If his communicating with the public, through the ceo, generates a 3100% run - then yes, I'd say he is doing his job REALLY REALLY WELL. He's 'made investors aware.' Now if the ceo chooses to be a slacker or a liar, well then shame on the sec for ignoring that part (where the ceo makes ALL of the money & screws investors). You say "unfounded statements?" Well if the IR is willing to put his money where his mouth is & encourage his group, along with himself, to buy ... well then I see the IR on the investor side of the fence taking the risk (not standing aside the ceo). Artificial manipulated run ups? ... hmmm You mean the "buy on rumor, sell on news?" if investors (haphazard or not) are jumping on the band wagon to buy (with IR) & the ceo pulls the plug?
The term describes the department of a company devoted to handling inquiries from shareholders and investors, as well as others who might be interested in a company's stock or financial stability. Typically investor relations is a department or person reporting to the Chief Financial Officer (CFO) or Treasurer. In some companies, investor relations is managed by the public relations or corporate communications departments, and can also be referred to as "financial public relations" or "financial communications". Investor relations is considered a specialty of public relations by the U.S. Department of Labor. [1]