On Friday, May 16th, the SEC issued a warning letter to investors. In this warning letter, the SEC highlighted 5 stocks it has recently halted. These stocks are:
1.FusionPharm Inc (FSPM) – promoted by Paul Lipp’s OTCbbjournal.com – HALTED BY SEC 2.Cannabusiness Group Inc (CBGI) 3.Growlife, Inc. (PHOT) – promoted by Mark Bonacci Paul Lipp’s “SmallCapIR” – HALTED BY SEC 4.Advanced Cannabis Solutions, Inc (CANN) 5.Petrotech Oil and Gas, Inc. (PTOG) – promoted by Paul Lipp’s “StocksImpossible” – HALTED BY SEC
While the press release specifically focuses on marijuana-related investments, there is another story behind three of these stocks: FSPM, PTOG and PHOT were all stocks that benefited from positive research reports from Small Cap Street LLC, a firm that gets paid to release positive research reports about public companies. Small Cap Street LLC is owned and operated by Paul Lipp.
Small Cap Street has also recently published on PVCT, which was written by the same author who wrote the PTOG report, Osman Ghani – Osman is a paid writer for Small Cap Street LLC. I believe it is highly possible shares of PVCT will also be halted by the SEC.
And later:
In January “Small-Cap Street” issued a report claiming PVCT is worth $62 per share written by “Osman Ghani” whose resume lists no biotech or pharma experience. Osman Ghani has recently authored numerous reports on a variety of stocks as a paid article writer, including NVLX, another penny stock paid promotion. Osman Ghani also recently wrote about PTOG, recently halted by the SEC. In fact, two other stocks covered by Paul Lipp’s firms were also halted by the SEC recently
I believe Cee-it is trying to point out the fact that the recent News Alert from “Small Cap Profit” is actually done by “Stocks Impossible” which, according to the article, is owned and operated by an alleged paid stock pumper.
The "report" itself seems poorly done in the first place IMO, seemingly just poorly copied and pasted info from the website.