Replies to post #30662 on Zion Oil & Gas Inc (ZNOG)

[yesterdaysnews74]

I doubt anything will come of this...read into most small cap stocks and you'll see similar claims and maybe 1 out of 100 convictions.

This will be back over a buck and you'll still see or hear nothing of the lawsuit , along with that expect the SEC to not file as the pending officers are no longer with the company

[DragonBear]

This has nothing to do with an attack on Zion

Point #4 is a weak one.

(i) Zion was either already or was likely to soon become the subject of an SEC investigation

They would have to show the SEC contacted the company while the investigation was still a non formal one. Or otherwise knew the SEC had been asking around. Almost always a scam doesn't know the SEC has an investigation open, until it becomes a formal one with a subpoena suddenly appearing. That's how one ends up with a scam after receiving a subpoena from the SEC crying about how they didn't know, and the SEC never contacted them before the subpoena arrived. Boo hoo the SEC never gave us a chance!

(ii) as a result, Zion’ public statements were materially false and misleading at all relevant times.

That could be more interesing. For example reports submitted to the Israeli Oil Ministry with content different than the PRs. Or internal communications as to what the content of the PRs should be. Most scams especially ones registered with the SEC are always careful to have plausible deniability built into the PR pumps. Fur example: When they said they had a 100 bbl flow rate per day, they never claimed it was oil. If a SH reading it, wanted to assume it was their dream coming true, and it was oil, then not ZN management's fault.

What they would need to do to nail Carillo is to show he had no submitted trading plan on file. Actually he will be responsible for showing one existed. That instead of a well in advance planned sell, he was instead dumping on insider knowledge.

Another area is if they got a subpoena for the audits, and found something there. Probably the area the SEC is investigating. But that takes a boatload of money.