CMKM Diamonds Inc. (fka CMKX)

[Tavycal]

E-mail from NASD 2nd response

Thank you for your follow-up E-Mail regarding CMKM Diamonds Inc. ("CMKX").

Please know that the Market Regulation Department is committed to providing the highest level of fairness and protection to all investors trading on the Nasdaq Stock Market and other markets. To assist in carrying out these responsibilities, the Department has surveillance systems in place designed to review for unusual price and volume activity.

We will use the information you have provided regarding CMKX in the scope of our regulatory programs designed to review for member firm and registered representative compliance with NASD rules and federal securities laws. As the reviews conducted by the Market Regulation Department are confidential and non-public, the staff will not be able to keep you apprised as to the status of any review that may be conducted.

We appreciate your on-going interest in CMKX and bringing your concerns to our attention.

Sincerely,

Marvin Ellis El
Investigator
Market Regulation
-----Original Message-----
From: Tavycal@[mailto:Tavycal@]
Sent: Sunday, February 06, 2005 8:51 AM
To: Ellis-El, Marvin
Subject: Re: MRD #200449925 / 20050000039 - CMKM Diamonds, Inc. ("CMKX")


Thank you for your response. However , Can you tell me why 418 trades were cancelled(CMKX.PK) after the bell on 12/07/2004? It appears that all the reversed trades were at .0001. These trades going through during the day would give the impression that there were a lot of sales going through, then they reversed them after the bell. This could not have been a mistake in my opinion.

Cell phone number 302-
Thanks Marvin