(Late post) Arrests of several people involved with spam promoter StockCastle

This post is late — the arrests came almost two months ago. This is a very complicated case with many people in many countries.

I have written previously about the spam promoter ‘StockCastle’ (one of their first domains was StockCastle.com but they used dozens of other names). During their prime, StockCastle moved stocks and brought good volume. I have not received any promotional emails from any of their websites since early 2014. In fact, their two most recent stock promotions ended with the SEC suspending trading in the stocks. Nevada Gold Corp (NVGC) was suspended on November 27, 2013. StockCastle’s next pump was Imogo Mobile Technologies (IMTC) in February 2014. On February 19th, 2014 the SEC suspended trading in IMTC.

Below are links to a bunch of stories about the arrests and the SEC case:

SEC press release about civil charges against Gery Shalon, Joshua Aaron, and Ziv Orenstein
SEC complaint (PDF)
Criminal complaint (PDF) against Gery Shalon, Joshua Aaron, and Ziv Orenstein

Interestingly, neither NVGC nor IMTC was mentioned in the SEC’s complaint, despite both having been suspended by the SEC.

New York Times Dealbook: 4 Arrested in schemes said to be tied to JP Morgan breach
Reuters: Israelis sought in U.S. securities fraud remanded until Aug. 10
Jerusalem Post: Two Israelis facing extradition to US for ‘pump and dump’ scam ordered kept in custody
Bloomberg: Digital Misfits Link JPMorgan Hack to Pump-and-Dump Fraud
Nodummy review of StockCastle pumps mentioned in litigation (and follow-up post)

 

Disclaimer: I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

 

Calissio Resources $CRGP Sued by clearing firm Cor for running dividend scam

The type of microcap manipulation / fraud I most commonly blog about is the stock promotion, where someone is paid by insiders to promote an essentially worthless stock to naive investors. This is the most obvious kind of scam and perhaps the most prevalent but it is far from the only scam being run on OTC stock investors and traders. There is of course the debt-dilution scam, where insiders in the company conspire with death-spiral financiers that get the stock at a discount and then sell, driving the price inevitably downward. A recent SeekingAlpha article highlighted ten companies with linked insiders and lenders allegedly running this kind of scam. Of course, even if the insiders aren’t conspiring with death spiral lenders, such financing always drives the stock downward. A few months ago Zeke Faux of Bloomberg had a good article on Josh Saison, a major death spiral financier.

A much less common OTC scam is the fake dividend scam, where a penny stock company without significant assets or with assets of questionable value announces a large cash dividend. Normally, the dividend is just a way to pump the stock up so insiders can dump shares. But it appears that Calissio Resources (CRGP) has improved on that scam by finding away to pay itself real money by manipulating the dividend clearing/payment system, or at least that is what is alleged by COR clearing in a lawsuit against the company. Omaha.com has a good synopsis of the lawsuit and what has happened. FINRA ended up halting trading in CRGP on August 27th (without every explaining why) and the stock only just resumed trading today (on the grey market), down 86%.

One well-respected microcap fraud researcher noticed many similarities among CRGP and past dividend scams SRGE and SAEI and he speculated on who was ultimately behind them. The only thing that is completely certain about CRGP is that anyone who bought the stock because of the dividend news lost a lot of money if they didn’t sell prior to the halt. That is the usual outcome in penny stocks. For an in-depth look at the CRGP dividend, see Brenda Hamilton’s blog.

crgp

 

Disclaimer: I have no position in CRGP. I am currently a client of COR Clearing (through Speedtrader) although I am likely to soon close my account there.  I subscribe to PromotionStockSecrets.com, of which nodummy is a part-owner/manager. I have no relationship with any other parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

 

Avra Inc. $AVRN Pumped by WhatsApp spam

The SEC has been cracking down on email stock promoters over the last few years and there are only a couple effective email stock promoters left. Part of the problem is that using email to pump leaves lots of traces — to avoid spam filters the promoters need to use email services (like iContact) that will keep records of their names and payment information. If the SEC or DoJ investigates manipulation in a stock or illegal selling of unregistered shares it is relatively easy to locate the promoters. Spam promotions have worked in the past but it is very hard to beat modern spam filters (and of course spamming is treated as a more serious crime than stock manipulation).

Some intrepid promoters figured that the best way to avoid those problems of email is to just avoid it and instead use a messenger program, in this case WhatsApp. Many people were spammed with messages promoting Avra Inc (AVRA) this morning. What followed was a quick spike and massive dump. Expect more such WhatsApp spam promotions in the future.

Below are some screenshots of the WhatsApp spam messages shared on Twitter:

 

 

 

avrn
Below is the intraday 1-minute chart of AVRN

avrn_chart

Disclaimer: I have no position in AVRN although if it spikes again I will likely short it.  I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

ElitePennyStock Paints target on its back: Best stock promoter out there

Disclosure: I’m short ElitePennyStock’s current promotion, AREN. See details at bottom.

In a world in which ever more promoters and manipulators have not just been sued by the SEC but sent to prison by US Department of Justice it is a dangerous thing to be known as the best stock promoter. But with Stocktips.com having spectacularly failed in their most recent pump (of Coastal Integrated Services, COLV), ElitePennyStock is now in my opinion the best promoter out there. As detailed in a blog post by Tim Grittani (use code NEXT100 to save on his DVD), ElitePennyStock (and I use this name to refer to the people that run all the related websites) has ties to AwesomePennyStocks. See also the Promotion Stock Secrets research report on ElitePennyStock.

The two most recent ElitePennyStock pumps were American Leisure Holdings (AMLH) in January and February, and Media Analytics (MEDA) in December 2014 and January 2015. The AMLH pump lasted for 19 days prior to the big drop in price (note that the promotion continued through February 17. The MEDA pump lasted for 10 days prior to the precipitous drop (the last pump emails I received for MEDA came on December 19th).

amlh

meda

So far the AREN (America Resources Exploration Inc) promotion is on day 17. I believe it very likely that the end of this pump is quite near. See the Promotion Stock Secrets report on AREN if you care to learn the details on the insiders in the company and how it was set up to be a promotion.

aren

Interestingly, AREN filed a form 12b-25 with the SEC just before the market close today, indicating that they will not be able to file their quarterly report on time. I wonder if that may be another indication that the pump will soon be over.

 

Compensation: [different in emails from the different websites]
Promoter:  ElitePennyStock
Paying party: Intraday Holdings Ltd
Shares outstanding: 129,400,000
Previous closing price: $0.861
Market capitalization: $111 million

 

A Few miscellaneous notes

Penny stock gadfly and one-time stock promoter George Sharp threatened AREN with a lawsuit but never followed through.

goniffs

I cannot vouch for their reporting skill / reliability, but The OTC Today reported that FINRA had asked clearing firms Alpine and ETC to voluntarily restrict the sales of large blocks of AREN stock.

One of the ElitePennyStock websites has a nice little video promoting AREN here. ElitePennyStock is following the lead of StockTips by inventing a fake person to be the promoter, in this case, Keith Richie.

 

Disclaimer: I am currently short 5200 shares of AREN. I may cover those shares or short more in the days following the publication of this post. I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

Black Stallion Oil & Gas $BLKG Promoted via online landing page

Over the last week Black Stallion Oil & Gas (BLKG) stock has gone from $1.70 to a high of $2.39 on modest (but increasing) volume. It has been promoted by emails from WallStreetReport.org, which also has a promotional video on their website and a positive report (PDF) on the stock. (I should add that they fail to disclose their compensation in that PDF report). See also the page you go to after leaving the video. Considering the relatively low-budget promotion and the large market cap I think it highly likely that BLKG will drop a lot in the next few days or weeks.

blkg

Disclosed budget: $50,000
Promoter:  WallStreetReport.org / Herwick Ltd
Paying party: Pansino Investments Ltd
Shares outstanding: 43,872,000
Previous closing price: $2.17
Market capitalization: $95 million

blkg

Excerpt from disclaimer:

WallStreetReport.org is operated by Herwick Ltd. (HL). … . HL expects to receive $50,000 (FIFITY THOUSAND DOLLARS) as a marketing budget for production and distribution of BLKG marketing material from an unaffiliated 3rd party, Pansino Investment Ltd. HL will manage this budget for production and distribution of any marketing materials for BLKG and intends to keep the difference between the budget received and production costs as compensation.

Full disclaimer (from landing page):

DISCLAIMER: This report is for informational purposes only, and does not represent a solicitation to buy or sell the profiled company’s securities, which trade under the symbol BLKG, nor any other securities. WallStreetReport.org is operated by Herwick Ltd. (HL). Neither HL nor its employees are certified financial analysts or licensed in the securities industry in any manner. The information in this marketing piece and any accompanying information is subjective opinion and may not be complete, accurate or current and was paid for directly or indirectly by shareholders of the profiled company who may or will profit as a result of the preparation, publication and distribution of this marketing piece and accompanying information. HL expects to receive $50,000 (FIFITY THOUSAND DOLLARS) as a marketing budget for production and distribution of BLKG marketing material from an unaffiliated 3rd party, Pansino Investment Ltd. HL will manage this budget for production and distribution of any marketing materials for BLKG and intends to keep the difference between the budget received and production costs as compensation. HL also expects to garner new subscribers as part of its efforts. This marketing piece contains forward-looking statements that involve risks and uncertainties. This marketing piece contains or incorporates by reference forward-looking statements, including certain information with respect to plans and strategies of the featured Company. As such, any statements contained herein or incorporated herein by reference that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, the words “believe(s)” “anticipate(s)”, “plan(s)” “expect(s)” “project(s)” “will” “make” “told” and similar expressions are intended to identify forward-looking statements. There are a number of important factors that could cause actual events or actual results of the Company to differ materially from these indicated by such forward-looking statements. Certain statements contained herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and 21E of the Exchange Act of 1934. Such statements include, without limitation, statements regarding business, financing, business trends, future operating revenues and expenses. There can be no assurance that such expectations will prove to be correct. Investors are cautioned that any forward-looking statements ma de by the Company, or contained in this Report are not guarantees of future performance, and that the Issuer’s actual results may differ materially from those set forth in the forward-looking statements. Difference in results can be caused by various factors including, but not limited to, the Company’s ability to be able to successfully complete planned funding agreements, to successfully market its products in competitive industries or to effectively implement its business plan or strategies. To reiterate, information presented in this Report contains “forward-looking statements”. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions, or future events or performance are not statements of historical fact and may be “forward-looking statements.” Forward-looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward-looking statements in this Report may be identified through the use of words such as “expects,” “will,” “anticipates,” “estimates,” “believes,” “may,” or by statements indicating certain actions “may,” “could,” or “might” occur. More information on the Company may be found at http://www.sec.gov; readers can review all public filings by the Company at the SEC’s EDGAR page. Chris Porter is a fictional name. The actor writing and performing under this name was compensated solely on a contract basis for participating in this campaign, therefore is not an employee of either Herwick Ltd, Pansino Investment Ltd. or a shareholder in any of the securities mentioned in this video.

 

PDF copy of landing page

Disclaimer: I have no position in BLKG although I am looking to short it. I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

Ecosciences Inc $ECEZ Online landing page pump

Ecociences (ECEZ) has received another round of promotion since the beginning of this week with an online landing page pump. You can see the promotion page at http://ecezreport.com/index.html. Those with good memories will remember that I blogged about this pump back at the beginning of June and since that time the compensation disclosed has not increased.

ecez_screenshot

Disclosed budget:
Promoter:  Wall Street Revelator / Andy Carpenter
Paying party:  ???
Shares outstanding: 101,751,500
Previous closing price: $0.482
Market capitalization: $49 million

 

Excerpt from disclaimer:

The advertiser anticipates managing a total production budget of $350,000 for this online advertising effort and will retain any amounts over and above the cost of production, copywriting services, mailing and other distribution expenses, as a fee for its services. The Wall Street Revelator and/or its publisher, Andrew Carpenter has received a total amount of eleven thousand six hundred and twenty five dollars in cash compensation to assist in the writing of this Advertisement, as well as potential future subscription and advertising revenues, the amount of which is not known at this time with respect to the publication of this Advertisement and future publications.

Full disclaimer:

MPORTANT NOTICE AND DISCLAIMER: This sponsored advertising of Eco Sciences Inc. does not purport to provide an analysis of any company’s financial position, operations or prospects and this is not to be construed as a recommendation, or an offer or solicitation to buy or sell any security. The “Company” featured in this issue, appears as paid advertising, paid by a third party to provide public awareness for ECEZ. This Report has used outside research and writers using public information to create this advertisement. The third party owns no shares of ECEZ. Although the information contained in this advertisement is believed to be reliable, there can be no warranties as to the accuracy of any of the content herein and the publishers accept no liability for how readers may choose to utilize the content. Readers should perform their own due-diligence, including consulting with a licensed, qualified investment professional or analyst. Further, readers are strongly urged to independently verify all statements made in this advertisement and perform extensive due diligence on this or any other advertised company. The publishers are not offering securities for sale. An offer to buy or sell can be made only with accompanying disclosure documents and only in the states and provinces for which they are approved. Many states have established rules requiring the approval of a security by a state security administrator. Check with http://www.nasaa.org or call your state security administrator to determine whether a particular security is licensed for sale in your state. Many companies have information filed with state securities regulators and many will supply investors with additional information on request. The advertiser anticipates managing a total production budget of $350,000 for this online advertising effort and will retain any amounts over and above the cost of production, copywriting services, mailing and other distribution expenses, as a fee for its services. The Wall Street Revelator and/or its publisher, Andrew Carpenter has received a total amount of eleven thousand six hundred and twenty five dollars in cash compensation to assist in the writing of this Advertisement, as well as potential future subscription and advertising revenues, the amount of which is not known at this time with respect to the publication of this Advertisement and future publications. Andrew Carpenter has never owned, and never will own, shares, options or warrants in ECEZ. Further, specific financial information, filings, and disclosures as well as general investor information about publicly traded companies like ECEZ, advice to investors and other investor resources are available at the Securities and Exchanges Commission website www.sec.gov and www.nasd.com. Any investment should be made only after consulting with a qualified investment advisor and after reviewing the publicly available financial statements of and any other information about the company and verifying that the investment is appropriate and suitable. Investing in securities is highly speculative and carries a great deal of risk especially as to new companies with limited operations and no history of earnings. The information contained herein contains forward-looking information within the meaning of section 27a of the Securities Act of 1993, as amended, and section 21e of the Securities Exchange Act of 1934, as amended, including statements regarding expected growth of the featured company. In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act, statements contained herein that look forward in time, which include everything other than historical information, involve risks and uncertainties that may affect the Company’s actual results of operations. Forward-looking statements are based upon expectations, estimates and projections at the time the statements are made and involve risks and uncertainties that could cause actual events to differ materially from those anticipated. Forward-looking statements may be identified through the use of words such as expects, will, anticipates, estimates, believes, or by statements indicating certain actions may, could, should, or might occur. Any statements that express or involve predictions, expectations, beliefs, plans, projections, objectives, goals or future events or performance may be forward-looking statements. In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the publisher notes that statements contained herein that look forward in time, which include other than historical information, involve risks and uncertainties that may affect the company’s actual results of operations. Factors that could cause actual results to differ include, but are not limited to, the size and growth of the market for the company’s products and services, regulatory approvals, the company’s ability to fund its capital requirements in the near term and the long term, pricing pressures and other risks detailed in the company’s reports filed with the Securities and Exchange Commission.

 

ecez

 

PDF copy of landing page

 

Disclaimer: I am short ECEZ and intend to hold my short although it is likely I will be forced to cover some of my short in the next few days. I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

SEC Sues promoter of and ex-CEO of former mailer pump Norstra Energy $NORX

Two years ago, Norstra Energy (NORX) was a postal mailer stock promotion. Approximately three months after the start of the promotion, trading in the stock was suspended by the SEC. Since then the stock has slowly but inexorably declined.norx

Yesterday the SEC sued Glen Landry, the former CEO of the company, and Eric Dany, the promoter of the stock two years ago.

See the complaint (pdf)

A few choice excerpts from the complaint:

1. From March 2013 to the present, Landry, the President and CEO ofNorstra, has made numerous materially false and misleading statements about Norstra’s oil reserves, drilling plans, and business prospects. These statements, for which Landry was solely responsible, appeared in numerous Norstra press releases and on its website, as well as in Commission filings
that Landry signed.

2. From April through June 2013, Dany, a stock-picking newsletter writer, made
materially false and misleading statements of his own about Norstra’s projected business prospects in spam e-mails and hard-copy mailers he was paid to endorse. Those materials touted Dany’s enthusiastic predictions ofNorstra’s business prospects that were both objectively and subjectively false.

Regarding Landry:

22. The Geologist never intended for his Reserve Report to be publicly disseminated or issued to anyone other than trained geologists; he had accepted Landry’s limited assignment to perform what Landry called “some rough calculations” ofOOIP.

23. Landry knew, or was reckless in not knowing, that the Reserve Report’s estimate of OOIP, as well as the amount of oil actually recoverable, depended on the existence of the favorable geological conditions that were unknowable until Landry and Norstra started to drill, but which the Geologist had assumed would be favorable to Norstra in making his estimates.
24. When the Geologist became aware that Landry and Norstra had disseminated his report to the general public, he revised the report to include disclaimers explaining the variables that had not been factored into his estimates and the difference between OOIP and recoverable reserve estimates. He attached the updated report to an email that he sent Landry on August 9,
2013 and asked that Landry replace the earlier report with this revised one. Landry did not respond to the email, and as of July 2, 2014, the original report was still displayed on Norstra’s website.

Regarding Dany:

46. In the Promotional Materials, Dany made three materially false and misleading claims. First, both theE-Mailer and the Mailer proclaim that “Norstra Energy could be sitting on top of as much as 8.5 billion barrels of oil!” That claim was baseless and was not one that Dany actually believed. In describing how he arrived at the 8.5 billion number, Dany has claimed that he used a complicated mathematical formula that relied on two undisclosed assumptions, neither of which had a basis in fact. First, he assumed that Norstra’s own estimated oil reserves per section should be increased by 300 per cent. And second, he assumed that Norstra’s intentions to acquire 10 times the acreage that it currently held would be realized.
47. In any event, neither undisclosed assumption supported Dany’s claim that
Norstra’s currently-owned “10,097 acres could hold as much a [sic] 8.5 billion barrels of original oil in place.” Because, by his own admission, Dany’s 8.5 billion estimate relied on Norstra’s acquisition of additional acreage it did not yet own, Dany could not have believed that its current acreage held that much.

Disclaimer: I have no position in NORX. I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

 

 

 

 

EMS Find $EMSF promoted via mailer

Get in soon before it is too late! EMS Find Inc (EMSF) is the Uber of ambulances! Ha! Of course it isn’t. It is just a worthless shell being manipulated in a pump and dump. Read more about the company at Promotion Stock Secrets. There is an online landing page at http://emsfreport.com/ and people have been receiving postal mailers since last week. Below is a photo of the front cover of the mailer (from this tweet):emsf_cover

Disclosed budget: $1,200,000
Promoter:  The Moskowitz Report / Charles Moskowitz / Tabius Sway Media Inc
Paying party:  Chesh Medial Ltd.
Shares outstanding: 28,334,535
Previous closing price: $2.34
Market capitalization: $66 million

 

Excerpt from disclaimer (from mailer):

TABIUS SWAY MEDIA INC. HAS PAID ONE MILLION AND TWO HUNDRED THOUSAND DOLLARS FOR THE DISSEMINATION OF THIS INFORMATION TO ENHANCE PUBLIC AWARENESS OF EMSF

Excerpt from disclaimer (from online landing page):

TABIUS SWAY MEDIA INC. PAID ALL OF THE COSTS ASSOCIATED WITH CREATING, PRINTING AND DISTRIBUTION OF THIS ADVERTISEMENT. CHESH MEDIA LTD HAS PAID EIGHTY THOUSAND DOLLARS FOR THE DISSEMINATION OF THIS INFORMATION TO ENHANCE PUBLIC AWARENESS OF EMSF.

Full disclaimer (from online landing page):

IMPORTANT NOTICE AND DISCLAIMER: THIS STOCK PROFILE SHOULD BE VIEWED AS A PAID ADVERTISEMENT. THE PUBLISHER, UNDERSTANDS THAT IN AN EFFORT TO ENHANCE PUBLIC AWARENESS OF EMS FIND INC AND ITS SECURITIES THROUGH THE DISTRIBUTION OF THIS ADVERTISEMENT, TABIUS SWAY MEDIA INC. PAID ALL OF THE COSTS ASSOCIATED WITH CREATING, PRINTING AND DISTRIBUTION OF THIS ADVERTISEMENT. CHESH MEDIA LTD HAS PAID EIGHTY THOUSAND DOLLARS FOR THE DISSEMINATION OF THIS INFORMATION TO ENHANCE PUBLIC AWARENESS OF EMSF. IF SUCCESSFUL, THIS ADVERTISEMENT WILL INCREASE INVESTOR AND MARKET AWARENESS, WHICH MAY RESULT IN INCREASED NUMBERS OF SHAREHOLDERS OWNING AND TRADING THE COMMON STOCK OF EMS FIND INC., INCREASED TRADING VOLUMES, AND POSSIBLY INCREASED SHARE PRICE OF THE COMMON STOCK OF EMS FIND INC. THE PUBLISHER HAS NOT UNDERTAKEN TO DETERMINE IF TABIUS SWAY MEDIA INC. IS, OR INTENDS TO BE IN THE FUTURE, DIRECTLY OR INDIRECTLY, A SHAREHOLDER OF EMS FIND INC. THE PUBLISHER MAY RECEIVE REVENUE, THE AMOUNT OF WHICH CANNOT BE DETERMINED TO ANY DEGREE OF CERTAINTY, AS A RESULT OF THIS ADVERTISING EFFORT AND THE ACCOMPANYING SUBSCRIPTION OFFER. THIS PUBLICATION IS NOT, AND SHOULD NOT BE CONSTRUED TO BE, AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY SECURITY. THIS PUBLICATION, ITS PUBLISHER, AND ITS EDITOR DO NOT PURPORT TO PROVIDE A COMPLETE ANALYSIS OF ANY COMPANY’S FINANCIAL POSITION. THE PUBLISHER AND EDITOR ARE NOT, AND DO NOT PURPORT TO BE, BROKER-DEALERS OR REGISTERED INVESTMENT ADVISORS. ANY INVESTMENT SHOULD BE MADE ONLY AFTER CONSULTING A PROFESSIONAL INVESTMENT ADVISOR AND ONLY AFTER REVIEWING THE FINANCIAL STATEMENTS AND OTHER PERTINENT CORPORATE INFORMATION ABOUT THE COMPANY. FURTHER, READERS ARE ADVISED TO READ AND CAREFULLY CONSIDER THE RISK FACTORS IDENTIFIED AND DISCUSSED IN THE ADVERTISED COMPANY’S SEC FILINGS. INVESTING IN SECURITIES, PARTICULARLY MICRO CAP SECURITIES SUCH AS EMS FIND INC., IS SPECULATIVE AND CARRIES A HIGH DEGREE OF RISK. PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THIS PUBLICATION IS BASED EXCLUSIVELY ON INFORMATION GENERALLY AVAILABLE TO THE PUBLIC AND DOES NOT CONTAIN ANY MATERIAL, NON-PUBLIC INFORMATION. THE INFORMATION ON WHICH IT IS BASED IS BELIEVED TO BE RELIABLE. NEVERTHELESS, THE PUBLISHER CANNOT GUARANTEE THE ACCURACY OR COMPLETENESS OF THE INFORMATION. THIS PUBLICATION CONTAINS FORWARD-LOOKING STATEMENTS, INCLUDING STATEMENTS REGARDING EXPECTED CONTINUAL GROWTH OF THE FEATURED COMPANY AND/OR INDUSTRY. THE PUBLISHER NOTES THAT STATEMENTS CONTAINED HEREIN THAT LOOK FORWARD IN TIME, WHICH INCLUDE EVERYTHING OTHER THAN HISTORICAL INFORMATION, INVOLVE RISKS AND UNCERTAINTIES THAT MAY AFFECT THE COMPANY’S ACTUAL RESULTS OF OPERATIONS. FACTORS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER INCLUDE THE SIZE AND GROWTH OF THE MARKET FOR THE COMPANY’S PRODUCTS AND SERVICES, THE ULTIMATE DEGREE OF SUCCESS IN THE COMPANY’S DRILLING EXCURSIONS, THE COMPANY’S ABILITY TO FUND ITS CAPITAL REQUIREMENTS IN THE NEAR TERM AND LONG TERM, PRICING PRESSURES, ETC.

 

Disclaimer from mailer (click to see full size):$EMSF Disclaimer

 

PDF copy of landing page

 

Disclaimer: I have no position in EMSF. I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

 

Connect-a-Jet Scammer convicted for stock fraud, conspiracy

Back in September 2007 as I was first getting into shorting pumps and dumps, there was a huge mailer pump of a company that seemed to have a nice business plan — online booking of private jets. This company, Connect-a-Jet, was a complete sham and every press release put out by the company to coincide with the pump was a lie. I either did not short Connect-a-Jet at all or only shorted in very small size because I was scared of that fact that it was a non-SEC reporting company so I couldn’t be sure if they really had assets. That was foolish and a little investigation would have revealed the company to be a complete scam.

It is nice to see criminal convictions in these cases because prison terms are much more of a deterrent than SEC fines.

Martin Cantu, 58, a Round Rock [Texas] attorney, was convicted of conspiracy to commit securities fraud and securities fraud after a six-day trial.

He faces up to five years in federal prison and a $250,000 fine for conspiracy and 20 years and a $250,000 fine for securities fraud. He will be sentenced on Sept. 9 by U.S. District Judge Ed Kinkeade.

Stock promoter and company founder Jason Wynn, 32, of Lantana, Texas, pleaded guilty to conspiracy on April 30 and is awaiting sentencing.

Courthouse News Article
Dallas Observer article

Disclaimer: I have no position in Connect-a-Jet and no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.

 

For the Record: Ecosciences landing page pump $ECEZ

So far this year no landing page pumps have gotten much volume and they have all done poorly, fading slowly for the most part. That is why I am slow to blog about this landing page pump on Ecosciences (ECEZ). If landing page pumps continue to get little volume I may cease blogging about them. I was first emailed the link to the landing page pump on May 14th at 7:00AM but ECEZ had previously been promoted last November by multiple different email promoters.

price-box

 

Disclosed budget: $350,000
Promoter:  Andrew Carpenter / Wall Street Revelator
Paying party:  Not disclosed
Shares outstanding: 101,751,500
Previous closing price: $0.53
Market capitalization: $53 million

 

Excerpt from disclaimer:

The advertiser anticipates managing a total production budget of $350,000 for this online advertising effort and will retain any amounts over and above the cost of production, copywriting services, mailing and other distribution expenses, as a fee for its services. The Wall Street Revelator and/or its publisher, Andrew Carpenter has received a total amount of eleven thousand six hundred and twenty five dollars in cash compensation to assist in the writing of this Advertisement, as well as potential future subscription and advertising revenues, the amount of which is not known at this time with respect to the publication of this

Full disclaimer:

IMPORTANT NOTICE AND DISCLAIMER: This sponsored advertising of Eco Sciences Inc. does not purport to provide an analysis of any company’s financial position, operations or prospects and this is not to be construed as a recommendation, or an offer or solicitation to buy or sell any security. The “Company” featured in this issue, appears as paid advertising, paid by a third party to provide public awareness for ECEZ. This Report has used outside research and writers using public information to create this advertisement. The third party owns no shares of ECEZ. Although the information contained in this advertisement is believed to be reliable, there can be no warranties as to the accuracy of any of the content herein and the publishers accept no liability for how readers may choose to utilize the content. Readers should perform their own due-diligence, including consulting with a licensed, qualified investment professional or analyst. Further, readers are strongly urged to independently verify all statements made in this advertisement and perform extensive due diligence on this or any other advertised company. The publishers are not offering securities for sale. An offer to buy or sell can be made only with accompanying disclosure documents and only in the states and provinces for which they are approved. Many states have established rules requiring the approval of a security by a state security administrator. Check with http://www.nasaa.org or call your state security administrator to determine whether a particular security is licensed for sale in your state. Many companies have information filed with state securities regulators and many will supply investors with additional information on request. The advertiser anticipates managing a total production budget of $350,000 for this online advertising effort and will retain any amounts over and above the cost of production, copywriting services, mailing and other distribution expenses, as a fee for its services. The Wall Street Revelator and/or its publisher, Andrew Carpenter has received a total amount of eleven thousand six hundred and twenty five dollars in cash compensation to assist in the writing of this Advertisement, as well as potential future subscription and advertising revenues, the amount of which is not known at this time with respect to the publication of this Advertisement and future publications. Andrew Carpenter has never owned, and never will own, shares, options or warrants in ECEZ. Further, specific financial information, filings, and disclosures as well as general investor information about publicly traded companies like ECEZ, advice to investors and other investor resources are available at the Securities and Exchanges Commission website www.sec.gov and www.nasd.com. Any investment should be made only after consulting with a qualified investment advisor and after reviewing the publicly available financial statements of and any other information about the company and verifying that the investment is appropriate and suitable. Investing in securities is highly speculative and carries a great deal of risk especially as to new companies with limited operations and no history of earnings. The information contained herein contains forward-looking information within the meaning of section 27a of the Securities Act of 1993, as amended, and section 21e of the Securities Exchange Act of 1934, as amended, including statements regarding expected growth of the featured company. In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act, statements contained herein that look forward in time, which include everything other than historical information, involve risks and uncertainties that may affect the Company’s actual results of operations. Forward-looking statements are based upon expectations, estimates and projections at the time the statements are made and involve risks and uncertainties that could cause actual events to differ materially from those anticipated. Forward-looking statements may be identified through the use of words such as expects, will, anticipates, estimates, believes, or by statements indicating certain actions may, could, should, or might occur. Any statements that express or involve predictions, expectations, beliefs, plans, projections, objectives, goals or future events or performance may be forward-looking statements. In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the publisher notes that statements contained herein that look forward in time, which include other than historical information, involve risks and uncertainties that may affect the company’s actual results of operations. Factors that could cause actual results to differ include, but are not limited to, the size and growth of the market for the company’s products and services, regulatory approvals, the company’s ability to fund its capital requirements in the near term and the long term, pricing pressures and other risks detailed in the company’s reports filed with the Securities and Exchange Commission.

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Disclaimer: I have no position in ECEZ and will not trade it unless it gets significantly higher volume. I have no relationship with any parties mentioned above. This blog has a terms of use that is incorporated by reference into this post; you can find all my disclaimers and disclosures there as well.