Replies to post #65988 on Muscle Pharm Corporation (MSLPQ)

[codie]

Yes that is similar to the information about the SEC investigation that I have heard.

[deafelephant]

SEC's Letters to Brad Pyatt

http://www.sec.gov/Archives/edgar/data/1415684/000000000013024958/filename1.pdf

http://www.sec.gov/Archives/edgar/data/1415684/000000000012052674/filename1.pdf

http://www.sec.gov/Archives/edgar/data/1415684/000000000011055626/filename1.pdf

http://www.sec.gov/Archives/edgar/data/1415684/000000000011055691/filename1.pdf

http://www.sec.gov/Archives/edgar/data/1415684/000000000012009217/filename1.pdf

[bellator_exec]

Here is my acknowledgement of my position in MSLP on 4/14. Go look at the chart turk and lo and behold it matches my cost basis.

bellator_exec Monday, 04/14/14 11:51:54 AM
Re: None
Post # of 68291
Disclosure: I hold a small long position in MSLP

The rumours surrounding the SEC investigation of MSLP go beyond the obvious stated issues in the 10k and 10q regarding disclosure and accounting.

The real issue is similar to the ArthroCare investigation that took 7 years to resolve.

This issue is the possible parking of fake inventory (not shipped thus using fraudulent Purchase Orders) into select retail channels in order to show the outstanding growth in top line sales. ArthroCare did this and the SEC required the executives involved to step down (both are under indictment) and fined the company $30m USD. The investigation took 7 years to resolve.

The good news is the management shakeup currently under way that looks as though MSLP may be attempting to appease the SEC. I doubt the SEC will say no harm/no foul though.

I suspect this investigation has a significant period yet to run and will in no way be resolved in a couple quarters.