An Open Letter to Jerry “Monk” Williams
I am writing you this letter as a follow up to the email I sent you which consisted of the following post on the iHub message board HOPE STOCKS. http://investorshub.advfn.com/boards/read_msg.aspx?message_id=64943293
Initially, you reached out to me and asked for my opinion on what you were about to publicly post. I did exactly what you asked me to do; I responded to what you posted on your private website and gave you my unedited opinion of what you wrote. In the email I sent back to you, I asked you to respond to what I wrote. I informed you that since you had already received my email, I would be posting the message on the HOPE STOCKS board. To date, I have yet to hear from you even though from our correspondence, it seemed likely that you would reply. I promised you that I would not post any of your personal messages to me on the public message board without your express written permission. The purpose of this letter is to follow up and give you an opportunity to respond if you so desire.
Below are some links to what you used to jokingly refer to as your “sucky picks”. Please pay close attention to the “1 Yr % Change (TTM): http://data.cnbc.com/quotes/CDIV
Can we both agree that these were in fact “sucky picks” and that anyone who invested in these stocks according to your “FLD” method of “buy, hold, add and never sell until told to do so”, is more than likely down an awful lot of money with less than a snowballs chance in hell of ever recouping that money?
Can we further agree that while you did not hit the buy button for anyone and you are not responsible for their purchase of these stocks, you are certainly responsible for encouraging people to buy and hold in order to force a short squeeze?
Finally, can we agree that you admitted to selling shares of these so called “Float Lock Down” stocks on the way up while continuing to beat the “buy and hold” drum?
So here we are many months after the FLD’s have imploded and lost the vast majority of their value. CDIV and EIGH have been suspended by the SEC for various reasons (see links below). http://sec.gov/litigation/suspensions/2011/34-64612-o.pdf http://www.sec.gov/litigation/suspensions/2010/34-63242-o.pdf
You had quite a loyal following. At the height of “Monk’s Den”, more than 1,800 people had boardmarked the forum and there were countless posts each day extolling your virtues; how you had helped them out and how you were one of the best traders out there. There was a family atmosphere. Many great friendships were made there and a lot of folks genuinely felt that they were being taken care of and listened to. Many of the people there simply wanted to have a place to turn to away from the cutthroat world of Wall Street and trade in a friendly environment. Your “Monkinars” were doing quite well. You were teaching more than 10 classes per year with some of the classes exceeding 80 participants. Again, friendships were made and people were able to put faces to names from the Den.
So I ask you these simple questions: Was it worth it? Was throwing away “the family” worth it for a couple new houses, an aircraft and an expensive car? Do you enjoy living in your new homes while members of “the Den” have lost theirs? Do you enjoy the financial security you have while countless members lost their retirement accounts?
This is the part I don’t get, sir. I don’t get why you needed to promote and pump four worthless companies. I don’t understand why you needed to even be in penny stocks. You had a pretty good gig going teaching folks how to trade. I don’t understand why you didn’t just teach folks how to trade and then post what plays you were making based on your rules. There are countless folks on iHub and throughout the internet that make calls every day on listed stocks. They make excellent money as well. You had a good thing going and you threw it away for what?
Now you have previously written how you are down a tremendous amount on the FLD’s and that you feel bad that folks lost a lot of money. That may be true and since I haven’t seen your trading accounts, I’m going to assume it is. But that is not really the point. See losses are relative and they are in this case as well. I’m sure that losing a couple hundred thousand dollars is a blow to your wallet and ego. The problem is that that is not the same as someone who trusted you and lost their entire retirement savings account. You don’t have to go out and look for a job or continue to work to pay the bills after being promised that buying and holding the FLD’s would make them financially independent. You told me this on many occasions and I’m sure you told others. You have the luxury of hiding behind a team of lawyers, your own private website, and the SEC investigation. The people who trusted you are left to pick up the pieces of their financial lives and try and make sense of it all.
To date, I have yet to hear any sort of apology from you. I have not heard you utter one word taking responsibility for what happened. However, I have heard stories from countless people who have taken responsibility for their actions and accepted their responsibility for hitting the buy button. Do you intend to let them shoulder this burden by themselves or will you take responsibility for your part in ruining the financial dreams of so many?
I think a lot of people are still trying to understand how they were sucked into these scams. I don’t have all the answers but I will give you my perspective. You used people, plain and simple. You found out what was near and dear to people and you played on that. It didn’t matter if it was the religious or the military angle; you found what made a person tick and exploited it. People trusted you, people believed in you and you took advantage of them. I’m sure you believe you didn’t use people but you did and there is no way to deny this. When things started to unravel, you essentially cut off communications. The only way to reach you was via a paid website. How many emails did you return to those who were looking for answers? I can tell you I sent you more than a few and I have NEVER received a reply to any of them. Is it safe to assume that if you cut off communications with me, then you did to so many others?
I am not trying to drag you through the mud, nor am I trying to exact some sort of revenge on you. I simply think that people need to know what you did and how you did it. The reason is simple: no one should have to suffer the same emotional anguish that I know many people have suffered. No one should have to be scammed out of their hard earned money because someone promises them riches. People should know that if it is too good to be true, it most likely is. I do not hate you personally but I do hate what you did to so many. Agree or disagree but you cannot deny the facts of what happened. One need only look at the 4 links I have provided to your “sucky picks” to realize that people are down significantly.
I would like to hear what you have to say. I would like to hear your response to the questions I have raised. Are you man enough to accept responsibility for what you have orchestrated? Are you man enough to admit that you made mistakes and people suffered because of it.
I look forward to your response,