PYCT is a classic Pump and Dump ... worthy of being mentioned in this fine forum. Below is a brief summary of the PayChest share selling scheme.
Between 2004 and 2011, the company issued over 20 Billion new shares, and finally maxed out and bumped against the 28 Billion authorized share limit with 27,850,264,936 shares issued. After new management came aboard in late 2010, they released dozens of forward looking, hot air PRs which most of the savvy investment community saw through as unverifiable creative writing about a previously failed product line from Canada (women's flushable pads and pantyliners) being resurrected here in the states. As such, the PYCT share price remained in the trip zero cellar in spite of the steady flow of touted "great" news.
All PayChest insiders/funders managed to pull off during this pump period was getting a small group of folks to believe the get rich stories only enough to buy massive amounts of $0.0001 paper for sell from their toxic financing arrangements. Few actually fell for the stories hook, line and sinker and tried to bid up the PYCT shares.
Then in mid-2012, the DTC came down on them and imposed a "Chill" due to an issue with preferred share conversions and shares being issued into the outstanding. The "Chill" remains in effect, even to this day, some two years later.
Another interesting note is that the PayChest IR representative evidently has told shareholders (verbally, but won't put it in writing) that there exists a naked short of 3 to 4 billion shares in PYCT. Of course, this doesn't jive with the SEC bi-weekly FTD Reports that continually indicate there are no massive naked shorts in the PYCT stock. Some shareholders have carried this to an extreme and posted there is a massive short of over 100 Billion shares, even though only around 78 Billion total shares have traded since 2004. Funny how some companies tell shareholders the evil shorters are at work on their stock when in fact they are the ones issuing shares and diluting the shareholders. Even to the extent of getting busted by the DTC for such activity. lol
Anyway, just thought I'd share the PYCT saga in this IHub's Pump and Dump Hall of Fame.
Good day to all.
I am NOT a Financial Adviser. Nothing I post should be considered financial advice. I may be holding a long, short or no position. I am NOT compensated to post on here.
