Sunday, September 30, 2012

Chinese Backlash Hits Short Seller

Short selling gets out of control when valid companies become a target for lies, disinformation and fraud. Manipulating information - targeting legitimate companies - to bring down the price of the companies stocks for the short sellers own profit.

A number of prominent technology leaders in China, including current and former executives from Google Inc. and Microsoft Corp., are mounting an offensive against short seller Citron Research as they protest a spate of what they call unfair and inaccurate attacks on U.S.-listed Chinese companies.
Short Sell Attacks on Chinese Companies
Led by Kai-Fu Lee, former head of Google’s operations in the country, a group of more than 60 executives, investors and entrepreneurs signed a letter accusing China-focused short sellers—particularly Citron—of “targeting legitimate companies with either no problems or minimal problems,” manipulating information to write reports that “boldly tell lies, knowing that their American readers have no way of verifying them.” Mr. Lee is one of the most prominent technology executives in China, and currently runs an incubator for technology start-ups called Innovation Works.

In an interview, Mr. Lee said he fears that what he considers baseless allegations by Citron and others will make it “harder and harder for Chinese companies to go public in the U.S., which is neither good for China nor the U.S.”
It is not only the Chinese !!!

On July 23, 2012 Jim Sinclair of outlined a number of exposes of short seller manipulations and the destruction of valid companies so that the speculators could make a few bucks for themselves. [In scientific terms this would be called "colon parasite infestation"].

The Short Sellers
A reasonable assumption of the population of stockholders for the 500 meaningful precious metals companies, from exploration to mid tier production, is 1,500,000 stockholders. Arab Spring came from organizing people of like mind and motivating them to take action using high tech methods. The chat rooms are a start even though they are a major tool of the manipulators via bashing.

Every company out there should have a website set up by the stockholders to meet and organize. If there is not a legitimate stockholder site out there for your company, start one. The name of the site should be the name of the company stockholder forum. There are many tricks to get the stockholder’s site ranked highly on Google and other search engines.
Our Plans:
For every stockholder to complain to the regulators. Time To Get To Work

Fighting The Dirty Tricksters
The short seller, legal and illegal, who manipulate the shares of companies they select, even for high trading volume trading reasons, do so taking cold comfort that civil litigation cannot force regulators to regulate. Most of the targets of these debilitating attacks sit quietly because either they do not know the law, do not have funds to retain the best counsel or fear retaliation if they resist the short in a meaningful way. That retaliation takes the form of what is known in the industry of destruction as dirty tricks. Dirty tricks can be anything from arranging negative write ups about the company under attack to complaining about the company to any regulator or ministry that will listen be that in the country of incorporation or the country of activity. Dirty Tricks
Sun Tzu - The art of war is governed by five constant factors: (1) The Moral Law; (2) Heaven; (3) Earth; (4) The Commander; (5) Method and discipline.

The Moral Law causes the people to be in complete accord with their ruler, so that they will follow him regardless of their lives, undismayed by any danger. Heaven signifies night and day, cold and heat, times and seasons. Earth comprises distances, great and small; danger and security; open ground and narrow passes; the chances of life and death. The Commander stands for the virtues of wisdom, sincerely, benevolence, courage and strictness. By method and discipline are to be understood the marshaling of the army in its proper subdivisions, the graduations of rank among the officers, the maintenance of roads by which supplies may reach the army, and the control of military expenditure. °-)