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No PR's were issued by GBDX management during the time the stock was naked short sold.
The Dodge group would probably not have the collateral to naked short sell nearly 2 billion shares of GBDX. However, the short selling was done if Dodge was acting as agent for a large investment bank or hedge fund. This was my first thoughts when Dodge informed me what his group was doing to GBDX. Also, how the short selling was being done.
The biggest problem I see here is determining the genuine shares from counterfeit shares. This may be what is holding up the merger/takeover of GBDX.
Jeff Turino and each of his associates are compelled to pay up to 25% of their gross income to a crime victims fund. The fund is administered by the U.S. Department of Justice since this is a Federal judgement. Liens are filed where they live. Lack of cooperation can result in levies on income and all their assets. I did not see much of a challenge because information that is obtained can be used as a basis for indictments. The DOJ will follow the trail of money to where it leads. This is a good 20 year judgement for GBDX shareholders. There is also the tax problem they will face if any of their profits were not reported to the IRS.
Turino's associates are severally liable for the full amount of the $10 million dollar judgement. This means that each are liable to pay the entire amount of the judgement if the others are unable to do so. What's important is that there is a civil judgement against each of these people prior to any indictments that will come down. A payment plan should already have been set up with the U.S. Department of Justice (DOJ) to pay into a crime victims fund for the benefit of GBDX shareholders. We don't know how much the DOJ has already collected. The DOJ enforcement activities for money should lead to other judgements. There are other agencies in the U.S. government that can covertly examine money activities outside the U.S. This is done through a referral for collateral assistance by the DOJ. Jeff Turino and his associates should start singing!
The Dodge group has at risk $12 million dollars in GBDX. Their average short sale price is .006. They short sold 1.94 billion shares. I believe the Dodge group is an agent for a large hedge fund or investment bank. This type of entity would have the collateral available to short sell on such a large scale.
The U.S. Department of Justice is normally the collection agent for judgements in Federal court. The DOJ has plenty of time, i.e. 20 years, to locate and confisticate any assets that Turino and associates took from GBDX shareholders. The DOJ may even rescind transactions that were done to avoid collection on a pending judgement.
There are approximately 20 or so privately owned mining companies in and around Tshipisi, South Africa that would love to have exposure to the U.S. capital markets. This could be accomplished through a joint venture, an outright takeover or merger with Global Diamond Exchange. The Dodge group website states that GBDX has an interest in Dubai. Is it with Global Diamond Tenders who is listed on the Dubai stock exchange? That company has done hundreds of millions of dollars in business. The company has the same line of business as GBDX. Namely, polishing and cutting rough diamonds from Russia. There are other reasons I mentioned why the sky is the limit for GBDX stock.
GBDX shareholders and several other companies were awarded a 10 million dollar judgement in Federal court against Turino and associates. I am waiting for enforcement activity to start by the Department of Justice (DOJ). Enforcement action may have already started. We may be awarded a cash dividend as a result. A civil judgement is enforceable for 20 years. Also, Global Diamond Exchange relocated to South Africa to engage in mining activities with a local company. There are some great local privately owned mining companies in Tshipisi, S.A. that would love to have a public listing. Either event, when it happens, will take this stock up big time.
Your numbers look good. GBDX authorized about 2.35 billion shares. Only 400 million shares were issued and are the public float. The Dodge group shorted about 1.94 billion shares that were authorized but never issued by the company to the public. The Dodge group short position is now about 1.84 billion shares because of their recent covering of 100 million shares.
Someone used NITE to pick up 100 million counterfeit shares of GBDX. The shares were authorized but never issued by the board of directors of GBDX. The net effect is a reduction by 100 million shares of the illegal naked short position of GBDX. The illegal naked short position would decrease to 1.84 billion shares. These counterfeit shares are held by the public. The public float would remain at about 450 million shares.
Buyers and sellers are usually paired off for grey sheet stocks. In this situation, it appears that someone has used NITE to pick up all .0001 shares of GBDX that were offered for sale recently (100 million). I don't think the next 100 million will be bought so cheaply. It does look look like we are in the very earliest stage of a short covering. No one has owned up to buying that many shares.
I stand by my posts that there are 1.94 billion naked shorts. Less what small amount has been covered (about 100 million).
Enough information has surfaced during the multi-year investigation of Turino et al to warrant a referral by the SEC enforcement division to the U.S. Department of Justice (DOJ) for criminal prosecution. The DOJ, FBI, and other U.S. law enforcement agencies have plenty of time to locate whatever hidden assets Turino et al may hold. Turino et al will submit a detailed financial statement showing all his assets prior to funding the crime victims fund.
THE U.S. DEPARTMENT OF JUSTICE (DOJ) does not hold funds from a crime victims fund. They are disbursed by the DOJ (or who will be given authority to disburse the money). Turino et al is required to remit cashiers checks (or other guaranteed funds) payable to the U.S. Department of Justice for the benefit of the GBDX shareholders. This is to be done monthly. The DOJ will not accept regular bank checks. Turino et al will list the special account number they have been assigned on the cashier check. We will receive special instructions as to the restitution at the appropriate time.
The main problem is the bogus counterfeit shares created by the naked short selling. Most of the shares held are counterfeit. I believe there will be a forced short covering. I do not believe the comprehensive PR by GBDX could be released until the judgement was finalized.
The comprehensive PR that GBDX will issue should cover how the Turino et al crime victims fund is to be disbursed to GBDX shareholders. There are no more than 400 million legitimate shares of GBDX. The rest are counterfeit shares in the float. This will be the next hot topic on this message board site.
THE U.S. DEPARTMENT OF JUSTICE (DOJ) HAS 20 YEARS TO LOCATE ANY ASSETS THAT TURINO ET AL MAY HAVE. Turino et al will be required to make monthly payments to a crime victims fund which will probably be administered by the DOJ. A person from the DOJ will be assigned to administer the account. There will be an agreement between Turino et al and the DOJ as to how much they will pay monthly to the fund. TURINO ET AL IS SUBJECT TO PERIODIC AUDITS OF THEIR FINANCIAL SITUATION TO DETERMINE IF THE MONTHLY PAYMENT CAN BE INCREASED. The DOJ will review all their banking information including personal living expenses to determine if they are excessive. THE LIVING HELL HAS JUST STARTED FOR TURINO ET AL.
The DOJ has extensive resources available to track down any hidden bank accounts. Turino is subject to contempt of court proceedings should they conceal any assets. The Federal court judge will have no sympathy for these people should any hidden assets surface.
THE JUDGEMENT IN FAVOR OF GBDX SHAREHOLDERS WILL CAUSE A MAJOR PROBLEM FOR THOSE WHO HAVE NAKED SHORT SOLD GBDX STOCK. There is no more than 400 million legitimate GBDX shares out there. The total shares out there is 2.4 billion. This includes the 1.94 billion naked shorted shares. I believe the comprehensive PR is ready to be released. We should be receiving instructions in the PR about how we will receive the judgement award.
Are you suggesting that the proceeds from the $10 million dollar civil judgement will go to someone other than the shareholders who were victimized by Turino et al? Not likely.
The SEC does not charge any fees to the shareholder for the action it commences against people like Turino et al. The cost of the entire case plus collection activitity expenses is at taxpayer expense. The DOJ issues a receipt to the debtor after each payment is made. At the end of the year, the debtor receives a statement of what he paid out. The debtor will receive a yearly statement showing the unpaid balance and accrued interest. The DOJ maintains meticulous record keeping.
The civil action against Turino et al was initiated by the U.S. government. The collection agent for the U.S. government is usually the U.S. Department of Justice. The DOJ will set up a crime victims fund. An agent for the DOJ will set up a monthly payment schedule on the judgement. The DOJ will compel payment. The DOJ will take Turino et al to court should they miss any payments. The DOJ has the authority to compel a monthly payment as much as 25% of a person's gross income if he is an employee. This happens when the person is late making his monthly payments. Bankruptcy does not wipe out this type of judgement. Even Chapter 7.
I note that Turino et al has not contested the judgement. This may be on the advice of counsel. This may mean that a criminal indictment is in the works against these people.
The only question I have is how the proceeds from the judgement will be disbursed to GBDX shareholders. The money due GBDX shareholders may be much more than what I posted.
A CIVIL JUDGEMENT HAS A 20 YEAR STATUTE OF LIMITATIONS FOR COLLECTION. The SEC enforcement division spent years reviewing the Turino, et al transactions to determine how much the shareholders of GBDX are entitled to once the SEC obtained a judgement. The monies will be collected and disbursed to the shareholders by the SEC. THE U.S. DEPARTMENT OF JUSTICE MIGHT BE THE COLLECTION AGENT TO INSURE THE $10 MILLION JUDGEMENT IS PAID TO SHAREHOLDERS OVER A 20 YEAR PERIOD OF TIME. In effect, the SEC is a collection agent for GBDX shareholders. This is how it works. We are entitled to restitution.
What might be next is a criminal action against the same parties.
Do you see any reason why the Turino, et al judgement would not be awarded to GBDX shareholders by the SEC enforcement division if there are no further appeals? One poster stated that over $1 million of the $10 million judgement applies to GBDX shareholders.
Darby Uguma and Didier DeBonggo are real people who live in South Africa. Read my prior posts. They were appointed by GBDX management to act as a transition team prior to the takeover of GBDX by a South African diamond producer. Both parties were appointed officers to comply with the BEE (Black Enterprise Empowerment) provisions of South African security laws to effect the merger or takeover. I think we are now real close to the comprehensive PR that we have been waiting for since the Turino, et al matters have been dealt with by the SEC.
I am looking forward to a cash distribution to GBDX shareholders of an amount in excess of $1 million. This will happen once the $10 million is confisticated by the SEC from Jeff Turino, et al. A revocation of GBDX stock is not likely. I am waiting for the GBDX merger with a South African diamond producer. I am holding my shares.
Are we led to believe that the Dodge group NSS 1.94 billion shares of unissued GBDX stock in reaction to what Turino, et al was doing? It appears that the GBDX shareholders are in for a windfall of cash ($1 million) once SEC enforcement action is completed. I understand why some out there are eager for the longs to sell out.
BusinessWeek updated information on the Los Monteros hotel that was acquired by NWOL.PK about March 26, 2009. They were given that information by the NWOL.PK management. I assume what was updated is accurate. There was some confusion about who bought the hotel. Either SZNG/ru or NWOL.PK. The management from the Northwest Oil group answered that question. It is NWOL.PK. I look at NWOL as being worth 100 or more times what the stock is selling for. One previous poster, whose handle was STRONGUS, suggested that the stock was naked short sold about 10.8 million shares (double the public float). Dodge512 admitted that the Dodge group has naked short sold this stock. I will continue buying shares based upon what I know about the company.
The straight up direction of the A/D line proves that there was naked short selling during 2008. GBDX authorized incremental increases in authorized shares. The increased authorized shares were NEVER ISSUED. As the authorized shares were increased, the public float was decreased. GBDX management bought back their own stock as the NSS was taking place. No one but GBDX management would have bought such large quantities of their own stock. The revocation of GBDX stock is hogwash. The more likely scenario is that GBDX will have some cash to distribute to shareholders once the SEC finishes the Turino, et al matters. The cash will come from enforcement action by the SEC and other Federal agencies against Turino, et al.
The hotel acquisition was a cash deal. There is no mortgage that NWOL.PK has to pay back. The hotel will generate about $28,000,000 in revenue per year. The book vaue will materialy increase. The hotel was purchased at about a 35% discount to pre meltdown days. The prior owner had financial difficulties and was forced to sell. The acquisition should generate a lot of business for the Northwest Oil group. i.e. oil and non oil business. NWOL is also interested in acquiring many more luxury hotels. Also planes. There is no correlation between what NWOL has and the share price.
The chart shows nearly all buys and nil sells in 2008. That's why the A/D line is almost straight up. The sells were counterfeit naked short sales by the Dodge group. The chart corroborates what I was saying that as the A/S were increased the Dodge group was incrementally naked short selling. This occured over a period of about 9 months. I would like to say more, however, my post would be deleted.
What's important now is that I've proven Darby Uguma lives and works in South Africa. He is a real person. You will hear more from him once the SEC investigation is completed.
I'm waiting for a new timetable for the revocation of GBDX stock from the Dodge boys. Please step forward and identify yourself.
The most likely party who put in the cash is Sinopec. However, I previously posted that multi billions of petro dollars have been invested in the Costa del Sol area of Spain (where the Los Monteros hotel is located) by the Arab world. The biggest investor is Libya. What's overlooked is that the status of Northwest Oil TOOK A GIANT STEP FORWARD once they purchased the hotel. It's possible, one of the heavy hitters like Khadafi's son from Libya is the silent partner.
Please look at the NWOL chart. You will see patterned buying coming in every 3 or so days. This started about 2 weeks ago. The update by BusinessWeek on the acquisitions (hotel plus 3 management companies) could not be written more positive. There are no ambiguities. It looks to me like whoever is buying does not want the stock to start running yet. All the labor issues at Los Monteros appear to have been settled according to the Spanish media.
BusinessWeek CLEARLY states that the Northwest Oil Group (NWOL.PK purchased the Los Monteros hotel for 115 million euros ($160,000,000) in CASH. I was previously concerned that there might be dilution as a result of the transaction. BusinessWeek answered my concerns that the 5.5 million share public float remains the same. We may be seeing the beginning of institutional buying from such entities as INVEST SPANISH.
BusinessWeek has updated information on the NWOL.PK acquisition of the Los Monteros hotel in Marbella, Spain. BusinessWeek states that the Los Monteros hotel is a subsidiary of the Northwest Oil group inc. (NWOL.PK). The update may account for the 132,000 volume several days ago.
http://investing.businessweek.com/research/stocks/snapshot/snapshot.asp?ric=NWOL.PK
Do you think it was the De Beers family that invited Global Diamond to relocate their operation to Limpopo SA? This is where the De Beers family operates the Venetia diamond mine which accounts for 40% of all diamond production in South Africa. It's not likely that GBDX would relocate if they are facing a revocation of their stock. Jeff Turino, et al is facing big trouble from the SEC. GBDX should see some financial benefit if the $8 million in assets that are frozen from Turino, et al are eventually given to GBDX for distribution to shareholders that were victimized. This could be done in the form of a cash dividend.
My first reaction, after reading the GBDX PR, was that the De Beers family might be interested in buying a controlling interest in GBDX through the purchase of GBDX management stock. De Beers could then form a strategic partnership with GBDX, much like they have with Moet Hennessy Louis Vuitton (LVMH) SA. The De Beers flagship operation is in Limpopo SA. The same as GBDX. My later reaction is a takeover by a local black owned diamond producer or white owned who needs some black control to comply with the Black enterprise empowerment (BEE) provisions of South African law. I believe the new directors are South African blacks.
The present directors are temporary until a takeover is effected.
Darby Uguma and Dr. Didier Debonggo appear to be real people who live in South Africa. I googled "Spartan Architecture" and found this reference to Darby Uguma. "http://africa,free-work-at-home,info/darby-uguma-south-africa.html. Perhaps, someone can get the page opened. It appears that Mr. Uguma is a free lance architect who works out of his house. I also found a reference to Dr. Didier Debonggo. South Africa Health News - Healthcare Industry Today. health.einnews.com/south africa. 20 Mar 2009 - "No strike action by public service medical doctors." I cannot access that reference. It appears that Dr. Debonggo is a public service doctor who works for the South African government.
Further work needs to be done to verify the correctness of the information. These people are keeping themselves out of public view until the next PR is released or takeover attempt is disclosed.
I'm buying. Small amounts so as not to run the price up.
"Out in the field" means conducting Global Diamond business out and about outside the office. That's an American business slang expression which I've used many times. Thank you for doing something very constructive which will help all of us.
What has been overlooked is that GBDX management has invested a substantial amount of money buying up shares that were NSS by the Dodge group. I estimate the GBDX management investment at somewhere between $6 million to $12 million. GBDX management has not showed their hand yet.
As the A/S increased, the Dodge group shorted those additional shares. GBDX management went in and bought the shares shorted by the Dodge group. GBDX management controls about 2 billion shares. The 2 billion shares were never part of the public float. The low trading volume confirms this. GBDX management has invested far too much money in GBDX stock to allow a revocation to take place.
good job! There is strong evidence that the Dodge group continued to NSS GBDX after 9/23/08. We may be in for a big shock if the Dodge group members did another poll as to what the cumulative NSS position now is. I think it is over 2 billion shares.