Good evening all. : ) From Willywizard...
I hope everyone's day was a good one. Finally a sunny one here.
My son's football team took one on the chin today, 22-7. But it was 22-0 at mid 2nd quarter, and I think it was the wake up call they need because they are a good team, but they played so cautious at the start. But from the second quarter on, they got it together. Little Bo ran a punt back in the second half which had my adreneline going big time and would have made a game of it from that point. The 15 yard clipping penalty far away from the play brought it back to their own 20...grrr. : )
Sorry to indulge you, just wanted to share a bit...and it's the weekend. I'll punch in tomorrow with a laser focus on our CMKX.
Anyway....Hal's post (WIllywizard) is filled with much to chew on. And heeeere we go:
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Important!!!
Saturday, August 21st, Carol from UCAD verbally released the shareholder total of record for CMKX. I find the figures very interesting.
32,000 shareholders of record with shares in street name.
9,325 shareholders who have obtained certs or requested their names not be released to companys
.
The total of 41,325 shares is huge.
Now what I am looking at is CMKX has 41,325 shareholders. Many of these shareholders hold small amounts of stock and may hold larger blocks of CMKX shares. For use in this club email I will use and average of 10,000 shares per shareholder. Some of the 41,325 shareholders could be duplicates because of normal brokerage account and also owning IRA/Roth accounts. I writ this because I fall into this category and I assume many others do also. So lets lower the actual number to 40,000 to round it off for my next paragraph.
40,000 shareholders times 10,000 shares average equal 400,000,000 billion shares sold. Notice I am not using the term "Issued", having my reason not to use that term.
Also we have been told Urban and related parties own controlling interest so at the Authorized of 500 billion totally issued they would have to own a minimum of 251 billion shares to control the company's issued shares. So if this is the case and you add 400 billion the shares tradable are 651,000,000 billion exceeding the company's Authorized Shares by 151,000,000 billion shares.
Theoretically we could say someone has sold shares that exceed what the company's AS so we can call this a short position. Interesting isn't it?
I read many who don't believe CMKX has a short position. I am in the camp CMKX is short sold by Hedge Funds and naked short by Market Makers. Hedge Funds can short, even in the US, they call the short a derivative therefore they are breaking no laws. They can manipulate this short between different Funds maintaining the short for a long term effect on the company's tradable float. The Market Maker just naked shorts as he fills order flow for brokerage house they are contracted with to supply shares to fill orders. This is where many companies complain about DTCC because DTC just issues a Cusip number to the shares in our accounts making them somewhat legal but in reality they are naked short shares we received.
Recent rumor is Market Makers/Hedge Funds have received a Federal Call asking them to cover the short position they hold against the company's shares. Also rumor is the Market Makers asked for an extension which allows them 10 days or 12 days to cover. I am not real familiar with how this works with Market Makers. Rumor has it the extension expired last Thursday or Friday. This might have been the reason for crazy trading the last 15 minutes of the session when the share price bounced at .0001 and .0003 with erratic trading. The bid never did drop below .0003 where it was been for the last apx. 45 days.
Now lets look at another scenario that could take place now that I have established with in reason the short on CMKX. The shorts must cover all three dividends. On August 31st a dividend will be paid with CIM shares and they are nowhere the shorts are able to obtain them to pay the naked short shares. One year ago the company paid out CIM shares but since then the shorts figured the company would disappear or in other lingo go out of business. Well CMKX is still around and looking stronger all the time. Next on September 24 and then October 1st 2 other dividends will be paid out. The Mms now have 3 payouts that will be tough for them to cover for the 161,000,000 billion shares short. They have no way to weasel out of paying either. What are they going to do? Only DTC and the shorts can answer this but I bet they are very concerned because CMKX/Urban is not going to roll over and forgive the short.
Now lets look at the scenario Willy likes. In the above paragraph we are dealing with dividends in shares only. Now lets add another factor into the share scenario, CASH DIVIDEND! This is just a rumor and might never take place but it would sure throw a wrench into the Market Makers if CMKX happened to issue a cash dividend. AND!!!! If CMKX issued a couple cash dividends it would compound the naked short houses. At this point lets bring back in the 40,000 shares holders of record that will receive cash dividends. Are you getting the picture?
Example: CMKX announces a cash dividend payable on the date of the announcement. We will use .05 cents to 40,000 shares holders holding 249 billion shares but there are 400 billion shares held by the 40,000 shareholders. Jimminy cricket someone is going to have to pay up on the date of distribution. 249 billion shares times .05 is a big chunk of cash the shorts are off sides owing. The shorts could handle this amount of cash but if at the same time CMKX announced a second cash dividend out lets say 30 days the MMs are looking at a compounded cash loss which could be very damaging especially when they are already dealing with 3 stock dividends they are also owing for 249 billion shorted shares. Like this everyone!!! Read the next paragraph, Willy is smiling and you will see what.
So at this point in time we have a #144 shares UCAD dividend, a CIM dividend and a GEMM dividend due. Now we have added 2 cash dividends into the scenario. What a mess the MMs are facing, possible bankruptcy of one MM holds the short. Now this is where we add in 40,000 excited CMKX shareholder because they were just paid .05 cent cash dividend and they know another one is soon coming. These shareholder a zealous and hungry for somewhere to put some of that extra cash they were just given, excited about CMKX where will it go?
The snow ball affect
Understand the cash dividend I write about below is only rumor so don't take this as fact but pure speculation.
How many of you would take cash you were just given and buy more CMKX shares? Also UCAD is a tradable company so who would buy UCAD shares? Lets don't leave out GEMM at .03 cents so who would buy GEMM shares? Seeing the picture? I believe over ½ of the 40,000 shareholders would buy more CMKX. I would in a heat beat if they just paid me .05 cent per share cash and promised me another cash dividend in the near future. This would crate such a snow ball building affect to CMKX that the stock price would go nuts, Mt. St. Helens would truly be blowing it's top. The mega of all short squeezes would start to take place. But it wouldn't just be CMKX but UCAD and GEMM would be moving in tandem. If they had a short, no evidence they do, their prices would be rolling higher.
I think you all get the picture of The Casavant Maneuver. I wish you all well in the coming weeks and as Barrett says, "I Hope You All Get Filthy Stinking Rich!!"
Thank you,
Hal Engel aka WillyWizard
AI
