Excellent reminder. Thanks ...
The downward spiral is what makes these stocks so much fun to play. Definitely not for the long term investor, but how many stocks are good for long term hold these days? Just ride the waves.
Having followed these scams for so long now, the best way to play them is to monitor the conversion. After the convertible holders own so many shares of the stock, they are required by law to file as insiders. They hate to do this, so they let the stock run so that they can unload some shares on unsuspecting public. This increases the float, they now own much less percentage of the outstanding, and they can resume their conversion/short selling. Look at the charts. You see the stock price run up wild, then go lower than it did before, until the price is so low that the stock never trades again. Or even worse, the company does a reverse split, and the cycle starts all over.
Buyer beware ...