Replies to post #8099 on Longwei Petroleum (fka LPIH)

[Scandle34]

I skimmed it all.

Of course GEO had a huge incentive and I would argue that front running anything like that - pump and dump or short and distort - should be illegal. The company also was caught paying IR's to pump the stock to entice the warrants to convert.

I know China well enough to know that we cannot 100% trust either set of videos. Both sides had the ability and the motive to fudge their videos. Cash is the only evidence and if the company has any they should be using it in a way that proves their story.

They have revenues and GEO of course understated them just as certainly as LPH overstated them.

I do not know their intentions on a tender offer, but since they resumed trading and allowed shareholders to take a huge loss without even addressing such a possibility, it is unlikely they are going that way.

My item 2 was to diffuse the distraction of a class action lawsuit by asserting in advance that GEO is to blame for shareholder losses and not the company.

Of course they could win the lawsuit but history is not on the side of the company's in these cases.

[nefariouswu]

Here's the problem and why I took the loss.

Honestly, it was ELEVEN weeks after halt before they filed this thing. ELEVEN weeks. Can you imagine a reputable company that was telling the truth just sitting there for almost 3 months?! No way man.

My guess is the truth is somewhere in between the company's claims and GEO's claims. I do not anticipate this will ever get back to 50 cents, could see a smaller bounce but who knows.

DEER pulled this same stuff with the lawsuit, never went anywhere at all.