Replies to post #7726 on Matrixx Resource Holdings, Inc.(fka MXXH)

[whatsinit]

I would agree, pw, this is definitely a high risk company, one you probably shouldn't invest in with any serious money. The other question that keeps coming up is the authenticity of the the emails we have seen posted the past few days. They may just be part of a scam to unload the remaining shares. I guess there really isn't anyway to know so invest with caution and jump ship at the first sign of weakness.

[oildragon]

This is the answer of MXXR on this LINK !!!

You are the largest brain in this BOARD !!!



Gunter,

People across America have figured out this guy and his webpage. He is under investigation for market manipulation. He was a former securities attorney in a prior life before being convicted of fraud and stock manipulation. He was forced to pay back all the money. Now the guy claims to have no job and works for the investing public for free from his expensive New York city condo.

It appears he shorts stocks, then sends out a bit of spam, then puts out a press release that the company is spamming. Then people sell and he buys to cover. Nice racket he has going. But a lot of people have caught on to his nonsense and he is subject to investigation it seems.



John

[oildragon]

This is the answer of MXXR on this LINK !!!




Gunter,

People across America have figured out this guy and his webpage. He is under investigation for market manipulation. He was a former securities attorney in a prior life before being convicted of fraud and stock manipulation. He was forced to pay back all the money. Now the guy claims to have no job and works for the investing public for free from his expensive New York city condo.

It appears he shorts stocks, then sends out a bit of spam, then puts out a press release that the company is spamming. Then people sell and he buys to cover. Nice racket he has going. But a lot of people have caught on to his nonsense and he is subject to investigation it seems.



John

[oildragon]

Stockpatrol. com is not clean !!! Here the proof is !!!

http://www.stockhouse DOT com/bullboards/viewmessage.asp?no=14216249&tableid=1

Home > Stock Patrol Suspected as a Front in a Short-selling Scam
There is a company out there called StockPatrol.com which publishes a website that many investors rely on. StockPatrol acts as watchdog warning investors of allegedly bad publicly traded companies. But things may not be what they seem.


(I-Newswire) - There is a company out there called StockPatrol.com which publishes a website that many investors rely on. StockPatrol acts as watchdog warning investors of allegedly bad publicly traded companies. But things may not be what they seem.

Analysts are looking at a correlation between StockPatrol’s negative reporting and waves of short-selling. What they find interesting is that there seems to be a certain pattern.

This is how the short-selling scam is suspected to work.

Selling often starts shortly before StockPatrol puts out its negative report – while a company’s stock price is still high. This brings an amount of money into the sellers’ accounts.

When StockPatrol releases its negative report, it initiates a downward momentum. The short-sellers continue to sell, reinforcing the downward trend and in the process bring in additional money.

As the panicked shareholders of the affected company try to get out of the declining stock, the stock tumbles, at which point the short-sellers quietly start buying the necessary amount of stock back to cover their short positions at a fraction of their original price.

The difference they keep as their profit. Obviously, the affected company, its management and shareholders don’t benefit from this. They are the losers.

The money the short-sellers can make on the backs of small company investors must be significant, considering that StockPatrol deals in low priced stocks where even small changes in price represent a large percentage change. Further, StockPatrol has to be aware that through its negative reporting it is actually sabotaging small company prospects, thus removing risk from shorting those companies.

An ingenious modus operandi – assured money making mechanism that is virtually risk-less.

Operating out of his multi-million dollar five bedroom apartment in midtown Manhattan with one bedroom dedicated to the StockPatrol, its sole operator, Mr. Hartley Bernstein receives no compensation for his work and dedicates his time and own money purely for the social cause of being a self-appointed watchdog of the securities markets.

StockPatrol states that its mission is to inquire, investigate, research and report on interesting, odd and unusual developments in the securities markets.

Upon closer look however, StockPatrol’s reports amount to clever derogatory innuendoes by Mr. Bernstein. He gives them a particular kind of spin. But these aren’t simply inconsequential private opinions. Mr. Bernstein has built a following and, when he makes an innuendo to bash a company, he knows it is bound to produce a negative market response.
StockPatrol does a lot of reporting. But it appears that Mr. Bernstein has never bothered to substantiate his innuendoes and has never contacted the firms he attacks. In fact, when one brave company challenged him for a public debate he simply disappeared.

Obviously, Mr. Bernstein wouldn’t be shorting himself. Shorting would have to be done through untraceable off-shore accounts and by remote parties without a direct connection to him.

But there must be one connection. Short-sellers somehow happen to know ahead of time on which companies StockPatrol is going to issue its reports. Is it a mere coincidence, or is there a friendly leak at StockPatrol?

Ingenious as it may be, shorting small cap stocks is not only wrong it is actually illegal, especially on a downward trend!

As it turns out, Mr. Bernstein actually has a background in securities scheming, deceit and lying – even perjuring himself in Court. He is no stranger to law breaking.

Mr. Hartley Bernstein is a disbarred New York attorney. He is also a convicted felon. Mr. Bernstein was found guilty of stock fraud and perjury at the U.S. District Court in New York. If you want to spend $25 you can download the indictment and conviction details.

As in organized crime cases, in this case the government used Mr. Bernstein as one of the key figures to convict the others. In exchange for his testimony against his buddies in crime, Mr. Bernstein bargained for himself a lighter sentence.

Mr. Bernstein apparently claims that he is reformed now. Notwithstanding, his background must be considered. According to a New York Times article a few years ago on Mr. Bernstein’s past, some regulators are skeptical and believe that recidivism with this type of crime is standard.

It does look odd that Mr. Bernstein is running StockPatrol – it’s like having a convicted bank robber manage a bank or having and ex child molester work in an elementary school.

Mr. Bernstein has the audacity to make up unsubstantiated innuendoes giving them his typical spin that portrays business people building companies as being somehow crooked. In reality, the crooks by enlarge come from the securities industry victimizing companies for their ends.

At a minimum, Mr. Bernstein, as well as the regulators who permit him to go on, must realize that they are responsible for effectively depressing the stock of the small companies that Mr. Bernstein denigrates through his innuendo reporting.

Don’t these small firms deserve government protection against such attacks by a convicted felon?

While there inevitably must be bad apples among small cap companies, as there are among large companies, it does not appear that the majority of the firms that Mr. Bernstein attacks have done anything wrong.

If there is any wrongdoing by the companies that Mr. Bernstein has been allowed to slander, then regulators should charge those companies. But that is not the case.

A question has to be asked, are regulators looking the other way when it comes to wrongdoing by Mr. Bernstein? If so, what is the rationale? The word on the Street is that certain regulators value Mr. Bernstein and have allowed him to carry on with his innuendo reporting “for prophylactic reasons” to keep small companies in check, so to speak.

If there is truth to this, this would bring into question the regulators’ ethics and wisdom.

What is happening is that Mr. Bernstein, acting as a quasi-governmental representative, is harming legitimate small business, undermining capital formation at the grassroots level and affecting the integrity of the small cap market. He should be investigated.

Understandably, for the regulators securing actionable evidence against someone skillful like Mr. Bernstein may not be so easy the second time around and he may represent an embarrassment. There may be however grounds for civil action by the affected companies.

Investors and executives of affected companies have been wondering for some time now whether Mr. Bernstein is just an overzealous man who acts for no other reason but to selflessly protect the investing public’s interests, or if there is a more practical side to this – Whether there is basis to suspicions that StockPatrol and its related outlets ( Stock Watchdog, Radar’s Doghouse, Stock or Schlock, The Radar Screen, Buyer Be Weary, Know Your Broker, Regulations on Patrol ) are a front for one of the biggest short-selling scams in the small cap market.

What is even more disconcerting is that everybody is afraid to talk about Mr. Bernstein out of fear of retaliation. Even news reporters are shy to explore legitimate concerns regarding Mr. Bernstein.









http://www.thesanitycheck.com/BobsSanityCheckBlog/tabid/56/EntryID/572/Default.aspx


A Tale Of Two Justice Systems - Or Why I Stopped Worrying And Learned To Love Kleptocracy
Location: Blogs Bob O'Brien's Sanity Check Blog
Posted by: bobo 2/14/2007 8:30 AM
Yet another blow has been dealt against any quaint notions of fair play or honesty in the markets.

What do I mean?

Well, today the SEC announced that it has dropped its investigation into Gradient Analytics, the research firm accused by a number of companies (most of which are still on the Reg SHO list, for years) of participating in a scheme to damage companies targeted by a cabal of short sellers.

This shut-down of the "investigation" should surprise no one.

Why? Well, this is the same SEC accused by the Senate Judiciary's two most aggressive members of either being grossly incompetent, or participating in a cover-up, and obstructing justice. Not years ago, but weeks ago, in oral statements, and in a preliminary report that would have been impeachment material only recently. This, after the Judiciary Committee's research into the SEC's unbelievable handling of the Pequot insider trading "investigation" and subsequent elimination of the lead investigator, and ensuing cover-up, painted a picture of an agency dangerously out of control.

This would be the same SEC which chose in its wisdom not to take the testimony of the critical witness in that case until after the statute of limitations had run out. Which decided to fire its chief investigator in that case rather than allow him to investigate a Wall Street icon. Which predictably found no evidence of insider trading in a case with 18 separate referrals from SROs indicating unmistakably suspicious activity. The SEC which apparently was able to ignore Senator Specter's hearing on insider trading and its insidious and pervasive impact on our public markets (which received ZERO coverage by the NY financial press...) - that darned SEC just can't figure out who is doing all that insider trading, but God help you if you are an investigator staring at the only guy wearing a bull's-eye...

So why would it surprise anyone that the same SEC that issued subpoenas to journalists allegedly involved in the manipulation scheme would drop its investigation? And why would it surprise anyone that the same media personalities named in the subpoenas would be trumpeting the SEC walking off the field?

That would be the same SEC that quashed the subpoenas moments after they were issued, and basically refused to gather the evidence that would implicate or clear the journalists. That took days of eyewitness testimony and apparently decided that the allegations of systematic, collusive, and pre-meditated manipulation didn't merit serious consideration.

The same SEC that fired Aguirre when he took steps to box in the person he placed as the likely insider trader - effectively removing the only impartial investigator in the Pequot case, which was then whitewashed and dropped in the same manner as the Gradient case. The same SEC whose San Francisco head of investigations, who cleared and issued the subpoenas to the journalists in the Gradient case, suddenly received a dream job offer for huge money and indeterminate duties (mere days after issuing the subpoenas), out of the blue, from an investigation firm implicated as connected to the miscreants - effectively removing the driving force in the Gradient investigation.

The same SEC who, when "investigating" the Aguirre firing matter, examined exactly none of the evidence collected by the man, and took no testimony from anyone but those involved in firing him, and which was then publicly humiliated and chastised when its own personnel contradicted its official position that there was no there there in Aguirre's charges of cover-up.

We know all these things. They are all verifiable. The same reporters who were subpoenaed studiously avoided reporting ANY of it, but we know about it due to coverage of the hearings, and a few non-NY reporters.

Cramer wiped his bottom with his subpoena. He understood at the time that it was a farce, and that big Wall Street interests would remove the irritation of the SEC bothering Wall Street's chosen few. Few of us watched that display and didn't understand the implications. One would have to be blind not to.

So, what do you do when your cops are proved absolutely corrupt, and in the pocket of the miscreants they are chartered with policing?

Well, I suppose if you are a complicit financial journalist, you NEVER report any of the stories wherein the SEC is shown to be corrupt, or the naked shorting problem is shown to be a deci, if not centi, billion dollar problem, and instead, hear no evil and see no evil - remember, your readers are idiots, and they will only remember whatever you state is the truth of the day.

That is a good start. A safe position. Just pretend not to know anything that threatens your position that all is well, and act only guided by your own self-interest.

If you are an SEC official, you continue to twist the truth, mislead Congress, and do your best work to run interference for Wall Street.

If you are a miscreant, you smile as folks rail at the gross injustice of companies on the SHO list for over two years, or massive and obvious ongoing manipulation, and you just keep on looting the financial system. After all, nobody said life was fair. Somebody has to steal everything that isn't bolted down. If not you, someone else.

As an aside, the miscreants always believe they are the smartest guys in the room, from what I can tell, which ignores that if you are a criminal, engaging in criminal behavior, whose edge consists of buying the authorities and robbing investors blind, you don't have to be very smart at all. Not even very subtle. You just have to own the cops, and be able to keep suckering in new rubes to rob - which the average Times Square 3-card Monty huckster can do nicely. It really doesn't require intellect as much as it does connections and a larcenous streak as wide as the Hudson.

So what does one do now? Well, clearly expecting the SEC to do anything that runs counter to the interests of the miscreants is silly. I would argue for decades they have been nothing more than a private police force for the Wall Street mob. When Milken was eating entrenched Wall Street's lunch, a series of blind tips mysteriously came about, and, gasp, imagine, he was involved in stock parking, insider trading, etc. etc. etc. A suddenly galvanized and motivated NY DA, and SEC staff chomping at the bit, sprang into action. Things that everyone knew were ubiquitous practice on Wall Street, just as insider trading and bear raids are understood to be ubiquitous today, suddenly became a big focus. And yet the only guy they could nail was the one taking the big IB money away from the entrenched power houses.

How convenient for Wall Street, and inconvenient for the new upstart. Was he a bad man doing bad things? Sure. Any worse than any of his peers? Arguably not. Arguably just part of the status quo. Same miscreants ruining the markets today, but much more monolithically, and thus far less chance of a rogue upstart coming in and taking one's established book of business. Much tidier for everyone.

When we see any enforcement actions these days, it is always fringe players. We never see the obvious investigated. We never see the SEC ask, "Why has this handful of companies, all targeted by the same cartel of miscreants, all the beneficiaries of "research reports" by the same "research groups", all negatively mentioned by the same dozen reporters, all been on the SHO list of companies with a large naked shorting problem, EVER SINCE THE GD LIST CAME OUT?"

Nope. Tut tut. None of that.

If only there was a sign....

No, instead we have investigators removed by hook or crook, evidence ignored, and even in the face of Congressional accusations of colossal and endemic corruption, business as usual at the SEC.

Why not? It pays great. Nobody ever does anything to stop it. The rubes keep lining up to hand over their money.

It's a great gig, just as being in charge of the black market in most of the rest of the world is a great gig. One owns the authorities, makes a fortune at the expense of any productive members of society, endangers whole systems of creativity and enlightenment in exchange for immediate illicit gratification, and does so with impunity, fearing only opposing warlords, or competitors with more "juice."

Sound familiar?