Replies to post #1710 on Grifco Inc (GFCI)

[10 bagger]

Your interpertation ..
It is correct but they must refer to justice to adjudicate... In the meanwhile the company trades as long as it files ect.. If you remember while MCI was going down the tubes and every one was under inditement it traded until bankrupt on the NYSE and always traded after that OTC.. Enron trades to this day OTC..As long as there is a market it may trade.. If it becomes an obvious adjucated scam and does not file then the SEC will suspend.. In the case of MCI and Enron all the news was out and any one could make an investment decision on it.. So it still trades.. If a company has had all it's assets stolen the SEC will suspend for a specific period of time for the news to get out but once the news is out they will let it trade as long as there is a market maker willing to fill out a 15C-211 form.. Remember fraud must be proved before the SEC can step in.. A whistle blower to the SEC needs proof that will stand up in court before they will get thier attention.. Now if a promoter sells stock as an insider ahead of news thats an SEC inforcable item as in the case of Martha.. Inside information will get you in more trouble than cooking the books because you broke a SEC rule that it inforces itself,, but still the SEC must refer this to Justice...A company may have the same SEC problems if a third party makes an announcement that is wildly dessiminated and the stock reacts with out any comment from the company.. The same if forward guidence is outragous and insiders profit but any other than an insider that traded on that information is in the clear as long as the were not the second person in the chain from the source...hank

[Dr Bill]

jtomm

there are two issues, one being that the SEC won't go after anyone that didn't file something omissive, or commissive in their 10 filings. In the case of Grifco, the PRs all have that nice "forward looking" statement at the bottom in the fine print, and they cannot chase down executives for things that "investors thought they heard on the telephone".

the second issue is that "investors" always have the options of a shareholder class action lawsuit. If you can remember one that has been successful please let me know. I know of one or two, in the last 10 years. If you can remember one that came from the pink sheets without SEC filings to back it up you get a gold star, because I don't think there ever has been one.

IMO this is why Jim plays fast and loose with his telephone conversations and forward looking statements but very very close to the vest with actual facts.

WE'RE GOING TO BE ON AL HAIG TELEVISION SHOW

BIG ORDER FROM VENEZUELA COMING

20 CENTS A SHARE ON 20 MILLION IN REVENUE COMING UP

BIG ORDERS COMING FROM CHINA

THE GO AHEAD TO PROCEED IN LIBYA!

100 JET MOTORS AT 2 MILLION PER MONTH FOR EACH 50, EXPECTED SOON!!!

We have shipped and installed three jet motors so far.


All things that have been on PR's.

Have you seen follow up on jet motor, venezuela, china, libya, revenue for the last 7 quarters, shares outstanding in print, anything from the transfer agent to verify what you "think you heard on the telephone"?

I didn't think so.