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Showing posts from May, 2009

Crazy Eddie Movie: Danny Devito's Slobbering Love Affair With Convicted Stock Swindler Eddie Antar

Is Interoil Selling Investors Hope?

Interoil Corp (NYSE: IOC) has no proven oil and gas reserves. They may not have any "commercially viable reserves" at all. However, those facts have not stopped Vice President of Investor Relations at Interoil Corp, Mr. Wayne Andrews from privately hyping that “we’ve got over 3 trillion cubic feet of natural gas, certified by resources by the number one Canadian engineer.” In addition, a report issued by “Canadian engineer” GLJ Petroleum Consultants Ltd contradicts Andrews hype by not certifying any proven reserves and merely calling them “contingent resources” with “no certainty that it will be commercially viable to produce any portion of the contingent resources.”My close friend, convicted felon turned fraud fighter Barry Minkow, co-founder of the Fraud Discovery Institute (FDI), has concluded the first phase of “a several month undercover investigation of Interoil Corp.” Minkow set up a new website called InterNoOil.com to release his findings on the company.According to…

Bidz.com under Siege from Investigations and Lawsuits

Bidz.com (NASDAQ: BIDZ) which is already under investigation by the Securities and Exchange Commission into its inventory accounting practices and is being sued for alleged shill bidding on its web site, is now facing several class action lawsuits alleging securities fraud and a new investigation by the Federal Trade Commission into its email marketing practices.Last week, Barrack, Rodos & Bacine and Sarraf Gentile filed a class action lawsuit alleging securities fraud by Bidz.com and David Zinberg (CEO and President), based on issues raised in reports by short seller Citron Research (details of Citron reports here and here):The complaint alleges that during the Class Period, defendants issued a series of false and misleading statements intended to project the picture of a financially sound and well-operating company, when, in fact, the company was operating with material deficiencies and undisclosed substantial problems that went to the heart of its business model. On November 26…

Overstock.com's First Quarter Financial Performance Aided by GAAP Violations

UpdatedOverstock.com (NASDAQ: OSTK) and its management team led by its CEO and masquerading stock market reformer Patrick Byrne (pictured on right) continued its pattern of false and misleading disclosures and departures from Generally Accepted Accounting Principles (GAAP) in its latest Q1 2009 financial report.In Q1 2009, Overstock.com reported a net loss of $2.1 million compared to $4.7 million in Q1 2008 and claimed an earnings improvement of $2.6 million. However, the company's reported $2.6 reduction in net losses was aided by a violation of GAAP (described in more detail below) that reduced losses by $1.9 million and buybacks of Senior Notes issued in 2004 under false pretenses that reduced losses by another $1.9 million.After the issuance of the Senior Notes in November 2004, Overstock.com has twice restated financial reports for Q1 2003 to Q3 2004 (the accounting periods immediately preceding the issuance of such notes) because of reported accounting errors and material we…