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Them There is the Facts !
jock
It is taken as such when read, RIDICULOUS !!!!!!
jock
Hahaha, and now this statement is backed by ?
"Now if the bio plant is to survive it will likly become the sole posession of
Robert Boothe - Goverment and Public Relations
Lamar Lindsey -AL Operaions Manager
and perhaps a couple of other locally 'involved' investors!"
jock
Spewed my coffee on that one. Another "pre-paid" fact by anonymous PHGI poster.
jock
Zoom it to full screen You can see better that way. Right click on it.
jock
It is up now. I still see people on site walking around what looks like a concrete foundation ? Might be 6 or so maybe more people on cam.
jock
To sit on the ask and bid means you must have purchased shares at some point ? They were hitting it hard for a while. Then POOF, gone bye bye.
jock
Can you explain to me why then (RBCM)Royal Bank of Canada was one of the MM's gobbling up all of those PHGI shares before the PR of the Canadian subsidiary was announced ? Surely they would not want dubious penny stock shares ?
jock
" In Canada (probably in the states also) many brokers will not even accept certs from dubious penny stocks if you try and deposit them. "
So you are saying they will sell you those dubious penny stocks, but, they are only good if kept in street name so they can use them to short the very company your own that stock in ?
jock
I do comprehend. The question is do you ? Trying to help you out here bud. Nothing more or less.
jock
If you are satisfied with what the broker told you and suddenly do not want to ask the hard questions, then I guess there is nothing to report. Think of all the things you could do in 4 weeks in the non electronic world before you get a certificate back( 1 piece of paper) in the electronic world.
But hey,
Posted by: shortsinthesand
In reply to: doggone who wrote msg# 16882
Date:11/8/2007 11:05:14 AM
Post #of 16898
Doddone I don't worry about this nonsense ... I am more interested in trading stocks to make money...
This one hasn't worked out so far though...LOL
I guess we have to apply the TTT Theory here...
Things Take Time!
jock
"Also to obtain certificates will take up to 4 weeks."
Since you seem to be a stickler on transparency, do you find it odd it takes 4 weeks to get those certificates(1 piece of paper) when it only takes you minutes to get street named shares ? Does it require that amount of time to locate those shares that are suppose to be sitting in your account already ? I would be curious for you to report back to the board your conversation with your broker.
jock
Ownership means just that. You have to get your shares in your name. Brokers have to be able to produce certificates in owner name to move forward. Street name shares which contain phantom shares will not pass the sniff test. The magic number here is 155,000,000.
jock
That would be your fight, not the companies. You'll have to take that up with the broker who sold you those shares that may or may not exist.
jock
If your shares are sitting in an account, they can be used to short the stock by being loaned out, period.
jock
Phantom shares can be pulled out of thin air to trade but producing them is another issue since they do not actually exist. If you are asking if you could have been sold shares that do "NOT" exist, absolutely. Is this a company issue ? Not at all. The company authorized the number of shares that can be "Legally" traded and the phantom shares used to take the company down are just created to dilute the PPS of the company by those who driven by greed destroy American companies.
What is your next step ? Can your broker produce your certificates ? That is the Million Dollar question. Seems that some can and some can't.
jock
I guess a $20 Million bond is sufficient after all. To think all that concern about it needed to be $40 Million Bond and where will the additional monies come from. Nice find. This is definitely interesting. Big oil look out. There is new fuel sources in the now and near future. Many hybrid auto's out and in the works to gobble up that biofuel. Got Hybrid? GOT FUEL ?
2009 Cadillac Escalade Hybrid - Auto Shows
jock
NOT !
jock
Might be related since some folks ran into the same problem getting their PHGI Certs as the gentleman in the article did ? A perfectly good/honest explanation as to why IMO.
jock
More Information for you on shorting.
http://www.investors.com/intelligence/bi04.asp
http://www.wall-street.com/nakedshorting.html
Below are extremely truncated excerpts from a very interesting conversation posted on a discussion board. An investor decided to experiment by trying to buy a shorted stock from 2 different sources. Here's what happened. Read the whole exchange for many more details.
Dennis Smith Posted: "I thought it might be interesting to prove a short position first hand by purchasing shares in (GLKC) a company that reportedly already had over 100% of it's shares sold (and "legally" documented).... Just after settlement date (three days later), I requested certificates from both brokers. The cert ordered through Ameritrade appeared in three weeks....
Getting the Wells Fargo cert however has become predictably (and almost amusingly) problematic....":
From Wells Fargo: ...We are researching your request and will contact you directly as soon as we have completed our investigation....
From Dennis Smith: ...It's been five days. What kind of "investigation" are you doing?
From Wells Fargo: ... We were awaiting full delivery of the shares from the transfer agent. Unfortunately, due to some unusual circumstances, this took longer than we expected.
From Dennis Smith: What exactly are the "unusual circumstances"?
From Wells Fargo: ...The broker/dealer from whom your shares were purchased is short 5,000,000 shares versus the street. A broker/dealer is allowed to sell shares which they do not own, which they will buy at a later date and deliver.
From Dennis Smith: Exactly how later is "later"? Is not a 5,000,000 short position cause for alarm? Who is the subject "broker/dealer" from whom you acquired my "shares" and what is that dealer telling you about his apparent failure to deliver? As I understand it, a shareholder is entitled to physical certificates in every event, assuming the buy was legitimate.
From Wells Fargo: ...The other broker/dealer who is short shares of your security is E*Trade. Though this type of activity makes it difficult to issue physical certificates, it is legal and within regulations. There is no definite date by which E*Trade would have to purchase the shares.... According to our trading desk, E*Trade was the only broker/dealer offering shares of GLKC yesterday. This has been the case since you originally requested your certificate.
From Dennis Smith: You stated there is no definite date by which E-Trade has to purchase the "short" shares that they sold you and that in turn you sold me. How can this be "legal"? What is to prevent them from continuing to sell what they don't own while subsequently refusing to buy the shares back if there are no time constraints?...
My bottom line is this. I demand the physical GLKC certificate(s) representing the shares I purchased.
From Wells Fargo: ...We have received your request for physical certificates. As soon as we are able to order a physical certificate for you, we will do so.
This article is sponsored by
the Exceptional Growth Companies at
Wall-Street.com
and by
the Microcap Leaders at
MicrocapLeaders.com
jock
Nice try. Not my statement. Forward looking means just that. In Beebe's case, I feel he will make good on all PR's, even after business plans and adjustments have occurred in due time IMO.
Found that PR yet that states "I Promise," or "We Promise,", or the "Company Promises ? " Still waiting on that link to verify your claims of promises made.
jock
"If never made any sense to me that the "shorts" were to blame for the share price taking a dump, who shorts a stock at $.004, there is no upside to the short position, but if you bought 60,000,000 shares at $.003 to give the CO some cash to finish the do the mini-plant, you sell at $.006 and $.005 and $.004, because you just made a quick buck and the co had no other source of funds."
It does not make since if indeed what the brokers tell you is the truth, "they do not short stocks under $5", but, what they do not tell you is they are part of the DTC stock borrowing Program which is used for shorting. Whether they actually short it or not, they borrow the shares for those who do short it. (off shore hedge funds primarily.)(FACT) Ask your broker about the stock borrowing program through the DTC !
Try Reading this. Might open your eyes a little.
CELLAR BOXING”
There’s a form of the securities fraud known as naked short selling that is becoming very popular and lucrative to the market makers that practice it. It is known as “Cellar boxing” and it has to do with the fact that the NASD and the SEC had to arbitrarily set a minimum level at which a stock can trade. This level was set at $.0001 or one-one hundredth of a penny. This level is appropriately referred to as “the cellar”. This $.0001 level can be used as a "backstop" for all kinds of market maker and naked short selling manipulations.
“Cellar boxing” has been one of the security frauds du jour since 1999 when the market went to a “decimalization” basis. In the pre-decimalization days the minimum market spread for most stocks was set at 1/8th of a dollar and the market makers were guaranteed a healthy “spread”. Since decimalization came into effect, those one-eighth of a dollar spreads now are often only a penny as you can see in Microsoft’s quote throughout the day. Where did the unscrupulous MMs go to make up for all of this lost income? They headed "south" to the OTCBB and Pink Sheets where the protective effects from naked short selling like Rule 10-a, and NASD Rules 3350, 3360, and 3370 are nonexistent.
The unique aspect of needing an arbitrary “cellar” level is that the lowest possible incremental gain above this cellar level represents a 100% spread available to MMs making a market in these securities. When compared to the typical spread in Microsoft of perhaps four-tenths of 1%, this is pretty tempting territory. In fact, when the market is no bid to $.0001 offer there is theoretically an infinite spread.
In order to participate in “cellar boxing”, the MMs first need to pummel the price per share down to these levels. The lower they can force the share price, the larger are the percentage spreads to feed off of. This is easily done via garden variety naked short selling. In fact if the MM is large enough and has enough visibility of buy and sell orders as well as order flow, he can simultaneously be acting as the conduit for the sale of nonexistent shares through Canadian co-conspiring broker/dealers and their associates with his right hand at the same time that his left hand is naked short selling into every buy order that appears through its own proprietary accounts. The key here is to be a dominant enough of a MM to have visibility of these buy orders. This is referred to as "broker/dealer internalization" or naked short selling via "desking" which refers to the market makers trading desk. While the right hand is busy flooding the victim company's market with "counterfeit" shares that can be sold at any instant in time the left hand is nullifying any upward pressure in share price by neutralizing the demand for the securities. The net effect becomes no demonstrable demand for shares and a huge oversupply of shares which induces a downward spiral in share price.
In fact, until the "beefed up" version of Rule 3370 (Affirmative determination in writing of "borrowability" by settlement date) becomes effective, U.S. MMs have been "legally" processing naked short sale orders out of Canada and other offshore locations even though they and the clearing firms involved knew by history that these shares were in no way going to be delivered. The question that then begs to be asked is how "the system" can allow these obviously bogus sell orders to clear and settle. To find the answer to this one need look no further than to Addendum "C" to the Rules and Regulations of the NSCC subdivision of the DTCC. This gaping loophole allows the DTCC, which is basically the 11,000 b/ds and banks that we refer to as "Wall Street”, to borrow shares from those investors naive enough to hold these shares in "street name" at their brokerage firm. This amounts to about 95% of us. Theoretically, this “borrow” was designed to allow trades to clear and settle that involved LEGITIMATE 1 OR 2 DAY delays in delivery. This "borrow" is done unbeknownst to the investor that purchased the shares in question and amounts to probably the largest "conflict of interest" known to mankind. The question becomes would these investors knowingly loan, without compensation, their shares to those whose intent is to bankrupt their investment if they knew that the loan process was the key mechanism needed for the naked short sellers to effect their goal? Another question that arises is should the investor's b/d who just earned a commission and therefore owes its client a fiduciary duty of care, be acting as the intermediary in this loan process keeping in mind that this b/d is being paid the cash value of the shares being loaned as a means of collateralizing the loan, all unbeknownst to his client the purchaser.
An interesting phenomenon occurs at these "cellar" levels. Since NASD Rule 3370 allows MMs to legally naked short sell into markets characterized by a plethora of buy orders at a time when few sell orders are in existence, a MM can theoretically "legally" sit at the $.0001 level and sell nonexistent shares all day long because at no bid and $.0001 ask there is obviously a huge disparity between buy orders and sell orders. What tends to happen is that every time the share price tries to get off of the cellar floor and onto the first step of the stairway at $.0001 there is somebody there to step on the hands of the victim corporation's market.
Once a given micro cap corporation is “boxed in the cellar” it doesn’t have a whole lot of options to climb its way out of the cellar. One obvious option would be for it to reverse split its way out of the cellar but history has shown that these are counter-productive as the market capitalization typically gets hammered and the post split share price level starts heading back to its original pre-split level.
Another option would be to organize a sustained buying effort and muscle your way out of the cellar but typically there will, as if by magic, be a naked short sell order there to meet each and every buy order. Sometimes the shareholder base can muster up enough buying pressure to put the market at $.0001 bid and $.0002 offer for a limited amount of time. Later the market makers will typically pound the $.0001 bids with a blitzkrieg of selling to wipe out all of the bids and the market goes back to no bid and $.0001 offer. When the weak-kneed shareholders see this a few times they usually make up their mind to sell their shares the next time that a $.0001 bid appears and to get the heck out of Dodge. This phenomenon is referred to as “shaking the tree” for weak-kneed investors and it is very effective.
At times the market will go to $.0001 bid and $.0003 offer. This sets up a juicy 200% spread for the MMs and tends to dissuade any buyers from reaching up to the "lofty" level of $.0003. If a $.0002 bid should appear from a MM not "playing ball" with the unscrupulous MMs, it will be hit so quickly that Level 2 will never reveal the existence of the bid. The $.0001 bid at $.0003 offer market sets up a "stalemate" wherein market makers can leisurely enjoy the huge spreads while the victim company slowly dilutes itself to death by paying the monthly bills with "real" shares sold at incredibly low levels. Since all of these development-stage corporations have to pay their monthly bills, time becomes on the side of the naked short sellers.
At times it almost seems that the unscrupulous market makers are not actively trying to kill the victim corporation but instead want to milk the situation for as long of a period of time as possible and let the corporation die a slow death by dilution. The reality is that it is extremely easy to strip away 99% of a victim company’s share price or market cap and to keep the victim corporation “boxed“ in the cellar, but it really is difficult to kill a corporation especially after management and the shareholder base have figured out the game that is being played at their expense.
As the weeks and months go by the market makers make a fortune with these huge percentage spreads but the net aggregate naked short positions become astronomical from all of this activity. This leads to some apprehension amongst the co-conspiring MMs. The predicament they find themselves in is that they can’t even stop naked short selling into every buy order that appears because if they do the share price will gap and this will put tremendous pressures on net capital reserves for the MMs and margin maintenance requirements for the co-conspiring hedge funds and others operating out of the more than 13,000 naked short selling margin accounts set up in Canada. And of course covering the naked short position is out of the question since they can’t even stop the day-to-day naked short selling in the first place and you can't be covering at the same time you continue to naked short sell.
What typically happens in these situations is that the victim company has to massively dilute its share structure from the constant paying of the monthly burn rate with money received from the selling of “real” shares at artificially low levels. Then the goal of the naked short sellers is to point out to the investors, usually via paid “Internet bashers”, that with the, let’s say, 50 billion shares currently issued and outstanding, that this lousy company is not worth the $5 million market cap it is trading at, especially if it is just a shell company whose primary business plan was wiped out by the naked short sellers’ tortuous interference earlier on.
The truth of the matter is that the single biggest asset of these victim companies often becomes the astronomically large aggregate naked short position that has accumulated throughout the initial “bear raid” and also during the “cellar boxing” phase. The goal of the victim company now becomes to avoid the 3 main goals of the naked short sellers, namely: bankruptcy, a reverse split, or the forced signing of a death spiral convertible debenture out of desperation. As long as the victim company can continue to pay the monthly burn rate, then the game plan becomes to make some of the strategic moves that hundreds of victim companies have been forced into doing which includes name changes, CUSIP # changes, cancel/reissue procedures, dividend distributions, amending of by-laws and Articles of Corporation, etc. Nevada domiciled companies usually cancel all of their shares in the system, both real and fake, and force shareholders and their b/ds to PROVE the ownership of the old “real” shares before they get a new “real” share. Many also file their civil suits at this time also. This indirect forcing of hundreds of U.S. micro cap corporations to go through all of these extraneous hoops and hurdles as a means to survive, whether it be due to regulatory apathy or lack of resources, is probably one of the biggest black eyes the U.S. financial systems have ever sustained. In a perfect world it would be the regulators that periodically audit the “C” and “D” sub-accounts at the DTCC, the proprietary accounts of the MMs, clearing firms, and Canadian b/ds, and force the buy-in of counterfeit shares, many of which are hiding behind altered CUSIP #s, that are detected above the Rule 11830 guidelines for allowable “failed deliveries” of one half of 1% of the shares issued. U.S. micro cap corporations should not have to periodically “purge” their share structure of counterfeit electronic book entries but if the regulators will not do it then management has a fiduciary duty to do it.
A lot of management teams become overwhelmed with grief and guilt in regards to the huge increase in the number of shares issued and outstanding that have accumulated during their “watch”. The truth however is that as long as management made the proper corporate governance moves throughout this ordeal then a huge number of resultant shares issued and outstanding is unavoidable and often indicative of an astronomically high naked short position and is nothing to be ashamed of. These massive naked short positions need to be looked upon as huge assets that need to be developed. Hopefully the regulators will come to grips with the reality of naked short selling and tactics like "Cellar boxing" and quickly address this fraud that has decimated thousands of U.S. micro cap corporations and the tens of millions of U.S. investors therein.
jock
"The money crunch, for PHGI, is going to get a lot tighter. "
Care to elaborate on this statement ? Is this statement along the same lines of avdave prediction on a PR regarding the mine 8 minutes before it hit the wire kinda statement ? Inquiry minds want to know.
1. Is there a money crunch now ? If so, how do you know ?
2. Since you elude to the fact there is a money crunch, care to tell the board how you know it will "get a lot tighter?"
3. Are you an insider ? Obtain insider information ? Know the financials for the company ?
4. Just spewing FUD ?
jock
Forward looking statements, just as the disclaimer says they are IMO.
jock
Nah, adjustments have been made based on the market and economy. It never says any previous PR (promises as you call them) will not come to pass. I really would like to see a PR saying "I promise". Can you provide a link to it please ?
jock
All in good time. Without patience one should sell and move on IMO.
jock
" Folks, the house is on fire! What will you do?"
I think I will call the arson squad because this fire reeks of being a calculated intentional fire set by naysayers in an attempt to blame the company. Youse knows, like in Cali wildfires? in my not so humble opinion.
jock
Here are some "Facts" for youse. All in my not so humble opinion.
1. Gold is up over $300 oz since the company made the patented gold mine deal.
2. Oil is up $40 a barrel since the company announced the Biofuel refinery.
Gold: $843+oz Silver: $16.02oz + Oil: $98.75+
jock
Say It Ain't So ! You mean you made a mistake ? Is your mistake somewhere along the lines of another poster(who has been spamming this same question to you) who said Crew Distributing only sold motor oil and did not have tankers kind of mistake ?
Another so called RED FLAG bites the dust. Youse knows, wee'ze knows, one was an honest mistake(yours) the others was FUD in my not so humble opinion.
jock
Are you aware there are 4 webcams set up at the site for our viewing pleasure ? Construction is underway. Go to Perihelion Global homepage. Click on PeriheliBlog and set up your account.
http://www.perihelionglobal.com/
jock
"Have they begun assay work yet? yet the question lingers concerning value."
Assay has already been done. What does it matter whether it is in Saturday Night, LLC's name or Perihelion Global's name ? When it was verified by PHGI that indeed the assay is legit, why would another assay need to be done ? What would have changed since the assay was completed under Saturday Night LLC name unless gold grows legs and walks away.
http://findarticles.com/p/articles/mi_pwwi/is_200705/ai_n19046145
Perihelion Global (PINKSHEETS: PHGI), a development company with interests in natural resources, alternative energies, and advanced communications, today announced that the corporation has been granted a small mining operation permit by The State of Utah Division of Oil, Gas & Mining to allow to the company to start extracting precious metals contained within its Patent Claim #5797 located in Box Elder County, Utah. Patent Claim #5797 has been assayed in separate geological reports to have 1,277,950 oz of Gold deposits, currently worth in excess of $745 Million USD ($745,000,000.00).
Related Results
Further, the company announced that it has engaged AuRIC Metallurgical Laboratories of Salt Lake City, Utah, an internationally recognized and certified laboratory, to conduct extensive fire assays from samples taken from the patent claim #5797. An initial report sent to Perihelion Management confirmed the previous findings of Dr Y.S Kim and subsequent verification of John Yellich, Certified Geoligists, with regards to the quantity and valuation of the in-ground reserves of patent claim #5797. The two original assay reports citing and confirming the gold reserves are also available on www.perihelion.com for public viewing, and Perihelion encourages all current and prospective investors to review the materials uploaded to the www.pinksheets.com site under 'financial reports.' Perihelion is committed to making public all additional data regarding the mine, samplings, and valuations, as soon as it they become available.
Advertisement
jock
"With all the stuff I will be packing, only one place to carry it, youse all knows where."
TMI.
jock
Gapping up indeed Uncle. People jumping on board today.
jock
Interesting Read.
"The deputy director for enforcement at the Securities and Exchange Commission, Walter G. Ricciardi, said he has seen a surge in insider trading, market manipulation and illegal short-selling among hedge fund advisers in the last year. He attributes the increase to a new generation of people in the financial services sector who were not around to see traders like Ivan Boesky and Michael R. Milken “led out in handcuffs.”
Life After Securities Fraud
November 2, 2007
Street Scene
By JANET MORRISSEY
http://www.nytimes.com/2007/11/02/business/02insider.html?ref=business
When federal marshals snapped the metal handcuffs around his wrists behind his back and led him away on a chilly December day in 2000, hedge fund manager Michael L. Smirlock wondered if his life was over.
Hours earlier, Mr. Smirlock had received a call from his lawyer, William Brodsky, telling him that he had been indicted for securities fraud.
“It was very traumatic,” Mr. Smirlock said, as he recalled the moment while sitting in his third-floor office at Strive, a nonprofit organization where he works as executive director. “Life seemed over — temporarily.”
Reports of insider trading and securities fraud have become frequent these days. But long before Enron, WorldCom and the notorious $6,000 shower curtain that was a part of an executive’s downfall at Tyco, investors were burned in the unregulated hedge fund industry in the late 1990s as mortgage-related funds incurred heavy losses from the Russian and Asian financial debacles.
Sandwiched in all that were the convictions of hedge fund managers like Mr. Smirlock, as well as the crash and bailout of the hedge fund Long-Term Capital Management.
The deputy director for enforcement at the Securities and Exchange Commission, Walter G. Ricciardi, said he has seen a surge in insider trading, market manipulation and illegal short-selling among hedge fund advisers in the last year. He attributes the increase to a new generation of people in the financial services sector who were not around to see traders like Ivan Boesky and Michael R. Milken “led out in handcuffs.”
Mr. Smirlock is a reminder of what can happen. He recently broke a nine-year silence, having declined all interviews until now.
Leaning back in a chair, his hands nervously straightening items on his desk, Mr. Smirlock recalled being photographed, fingerprinted and placed into a holding cell. “I remember the worst part of it was seeing my lawyer come in, and he was almost in tears looking at me,” he said. “I was not in a good way.”
Was he suicidal? “No, but life sort of spiraled downward from that point on, for sure,” he said.
Mr. Smirlock, now 51, spent 37 months from 2002 to 2005 in a federal prison camp in Pensacola, Fla., after pleading guilty to securities fraud when he was chief executive of Laser Advisers, where he managed three hedge funds and a real estate investment trust.
The charges related to the hedge funds, which had about $365 million in capital that was leveraged and invested in more than $5 billion in bonds. The S.E.C. and federal prosecutors found that from late 1997 to June 1998, Mr. Smirlock had falsely inflated the value of certain securities that hid about $12.6 million in trading losses. (Conditions in the mortgage market exacerbated the situation, causing the funds to lose more than $70 million — but only $12.6 million of the losses were attributed to the fraud.)
Among his contemporaries were Michael W. Berger and Mark Yagalla. Mr. Berger, portfolio manager of Manhattan Investment Fund, faced similar securities fraud charges in the late 1990s. But Mr. Berger fled the country just before sentencing in 2002. He was caught by the F.B.I. in Austria in July.
Mr. Yagalla stole more than $30 million from his Ashbury Capital Partners fund to buy lavish cars, a helicopter, oil wells, furs, Rolex watches and luxury homes for himself and his former girlfriend, once a Playboy playmate. His offenses left investors, many of them retired, wiped out. Mr. Yagalla declined to comment for this article.
The securities fraud was the second misstep for Mr. Smirlock. The first came in 1993 when trading irregularities led to a $50,000 fine, a three-month suspension and his resignation from Goldman Sachs, where he was a partner.
After the latest problem, he was sentenced to prison and ordered to pay $12.6 million in restitution.
“It was just hubris — ego,” Mr. Smirlock said. “I never blamed anybody else but me. I accepted full responsibility for what I did.” Around the same time, his marriage was crumbling.
Prison changed his perspective on life, people and himself, he said.
“Where people get the idea that you spend all day playing golf or swimming is insane,” he said of the federal prison camp. It was a place, he said, where a small misunderstanding could escalate into violence in seconds, where friendship and loyalty were tested daily, and where long days offered time for reflection and regret.
“There is nothing sadder than listening to somebody on the phone finding out that his wife has cancer and is going to die while he’s in prison,” Mr. Smirlock recalled, “or a guy begging his children to send him $50 so that he can shop at the commissary.”
Then there was the violence. “I learned it hurts more to hit than be hit,” he said.
The prison time taught Mr. Smirlock a lesson about people. “Nobody is better than somebody else in a lot of respects,” he said. “It’s just the cards you’re dealt with.”
For that reason, Mr. Smirlock has worked for nonprofit organizations since his release. He worked at the Iris House, a nonprofit that helps women with H.I.V., upon his release. He is now head of Strive, which helps ex-convicts, single mothers and others find jobs.
He said he does not miss Wall Street, but misses his friends. “The number of people that I felt I let down and did let down, and there’s nothing I can do to pay them back and make up for things,” he said. “My friends deserved better.”
Mr. Smirlock cut all contact with his Wall Street friends when he went to prison and did not respond to their letters. Has he contacted them since his release? “No,” he said, gazing out of his office window. “They still deserve better.”
http://www.nytimes.com/2007/11/02/business/02insider.html?ref=business
jock
http://www.sec.gov/comments/s7-12-06/s71206-457.htm
Subject: File No. S7-12-06
From: Christopher Cox Do Nothing Take no action Non Leader
Affiliation: Protector of big business
March 14, 2007
When are you gonna stop the stall tactic Mr Cox. Your the public servant time to due your job. You took an oath to protect the constitution and protect the small investor. Not your friends the rich
Time to decide if your gonna eliminate the grandfather clause or continue to protect the rich and wealthy. Your time is running out with the release of the bloomberg segment on naked shorting. Were watching you Cox
Christoper Cox these are your words
Chairman Cox:
"The serious problem of abusive Naked Short sales which can be used as a tool to drive down a companies stock price to the detriment of all of its investors"
Wait till the likes of John O'quinn comes after you. Get your paycheck out
John O'quinn:
"You have more chances of being treated fairly in a casino in Vegas than in the stock Market"
"There continues to be a number of threshold securities with substantial and persistant fail to deliver positions that are not being closed out under existing settlement and delivery guidlines"
Robert Shapiro:
"Alot of the companies are gone.Alot of them died.This was a fatal attack.Some of them were weak when they were attacked some would have failed anyway and others wouldnt have. Again its not up to the Naked Short sellers to decide Its up to the investors who play by the rules"
Patrick Byrne: "People are going to go to prison and Im not gonna stop"
Bloomberg Special on NSS A Must-Watch. Outstanding Program.
Location: Blogs Bob O'Brien's Sanity Check Blog
Posted by: bobo 3/13/2007 5:31 AM
Everyone, go watch the Bloomberg TV special on NSS.
You can see it at a mirror site here.
http://www.mediafire.com/?2trmdhtzzzn
This is a landmark program, as it tells most of the story in a manner that the average person can understand.
What's particularly sad about this is that the DTCC and the brokers were all offered the opportunity to testify...er...speak, and defend themselves, and reassure everyone as to how small a problem this is...and they wouldn't do it. Wouldn't say a word. Nobody wants to talk. The best they could get is Chanos, refusing to look into the camera, claiming "he" has never naked shorted, and telling everyone that it isn't a big deal. Of course, he doesn't actually know how big a deal it is, anymore than you or I do, but he is just sure it can't be all that bad. Even the DTCC claims it doesn't know how big the problem is, but Chanos does.
I suppose he hasn't looked at the FOIA data or the SIA's spreadsheet showing a deci-billion dollar problem, or more. No, why discuss the actual naked short selling when you can blame the victim company, ignore the hard data, and proclaim it all as a "Red Herring?" That seems to be the prevailing way Wall Street handles the issue. First, there's no problem. Then, it's a non-issue if there is a problem. Then, it isn't me doing it, it's someone else. Classic lying guys lying about their lies. Really good stuff. No explanation is furnished explaining all the data showing a massive counterfeiting problem - it's all those bad CEOs trying to take the heat off their failure to perform.
I'm not sure whether we should call that doing a Chanos, or pulling a Nocera. I'm open to suggestions.
There are some great moments in the program. The comparison to "The Producers" is really funny.
Byrne, from the show: "Maybe if you ran a better liquor store, they would stop robbing it." Classic.
The show tells the story in the best terms I've ever seen.
Put simply, brokers are taking buyers' money, and then refusing to deliver the shares they were paid for, preferring to pocket the money and incur no expense for buying and delivering the shares.
Because the system treats electronic IOUs generated by the brokers the same as legitimate shares, they can do this for years in targeted stocks, and nothing will stop them. It is stealing, and fraud. Simple.
My only problem with the special is that it didn't explain that the $6 billion per day of fails to deliver and receive were AFTER CNS netting nets 96% of the trades in the system - sells against shares held long. That means that the $6 billion per day is after all the shares the brokers own on behalf of their clients are netted against sales for the day, and only after 100% of those shares are used up, then, the first delivery failure is registered. So on a typical day, where $100 billion of stock is traded, after all the netting takes care of $96 billion of sales with no delivery as well as genuine sales with delivery, there is still a cumulative $6 billion undelivered. It is estimated that about $2 billion is new fails for the day, with $1 billion of that being handled by the DTCC's stock borrow program, which is really a stock lending program. So CNS netting "handles" 96% of all trades, effectively masking or hiding the number of fails, and of the 4% remaining un-handled, half fail. 50%. You are reading this correctly. One half of all un-netted trades fail per day. Which would lead a thinking person to believe that as many as one half of all trades fail per day, but CNS netting masks 96% of those by offsetting the undelivered trades with shares held long for other customers, "netting" the long shares (+ signs) against the sales - REGARDLESS OF DELIVERY - (- signs), and "handling" 96% of the trades in that way. But even after all shares held long are used up to offset the minuses, there are still FTDs.
And the SIA's own spreadsheet tells the whole story of the number before netting masks it - $63 billion on the last day of Q2, 2006. Which is about 50% of $120 billion, and right in line with the above equation. You can view that spreadsheet on this site's home page, where it is linked, in red.
That is massively scary, and a completely different picture than the one Wall Street tries to spin. They figure that netting is so obscure nobody will ever understand it, so they can come out with a benign number that sounds small, and claim it is technically true.
Other than that, this is the biggest thing to hit the NSS story for years. It is what Dateline should have been.
Send it to every paper and elected official on the planet. Every radio talk show. Every blog.
No wonder Nocera ran a hatchet job on Byrne over the weekend. Wall Street heard this was coming. So they had to take one last swipe at trying to smear him, as well as prominent folks in the NSS battle.
It didn't work.
Send this to everyone. It's time.
Copyright 2007 Bob O'Brien
jock
yes, yes and yes.
jock
http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/10/31/cngold131.xml
Gold 'will rocket to more $1,000 an ounce'
By David Litterick
Last Updated: 11:41am GMT 31/10/2007
# The gold rush: how to strike a rich seam
The gold price will soar to more than $1,000 per ounce over the next five years as dwindling supply of the precious metal combines with increased demand, Credit Suisse has forecast.
The investment bank believes that gold, which earlier this week rose to a 28-year high of $795 an ounce, will reach $1,050 an ounce by 2012.
One-kilo gold bars, gold price 'will rocket to more $1,000 an ounce'
Gold production is set to fall
"In the current environment, upward pressure on the price of gold is being driven by the economic environment surrounding the US economy, in particular the strength of the US dollar, the oil and commodity prices and a change in the dynamics surrounding gold supply and demand," Credit Suisse analyst David Davis said in a note yesterday.
He wrote that global gold production will fall in the coming years, as the diminishing number of new reserves fails to compensate for dying mines.
"We find that over the last 18 years, apart from on three occasions, the supply of gold has been in deficit. This primary deficit has been masked by the secondary supply of gold into the market mainly from central bank sales. We believe central bank sales will wither going forward and the banks could become net buyers of gold."
The recent rally was sparked by the decision by the US Federal Reserve to cut interest rates by a quarter point. Analysts at Bear Stearns said fresh cuts in rates after the Fed's meeting today could send the price over $800 within a week and it on its way to the all-time record of $830. Gold was fixed at $783 in London.
Credit Suisse said high oil prices were also a factor. "Higher oil prices are likely to result in inflationary pressures in the US, which in turn will likely result in upward pressure on the gold price because of gold's use as an inflation hedge."
jock
Oil hits record $94 on U.S. inventory slump
Wednesday October 31, 12:24 pm ET
By Elena Moya
LONDON (Reuters) - Oil rallied to a record $94 a barrel on Wednesday after weekly data showed U.S. crude inventories unexpectedly slumped by 3.9 million barrels, countering expectations for an increase.
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U.S. oil futures rose $2.89 to $93.27 a barrel by 1616 GMT, off lows of $88.92, on top of a $4 slide in the previous session.
London Brent gained $2.49 to $89.93.
Commercial stockpiles of crude oil in the United States fell by 3.9 million barrels to 312.7 million barrels in the week ended October 26, said the Energy Information Administration on Wednesday. Analysts had forecast a rise of 600,000 barrels in a Reuters poll.
"I am very surprised, the crude number is insanely bullish, it's a big drop, for the second week in a row," said Mike Wittner, global head of oil research at SocGen in London.
Supplies of distillates, which include heating oil and diesel fuel, were up 800,000 barrels at 135.3 million barrels, defying expectations for a 500,000-barrel decline.
Gasoline inventories rose 1.3 million barrels to 195.1 million barrels, countering projections for a drawdown of 100,000 barrels.
Oil prices may ease off over the next few days after investors who sold on Tuesday have covered their positions, said Tom James, head of commodities trading at Liquid Capital Markets in London.
"It's a short-covering rally triggered by the fall in stocks," James said. "With any other news, I would expect the market should come back off again."
FEDERAL RESERVE
Investors are still awaiting a Federal Reserve decision, also due on Wednesday, on whether to cut interest rates to spur economic growth.
"The current hysteria in the oil markets is not being driven by economic fundamentals in the U.S., but if something surprising comes up, like a decision to leave rates on hold, that could push the price downwards," said James Rilett, who helps manage an energy fund at Liquid Capital Markets.
Investors said they expected profit-taking to continue in the absence of any fresh geopolitical factors. "The move to $93-plus levels was driven by speculation," said Badung Tariono, who manages ABN AMRO's Energy fund out of Amsterdam.
"If you look at product prices, which is a gauge of refinery demand, they didn't go up by the same magnitude. This shows that the world's sufficiently supplied in terms of crude," he added.
Those views were echoed by the Organization of Arab Petroleum Exporting Countries (OAPEC), whose Secretary-General Abdel Aziz Abdullah al-Turki said the oil market was no longer driven purely by demand and supply factors, but by speculators.
"There are those who trade in what are called paper barrels, and this is now five times the real trade," he told reporters in Cairo.
Just as Federal Reserve policy-makers began meeting on Tuesday against the backdrop of a plummeting U.S. housing market, expectations were for a quarter percentage point cut to 4.5 percent.
Rising stocks may give OPEC even more cause to resist pressure to increase production, especially with its agreed 500,000 barrels per day (bpd) rise due to take effect on Thursday.
An Iranian oil official warned on Wednesday that a "bubble" in oil prices, created by geopolitical concerns, would burst one day, reiterating that the surge in prices was not because of a lack of supply.
The return of Mexican crude oil production also provided some relief as the country, a top-three oil supplier to the United States, will be able to operate its storm-crippled crude oil production as per normal by Thursday.
jock
PHGI is going to be the biggest thing in the USA !
Not really. It is Sunday ?
jock