March 24, 2008
We have been trying to warn about this naked short issue for a while now and we really hope something will be done about it. The Dendreon Corporation is a good place to see it and watching Jim Cramer lie about companies to drive down prices is the best place to see it. I wish the SEC never pulled back his subpoena.
Here are some excerpts by him:
"It doesn't take much money to sway the stock market, Jim Cramer said on TheStreet.com TV's Wall Street Confidential video Webcast Friday.
"In fact, when Cramer was short stock during his hedge fund days, meaning he was betting the stocks would fall, he would look to create a level of activity beforehand that could drive the futures lower, he told Aaron Task, the host of Wall Street Confidential.
"It's "vital" for the next six days trading days, after which it's "pay day," to control the market and not let it lift if your fund is short and/or badly trailing the SP 500 year to date, he continued. Therefore, when market players are presented with a stock like Research In Motion (RIMM - Cramer's Take - Stockpickr), 'it's really important to knock it down because it's the fulcrum of the market today.'
"Although he estimated it would take between $15 million to $20 million to knock the stock down, he said it would be "fabulous" to do so because it would beleaguer all the longs who are keying on it. This is what we're seeing now, Cramer said. "When your company is in survival mode, it's important to defeat RIM."
"RIM reported a really good quarter, it's a "terrific story" and the stock probably should be up. But being five days away "from making your quarter, you can't risk having RIM up this much," he said.
"Cramer said Apple is an "ideal short," and said if he were short the stock, he would call six trading desks and say he just got off with his contact at Verizon, who said that the company has no room for Apple."
So if they buy short shares with no intentions of settling them just so they can drive the stock the price down and beleaguer the longs, and tell lies so they can manipulate the market, they hurt plenty of companies and plenty of people's retirement money
See his whole article here:
He has told lies about Dendreon on national television (9/26/05) is a good example and Dendreon was on the RegSho list for many more days than it should have been. His subpoena should have been enforced by the SEC.
On March 29, 2007, Dendreon received good news from an Advisory Panel. Just two weeks later, the short share interest increased by 8 million Who tipped these people off to keep building their short position, especially when there weren't that many outstanding shares available?
Please round up all abusive, illegal, naked short sellers and hold them accountable for not settling their trades.