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Investor Chat Rooms

Stock fraudsters use investment forums such as IHub to pump stocks. One prolific poster, mm107, since barred but now posting under a different alias, actually advertised for "Posters For Internet Forum, to keep the buzz and convo going..I have specific Boards i need monitored.Offering 3-5$ per hour, depending on quality of work.".

no more madoffs
Will it Recur?

Everyone knows that Bernie Madoff stole billions of dollars from a lot of very smart people. The SEC was warned repeatedly about Madoff but did nothing.Read the story here. Has the SEC reformed itself? Don't be passive, fight evil!

Stock Parking
a la Ivan Boesky

One of the constants in penny scams is that the promoters need to have a bucketload of cheap stock to sell to the unsuspecting. And critically, they never disclose that they have these shares all neat and tidy in their little "box." The old-timers in the penny business call this a "box job" but its done over and over. Here is an elaborate scheme uncovered..If its convertible preferred or debt which they turn into free trading paper, like Pharoah's magicians turned their staffs into serpents, the public is never told who exactly owns all that convertible paper and that its all controlled by the promotion group. The debt or preferred is converted a little at a time and sold into the market. Then another little bit is converted and sold. Until there is no more buying and the thing collapses.

Beware Bogus PR
Past is Prologue

If you have a Pubco with $5,000 in the bank and no record of sales, ever, how likely is it going to grow to $10 million in sales in one year? Not very likely. And then, were the claims made in the press release even referred to in the quarterly or annual filings? Go back in their reporting history. Its a common sign that the PR is running the show and not the facts.