AI
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| Alias Born | 07/09/2004 |
Wednesday, September 08, 2004 10:56:00 PM
Howdy Lee, Can you play along with a what if game for the moment? I hope so.
OK, lets say their is actually a short position on CMKX by the MMs. Remember this is just hypothetical but you've got to play along to make this fun.
Here is a post by STERLING on the short issue, divvies and O/S. You probably have read it already. Do you think the points brought up by Sterling can be executed by CMKX to make the shorts cover? I'd be interested in any other comments you would have on this issue. TIA.
Oh these two guys just happened to drop by my house last night, looking for hand outs. Geez they said they would work for food! LOL! BBP!
The Mirror Covering Process…By: stervc
By: stervc
07 Sep 2004, 08:49 AM EDT
Msg. 78017 of 79101
Jump to msg. #
The Mirror Covering Process…
Let’s first make sure we all understand a few things to get us all on the same page before helping all to see the importance of what we might be missing from the UCAD, CIM, and GEMM dividends. For months I had been telling people in Paltalk and other forums that from initially reviewing the external variables that are prevalent to the public about CMKX, your average investor should first think very cautiously just by the law of averages of stocks within the penny world that succeed with such known versus unknown variables. For this, we should all exercise patience with others in helping them to see what we see for feeling positive towards CMKX.
Let’s now recap about what could be the Outstanding Shares (OS) for helping to absorb this process. At one time, I and others believed the OS to be less than 10 billion shares. Then I believed it to be less than 50 billion, then less than 200 billion, then less than 300 billion, and now… I don’t know? Your guess is as good as mines. I just think that we will all be surprised for the better whenever it comes out, but for now, let’s just stick with the worse case scenario concept to keep a more conservative approach for understanding.
Still, I think the OS is important, but it doesn’t matter as much for this situation as it normally would in any other stock. I can come up with examples of debate to support both sides of the argument. So in the future, always be cautious in doing your research on stocks having high share structures. That doesn’t mean stay away from them. I just think that CMKX is different as I have always said and is the best stock in the market to be invested in, to include UCAD and GEMM. Remember to think outside the box and try to understand my “Operation Dividends” post in the link below when you get a chance to see why we got to have “some” shares in the OS to help more people:
http://www.ragingbull.lycos.com/mboard/boards.cgi?board=CLB01219&read=60142
Now let me provide some food for thought that is based on information that is out for the public to view, which reduces the amount of speculation about the OS until otherwise officially confirmed to be different by the company. According to the OTCBB/NASD officials, the OS is 779,625,779,625 as confirmed from the UCAD dividend multiple and the OS is 1,562,500,000,000 as confirmed from the CIM dividend multiple from the link and calculations below:
http://www.otcbb.com/asp/dividend.asp?sym_id=cmkx
UCAD OS Calculation for CMKX = 7,500,000 ÷ .00000962 = 779,625,779,625 shares
CIM OS Calculation for CMKX = 40,000,000,000 ÷ .0256 = 1,562,500,000,000 shares
1,562,500,000,000 – 779,625,779,625 = 782,874,220,375 Shares “Not” Accounted For
These numbers should match as bringing forth the same numbers to being the OS. As you can see, there is a huge disparity between the two. Somebody has to be responsible for accounting for those added 782,874,220,375 shares that have been confirmed by the DTC from the date of record of 20 Aug 04 for the UCAD dividend and the date of record of 31 Aug 04 from the CIM dividend.
Apparently we have not seen 782,874,220,375 shares in volume between the 11 days to account for that huge disparity in multiples for determining the OS. I am betting that since CIM shares were private shares, a more finite number of reporting the actual shares transacted through the DTC forced the DTC to reveal every single share recorded that have went through the DTC that they placed into the retail investor’s brokerage accounts.
If things are as expected, there would be a balance between the naked short position and the OS that would cause the size of the OS to balance itself out to zero or in greater favor for the shareholder as compared to the naked short position. As long as the naked short position is equivalent to or higher than the OS, the demand for CMKX shares would always force a lack of supply to exist. With the CMKX OS from the UCAD dividend reflecting 779,625,779,625 shares, the naked short position could be suspected to now be at least 782,874,220,375 shares. This is yet another reason why again, the OS is important, but it doesn’t matter because as you can see, the short position is still greater than the CMKX OS per the UCAD dividend.
Understanding the above thoughts lead us to the next topics of discussion that we have been waiting for, the dividends. I will start out with trying to explain some thoughts of UCAD, CIM, and GEMM dividends and how each have their own specific role of trapping the MMs into a corner to cover or fund the shareholders. We are now at the point to either you believe or you not believe in Urban and Team CMKX. Let’s start with the UCAD dividend which has a very significant role for the implementation of “Operation Dividend.”
The UCAD Dividend
What if the naked short position in CMKX is so huge that the MMs would be willing to take their chances in hiding the covering of CMKX through first UCAD? Many of us just were not sure what type of covering would transpire with CMKX as a repercussion from the UCAD dividend. Many had elected to believe that the Market Makers (MMs) would have a dilemma to deal with. The MMs could either cover a huge naked short position through CMKX or do what I call a Mirror Covering through first the UCAD dividend. This would be like CMKX looking in the mirror at itself and seeing CMKX and UCAD, but the MMs would be seeing UCAD (or each dividend that is up for its time of being executed.)
This is the MMs masking the covering of CMKX by shorting UCAD to use as leverage. This would be the MMs way of trying to trick us in to thinking that there really never was a short that existed in CMKX after all. These naked shorted UCAD shares are fictitiously created electronically, but are only absorbed as a cost to the MMs when we sell our dividend shares on the open market. If they are restricted, then this also could buy more time for the MMs to obtain more funds for future covering as we could not sell until 1 year from now when the restriction is currently intended to be lifted to be free trading.
What they are banking on is that the covering can be done at a lesser blow because all would not immediately sell their UCAD shares because of UCAD being a very legit company that is proven. This is the MMs converting their risk from CMKX to UCAD to give them more time to cover little by little. The MMs know that UCAD will be a major force in the market to be reckoned with so we all would not expect to see a major sell of at anytime. Let me further explain with the numbers we already have as the suspected naked short position and OS for CMKX.
For the MMs to cover the above suspected 782,874,220,375 naked short shares of CMKX it would cost probably well over $1 Billion+ from doing some quick math and considering that the price would increase as the demand for CMKX shares increased.
Instead of paying that $1 Billion+, the MMs would be willing to try to mask/hide the covering of the CMKX naked short position by creating naked shorted shares of UCAD to put into the retail investors accounts. From the UCAD multiple of .00000962 that is officially in the system, this would mean that they need to create the indicated amount of UCAD shares to hide the CMKX short:
782,874,220,375 x .00000962 = 7,531,250
This means that the MMs will have to fictitiously electronically create 7,531,250 shares of naked short shares of UCAD to put in those retail CMKX investor’s accounts that are holding naked shorted shares of CMKX. This will be at not cost to the MMs. The cost to the MMs would come when we sell our UCAD shares. With them being restricted for 1 year, this could be viewed as buying more time for the MMs to pay what they owe.
This would mean that the MMs would have a vested interest in the success of CMKX and UCAD because as CMKX and UCAD maintain their value as viable companies, people would not sell their shares which would mean that the MMs would not be out of any money for payment.
It gets better though. What if the UCAD shares they shorted to mask the covering of CMKX is greater than the float of UCAD? This could pose a problem and could be one of the trump cards that Urban and Team CMKX knows that they are holding.
Here’s why. The MMs could be pressured into a dilemma. They will either cover the naked short position in CMKX or they fall victim to cover the naked shorted position in UCAD. As mentioned above, the MMs will have to fictitiously electronically create 7,531,250 shares of naked short shares of UCAD to put in those retail CMKX investor’s accounts that are holding naked shorted shares of CMKX to keep the short hidden or masked from the SEC and others.
If UCAD goes to the AMEX as suspected, these 7,531,250 could pose a problem for the MMs. The MMs would initially think they would have time to leverage their covering for a year by these shares being restricted, but these shares would further justify and substantiate a naked short position existence. So the MMs would know the need to cover the UCAD short “if” it is created especially at this magnitude. This could be worse for the MMs because the UCAD Float is smaller and more tightly held. This would make it much harder for the MMs to get to the restricted UCAD shares to manipulate a covering.
On the AMEX, UCAD would bring forth only those shares that are legitimately registered wit the SEC as their official share structure. Those naked shorted shares of UCAD would be left behind to stick out like a sore thumb. Since they would be listed as restricted, they could not be tampered with and they could not be removed from pending circulation.
The only way the MMs could resolve this issue would be to cover CMKX or to cover UCAD before going to the AMEX. This will have to be a must because the MMs have no dominating authority on the AMEX as they do on the OTC/OTCBB to fictitiously create shares. This means no Market Maker Manipulation (MMM). The AMEX trades under a different system and a different set of rules. The MMs would have to cover the 7,531,250 shares of UCAD. This means they need for 7,531,250 shares of UCAD to be sold as the net amount to counter any additional buying pressure of UCAD.
The Float of UCAD is somewhere between 700,000 to 1,500,000 shares if I had to guess. Since there are not enough shares in the Float for them to cover through UCAD, I expect for them to go to UCAD officials to try to get certain blocks of shares issued to them from their Treasury at higher prices since there would not be enough liquidity from the MMs dilemma. All of this to keep from covering the CMKX naked short position because of how huge I believe it to be.
To remedy the liquidity issue, what if you were a CEO and you felt that your stock had been naked shorted by a huge amount of shares and you knew that you had powerful news that would make any Market Maker (MMs) cover their naked short position or take out any guilty shorting party or entity? You would have to greatly consider doing a forward split for a few reasons as a strategy.
So many might ask: “Why a forward split?” If I was in the position of CMKX or UCAD, I would have to think what better way to further worsen the blow even more for covering and further reward the blow of success to the shareholders.
Both companies would not need to do a forward split to deliver the statement I believe will be made by action, but both CMKX and UCAD will probably at least be considering to do a forward split to increase liquidity and/or to further reward shareholders with extra shares for the covering.
For CMKX, if you believed the naked short position to be 1 trillion, for an example, then a 2 to 1 forward split would now give the MMs 2 trillion shares to cover instead of 1 trillion shares. Think about it for a second. If the MMs are planning or forced to run the price of CMKX up to higher levels, doing such at .0004 or .0002 cents after a 2 to 1 forward split is not significant to them in price, but is significant to them because it would give them twice the amount of shares to cover. It’s significant to us as shareholders because it would give us twice the amount of shares to have for twice the amounts of profits. This would be very good for us, but more difficult for the MMs to cover.
For UCAD as in the info explained above, if the naked short position grows to be 7,531,250 shares then a 3 to 1 forward split would worsen the short to be covered to 22,593,750 shares. This would put the MMs in a position to cover the CMKX and any UCAD shorted shares before going to the AMEX as anticipated because they will not have any access to any of the UCAD shares going to the AMEX. Any naked shorted shares of UCAD would be left behind to reveal that unjust and illegal shorting actions had been done towards UCAD and CMKX. This would be known to all entities as fact and not accusation. This would cause the MMs to cover before UCAD gets to the AMEX.
The 3 to 1 forward split could also be of a higher ratio if it is determined that UCAD would bail the MMs out of such a bind by issuing them shares to be bought by the MMs on the open market. UCAD could easily name the price of their shares for the MMs to go get them if they need them.
Normally in any other stock dividend story, these naked short shares would be created fictitiously through electronic means, but this time would be different than CMKX last forward split or than any other stock dividend for the reasons of accountability that we have been discussing to corner the MMs covering options. The MMs problems for covering would be doubled and/or tripled because accountability is a must as more companies and key entities are now involved.
With 42,000+ shareholders of CMKX, this means that with the dividend, there will now be 42,000+ new shareholders of UCAD that will now have a vested interest in the success of UCAD. This will be huge for UCAD because of the huge amount of dedicated shareholders to provide enhanced support for UCAD going to the AMEX. This will be a huge union even if the decision is made to keep our shares restricted for one year or to lift the restriction.
Our UCAD shares are restricted for 1 year which serves two fold in my opinion. One is to make sure any naked short shares of UCAD remain trapped before moving to the AMEX to be revealed on the OTCBB as shares matched to fictitiously mask the covering of the naked short shares CMKX. Two, is to give UCAD a one year grace period to make sure the overall plan remains in tact to give UCAD any extra time needed to make sure all “I’s” are dotted and all “T’s” are crossed for its major move. Once everything is in place for movement to the AMEX, I would think that the one year grace period will not be needed and the one year restriction will be lifted. This is final only upon the final confirmation of an AMEX listing being secured. While the shares are restricted, the MMs can’t get to those shares for any kind of manipulation they might create to eliminate or mask their shorting activities. This means that any naked short shares they could have created for themselves could be revealed and unable for them to be tampered with too. This could be like them telling off on themselves too.
CMKX affiliation with UCAD will help to bring CMKX to the attention of many large positioned investors to include Institutions. This is a key for both scratching each others’ back for continued growth in working as a TEAM. I suspect that somebody out there has to be interested in starting a mining Mutual Fund that would love to have CMKX, UCAD, CIM, GEMM, SGGM, etc. in their portfolio of companies. This could be something huge that many conservative investors would love to get in on the ground floor. With the valuation that I anticipate to be revealed, there is a chance for all related companies to follow UCAD’s lead to be trading on at least the AMEX.
Remember that if UCAD decides to lift the restriction off of our shares, then we will be playing at a whole new level of confusion for the MMs. This would cause the MMs to do things they had no desire to do before; to cover CMKX. Again, this could not happen until they had absolute confirmation that they are going to the AMEX. I think we are there. I will explain what could happen sooner from the lifting of the share restriction in the GEMM scenario as they are free trading. But before doing that, we must first understand the importance of the CIM dividend to bring us to the next phase for forcing the MMs to cover.
The CIM Dividend
The CIM shares are private and are closely held by the company. There is no room for the MMs to manipulate the private shares of CIM because they are not registered to go through the DTC for trading public. These shares will have to be given to the DTC by CMKX to be equally distributed to CMKX shareholders. For this to happen, the DTC has to make known the amount of shares that they have had transacted through them from the MMs to place in people’s brokerage accounts. This is the process that is huge. This is the key piece that makes known every single share of CMKX that have been sold by the MMs and bought by us, the retail investors. This is to include the shorted and non-shorted (actual) shares of CMKX. This is what’s in need to be rectified before going to a higher exchange other than the pink sheets.
This could be another one of Urban’s trump cards he is holding to use as an advantage to position CMKX to get first to the OTCBB. CIM could be the medium used by Urban to later merge CMKX into CIM to complete the reverse merge or reverse takeover. Read below for a quick definition.
http://www.investopedia.com/terms/r/reversetakeover.asp
Reverse Takeover – RTO
1. The buying out of larger company (CMKX) by a smaller company (CIM).
2. The purchasing of a public company (CMKX) by a private company (CIM).
(A reverse takeover is often the cheapest way for a private company to obtain a listing on a stock exchange.Also known as a reverse merger.)
In my opinion the OS is already known and have been for some time. After CIM opens up trading on the next exchange, the RTO should be nearing execution between CMKX and CIM. If it’s decided to not use CIM to RTO into CMKX, then the anticipated valuation is expected to be huge to place valuation in CIM as its own entity. We expect this to be a “zinc” related announcement.
The OS should have already been substantiated through the UCAD share distribution process for all official parties to be in union on by this time. The CIM dividend will be the next chapter putting closure to the covering of CMKX.
Since the CIM shares are private shares held by the company, the MMs can’t fictitiously create or short the CIM shares to mask any type of covering of the CMKX naked short position. What Roger Glenn reports as the gospel for the official share count will not stand to be corrected by anyone.
If the MMs have not cover by the time CMKX has disseminated the UCAD distribution, it would have at least been confirmed. The CIM dividend will be the next phase to expedite the covering of the naked short position of CMKX.
As more and more valuation has been revealed in CMKX, more pressure would have been placed on the MMs because of the anticipated increase in buying pressure increasing the demand for CMKX shares with a scarce supply. The MMs would be forced to at least begin some of the covering to keep from allowing this to further worsen.
Many are anticipating a huge zinc valuation to be placed in CIM which would enhance the valuation in CMKX as a subsidiary up until the shares are placed into our accounts. The CIM dividend takes the MMs out of the game unlike the UCAD and GEMM dividends. The CIM dividends only allow for that certain coordination between the company and what the DTC reports as total amount of CMKX shares they have on record for being transacted to the retail investor’s brokerage account, us. Now we go to the next phase which includes GEMM to make sure all have been captured and covered.
The GEMM Dividend
This dividend will be one to provide a security check to make sure the MMs have covered CMKX. This will be because they will be in a “lose-lose” situation because they will be in a very bad situation from either massive buying or selling of GEMM.
The massive selling would pose a problem if the MMs have made the decision the short GEMM to mask the covering of CMKX to try to make us think that they fixed the problem. This would be in the same manner as the UCAD situation, but the shares are immediately known to be free trading which should push the MMs into the corner from a different angle.
The MMs will have to either cover CMKX naked short position or short GEMM to trick the public in to thinking that a short never existed in CMKX such as with UCAD dividend. The difference here with the GEMM dividend than with UCAD is that these GEMM dividend shares will be free trading immediately upon placement into our accounts.
With these shares being free trading, as we sell our GEM shares, the MMs will be responsible for filling those orders which they would then be out of the money they were trying to not use for covering CMKX. This means that the MMs would have a vested interest in hoping that enough value is revealed in GEMM that would make us want to hold our position in GEMM.
With significant increased valuation being placed in GEMM, increased demand should occur therefore forcing the price to increase as the supply for GEMM decreases tremendously. This now makes the naked short position in GEMM worse for the MMs to cover and have created a dilemma for using GEMM as a medium as they were once again forced to do. They would be in a bad situation from people selling GEMM and in a bad situation from people buying GEMM.
Expect to see some huge announcements from the mine since it is now out of the bag that this mine use to be an old DeBeers mine that was forced to be given up by DeBeers which opened the doors for us to snatch up this “golden” and “glittering” opportunity. The valuation is already there and proven and all we will do is properly place it.
Because of what I believe to be something of huge valuation to be placed in GEMM, this will have the same effects as a cash dividend because our shares will be scarce for the MMs and selling a small portion should do wonders helping some people to get to the Las Vegas party. The MMs will be gladly welcoming any kind of selling to get shares of GEMM to help them to cover some of their position. This blow still would be a lesser blow than them covering the entire CMKX short position. These are only some thoughts because who knows? We still could one day be awarded a cash dividend in the future by being shareholders of CMKX and now UCAD. We’ll see. I won’t spin off on that tangent because that would be whole different post of spec-o-lation.
As for SGGM
It is expected that there are some key players that could be revealed to be involved with the SGGM deal with CMKX. This is something that I think that the companies would need to reveal. All I can share about SSGM is my speculation that I had previously posted about last week in the link below:
http://www.ragingbull.lycos.com/mboard/boards.cgi?board=CLB01219&read=76293
(With this post, I was off by $10 Million in my quick math when I doubled a figure to use the 10% calculation to find the remaining 95%, but it still did not have a significant effect on the bottom line figure.)
As for us getting any of the SGGM shares as a dividend, I don’t know. But, I would have to think that the 200 Billion shares is a lot for any one entity to have and Urban has shown how giving he has been up unto this point that it would appear that SGGM will be the next piece to be placed into “Operation Dividends.” This is only a guess.
In Closing
Keep in mind, Urban and Team CMKX is in the process of getting CMKX to a higher exchange. I am guessing that they will crawl before they walk and get CMKX first to the OTCBB. This could be done through CIM since it would be cheaper to do so through the RTO process I mentioned above.
Many of us believe that there is a chance too that the new rule of the Short Sale ACT Reporting Requirements for OTCBB and Other Non-NASDAQ OTC Equity Securities that was extended to come into effect on 24 Sep 04 could prove to be in favor of CMKX and its dividends. The reason for the extension was in part for those needing to make significant technological changes to the related systems for monitoring. The complete rule is in the link below:
http://www.nasdr.com/pdf-text/0454ntm.txt
Then upon completion of “Operation Dividends” and us having all of our many dividends that Urban is planning on rewarding all CMKX shareholders in our accounts, I think that CMKX would be a perfect candidate to merge or reverse merge into a company that is already trading on a major market. After receiving a few more dividends, shareholders would not mind merging or even reverse merging into a company of value that would be trading on a higher exchange such as the AMEX or NYSE in my opinion.
As Urban continues to run the dividends through CMKX the MMs will have to continue masking the covering of CMKX through paying for the dividends or feel the wrath of the repercussions from shorting the dividend at hand. Will the MMs be willing to do this Mirror Covering Process for every stock dividend that is pending and to be added in the future? I think the way Urban is seeing this is that if the MMs don’t pay for the CMKX naked short in whole, then they can pay for the naked short in pieces through each dividend.
This way, the MMs would in essence be paying or to better put it, funding all of our dividends each time they choose to not cover the naked short position of CMKX by hiding the naked short position through the creation of the dividends to mirror that needed amount to be reflected in our accounts.
Urban has told me that his ultimate goal is for CMKX to go away, but not until the mission is complete with “Operation Dividends.” I can only think of three ways as to how Urban could allow for the going away of CMKX upon mission complete; 1-A tender offer to take CMKX private which would be like the CMKX buying out its shareholders; 2-A tender offer made buy another company such as DeBeers, Kensington, BHP, etc. or another entity to buyout the shareholder’s positions; or 3-Through some type of merger/reverse merger or RTO into a viable company that shows huge promise as mentioned earlier. This company would have already have been trading on a major exchange. This would have to be a company that shareholders would love and trust. This company would have to be a company that could create and continue to maintain the loving bond that Urban has created throughout the shareholder community. Right now, I would have to say that UCAD fits this description by far.
Now go back and take all of those dividends from “Operation Dividends” and roll them up into one company to be IPO-ed. I won’t talk on this to keep this post from being to long because that is a different plate of food for thought that could take another few pages or so.
I just want to leave you with one question to put closure on this post which has been nothing more than my opinions to give all of us some more “spec-o-lation” to wonder about and/or discuss as none of the information is known as fact and is subject to change as official news is released by the company to provide direct guidance. With all that have been posted above, ask yourself:
What if the OS is a lot lower than what many have been publicly led to think from information that could have been strategically positioned to cause confusion between the DTC, the Market Makers, and/or other unfriendly entities (or entity)?
All is well!
http://www.sterlingsclass.com/
Sterling
http://ragingbull.lycos.com/mboard/boards.cgi?board=CLB01219&read=78017
NOTE:THIS IS NOT A SOLICITATION TO BUY OR SELL SECURITIES, AND SHOULD NOT BE CONSTRUED AS SUCH!
OK, lets say their is actually a short position on CMKX by the MMs. Remember this is just hypothetical but you've got to play along to make this fun.
Here is a post by STERLING on the short issue, divvies and O/S. You probably have read it already. Do you think the points brought up by Sterling can be executed by CMKX to make the shorts cover? I'd be interested in any other comments you would have on this issue. TIA.
Oh these two guys just happened to drop by my house last night, looking for hand outs. Geez they said they would work for food! LOL! BBP!
The Mirror Covering Process…By: stervc
By: stervc
07 Sep 2004, 08:49 AM EDT
Msg. 78017 of 79101
Jump to msg. #
The Mirror Covering Process…
Let’s first make sure we all understand a few things to get us all on the same page before helping all to see the importance of what we might be missing from the UCAD, CIM, and GEMM dividends. For months I had been telling people in Paltalk and other forums that from initially reviewing the external variables that are prevalent to the public about CMKX, your average investor should first think very cautiously just by the law of averages of stocks within the penny world that succeed with such known versus unknown variables. For this, we should all exercise patience with others in helping them to see what we see for feeling positive towards CMKX.
Let’s now recap about what could be the Outstanding Shares (OS) for helping to absorb this process. At one time, I and others believed the OS to be less than 10 billion shares. Then I believed it to be less than 50 billion, then less than 200 billion, then less than 300 billion, and now… I don’t know? Your guess is as good as mines. I just think that we will all be surprised for the better whenever it comes out, but for now, let’s just stick with the worse case scenario concept to keep a more conservative approach for understanding.
Still, I think the OS is important, but it doesn’t matter as much for this situation as it normally would in any other stock. I can come up with examples of debate to support both sides of the argument. So in the future, always be cautious in doing your research on stocks having high share structures. That doesn’t mean stay away from them. I just think that CMKX is different as I have always said and is the best stock in the market to be invested in, to include UCAD and GEMM. Remember to think outside the box and try to understand my “Operation Dividends” post in the link below when you get a chance to see why we got to have “some” shares in the OS to help more people:
http://www.ragingbull.lycos.com/mboard/boards.cgi?board=CLB01219&read=60142
Now let me provide some food for thought that is based on information that is out for the public to view, which reduces the amount of speculation about the OS until otherwise officially confirmed to be different by the company. According to the OTCBB/NASD officials, the OS is 779,625,779,625 as confirmed from the UCAD dividend multiple and the OS is 1,562,500,000,000 as confirmed from the CIM dividend multiple from the link and calculations below:
http://www.otcbb.com/asp/dividend.asp?sym_id=cmkx
UCAD OS Calculation for CMKX = 7,500,000 ÷ .00000962 = 779,625,779,625 shares
CIM OS Calculation for CMKX = 40,000,000,000 ÷ .0256 = 1,562,500,000,000 shares
1,562,500,000,000 – 779,625,779,625 = 782,874,220,375 Shares “Not” Accounted For
These numbers should match as bringing forth the same numbers to being the OS. As you can see, there is a huge disparity between the two. Somebody has to be responsible for accounting for those added 782,874,220,375 shares that have been confirmed by the DTC from the date of record of 20 Aug 04 for the UCAD dividend and the date of record of 31 Aug 04 from the CIM dividend.
Apparently we have not seen 782,874,220,375 shares in volume between the 11 days to account for that huge disparity in multiples for determining the OS. I am betting that since CIM shares were private shares, a more finite number of reporting the actual shares transacted through the DTC forced the DTC to reveal every single share recorded that have went through the DTC that they placed into the retail investor’s brokerage accounts.
If things are as expected, there would be a balance between the naked short position and the OS that would cause the size of the OS to balance itself out to zero or in greater favor for the shareholder as compared to the naked short position. As long as the naked short position is equivalent to or higher than the OS, the demand for CMKX shares would always force a lack of supply to exist. With the CMKX OS from the UCAD dividend reflecting 779,625,779,625 shares, the naked short position could be suspected to now be at least 782,874,220,375 shares. This is yet another reason why again, the OS is important, but it doesn’t matter because as you can see, the short position is still greater than the CMKX OS per the UCAD dividend.
Understanding the above thoughts lead us to the next topics of discussion that we have been waiting for, the dividends. I will start out with trying to explain some thoughts of UCAD, CIM, and GEMM dividends and how each have their own specific role of trapping the MMs into a corner to cover or fund the shareholders. We are now at the point to either you believe or you not believe in Urban and Team CMKX. Let’s start with the UCAD dividend which has a very significant role for the implementation of “Operation Dividend.”
The UCAD Dividend
What if the naked short position in CMKX is so huge that the MMs would be willing to take their chances in hiding the covering of CMKX through first UCAD? Many of us just were not sure what type of covering would transpire with CMKX as a repercussion from the UCAD dividend. Many had elected to believe that the Market Makers (MMs) would have a dilemma to deal with. The MMs could either cover a huge naked short position through CMKX or do what I call a Mirror Covering through first the UCAD dividend. This would be like CMKX looking in the mirror at itself and seeing CMKX and UCAD, but the MMs would be seeing UCAD (or each dividend that is up for its time of being executed.)
This is the MMs masking the covering of CMKX by shorting UCAD to use as leverage. This would be the MMs way of trying to trick us in to thinking that there really never was a short that existed in CMKX after all. These naked shorted UCAD shares are fictitiously created electronically, but are only absorbed as a cost to the MMs when we sell our dividend shares on the open market. If they are restricted, then this also could buy more time for the MMs to obtain more funds for future covering as we could not sell until 1 year from now when the restriction is currently intended to be lifted to be free trading.
What they are banking on is that the covering can be done at a lesser blow because all would not immediately sell their UCAD shares because of UCAD being a very legit company that is proven. This is the MMs converting their risk from CMKX to UCAD to give them more time to cover little by little. The MMs know that UCAD will be a major force in the market to be reckoned with so we all would not expect to see a major sell of at anytime. Let me further explain with the numbers we already have as the suspected naked short position and OS for CMKX.
For the MMs to cover the above suspected 782,874,220,375 naked short shares of CMKX it would cost probably well over $1 Billion+ from doing some quick math and considering that the price would increase as the demand for CMKX shares increased.
Instead of paying that $1 Billion+, the MMs would be willing to try to mask/hide the covering of the CMKX naked short position by creating naked shorted shares of UCAD to put into the retail investors accounts. From the UCAD multiple of .00000962 that is officially in the system, this would mean that they need to create the indicated amount of UCAD shares to hide the CMKX short:
782,874,220,375 x .00000962 = 7,531,250
This means that the MMs will have to fictitiously electronically create 7,531,250 shares of naked short shares of UCAD to put in those retail CMKX investor’s accounts that are holding naked shorted shares of CMKX. This will be at not cost to the MMs. The cost to the MMs would come when we sell our UCAD shares. With them being restricted for 1 year, this could be viewed as buying more time for the MMs to pay what they owe.
This would mean that the MMs would have a vested interest in the success of CMKX and UCAD because as CMKX and UCAD maintain their value as viable companies, people would not sell their shares which would mean that the MMs would not be out of any money for payment.
It gets better though. What if the UCAD shares they shorted to mask the covering of CMKX is greater than the float of UCAD? This could pose a problem and could be one of the trump cards that Urban and Team CMKX knows that they are holding.
Here’s why. The MMs could be pressured into a dilemma. They will either cover the naked short position in CMKX or they fall victim to cover the naked shorted position in UCAD. As mentioned above, the MMs will have to fictitiously electronically create 7,531,250 shares of naked short shares of UCAD to put in those retail CMKX investor’s accounts that are holding naked shorted shares of CMKX to keep the short hidden or masked from the SEC and others.
If UCAD goes to the AMEX as suspected, these 7,531,250 could pose a problem for the MMs. The MMs would initially think they would have time to leverage their covering for a year by these shares being restricted, but these shares would further justify and substantiate a naked short position existence. So the MMs would know the need to cover the UCAD short “if” it is created especially at this magnitude. This could be worse for the MMs because the UCAD Float is smaller and more tightly held. This would make it much harder for the MMs to get to the restricted UCAD shares to manipulate a covering.
On the AMEX, UCAD would bring forth only those shares that are legitimately registered wit the SEC as their official share structure. Those naked shorted shares of UCAD would be left behind to stick out like a sore thumb. Since they would be listed as restricted, they could not be tampered with and they could not be removed from pending circulation.
The only way the MMs could resolve this issue would be to cover CMKX or to cover UCAD before going to the AMEX. This will have to be a must because the MMs have no dominating authority on the AMEX as they do on the OTC/OTCBB to fictitiously create shares. This means no Market Maker Manipulation (MMM). The AMEX trades under a different system and a different set of rules. The MMs would have to cover the 7,531,250 shares of UCAD. This means they need for 7,531,250 shares of UCAD to be sold as the net amount to counter any additional buying pressure of UCAD.
The Float of UCAD is somewhere between 700,000 to 1,500,000 shares if I had to guess. Since there are not enough shares in the Float for them to cover through UCAD, I expect for them to go to UCAD officials to try to get certain blocks of shares issued to them from their Treasury at higher prices since there would not be enough liquidity from the MMs dilemma. All of this to keep from covering the CMKX naked short position because of how huge I believe it to be.
To remedy the liquidity issue, what if you were a CEO and you felt that your stock had been naked shorted by a huge amount of shares and you knew that you had powerful news that would make any Market Maker (MMs) cover their naked short position or take out any guilty shorting party or entity? You would have to greatly consider doing a forward split for a few reasons as a strategy.
So many might ask: “Why a forward split?” If I was in the position of CMKX or UCAD, I would have to think what better way to further worsen the blow even more for covering and further reward the blow of success to the shareholders.
Both companies would not need to do a forward split to deliver the statement I believe will be made by action, but both CMKX and UCAD will probably at least be considering to do a forward split to increase liquidity and/or to further reward shareholders with extra shares for the covering.
For CMKX, if you believed the naked short position to be 1 trillion, for an example, then a 2 to 1 forward split would now give the MMs 2 trillion shares to cover instead of 1 trillion shares. Think about it for a second. If the MMs are planning or forced to run the price of CMKX up to higher levels, doing such at .0004 or .0002 cents after a 2 to 1 forward split is not significant to them in price, but is significant to them because it would give them twice the amount of shares to cover. It’s significant to us as shareholders because it would give us twice the amount of shares to have for twice the amounts of profits. This would be very good for us, but more difficult for the MMs to cover.
For UCAD as in the info explained above, if the naked short position grows to be 7,531,250 shares then a 3 to 1 forward split would worsen the short to be covered to 22,593,750 shares. This would put the MMs in a position to cover the CMKX and any UCAD shorted shares before going to the AMEX as anticipated because they will not have any access to any of the UCAD shares going to the AMEX. Any naked shorted shares of UCAD would be left behind to reveal that unjust and illegal shorting actions had been done towards UCAD and CMKX. This would be known to all entities as fact and not accusation. This would cause the MMs to cover before UCAD gets to the AMEX.
The 3 to 1 forward split could also be of a higher ratio if it is determined that UCAD would bail the MMs out of such a bind by issuing them shares to be bought by the MMs on the open market. UCAD could easily name the price of their shares for the MMs to go get them if they need them.
Normally in any other stock dividend story, these naked short shares would be created fictitiously through electronic means, but this time would be different than CMKX last forward split or than any other stock dividend for the reasons of accountability that we have been discussing to corner the MMs covering options. The MMs problems for covering would be doubled and/or tripled because accountability is a must as more companies and key entities are now involved.
With 42,000+ shareholders of CMKX, this means that with the dividend, there will now be 42,000+ new shareholders of UCAD that will now have a vested interest in the success of UCAD. This will be huge for UCAD because of the huge amount of dedicated shareholders to provide enhanced support for UCAD going to the AMEX. This will be a huge union even if the decision is made to keep our shares restricted for one year or to lift the restriction.
Our UCAD shares are restricted for 1 year which serves two fold in my opinion. One is to make sure any naked short shares of UCAD remain trapped before moving to the AMEX to be revealed on the OTCBB as shares matched to fictitiously mask the covering of the naked short shares CMKX. Two, is to give UCAD a one year grace period to make sure the overall plan remains in tact to give UCAD any extra time needed to make sure all “I’s” are dotted and all “T’s” are crossed for its major move. Once everything is in place for movement to the AMEX, I would think that the one year grace period will not be needed and the one year restriction will be lifted. This is final only upon the final confirmation of an AMEX listing being secured. While the shares are restricted, the MMs can’t get to those shares for any kind of manipulation they might create to eliminate or mask their shorting activities. This means that any naked short shares they could have created for themselves could be revealed and unable for them to be tampered with too. This could be like them telling off on themselves too.
CMKX affiliation with UCAD will help to bring CMKX to the attention of many large positioned investors to include Institutions. This is a key for both scratching each others’ back for continued growth in working as a TEAM. I suspect that somebody out there has to be interested in starting a mining Mutual Fund that would love to have CMKX, UCAD, CIM, GEMM, SGGM, etc. in their portfolio of companies. This could be something huge that many conservative investors would love to get in on the ground floor. With the valuation that I anticipate to be revealed, there is a chance for all related companies to follow UCAD’s lead to be trading on at least the AMEX.
Remember that if UCAD decides to lift the restriction off of our shares, then we will be playing at a whole new level of confusion for the MMs. This would cause the MMs to do things they had no desire to do before; to cover CMKX. Again, this could not happen until they had absolute confirmation that they are going to the AMEX. I think we are there. I will explain what could happen sooner from the lifting of the share restriction in the GEMM scenario as they are free trading. But before doing that, we must first understand the importance of the CIM dividend to bring us to the next phase for forcing the MMs to cover.
The CIM Dividend
The CIM shares are private and are closely held by the company. There is no room for the MMs to manipulate the private shares of CIM because they are not registered to go through the DTC for trading public. These shares will have to be given to the DTC by CMKX to be equally distributed to CMKX shareholders. For this to happen, the DTC has to make known the amount of shares that they have had transacted through them from the MMs to place in people’s brokerage accounts. This is the process that is huge. This is the key piece that makes known every single share of CMKX that have been sold by the MMs and bought by us, the retail investors. This is to include the shorted and non-shorted (actual) shares of CMKX. This is what’s in need to be rectified before going to a higher exchange other than the pink sheets.
This could be another one of Urban’s trump cards he is holding to use as an advantage to position CMKX to get first to the OTCBB. CIM could be the medium used by Urban to later merge CMKX into CIM to complete the reverse merge or reverse takeover. Read below for a quick definition.
http://www.investopedia.com/terms/r/reversetakeover.asp
Reverse Takeover – RTO
1. The buying out of larger company (CMKX) by a smaller company (CIM).
2. The purchasing of a public company (CMKX) by a private company (CIM).
(A reverse takeover is often the cheapest way for a private company to obtain a listing on a stock exchange.Also known as a reverse merger.)
In my opinion the OS is already known and have been for some time. After CIM opens up trading on the next exchange, the RTO should be nearing execution between CMKX and CIM. If it’s decided to not use CIM to RTO into CMKX, then the anticipated valuation is expected to be huge to place valuation in CIM as its own entity. We expect this to be a “zinc” related announcement.
The OS should have already been substantiated through the UCAD share distribution process for all official parties to be in union on by this time. The CIM dividend will be the next chapter putting closure to the covering of CMKX.
Since the CIM shares are private shares held by the company, the MMs can’t fictitiously create or short the CIM shares to mask any type of covering of the CMKX naked short position. What Roger Glenn reports as the gospel for the official share count will not stand to be corrected by anyone.
If the MMs have not cover by the time CMKX has disseminated the UCAD distribution, it would have at least been confirmed. The CIM dividend will be the next phase to expedite the covering of the naked short position of CMKX.
As more and more valuation has been revealed in CMKX, more pressure would have been placed on the MMs because of the anticipated increase in buying pressure increasing the demand for CMKX shares with a scarce supply. The MMs would be forced to at least begin some of the covering to keep from allowing this to further worsen.
Many are anticipating a huge zinc valuation to be placed in CIM which would enhance the valuation in CMKX as a subsidiary up until the shares are placed into our accounts. The CIM dividend takes the MMs out of the game unlike the UCAD and GEMM dividends. The CIM dividends only allow for that certain coordination between the company and what the DTC reports as total amount of CMKX shares they have on record for being transacted to the retail investor’s brokerage account, us. Now we go to the next phase which includes GEMM to make sure all have been captured and covered.
The GEMM Dividend
This dividend will be one to provide a security check to make sure the MMs have covered CMKX. This will be because they will be in a “lose-lose” situation because they will be in a very bad situation from either massive buying or selling of GEMM.
The massive selling would pose a problem if the MMs have made the decision the short GEMM to mask the covering of CMKX to try to make us think that they fixed the problem. This would be in the same manner as the UCAD situation, but the shares are immediately known to be free trading which should push the MMs into the corner from a different angle.
The MMs will have to either cover CMKX naked short position or short GEMM to trick the public in to thinking that a short never existed in CMKX such as with UCAD dividend. The difference here with the GEMM dividend than with UCAD is that these GEMM dividend shares will be free trading immediately upon placement into our accounts.
With these shares being free trading, as we sell our GEM shares, the MMs will be responsible for filling those orders which they would then be out of the money they were trying to not use for covering CMKX. This means that the MMs would have a vested interest in hoping that enough value is revealed in GEMM that would make us want to hold our position in GEMM.
With significant increased valuation being placed in GEMM, increased demand should occur therefore forcing the price to increase as the supply for GEMM decreases tremendously. This now makes the naked short position in GEMM worse for the MMs to cover and have created a dilemma for using GEMM as a medium as they were once again forced to do. They would be in a bad situation from people selling GEMM and in a bad situation from people buying GEMM.
Expect to see some huge announcements from the mine since it is now out of the bag that this mine use to be an old DeBeers mine that was forced to be given up by DeBeers which opened the doors for us to snatch up this “golden” and “glittering” opportunity. The valuation is already there and proven and all we will do is properly place it.
Because of what I believe to be something of huge valuation to be placed in GEMM, this will have the same effects as a cash dividend because our shares will be scarce for the MMs and selling a small portion should do wonders helping some people to get to the Las Vegas party. The MMs will be gladly welcoming any kind of selling to get shares of GEMM to help them to cover some of their position. This blow still would be a lesser blow than them covering the entire CMKX short position. These are only some thoughts because who knows? We still could one day be awarded a cash dividend in the future by being shareholders of CMKX and now UCAD. We’ll see. I won’t spin off on that tangent because that would be whole different post of spec-o-lation.
As for SGGM
It is expected that there are some key players that could be revealed to be involved with the SGGM deal with CMKX. This is something that I think that the companies would need to reveal. All I can share about SSGM is my speculation that I had previously posted about last week in the link below:
http://www.ragingbull.lycos.com/mboard/boards.cgi?board=CLB01219&read=76293
(With this post, I was off by $10 Million in my quick math when I doubled a figure to use the 10% calculation to find the remaining 95%, but it still did not have a significant effect on the bottom line figure.)
As for us getting any of the SGGM shares as a dividend, I don’t know. But, I would have to think that the 200 Billion shares is a lot for any one entity to have and Urban has shown how giving he has been up unto this point that it would appear that SGGM will be the next piece to be placed into “Operation Dividends.” This is only a guess.
In Closing
Keep in mind, Urban and Team CMKX is in the process of getting CMKX to a higher exchange. I am guessing that they will crawl before they walk and get CMKX first to the OTCBB. This could be done through CIM since it would be cheaper to do so through the RTO process I mentioned above.
Many of us believe that there is a chance too that the new rule of the Short Sale ACT Reporting Requirements for OTCBB and Other Non-NASDAQ OTC Equity Securities that was extended to come into effect on 24 Sep 04 could prove to be in favor of CMKX and its dividends. The reason for the extension was in part for those needing to make significant technological changes to the related systems for monitoring. The complete rule is in the link below:
http://www.nasdr.com/pdf-text/0454ntm.txt
Then upon completion of “Operation Dividends” and us having all of our many dividends that Urban is planning on rewarding all CMKX shareholders in our accounts, I think that CMKX would be a perfect candidate to merge or reverse merge into a company that is already trading on a major market. After receiving a few more dividends, shareholders would not mind merging or even reverse merging into a company of value that would be trading on a higher exchange such as the AMEX or NYSE in my opinion.
As Urban continues to run the dividends through CMKX the MMs will have to continue masking the covering of CMKX through paying for the dividends or feel the wrath of the repercussions from shorting the dividend at hand. Will the MMs be willing to do this Mirror Covering Process for every stock dividend that is pending and to be added in the future? I think the way Urban is seeing this is that if the MMs don’t pay for the CMKX naked short in whole, then they can pay for the naked short in pieces through each dividend.
This way, the MMs would in essence be paying or to better put it, funding all of our dividends each time they choose to not cover the naked short position of CMKX by hiding the naked short position through the creation of the dividends to mirror that needed amount to be reflected in our accounts.
Urban has told me that his ultimate goal is for CMKX to go away, but not until the mission is complete with “Operation Dividends.” I can only think of three ways as to how Urban could allow for the going away of CMKX upon mission complete; 1-A tender offer to take CMKX private which would be like the CMKX buying out its shareholders; 2-A tender offer made buy another company such as DeBeers, Kensington, BHP, etc. or another entity to buyout the shareholder’s positions; or 3-Through some type of merger/reverse merger or RTO into a viable company that shows huge promise as mentioned earlier. This company would have already have been trading on a major exchange. This would have to be a company that shareholders would love and trust. This company would have to be a company that could create and continue to maintain the loving bond that Urban has created throughout the shareholder community. Right now, I would have to say that UCAD fits this description by far.
Now go back and take all of those dividends from “Operation Dividends” and roll them up into one company to be IPO-ed. I won’t talk on this to keep this post from being to long because that is a different plate of food for thought that could take another few pages or so.
I just want to leave you with one question to put closure on this post which has been nothing more than my opinions to give all of us some more “spec-o-lation” to wonder about and/or discuss as none of the information is known as fact and is subject to change as official news is released by the company to provide direct guidance. With all that have been posted above, ask yourself:
What if the OS is a lot lower than what many have been publicly led to think from information that could have been strategically positioned to cause confusion between the DTC, the Market Makers, and/or other unfriendly entities (or entity)?
All is well!
http://www.sterlingsclass.com/
Sterling
http://ragingbull.lycos.com/mboard/boards.cgi?board=CLB01219&read=78017
NOTE:THIS IS NOT A SOLICITATION TO BUY OR SELL SECURITIES, AND SHOULD NOT BE CONSTRUED AS SUCH!
Get the beat baby
My posts are never to be taken as a recommendation to buy or sell any security.
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