community to collectively look upon these companies as “future bankruptcies”. This mindset leads to certain behaviors among those opportunists that have visibility of buy orders for these “future bankruptcies”.
When a buy order for one of these presupposed “scams” lands then the entire investment community has their antennae up and a certain “feeding frenzy” occurs wherein the investment “professionals” fight amongst themselves to be the one to naked short sell into this buy order. Also these trading venues have very little supervision by the regulators who are strapped for cash as well as manpower. There really are no “cops on the beat”.
The Pink Sheets, for example, are a privately run trading venue, owned and operated by the National Quotation Bureau. Who needs regulators though when you have naked short sellers determining which corporations are “scams” and systematically annihilating them? The markets themselves have no visibility whatsoever to investors, even those with “Level 2” machines, and market makers pretty much can do what they please. If a market-making firm is selling 50 million shares per month of a certain victim company and buying only 2 million shares per month and has been doing this for several years, then this would surely be nice to know.
The tremendous amount of money involved here attracts these opportunists by the boatload. Investor naiveté is also a cornerstone. Very few people, with the exception of the perpetrators of this fraud, know how this game is played. The inherent confusion involved with millions of trades settling at any given time creates a certain cloud of dust that can obscure the perpetration of this fraud. There is no “Day of reckoning” for these trades. The IOUs just fly around in Cyberspace and never seem to land. It becomes incumbent on the victim corporations to call a “Legal time out” to get a peak at these IOUs. There is a certain psychology involved also that is inherent to some naked short sellers. They think of themselves as self-appointed sheriffs trying to rid the wild west of companies they diagnose as scams.
If their diagnosis is incorrect then it usually doesn’t make much of a difference anyway because they will bankrupt both legitimate and scam corporations. Bankrupting legitimate corporations is seen as “collateral damage” which occurs in any war. Brokerage firms hosting the accounts of “Offshore Corporations”, especially those located in the tax havens, do not follow the “Know Your Customer” rules. A commission is a commission.
The “Patriot Act” is buckling down in this regard and brokerage firms are to be on high alert for suspicious money flow activity. For those in need of laundering the proceeds of illicit activity, naked short selling provides a handy way to launder that 200% margin maintenance requirement attached to naked short sale orders for especially penny stocks.
Actually the crimes of naked short selling, wire fraud, money laundering, and tax evasion go hand in hand on these venues. Another key preexisting condition is that market makers are not forced to make public their naked short positions on a monthly basis as they must on the more senior exchanges. This is yet another example of the lack of transparency on these trading venues. As far as the Pink Sheets go, there are basically no demanding standards to match or surpass in order to be granted membership.
Another contributing factor has to do with the fact that input into the DTCC comes solely from the broker/dealers. Any picture that the brokerage firms want to paint regarding the disposition of a corporation’s shares can be painted at will. The fox is guarding the henhouse.
All of these factors combined form an environment within which this fraud can be perpetrated with very little risk of detection. If the laws were to drastically change tomorrow then these same fraudsters would just tweak their modus operandi accordingly and not even miss a beat.
THE MECHANICS OF NAKED SHORT SELLING
Referring back to the 6 steps involved in a “model buy order”, one can see the myriad of ways available to naked short sell into this purchase order. The first individual with a shot at this opportunity is the broker who gets the phone call from his client, the purchaser. There are two main modalities used to naked short sell at this level. We’ve seen where the broker himself can naked short sell into the buy order by picking up the phone and placing a matching sell order, usually through his own non-U.S. margin account, into the market at an opportune time.
The more common technique used at this level is the broker picking up the phone and telling an associate of his about the “opportunity” that has just landed on his desktop. The broker is used as a “scout” and is usually paid back for these favors by the brokerage business coming his way from those he is scouting for. Manipulations at this “Step 1” level are relatively rare but do occur especially when the broker receiving the call works in a Canadian Brokerage Firm where the naked short selling rules are more lax.
Step 2 level manipulations are fairly common and they involve the broker receiving the phone call writing up this buy order and setting it on his firm’s “trading desk”. The trader processing this buy order has 3 main mechanisms to utilize in order to avail either himself or a colleague of his to this wonderful opportunity to naked short sell into this buy order for shares of this “future bankruptcy”.
The first modality involves the trader picking up the phone to his personal broker at a Canadian firm and having him feed in a naked short sell order for a matching amount of shares at an opportune time. He can also naked short sell into the order right at his trading desk, a process called “desking”, which places the naked short position into a “proprietary account” of his own firm. This practice is almost universally done to all international buy orders. “Desking” is very commonplace. A third option would be to act as a “scout” for colleagues that would like to avail themselves of this wonderful opportunity and give them a “heads up” to the fact that a buy order is about to enter the system.
Step 3 involves a heretofore unmanipulated buy order being sent to a buying market maker from the trading desk of the firm receiving the buy order. There is an intrinsic reality in this relationship between the market maker and its client, the buying brokerage firm, that is critical to understand. The buying market makers need the order flow from the buying brokerage firms. It is their lifeblood.
When presented with a buy order, the buying market maker often has to naked short sell into the order just to keep his client brokerage firm happy with his services. The buying brokerage firm wants rapid execution of the buy order in order to get their hands on the commission. Since the stock of these companies is usually very thinly traded, oftentimes there are no sellers around to satisfy the demand for shares. The market maker is expected by his client to “perform”, which means to continuously naked short sell into buy orders presented by that client.
It is incredibly common for even the most ethical of market makers, due to this pressure to keep their clients happy, to run up immense naked short positions just in the course of their business. Their job is to provide liquidity to these illiquid markets. Where the crimes are often committed at this Step 3 level is in how the market maker handles this predicament he has gotten himself into. On the other hand, there are certain market makers that blindly naked short sell into each buy order on these trading venues that crosses their desk.
Market makers have literally dozens of ways to cause harm to these corporations that they “accidentally” ran up an immense naked short position against. These vary from continuing to naked short sell into every buy order that appears, effectively neutralizing these buy orders, to contacting naked short selling consortia to lend them a hand in killing the company. There is an endless list of market manipulative techniques to employ.
These Step 3 manipulations are the single biggest component of the overall naked short selling campaigns. Market makers are incredibly powerful in these campaigns in that they are legally allowed to naked short sell “while acting in the capacity of a bona fide market maker”. Not only this but they don’t have to reveal the size of their naked short positions to anybody. The “Short Sale Rule”, Rule 10 (a)-1, does not apply to the OTCBB and Pink Sheets. Step 3 manipulations involving these buying market makers are collectively known as “The Wall”. Very few buy orders make it over this wall and find a “real” seller.
Step 4 manipulations presuppose that the buying market maker behaved himself and went into the market and filled that buy order by approaching the market maker with the lowest offer price or a different market maker that was willing to match that lowest offer. The “Semi-ethical” buying market makers are in need of a quick “print”. They want to run the order and grab a quick “markup”. They know only too well which brokerage firms and other market makers to approach in order to get the buy order quickly naked shorted to them. Many of these public corporations’ shares are “Piggy-back Qualified”, this allows any firm to put on a “Market maker hat” and legally naked short sell without having to file a Form 15(c)2-11.
The same games are played with these selling market makers, but the height of the wall is a little less. Ethical selling market makers may or may not have a “real” sell order in hand. Oftentimes they will naked short sell into a buy order and then go on the bid to attempt to level out this now naked short position. If they accidentally dug themselves into a hole while servicing clients then they may sit on the offer all day and naked short sell into every buy order that appears. The lack of visibility that these markets provide to investors allows extremely manipulative techniques to go undetected.
Step 5 presupposes that both the buying and selling broker/dealers are not self-clearing. The clearing firms are in a unique position to orchestrate these manipulations behind the backs of
their client brokerage firms.
Step 6 manipulations occur in and around the DTCC. The back office policies at the DTCC have long been ascribed the role as the problem here. Activities at the “Lending Pool”, both of the Canadian Depositary Service and the DTCC also provide opportunities to both add yet another layer of manipulations as well as cover up earlier manipulations. All of the input into the DTCC is, of course, from the brokerage community. When attempting to drain this “lending pool” of its contents, careful attention must be paid to those shares held in Canadian Brokerage Firms because the level of chicanery here is alleged to be extremely high.
One can now get an appreciation for the nearly limitless opportunities available to attack one of these corporations during a “bear raid”. A very small percentage of buy orders actually meet up with a “real” seller selling “real” shares. There is just too much money to be made taking on naked short positions and then killing companies. From a risk/reward point of view the chance of detection is infinitesimally low and the rewards are abundant.
The ability to sell nonexistent shares in an undetected manner provides for a self-fulfilling prophecy of sorts. The victim companies find it necessary to finance their “burn rate” at artificially low levels, which leads to massive dilution. If the company were fortunate enough to actually have earnings at some point, they would be diluted so badly that it wouldn’t even matter. Of all of the varieties of securities fraud in existence, and there are many, naked short selling campaigns are usually thought of as the “manipulation of choice” providing the most favorable risk/reward ratio.
Since the “model buy order” that executed all 6 steps results in an exchange at the DTCC of cash for shares between the buying and selling firms, any “short circuiting” at any step would prevent this exchange from happening. In order to exchange cash for shares you need shares! There aren’t any when it comes to naked short selling. There never were any. The purchaser paid hard-earned cash for “air”. That monthly statement is a lie. His brokerage firm never did receive “good delivery” of a share certificate, there never was one. In fact, in the case of a Step 1 or 2 manipulation, the broker/dealer first damaged the company by artificially diluting it, and then he sold this damaged bill of goods to his client.
One might ask, “Well then where is the buyer’s money?” The buyer’s money is in the hands of his own brokerage firm. The same people he just paid a commission to and that have a fiduciary responsibility to him. Since there was no “good delivery” of shares made to the buying brokerage firm in exchange for payment, (“Delivery versus payment”), the check never left the coffers of the buying brokerage firm. There never was a “real” seller into whose pocket the cash should have gone. In Wall Street parlance, the buying brokerage firm has a “Failure to receive” on their books. All of the intermediate brokerage firms have both a “failure to deliver” and a “failure to receive” on their books except for the manipulating party itself, he would just have a “Failure to Deliver” on his books. The IOUs just travel through cyberspace and never get addressed.
Everybody owes everybody else and as long as nobody puts their foot down and demands delivery then this will be the status quo. So why don’t all of those firms with all of these “Failures” on their books rectify matters and level up their positions. “The Customer Protection Rule” (Rule 15 © 3-3), clearly states that the buying brokerage firm is mandated by law to go into the open market and buy-in that “Failure to deliver” within 10 business days of settlement. But in the case of a Step 1 or 2 manipulation, it is the buying brokerage firm itself that is the crook. How can you buy yourself in? The sobering reality is that all of the brokerage firms in their various roles in this buy transaction will make a ton of money if NOBODY forces anybody to deliver. That would wreck this whole wonderful low risk/high reward game, and nobody wants to do that.
The question now becomes, “What is that entry in my monthly statement all about if there never were any shares purchased?” We refer to these entries as “BEEs” or “Bogus Electronic Entries”. Their purpose is to give the buyer a certain comfort level so that he never suspects any fraud. It also serves to cover up the fact that the buyer’s money is actually in the coffers of his own brokerage firm, and being lent out or invested by them. The investor who bought nonexistent shares from his brokerage firm or whomever, was the victim of a “Double Whammy”. Not only did he not get the 1% ownership that he thought he was buying, he actually got a much lesser percentage of a company that he might not even recognize, one that perhaps he would have never bought the shares of if he had known the truth.
This company might have 100 million “real” shares issued and outstanding according to its Transfer Agent, but it may also have 500 million bogus electronic entries in existence. The bad news here is that all 600 million “shares” of this company can be sold tomorrow. An interesting phenomenon occurs when this investor holding the bogus electronic entry decides to sell his shares. After all his broker can’t hardly tell him that he can’t sell his “Bogus Electronic Entry” because we failed to get “Good Delivery” as mandated by law. When you want to sell, your broker is going to sell this “Bogus Electronic Entry” or “air” to some unsuspecting investor, who in no way shape or form can ever get “Good Delivery”.
The seller had no idea that he bought and sold nonexistent shares, and this process will go on and on and on. As long as nobody suspects anything and those monthly statements keep coming, then this little secret will never be revealed. The stock itself will trade like a big overweight whale, and buy orders of a significant size will not nudge the price one iota because of all of those “extra” shares that can be sold at any time. Should bad news be released a market massacre might ensue.
Typically the financiers of the company will fatigue and stop cutting checks, deeming that any more checks cut may be good money after bad. They will assume that all of that selling must be coming from somewhere and the only people that own that much stock is management, so this whole thing must have been some kind of a “Pump and dump” from the get go. Then it will be time to turn out the lights and nobody will ever know the reality of what was going on.
The transaction that this investor took part in actually created out of thin air a new million shares of stock. These shares can be bought and sold at will. They will never be detected by anybody as being fake, because of the lack of a “Day of reckoning”. The company in question will show 100 million shares being owned at the DTCC by various firms if everybody leaves them in “Street Form”.
If you, however, stack up all of the monthly statements of all of the shareholders for a given date, and add them up, you will come to the total of 600 million “shares” being “owned”, not 100 million. The absolute size of naked short positions actually have a tendency to increase in an almost geometric fashion because the larger the naked short position, the larger the potential losses to the naked short sellers should something go awry. This increases the incentive level to kill this corporation. Long-lived “Bear raids” are very scary to naked short sellers and demand special “weapons and tactics”.
The brokerage firms that perpetrate this fraud cover it up by breaking yet more laws. By law the purchase confirmation mailed to the buyer of the “shares” was to indicate to the buyer the capacity within which his broker acted. Typically the brokerage firm will act as an “agent/broker” and charge a commission.
In Step 1 and 2 naked short selling, however, the brokerage firm actually acted as a “principal/dealer” and actually charged what is known as a “markup”. If the brokerage firm were to indicate this capacity under which it actually acted, then the investor might question what this “principal/dealer” business is all about. Since the brokerage firm does not want the investor to know that they naked short sold him this “air” and that they were sitting on his money, they will just lie on the confirmation slip as to the capacity in which they acted.
The question is often asked as to when the “day of reckoning” occurs wherein these bogus entries must be made good upon. The law lists three different “days of reckoning”. The “Customer Protection Rule”, Rule 15(c)3-3, mandates that the “Failure to receive” certificated shares that were purchased in a transaction, are to be “bought in” by the purchasing brokerage firm on the 10th business day past the settlement date (T plus 3). The law also states that the selling firm in this transaction is to buy-in their client doing the selling if he hasn’t produced the certificate within 30 days of settlement.
The law further mandates that brokerage firms buy-in failures to receive and deliver within 45 days of filing quarterly reports that noted these “Fails”. With the absence of Rule 10 (a)-1, “The Short Sale Rule”, having any application to the OTCBB and Pink Sheets, the Customer Protection Rule is the only line of defense left against this fraud but it is ignored almost 100% of the time. There is just too much money to be made while ignoring it to turn down.
Investors becoming educated as to the nature of naked short selling and demanding the registration and home delivery of their shares has to be the cornerstone of the effort to end the perpetration of this fraud.
Since all 6 steps need to be completed in the “Model buy order” in order to match up a “real” buyer with a “real” seller, all of these manipulations at the various steps along the way result in the creation of new shares which exist in the form of a “bogus electronic entry”. These cause massive dilution of a corporation’s share capital, which has a depressant effect on the share price.
Since all financings of these corporations are tied to these artificially depressed prices, the dilution problem is further exacerbated. All corporations have to cover their monthly “burn rate” just to keep the lights on. This accelerated dilution rate is a constant source of discontent with shareholders. They not only see the price per share evaporating, but their percentage ownership of the corporation is also dwindling due to the artificially high dilution levels.
The resultant loss in shareholder morale throws yet more fuel on the fire of this company’s problems. Again there is a bit of a geometric progression in the company’s problems as opposed to a more linear arithmetic progression. Due to the inherent nature of this animal called naked short selling, the playing field becomes so tipped in favor of the racketeers that one wonders how any corporation could survive.
SELL SIDE NAKED SHORT SELLING
The same games can be played in the absence of a buy order from the sell side of the equation. Sophisticated naked short sellers typically work out of offshore corporations located in tax havens around the world. Banking secrecy laws in these havens help to prevent detection of the identity of the actual perpetrator of the fraud. If one is going to break 20 or 30 securities laws then one might as well do it in an anonymous fashion.
The modus operandi usually has an offshore corporation “A” setting up a margin account in a non-U.S.brokerage firm. This corporation “A” will have one shareholder and one director namely Corporation “B” from a different tax haven with different banking secrecy laws. Corporation “B” in turn will have one director and one shareholder being Corporation “C” in yet another tax haven.
For the victim company to attempt to identify Corporation “C”’s owner would now cost a fortune and take a great deal of time. These victim companies have neither. During this past February, non-U.S.regulators discovered the existence of 13,00 of these offshore corporate accounts amongst non-U.S.broker/dealers. Corporation “A” will now start selling massive amounts of the victim company’s stock. Corporation “A” will often be set up as a “Hedge Fund”.
The non-U.S.Brokerage Firm taking the sell order knows darn well that this offshore corporation doesn’t own any shares, but they can always play dumb later on should something go awry. Besides there’s some big commission money to be made. The non-U.S.Brokerage Firm will typically insist on a 150% to 200% margin maintenance requirement. The naked short selling of penny stocks is inherently dangerous and the broker/dealer needs to be protected. It is extremely easy to “Scuttle” an offshore corporation should the plan backfire and the non-U.S.firm knows this.
As far as the role of the non-U.S.Broker/dealer utilizing the lax non-U.S. laws regarding naked short selling, they have three main incentives to break the law and take the order. The first is the commissions generated. The second is the use of all of that money placed for margin maintenance requirements, and the third is the visibility of large sell orders providing opportunities for “front running”.
One technique the non-U.S.Brokerage Firms utilize is known as the “Hot Potato” technique. Firms are often allowed to keep a naked short position on the books for only a 10-day period after which fines may be levied. After 9 days a firm carrying a large naked short position can hand that position off to a “Buddy” brokerage firm like a hot potato. After another 9 days it may go to a 3rd firm or back to the original firm. If it gets too burdensome then it’s off to a friendly hedge fund for long term “storage”.
Non-U.S.OFFSHORE ACCOUNTS
Who are the typical holders of these non-U.S.margin accounts used for perpetrating this fraud? Offshore hedge funds are the most powerful of these groups. Hedge funds with less than 100 participants do not need to follow the rules and regulations dictated by The Investment Company Act of 1940. This provides both anonymity and lack of liability for the participants. Hedge funds typically contain the money of deep-pocketed players not averse to risk. Large market making firms as well as other Wall Street entities own significant positions in these hedge funds and can count on them when caught in a pinch. Hedge funds account for a very large percent of this naked short selling activity. The Senate Finance Committee is currently investigating the relationship between hedge funds and naked short selling.
Various naked short selling consortia are in existence around the world. They pride themselves on their due diligence capacities and they really are very impressive in that regard, but not infallible, which leads to significant opportunities when they do make errors. Some of these groups have their own websites and aid their disciples on the choice of non-U.S. Brokerage Firm to set up a relationship with. Usually a firm with a Head Compliance Officer that is willing to turn his head the other way a lot. These groups will typically have their head “guru” with good investigative connections as well as “street smarts”.
Recently we’ve seen a lot of activity out of Europe. Shares of OTCBB and Pink Sheet stocks actually “trade” on subdivisions of various markets over there, totally unbeknownst to management. Not unexpectedly 99% of the trades are “sells”.
One aspect of this business that has recently been revealed is how these various naked short selling groups communicate and collude with each other. If one group is having a tough time killing a company and their intent is becoming very obvious, then they will hand the baton on to their co-conspirators to help polish off the corporation. This is a very scary thought. These people are incredibly deep-pocketed in the first place.
“PILING ON/FRONT RUNNING/TRADE PADDING”
An interesting phenomenon often occurs when the non-U.S.broker/dealer first gets visibility of a large sell order. Let’s assume that it is a 20-million share sell order of nonexistent stock “at market” to be executed in two weeks time. The typical source of a sell order like this might be a market maker with a hedge fund connection that “accidentally” got into a large naked short position while servicing a valued client.
Knowing that this sell order is going to severely depress the victim company’s share price, the non-U.S.broker/dealer will often put in their own sell order of maybe 10 million shares and process it before processing the 20 million share sell order. The offshore corporation can’t exactly point an accusing finger should they detect the front running since they are breaking the law themselves. Now the non-U.S.broker will hand a 30-million share sell order to a market maker.
When the market maker sees this now gigantic sell order they will often front run this 30 million share sell order with a 10 million share sell order of their own making. They know all too well what a 30 million share sell order will do to one of these thinly traded securities. Thus a sell order of 20 million nonexistent shares has now grown to 40 million nonexistent shares.
This elucidates the “Self fulfilling prophecy” aspect of naked short selling. Unsuspecting shareholders will pay “real” money for all 40 million of those shares and not suspect any hanky-panky at all. How could a monthly statement from one of these prestigious Wall Street firms be telling a lie?
Thus naked short selling can work from left to right through the various steps involved in the processing of a buy order, in essence “neutralizing” the up ticking effect on share prices caused by buy orders, or from right to left with the introduction of massive sell orders of nonexistent shares.
DEATH SPIRAL FINANCINGS/TOXIC FINANCINGS/FLOORLESS CONVERTIBLES
A close cousin of naked short selling involves a form of predatory financing called “Death Spirals”. Companies in dire need of financings are often forced, by necessity, to trust that financiers will not pre-sell their equity financings in an effort to clobber the market and then convert for a very large number of shares at artificially low prices. These financings are based on fixed dollar amounts of conversions and not a fixed number of shares. A riskier form of death spirals involves potential financiers dumping tons of shares before even cutting a deal for a financing. Conventional death spirals are actually a form of “temporarily naked short selling” because the shares are forthcoming but usually restricted by Rule 144.
RECENT DEVELOPMENTS WITHIN THIS “INDUSTRY WITHIN AN INDUSTRY”
Within the past two years the world of naked short selling has been changed forever. Four separate events have rocked the world of the naked short sellers. Since the secrecy of the modus operandi is so important to these people, the headlines caused by these Four events is not welcome at all by the perpetrators.
The first event was the arrest of Anthony Elgindy and the exposure of his methodologies of naked short selling utilizing the services of two allegedly corrupt FBI agents. Elgindy and his huge following have allegedly been one of the pillars in the naked short selling community.
The second event was the sudden bankruptcy of the non-U.S. Brokerage Firm which has been the alleged “headquarters” for naked short selling worldwide.
The third event was the arrest of the CEO of this firm for attempting to naked short sell $30 million worth of three companies’ shares to an undercover FBI agent. The fourth event was Operation Uptick, revealing the incestuous linages between organized crime and reputable brokerages in the U.S. The “Winds of Change” do seem to be blowing a bit, and it wouldn’t take much of a breeze to knock down this “House of cards” the naked short sellers have built.
The significance of these events is not just getting these individuals and institutions out of commission. The real importance is the education that the public needs to receive in regards to naked short selling as these trials and bankruptcies go forward. Again the secrecy factor is the key to naked short selling. If the investing public knew what was going on behind the scenes on the OTCBB and Pink Sheets, then the uproar caused could mushroom into a total lack of confidence in this system, which is already on its knees after the Enron and Anderson debacles. If this knowledge did become commonplace, then at least one of the main two prerequisites, that of not registering and demanding delivery of shares, might be eradicated.
Several non-U.S.Brokerage Firms were recently sued by clients for not delivering the share certificates that he had demanded the delivery of. He had obviously been naked shorted the shares by both firms. In their statement of defense, the attorneys for the firms claimed that it was the actual client of theirs doing the naked short selling that owed the share certificate to the client/buyer and not the firm. The Customer Protection Rule would obviously beg to differ. This is a typical example of the mentality of the non-U.S.Brokerage Firms.
The non-U.S.Regulators have “lowered the boom” on the behemoth BMO Nesbitt in regards to “Serious Know your client deficiencies” and “Failure to supervise brokers”. Many of those 13,000 “offshore corporate” accounts have tens or even hundreds of millions of dollars playing the naked short side of the market. A broker managing these accounts is supposed to look into the sources of these funds to rule out any illicit activity like money laundering.
In the U.S. the Patriot Act demands that brokers scrutinize these funds and file “SAR”s (Suspicious Activity Reports”) when illicit behavior is suggested. This was implemented mainly as an anti-terrorist funding measure, but hopefully will spill over into keeping in check naked short selling. The dynamics of bringing to the public’s attention this insidious disease of naked short selling, has never been more exciting than at the present. The public is being immersed in learning the mechanisms of action of the Elgindys, the Valentines, the Thomson Kernaghans, these 13,000 offshore corporate accounts, money laundering, tax evasion aspects, etc.
LONG TERM SURVIVORS
An important aspect of these naked short selling wars is the length of time that the victim company has been under attack. When these naked short selling “gurus that can smell a scam from 40 miles away” guess right and beat up a scam company, the company doesn’t have a chance because of the vicious nature of naked short selling. The lack of assets of the company will be exposed and announced from the mountaintops.
What are interesting are the battles that ensue when these “gurus” misdiagnose a “real” company with “real” assets as a scam. The naked short sellers will still be able to knock the market cap down by 99%, but often it becomes tough to “Kill” the company. Investors that know that the company has the goods can sit back and buy shares at a tiny fraction of book value and thereby average down their previous purchases. Since the size of the naked short position is of a cumulative nature, increasing with the age of the battle, a point is reached wherein the naked short sellers cannot afford to cover this massive naked short position without driving the share price to the moon. This is when the games get really dirty because hundreds of millions of dollars are now up for grabs, winner take all.
THE DAMAGES
One has to wonder how many young micro cap corporations with great promise have been snuffed out while in this incubator of the OTCBB and Pink Sheets. Have we missed out on any potential cures for cancer or high tech breakthroughs? What happened to the dreams of all of those entrepreneurs who put every penny they had into their private companies in preparation for going public, and then getting massacred once public?
RECORD KEEPING AT THE DTCC
For an annual fee of $1,850, a corporation can receive from the DTCC a weekly update as to the number of shares that each of the brokerage firms on Wall Street have for a given corporation in their “Shares” account. Keep in mind they all have “cash” accounts also. The problem with these lists are two-fold. They only reflect the number of shares for which “Good Delivery” was attained. They also don’t address whether or not that brokerage firm owes any shares to a common “pool” of shares there available to any broker/dealer in need of quick shares. If for example the weekly DTCC Summary states that a broker/dealer has 1 million shares of a given corporation’s stock in their account, this must be compared to the sum of all shares being reflected as owned in the monthly statements of that firm as mailed out to their client/shareholders. Let’s assume this total is 4 million shares. The difference between these two figures can be characterized in several ways. The difference represents: 1) The naked short position of that firm, 2) The number of shares bought by that firm for which “Good delivery” did not occur, 3) The number of “Bogus electronic entries” that firm has on its books and that gets mailed out every month.
Wall Street can camouflage very well the number of shares represented by the sum of all shares being reflected as owned in monthly statements. An indication of this number can be attained by a corporation receiving its “NOBO” list or list of non-objecting beneficial owners. To this number must be added the number of shares owned by “OBO”s or objecting beneficial owners. When a person signs up for a brokerage account he is asked to check a box denoting whether or not the company in which he owns shares of has the right to know of his shareholdings. If he does not object to this, then he is a “NOBO”. The “NOBO” lists are available from ADP Brokerage Services Group at 1-888-237-1900.
When a person adds the total shares held of a given corporation at the DTCC to the number of shares held by “Registered” shareholders in safe deposit boxes, the sum will equal the issued and outstanding number of shares of that corporation exactly. So at first glance, all seems to be in order until you realize that the DTCC list only represents “Good deliveries” which on these trading venues is the exception and not the rule. And so the fraud is perpetrated on and on and on.
In regards to the “Pool” of shares held at the DTCC that is available in the case of an emergency, this was allowed by Addendum C- (1) of the NSCC’s (National Securities Clearing Corp.) rules and regs. They were taken over by the DTC several years ago, the amalgamation of which formed the DTCC. The Lending Departments of a firm monitor things here and are one of the biggest profit centers in any firm. From a practical point of view, until this pool is 100% empty of shares, don’t expect any upward pressure on share prices due to the borrowing ability provided by the pool. Once it is empty, however, each further demand for the registration and delivery of shares should theoretically cause a forced buy-in of shares under a “Guaranteed Delivery” basis.
It is relatively easy to empty out the “pool” at the DTCC. If a company has 70 million shares at the DTCC and a naked short position of 500 million shares, then all the company has to do is create a situation that withdraws 70 of 570 million shares available to be withdrawn. As was stated earlier, all of the brokerage firms represented along the chain of events of one buy order are HIGHLY incentivised not to demand the correction of those “Failures to receive and deliver”. In order for this to occur, the shareholder and the issuer must be educated as to how this game is played
You said:
Defecate or abdicate!
I said:
ROFLMAO
Yes,
and with all of Desimplex's experience in banking and the huge names of their clients.
...gives the PDRExchange.com system the credibility that it needs to convince worldwide investors to trust their capital to Panamersa and their new exchange.
Looking good here folks...
oh, and did we mention that PNMS made more profit in the first 3 months of 2007 than all of 2006!
Gonna be a big year!
Just saw the news.
SWEET!
Eventually the market will jump on this and up we go.
or....
we'll make our own market!!!
pdrexchange.com
PULL YOUR CERTS!!!!!
They got the OS right, at least.
We had to agree to these terms to see the Certified Documents.
I have agreed not reprint, republish or furnish this information to anyone or any entity. All information is protected according to the laws of the Republic of Panama as confidential. If the documents are reprinted, republished or furnished in any way, without the joint consent of the foundation council and the protector, I will be held civil and criminally liable for your actions.
Likewise, the protector hereby sets forth that he will furnish the information requested to him by two of beneficiaries of this foundation, in relations to the liquid assets corresponding to the petitioners and which the foundation has, and informs said beneficiary petitioners that that this information, according to the laws in force of the Republic of Panama and Article Nineteen of the foundation minutes, is confidential, therefore it cannot be revealed in any way by the beneficiary petitioners and if so revealed, without the joint consent of the foundation council and the protector, they shall be civil and criminally liable for these acts. Also to inform them, that this information, according to clause Eleven, paragraphs D and E and clause Fifteen, paragraph A and B of the foundation minutes shall not be used as a guaranty in any manner for the obligations to be incurred by the petitioner beneficiaries.