Digging Deeper
Mark Cuban’s Sharesleuth Takes Business Reporting to Ethical Edge
Billionaire entrepreneur Mark Cuban has one of the best named weblogs, Blog Maverick, because he is nothing if not a maverick in the technology, sports and online worlds. He shepherded his Broadcast.com streaming multimedia company through a successful initial public offering in 1998 and sold it to Yahoo in 1999 for more than $5 billion. Cuban used the proceeds to start high-definition TV networks, HDNet, buy Landmark Movie theaters and buy the Dallas Mavericks NBA team. He’s probably the only major team owner who asks fans to email him feedback.
Lately, Cuban (pictured here) has shown an interest in shaking up the media world, hiring former CBS anchor Dan Rather for HDNet, helping to fund Jason Calacanis’ Weblogs Inc. (later sold to AOL) and founding Sharesleuth.com, to provide “independent Web-based reporting aimed at exposing securities fraud and corporate chicanery.” Cuban hired St. Louis Post-Dispatch investigative business reporter Christopher Carey to be editor of Sharesleuth.
Carey’s first report was an exhaustive look at Xethanol, an ethanol company that purported to make alternative fuel from materials such as wood chips— but Carey could find no evidence it had found that Holy Grail of fuel.
But while Carey will not own any individual stocks, Cuban has decided to make investments based on the companies Carey is investigating. These investments are the sole source of income for the new site, which has no advertising and is free of charge to read. But there’s a Catch 22 in the business plan of Sharesleuth: If the site predictably produces journalism that hurts companies’ stock prices — and Cuban trades on that by shorting the stock (betting it will go down) — then he might be investigated for securities fraud by the SEC. But if company stocks fluctuate without predictability after being the subject of Sharesleuth reports, then there will be no fraud — but Cuban won’t make as much money.
In my lengthy email debates with Cuban, he told me that he wasn’t out to manipulate the market and wasn’t looking for short-term gains after publication of the investigative reports on Sharesleuth. So if he keeps his short position in a company such as Xethanol for the long term, how can Sharesleuth make money now?
“It doesn’t, but that’s OK,” Cuban said. “Hopefully I never have to cover [my short trades], if the quality of work is good and we uncover more companies and situations like Xethanol, the return can be lucrative. It just doesn’t have to be fast. We don’t have a staff of 900. I can afford to be patient.”
On the day that the Xethanol report was published on Sharesleuth, its stock went down 14% to $5.95 — and that’s way down from the price of $12.65 when Cuban shorted 10,000 shares of Xethanol stock back in May. Yesterday, the stock was at $5.09. Sharesleuth promises to be a strange journalistic venture, where the site’s owner will profit on information he gets ahead of publication. Various bloggers and journalists already are calling it an ethical mess (see “The Ugly” section below).
The Good
But before we pass summary judgment on the site after it’s barely even started, let’s consider some of its better qualities. Sharesleuth is one of the rare breed of independent investigative websites that lives outside of the commercial business-journalism world. As Sharesleuth editor Chris Carey pointed out to me, the type of work he’s doing investigating scam-type companies has been in decline at major magazines and business sites.
Carey can now stretch out, take his time with investigations, and not worry that his investigative budget will be cut because he’s not producing sexy work. Without advertising or subscription fees, there’s also less chance for outside pressure on his work from advertisers or paid subscribers.
“I’m free to pursue stories without concern for beat, geography or anything else that tends to limit your worldview when working for a local or regional news organization,” Carey said via email. “There’s no bureaucracy to navigate, so I can move more quickly. And my audience is not only national but global. I also have more resources than I did in my previous job [at the Post-Dispatch] — more money for travel, more money for online information services, more money for other tools of the trade. The only thing that could remotely be considered bad is that, as a one-man operation, there’s no way I can get to all the promising stories that our readers have suggested to us.”
Being basically a one-man editorial operation, Carey did end up having to hire an outside fact-checker to make sure he got everything right in the Xethanol story. He told me he relies on an ad hoc group of “amateur stock detectives” who he could convert into a citizen journalism crew to help his cause — and there are plans to expand and add more reporters in the future.
“I’ve been swapping information for more than five years with a global network of amateur stock detectives,” Carey said. “They’re great at sifting through SEC filings, digging up documents, connecting dots and developing timelines to explain the trajectories of particular companies. I’m convinced that many of them could produce journalism-quality pieces with the help of a strong editor. I think ‘citizen journalism’ that is based on documents or irrefutable visual evidence stands the best chance of winning public acceptance.”
The Bad
But first Sharesleuth has to convince skeptics and regulators that it’s not manipulating the markets and profiting off of that. The SEC would not comment about the site’s unusual business model, but one source with intimate knowledge of SEC operations told me the government enforcement agency was aware of Sharesleuth, but wouldn’t act until the site establishes a track record.
The source noted that Sharesleuth isn’t breaking insider trading laws because they don’t work inside the companies in question, and are being transparent about their trading. However, transparency alone won’t save Cuban from possible prosecution, according to the source.
“There are anti-fraud statutes that say you can’t manipulate people,” the source told me by phone. “You can’t manipulate stock prices to your benefit. If you wrote scathing reports, and the stock continued to go up, and you were losing money, it would be hard to say you were defrauding somebody. On the other hand, if consistently and predictably, your reports caused stocks to go down, even if you told people that, ‘by the way I shorted this yesterday,’ that could get into fraudulent behavior.”
Cuban was defensive about this scenario, and says he isn’t out to manipulate the markets. He mentioned that many other stock traders and hedge fund managers go on cable TV every day to tout their positions, and no one raises a stink about them.
“We aren’t writing reports to move stocks,” Cuban said. “We are writing reports to report the facts. Chris [Carey] hears that from me all the time. If I traded on price movements, then there might be an issue. I don’t. I don’t pump and dump [tout the stock, then sell it], and we don’t skunk and dump. I put on a position and stay with it till there is a material change in operations of the company. I don’t cover or sell my position based on reaction to this or any article in the media.
“The price of Xethanol could go down further, it could go up further. It won’t matter. What matters is whether the management shows they have changed their stripes from their past and whether they can produce ethanol from biomass cost effectively and do so before they run out of money. Nothing we wrote changes those base facts. I was short months before the article came out, I’m still short and plan on staying short.”
Bruce Carton (pictured here), a former lawyer with the SEC, wrote on his Securities Litigation Watch blog that Cuban was exploiting a loophole of sorts with insider trading laws. Carton wrote that the Achilles’ Heel of the law is that it excuses trading on material, non-public information if there is no legal “duty” not to trade. “Prior to Sharesleuth.com, there has not been, to my knowledge, a ‘replicable-on-demand’ model that avoids the insider trading laws while permitting an investor to trade on nonpublic information,” he wrote.
Carton contends that if Sharesleuth succeeds in its business plan, then many other people will try similar sites in order to exploit this Achilles’ Heel of the law, which might lead Congress or the SEC to change security laws.
The Ugly
But even if Sharesleuth’s method of betting on its subject matters’ stocks is totally legal, business journalists and prominent bloggers have said the conflict of interest undermines the site’s credibility with the public. Houston Chronicle business columnist Loren Steffy wrote that Sharesleuth isn’t about a new way to do journalism but is simply a website to tout and increase profits for Cuban’s investments.
The Fort Worth Star-Telegram wrote an editorial attacking Cuban’s venture for shoddy ethics, as well:
[The stock trade] damages Sharesleuth’s credibility, which is a big thing in journalism — in fact, it’s the whole thing. Cuban and Carey disclosed when they launched Sharesleuth on July 1 that Cuban would be doing this sort of thing. Cuban also attached a note to the end of the Xethanol story disclosing his investment dealings related to the company, and another such disclosure was embedded in the story itself. Full disclosure helps, but it doesn’t heal all wounds.
It’s too bad that Cuban couldn’t let his investment in Sharesleuth stand on its own. He had to use it as a tool in a side deal to make himself a few more bucks to add to the gigazillion that he already has. In the process, he cast doubt on Sharesleuth’s efforts.
Then came the news that the Online News Association will have Cuban as its keynote speaker at this year’s convention, setting off an apoplectic response from media blogger and former old media guy Jeff Jarvis. Jarvis notes that many Xethanol shareholders were angry at Cuban for publishing his report. The question from Jarvis is who is Cuban serving? Not the little guy who got scammed by the stock and will lose money, he contends.
“If Cuban had just started a new journalistic endeavor to show the way and shame the business press into reporting and investigating — not to mention to create jobs for reporters — he might have been welcomed with open arms,” Jarvis wrote. “I’ll bet that there are plenty of ripped-off shareholders out there who’d have gladly contributed to make this a success. And advertisers would want to talk to an audience of smart investors. But by turning this into a personal and shady profit center, by trying to play the bad boy in this arena as he does in the basketball arena, he harmed his endeavor, his reputation, and even the nascent movement in independent journalism. Just so he could make a few bucks. Now that’s what I call dumb money.”
Perhaps over time Cuban might see the error of this business model and consider something different that would take away the ethical smudge. He could make it a non-profit with foundation funding, and he’s not a stranger to foundations with his experience with the Fallen Patriot Fund for families of soldiers who were injured or killed in Iraq. Perhaps there’s a way to lose the bad and ugly aspects of Sharesleuth without throwing out the good.
For more reading on Sharesleuth, check out these blog posts by Cuban on the subject, as well as takes from other bloggers and media outlets:
Responsible Journalism [Mark Cuban’s Blog Maverick]
Business journalists should be thankful [Mark Cuban’s Blog Maverick]
Why Journalism Matters [Mark Cuban’s Blog Maverick]
Mark Cuban’s Excellent Trade [Gary Weiss blog]
Winans on Cuban: At Least You Know He’s Screwing You [Gary Weiss blog]
Full Disclosure: Shortchanging Financial Journalism [FindProfit.com’s Ben Silverman]
ShareSleuth Targets Ethanol Company [DealBreaker blog]
Xethanol Responds to ShareSleuth.com Posting [BusinessWire]
Cuban’s Maverick Stock Site [BusinessWeek]
Media Orchard Interviews Chris Carey of Sharesleuth.com [Media Orchard blog]
What do you think? Is Sharesleuth an ethical way to do investigative journalism or is there an inherent conflict of interest for the publisher? Can you think of other ways the site might bring in money without having ethical problems? Share your thoughts in the comments below.
Photo of Mark Cuban by Kris Krug.
Filed under Digging Deeper, Legal Drama, NewspaperShift, Weblogs
Permanent Link to This Post
Nice roundup of the issues, Mark. I'm a journalist and blogger as well -- I wrote something about Cuban and Sharesleuth here: http://www.mathewingram.com/work
By Mathew Ingram 12:28PM on 22 Aug 06
Mark,
I am confused. Martha Stewart was convicted of insider trading and she did not work for the company. Likewise, those that raided the BusinessWeek articles at the printer before they were published were not employees of the company they traded but instead were employees of BusinessWeek.
I am told that there are many different types of insider trading that can be brought to enforcement and that "insider" does not always mean "Inside the company".
I also find it amusing that the SEC is willing to sit back and monitor teh situation to determine how much abuse may take place before they decide whether to step in. In this case, lets say Cuban's site was responsible for the $6.00 drop in share price. The SEC could go after Cuban for his profits but in reality, how much overall market cap (investor losses) took place? That would be the real damages.
By Dave 12:45PM on 22 Aug 06
Hi Dave,
I am not an expert on insider trading laws, but from what I understand, the BusinessWeek cases were stretches from what the law intended. In those cases, people were trading on information secretly before publication. With Cuban, he is trading before publication but also being transparent about the transactions at publication. That's the difference, and some people believe it's enough to make it legal. Plus he says he isn't making short term trades but staying in for years.
I'm not sure how much the SEC is actually monitoring the situation. They say they are aware of the site, but can't really act until it has more of a track record than one investigative report. Not until the site has been proven to be manipulating the market will they act -- at least according to my source. The SEC won't comment about hypothetical situations.
By Mark Glaser 1:44PM on 22 Aug 06
Great detail (wish I had the time to devote to it).
By Haydn 3:24PM on 22 Aug 06
There's sort of a key problem you've failed to point out with Bruce Carton's ridiculous comment about Sharesleuth.com's business model of trading on "nonpublic information." All of the information Carey gathered is PUBLIC information. This is an interesting business model to watch, certainly, but much of the crying and belly-aching being done about ethics is, clearly, based on -- and fueling -- misinformation.
Not only is the information public but, in addition, Xethanol has been unable to successfully refute any of Carey's claims. Thus, it appears the information is also TRUE. So we're threatening SEC action over true, public information? That's one for the books.
Carey's track record deserves more than one story before everyone condemns the effort at its outset.
By TLark 4:58AM on 23 Aug 06
Mark,
I am a little confused here. If a person or company does research on another company and the research is legal and subsequently reports upon it, they are journalists. If an investor does similar research and acts upon that research, they are considered wise investors. (I was always told to only invest in what you have some knowledge of.) Then why is it illegal to hire someone to do the research for you and report on it?
I understand that the information has to be public, but is there any knowledge or proof that the information gathered is not public knowledge? If TLark's comment is true, then not also is the information public but it is also true.
There are many sites that gather information for the user. Take the many sites that are using Zillow.com's API. While I personally wonder about the privacy concerns about such sites, does using these sites mean you are breaking the law as well? Other house buyers have access to the same sites, I just knew of the sites and how to find them and use them. Is this not the same as with Mark Cuban?
By Jpalladino 8:35AM on 23 Aug 06
Funny how this issue comes up with actions being taken by the SEC just today.
According to the WSJ:
"Kristjan Lepik, of Tallinn, settled without admitting or denying allegations that he traded on corporate information obtained through sneak peeks at information distributed by Business Wire, a leading commercial distributor of business news owned by Berkshire Hathaway Inc."
Sneek peeks at information to be distributed by Business Wire? Was the information accurate by Business Wire? Was Mr. Lepik an insider to the company or did he obtain such information from an insider of the company?
I can only wonder what the difference is between Cuban and Lepik other than Cuban tells people he is going to do it and Lepik did not.
Now some will argue that Lepik traded on corporate information and Cuban did not but, it is clear by the sharesleuth article that the information obtained by Carey was generally corporate information [information about teh business, etc...] that would most likely be unavailable to the general public.
I guess if a murderer tell you they plan on killing you before they kill you then it is not a violation of the law.
By Dave 10:31AM on 23 Aug 06
Let me get this straight. It's a little dodgey to constantly publish true reports of a companies practices with the results that a bad report causes a fall in stock price that the report maker benefits from.
Isn't this the converse of the glowing reports from Stock Analysts of the late '90's who it turns out were paid by said company for glowing reports?
It was acceptable for them, but not for Mark Cuban. Who has to go through the trouble of actually investigating the company. By acceptable, how many went to jail? If it wasn't all then it must have been a little ok.
By Stephen 10:31AM on 23 Aug 06
Funny how this issue comes up with actions being taken by the SEC just today.
According to the WSJ:
"Kristjan Lepik, of Tallinn, settled without admitting or denying allegations that he traded on corporate information obtained through sneak peeks at information distributed by Business Wire, a leading commercial distributor of business news owned by Berkshire Hathaway Inc."
Sneek peeks at information to be distributed by Business Wire? Was the information accurate by Business Wire? Was Mr. Lepik an insider to the company or did he obtain such information from an insider of the company?
I can only wonder what the difference is between Cuban and Lepik other than Cuban tells people he is going to do it and Lepik did not.
Now some will argue that Lepik traded on corporate information and Cuban did not but, it is clear by the sharesleuth article that the information obtained by Carey was generally corporate information [information about teh business, etc...] that would most likely be unavailable to the general public.
I guess if a murderer tell you they plan on killing you before they kill you then it is not a violation of the law.
By Dave 10:31AM on 23 Aug 06
"it is clear by the sharesleuth article that the information obtained by Carey was generally corporate information [information about teh business, etc...] that would most likely be unavailable to the general public."
Sorry, but as a one-time journo, I have to say that's simply not true. The vast majority of information in the report seems to have come from SEC filings and other legal documents, all of which are accessible to the public. Whether or not they know how to go about finding it is another matter.
You may not like the ethics of Sharesleuth.com's owner, but the cries of "insider trading" are just making the criers look foolish and ill-informed.
By TraderGrl 11:47AM on 23 Aug 06
According to my source who understands SEC thinking:
"Suppose all your information was from public sources, and you were the one who put the damning mosaic together, well the defense might be, 'I did the same thing that anyone else could have done. I went to the Internet sites and I pulled all this, so I didn't really do anything but bet smart, and I let everyone in on it afterwards. That might be a defense, but it's not necessarily an effective defense because the different element is now having created the mosaic, that created its own little momentum and direction."
What I think this source is saying is that even if the information is all public, you still are putting together a new picture of the company, and then possibly trading on that information and using it to manipulate the market. In the case of Xethanol, Carey might be using largely public info, but he also has photos of a plant in disuse and other info gleaned from reporting.
But remember: These are all hypothetical situations, and the SEC hasn't taken any action. We should indeed give the site the benefit of the doubt and see what happens before totally condemning it. I agree that what Carey and Cuban are doing -- unearthing corporate misdeeds -- is great, necessary work. It's just the way they're profiting that is bringing up conflict concerns.
Whether illegal or not, this site and its journalism depends on credibility and if people don't trust the motives of the journalist and the publisher behind the journalist, then that will hurt them both in audience and in impact -- thereby hurting their bottom line.
By Mark Glaser 4:03PM on 23 Aug 06
Talk of sharesleuth.com being insider trading or otherwise illegal is dangerous to free speech and irrational at best. If sharesleuth.com is deemed illegal, thousands of other blogs and commercial sites will need to be shut down on that precedent. This includes sites such as the Motley Fool and TSCM, on which writers often own or short the stocks they publish on (as with Cuban, with full disclosure). It also includes individual blogs, commentators and guests on financial news channels, and even message board posters. Basically, there can be no exchange of information or dissemination of opinions among parties with economic interests in stocks discussed. To be fair, it will have to kill all discourse about investing - about good companies, bad companies, long positions, or short positions. All sharing of fact and opinion will have to end.
For example, from a recent positive post about salesforce.com on seekingalpha.com (http://software.seekingalpha.com/article/15884): "At the time of this writing I, and/or funds I maintain discretionary control over, maintained a long equity position in CRM..."
This writer has just written positively about salesforce.com, and, according to his disclosure, he holds a long position in the stock. By writing this piece, he is potentially persuading a reader to buy this stock, driving the share price higher and providing him with economic benefit. There is no different than sharesleuth.com publishing negatively on Xethanol while disclosing that Mark Cuban holds a short position in the stock.
From an investor’s standpoint, ending the free flow of information is not good idea. As long as items presented as fact are true, opinions couched as such, and full disclosure understood or in place, I believe we should encourage more sites like sharesleuth.com. The more information and opinions the better, regardless of whether or not the source stands to gain by dissemination of the information.
By WC 5:06PM on 26 Aug 06
It is my understanding that Chis Carey approached Cuban as a backer for the sharesleuth site.
By siouxzi 7:38AM on 08 Sep 06
OMOG is incoperated illegaly in Deleware. The CEO Adam E Burnett is illegaly CEO and President at the same time, which is illegal under Deleware laws of incorp. Adam E Burnett is using OMOG to
launder Russian Mafia Money with Jeffery G Turino who was banned from penny stocks a couple of years
ago. Adam E Burnett also launders Mafia Money in the stock shells = GBDX, GMSC along with Jeffery G
Turino as well. This proves Adam Erik Barnett is guilty of Tax Fraud
showing he paid him self(As Ceo of his OMOG Co.)
$500, 000 dollars in 2005, with no IRS Tax's paid that year reflecting the truth about his
earnings.
Adam Erik Barnett social security # is below
595-982-5095. Adam E Burnett owed $368K
from 2003 = and after being audited and caught paid $368,000 in 2005.
Adam E Burnett is laundering $ for Jeffery G Turino who's SS# is 262-29-7718. Jeffery G Turino Imho
is wanted by Federal Athoritys for stock fraud, $ laundering,etc. Jeffery G Turino has not paid
tax's in 4 years and owe's the IRS $1 million dollars.
Enclosed you will find a 504 offering showing Adam E Burnett paid him self $500,000 dollars in 2005,
and did not report this earning to the IRS.
Adam E Burnett is CEO of pink sheet company OMOG. Adam E Burnett launders Russian Mafia money
through OMOG,GMSC, and GBDX as well as Jeffery G Turino who is behind Adam E Burnett.
Adam E Burnett also can not explain how he came to own OMOG Oil company. He can only explain the
first $30,000 dollars, and not the other $800,000 in stock cost incured in a hostel take over in the
stock market.
That is because Jeffery G Turino Gave him the money to launder and hide in purchasing OMOG.
Jeffery G Turino hides money in the below names who are all guilty of RICO Criminal money
laundering.
Jennifer Lynch(step daughter) SS# 590-64-2075
Jennifer go's to UNLV and has a new Mercedez Benz and cannot explain how she got the money to buy
it, nor can she explain all the $ Jeffery Turino hides in her Bank accounts.
Mary Turino(Jeffery G Turinos Wife) SS#382-6045-69
Mary Turino is a school teacher who lives at 3140 masters drive New Port Richy Clearwater FL.(a 2
million dollar house) Mary on a teachers salary cannot explain how she got the house, in her name
because Jeffery G Turino Launders $ through Mary Turino the school teacher.
Mary Turino has a American Express Black Card which never runs below $60, 000 dollars a month, and
frequently as high as $180,000 dollars a month = which cannot be explained on a school teachers
salary, in addition to many other extravant expenses that cannot be explained on Mary Turino's
school teacher salary, of Jennifer Lynch's UNLV student status.
Please check Jeffery G Turinos step son for laundering money as well
his name is Patrick Lynch SS# 589-6496-65
I wan't no reward!!! This is given to you on an anonymously, because these people are very
dangerous.
I hope this helps because Adam E Burnett, and Jeffery G Turino have hurt a lot of innocent people.
ALL YOU HAVE TO DO IS LOOK AT THE SS#'S TO SEE THAT NONE OF THE PEOPLE CAN EXPLAIN ANY OF THE
LAUNDERED MONEY THAT IS GOING THROUGH THERE ACCOUNTS.
Thank You
SEC FILES FRAUD CHARGES AGAINST PINNACLE BUSINESS MANAGEMENT INC., VINCENT A. LO CASTRO AND JEFFREY
G. TURINO
The Commission announced today the filing of a civil action against Pinnacle Business Management,
Inc. ("Pinnacle"), and two of its top officers, Vincent A. Lo Castro and Jeffrey G. Turino, in
federal district court in Tampa, Florida. The Commission's complaint alleges that Lo Castro and
Turino are responsible for a materially false and misleading press release that Pinnacle issued on
April 2, 2002. The Commission's complaint charges that Pinnacle, Lo Castro and Turino violated
Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934
and Rule 10b-5 promulgated thereunder.
The Commission's complaint alleges that the April 2, 2002 press release materially misled investors
regarding a proposed spin-off of a Pinnacle subsidiary known as All Pro. . Under Pinnacle's
formulation, an investment of $0.35 for fifty Pinnacle shares (Pinnacle shares trade for
approximately $0.007) would pay a $4.00 dividend when All Pro begins trading on the AMEX in June
2002. The Commission's complaint alleges that Pinnacle lacked a reasonable basis for stating that
All Pro will trade at $4.00 per share, that Pinnacle misquoted an AMEX floor broker to convey a
false and misleading endorsement of the company's claims, that Pinnacle overstated the likelihood
that All Pro will obtain an AMEX listing,
The Commission is seeking permanent injunctions and civil penalties against Pinnacle, Lo Castro and
Turino. The Commission is also seeking to bar Lo Castro and Turino from serving as officers or
directors of any public company. A copy of the complaint can be found on the Commission's public
website.
Mary Turino = Jeffery G Turino's wife(EX CEO OF PCBM WITH A 5 YEAR PENNY BAN FROM TRADING PENNY
STOCKS) FOR WHAT IS LOOKING TO BE MONEY LAUNDERING.
Mary Turino Social Security # 382-6045-69
then name Jeffery G Turino's Daughter Jennifer Lynch for money laundering
JENNIFER LYNCY SOCIAL SECURITY # 590-64-2075 = SHE HIDES HIS STOLEN MONEY AND CAN NOT EXPLAIN ALL
THE MONEY, NEW CARS IN HER 20 YEAR OLD NAME AS A STUDENT AT UNLV
CMKX TRANSFER AGENT HELEN BAGLEY IS RICO DIRTY FILE A FBI COMPLAINT NOW...
ON (1ST GLOBAL STOCK TRANSFER LLC) = NAME HELEN BAGLEY, JEFFERY G TURINO, AND FOR STOCK FRAUD
(1ST GLOBAL STOCK TRANSFER LLC)
(702-505-0014)
7361 PRAIRIE FALCON RD
LAS VEGAS, NV
89128-0823
Phone: 702-656-4919
Fax: 702-301-0634)
THANK BOX JOB ADAM FOR ALL THIS INFORMATION BEING RELEASED TO STOP FRAUD(EVEN THOUGH ADAM
BURNETT(SEE INFO BELOW) IS DIRTY AS WELL IMO).
YOU CAN MAKE A DIFFERENCE- STOP SECURITIES FRAUD.
ALL CONTACTS WILL BE KEPT CONFIDENTIAL.
FOR SECURITYS FRAUD, TAKING BRIBE'S FROM JEFFERY G TURINO(SS# 262-29-7718) = EX BANNED CEO OF PCBM
WHO HAS A 5 YEAR PENNY BAN, AND IS NOW TRADING GBDX, AND POSTING ON THE GBDX IHUB MESSAGE BOARD AS
RONNIED,STOCKLOBSTER, NEGGER0 TO SCAM HONEST INVESTORS INTO BUYING ANOTHER OF HIS(HELEN BAGLEY IS
ALSO GBDX TRANSFER AGENT, AS WELL AS PCBM, CMKX, (GET THE PICTURE).JEFFERY OWES $1MILLION DOLLARS TO
THE IRS. HE HAS NOT FILED TAX'S IN THE LAST 4 YEARS REPORT HIS SOCIAL SECURITY # ABOVE TO THE IRS
FOR A 10% WE TIP AWARD NOW
. REPORT HELEN BAGLEY FOR ALLOWING A DEAD ATTORNEY'S NAME(YEARS AFTER HIS DEATH (JIM PETROCHELLI(not
exactly sure of spelling last name = but the Feds will find it) AND SIGNATURE TO BE FORGED PLACING
MORE PCBM STOCK CERTS IN THE MARKET. REPORT BILL JONES CERTS WERE ALSO STOLEN FROM HIM BY JEFFERY G
TURINO, AND THE DIRTY NOTARY AT THE WELLS FARGO BANK WITH IN BLOCKS OF 1 GLOBAL TA HELEN BAGLEY =
THE NOTARY BLINDLY STAMPED ANY THING(PAID OFF) = THEY CAME UP WITH SIGNATURES(FORGED) ON THE BTMD
FRAUDLENT CERTS(WHICH IS A GOOD HONEST COMPANY TAKEN ADVANTAGE OF BY AT DIRTY TA, ADAM BURNETT(OMOG
FRAUDLENT CEO IMO) AND JEFFERY G TURINO)THAT ANY ONE WOULD KNOW WERE FORGED, FRAUD, MANIPULATION OF
SECURITIES, COUNTERFIETING,ETC!
* GBDX IS A SCAM = HELEN BAGLEY IS THE TA = FRAUD REPORT
* REPORT JEFFERY G TURINO SS# 262-29-7718 = $ LAUNDERING...
* REPORT MARY TURINO SS# 382-6045-69 = $ LAUNDERING...
* REPORT JENNIFER LYNCH SS# 590-64-2075 = $ LAUNDERING...
ADAM BURNETT'S SCAMS = OMOG, DTEV, PDVN, MLAR, CSON, GMSC
NAME CMKX TA HELEN BAGLEY FOR SECURITYS FRAUD, TAKING BRIBE'S FROM JEFFERY G TURINO(SS# 262-29-7718)
= EX BANNED CEO OF PCBM WHO HAS A 5 YEAR PENNY BAN, AND IS NOW TRADING GBDX, AND POSTING ON THE GBDX
IHUB MESSAGE BOARD AS RONNIED,STOCKLOBSTER, NEGGER0 TO SCAM HONEST INVESTORS INTO BUYING ANOTHER OF
HIS(HELEN BAGLEY IS ALSO GBDX TRANSFER AGENT, AS WELL AS PCBM, CMKX, (GET THE PICTURE).JEFFERY OWES
$1MILLION DOLLARS TO THE IRS. HE HAS NOT FILED TAX'S IN THE LAST 4 YEARS REPORT HIS SOCIAL SECURITY
# ABOVE TO THE IRS FOR A 10% WE TIP AWARD NOW
. REPORT HELEN BAGLEY FOR ALLOWING A DEAD ATTORNEY'S NAME(YEARS AFTER HIS DEATH (JIM PETROCHELLI(not
exactly sure of spelling last name = but the Feds will find it) AND SIGNATURE TO BE FORGED PLACING
MORE PCBM STOCK CERTS IN THE MARKET. REPORT BILL JONES CERTS WERE ALSO STOLEN FROM HIM BY JEFFERY G
TURINO, AND THE DIRTY NOTARY AT THE WELLS FARGO BANK WITH IN BLOCKS OF 1 GLOBAL TA HELEN BAGLEY =
THE NOTARY BLINDLY STAMPED ANY THING(PAID OFF) = THEY CAME UP WITH SIGNATURES(FORGED) ON THE BTMD
FRAUDLENT CERTS(WHICH IS A GOOD HONEST COMPANY TAKEN ADVANTAGE OF BY AT DIRTY TA, ADAM BURNETT(OMOG
FRAUDLENT CEO IMO) AND JEFFERY G TURINO)THAT ANY ONE WOULD KNOW WERE FORGED, FRAUD, MANIPULATION OF
SECURITIES, COUNTERFIETING,ETC!
PLEASE HELP ADAM E BURNETT, AND JEFFERY G TURINO HAVE HURT A LOT OF HONEST INNOCENT PEOPLE.
THANK YOU
--
By FRANCIS KIM 8:23AM on 27 Jan 07
OMOG is incoperated illegaly in Deleware. The CEO Adam E Burnett is illegaly CEO and President at the same time, which is illegal under Deleware laws of incorp. Adam E Burnett is using OMOG to
launder Russian Mafia Money with Jeffery G Turino who was banned from penny stocks a couple of years
ago. Adam E Burnett also launders Mafia Money in the stock shells = GBDX, GMSC along with Jeffery G
Turino as well. This proves Adam Erik Barnett is guilty of Tax Fraud
showing he paid him self(As Ceo of his OMOG Co.)
$500, 000 dollars in 2005, with no IRS Tax's paid that year reflecting the truth about his
earnings.
Adam Erik Barnett social security # is below
595-982-5095. Adam E Burnett owed $368K
from 2003 = and after being audited and caught paid $368,000 in 2005.
Adam E Burnett is laundering $ for Jeffery G Turino who's SS# is 262-29-7718. Jeffery G Turino Imho
is wanted by Federal Athoritys for stock fraud, $ laundering,etc. Jeffery G Turino has not paid
tax's in 4 years and owe's the IRS $1 million dollars.
Enclosed you will find a 504 offering showing Adam E Burnett paid him self $500,000 dollars in 2005,
and did not report this earning to the IRS.
Adam E Burnett is CEO of pink sheet company OMOG. Adam E Burnett launders Russian Mafia money
through OMOG,GMSC, and GBDX as well as Jeffery G Turino who is behind Adam E Burnett.
Adam E Burnett also can not explain how he came to own OMOG Oil company. He can only explain the
first $30,000 dollars, and not the other $800,000 in stock cost incured in a hostel take over in the
stock market.
That is because Jeffery G Turino Gave him the money to launder and hide in purchasing OMOG.
Jeffery G Turino hides money in the below names who are all guilty of RICO Criminal money
laundering.
Jennifer Lynch(step daughter) SS# 590-64-2075
Jennifer go's to UNLV and has a new Mercedez Benz and cannot explain how she got the money to buy
it, nor can she explain all the $ Jeffery Turino hides in her Bank accounts.
Mary Turino(Jeffery G Turinos Wife) SS#382-6045-69
Mary Turino is a school teacher who lives at 3140 masters drive New Port Richy Clearwater FL.(a 2
million dollar house) Mary on a teachers salary cannot explain how she got the house, in her name
because Jeffery G Turino Launders $ through Mary Turino the school teacher.
Mary Turino has a American Express Black Card which never runs below $60, 000 dollars a month, and
frequently as high as $180,000 dollars a month = which cannot be explained on a school teachers
salary, in addition to many other extravant expenses that cannot be explained on Mary Turino's
school teacher salary, of Jennifer Lynch's UNLV student status.
Please check Jeffery G Turinos step son for laundering money as well
his name is Patrick Lynch SS# 589-6496-65
I wan't no reward!!! This is given to you on an anonymously, because these people are very
dangerous.
I hope this helps because Adam E Burnett, and Jeffery G Turino have hurt a lot of innocent people.
ALL YOU HAVE TO DO IS LOOK AT THE SS#'S TO SEE THAT NONE OF THE PEOPLE CAN EXPLAIN ANY OF THE
LAUNDERED MONEY THAT IS GOING THROUGH THERE ACCOUNTS.
Thank You
SEC FILES FRAUD CHARGES AGAINST PINNACLE BUSINESS MANAGEMENT INC., VINCENT A. LO CASTRO AND JEFFREY
G. TURINO
The Commission announced today the filing of a civil action against Pinnacle Business Management,
Inc. ("Pinnacle"), and two of its top officers, Vincent A. Lo Castro and Jeffrey G. Turino, in
federal district court in Tampa, Florida. The Commission's complaint alleges that Lo Castro and
Turino are responsible for a materially false and misleading press release that Pinnacle issued on
April 2, 2002. The Commission's complaint charges that Pinnacle, Lo Castro and Turino violated
Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934
and Rule 10b-5 promulgated thereunder.
The Commission's complaint alleges that the April 2, 2002 press release materially misled investors
regarding a proposed spin-off of a Pinnacle subsidiary known as All Pro. . Under Pinnacle's
formulation, an investment of $0.35 for fifty Pinnacle shares (Pinnacle shares trade for
approximately $0.007) would pay a $4.00 dividend when All Pro begins trading on the AMEX in June
2002. The Commission's complaint alleges that Pinnacle lacked a reasonable basis for stating that
All Pro will trade at $4.00 per share, that Pinnacle misquoted an AMEX floor broker to convey a
false and misleading endorsement of the company's claims, that Pinnacle overstated the likelihood
that All Pro will obtain an AMEX listing,
The Commission is seeking permanent injunctions and civil penalties against Pinnacle, Lo Castro and
Turino. The Commission is also seeking to bar Lo Castro and Turino from serving as officers or
directors of any public company. A copy of the complaint can be found on the Commission's public
website.
Mary Turino = Jeffery G Turino's wife(EX CEO OF PCBM WITH A 5 YEAR PENNY BAN FROM TRADING PENNY
STOCKS) FOR WHAT IS LOOKING TO BE MONEY LAUNDERING.
Mary Turino Social Security # 382-6045-69
then name Jeffery G Turino's Daughter Jennifer Lynch for money laundering
JENNIFER LYNCY SOCIAL SECURITY # 590-64-2075 = SHE HIDES HIS STOLEN MONEY AND CAN NOT EXPLAIN ALL
THE MONEY, NEW CARS IN HER 20 YEAR OLD NAME AS A STUDENT AT UNLV
CMKX TRANSFER AGENT HELEN BAGLEY IS RICO DIRTY FILE A FBI COMPLAINT NOW...
ON (1ST GLOBAL STOCK TRANSFER LLC) = NAME HELEN BAGLEY, JEFFERY G TURINO, AND FOR STOCK FRAUD
(1ST GLOBAL STOCK TRANSFER LLC)
(702-505-0014)
7361 PRAIRIE FALCON RD
LAS VEGAS, NV
89128-0823
Phone: 702-656-4919
Fax: 702-301-0634)
THANK BOX JOB ADAM FOR ALL THIS INFORMATION BEING RELEASED TO STOP FRAUD(EVEN THOUGH ADAM
BURNETT(SEE INFO BELOW) IS DIRTY AS WELL IMO).
YOU CAN MAKE A DIFFERENCE- STOP SECURITIES FRAUD.
ALL CONTACTS WILL BE KEPT CONFIDENTIAL.
FOR SECURITYS FRAUD, TAKING BRIBE'S FROM JEFFERY G TURINO(SS# 262-29-7718) = EX BANNED CEO OF PCBM
WHO HAS A 5 YEAR PENNY BAN, AND IS NOW TRADING GBDX, AND POSTING ON THE GBDX IHUB MESSAGE BOARD AS
RONNIED,STOCKLOBSTER, NEGGER0 TO SCAM HONEST INVESTORS INTO BUYING ANOTHER OF HIS(HELEN BAGLEY IS
ALSO GBDX TRANSFER AGENT, AS WELL AS PCBM, CMKX, (GET THE PICTURE).JEFFERY OWES $1MILLION DOLLARS TO
THE IRS. HE HAS NOT FILED TAX'S IN THE LAST 4 YEARS REPORT HIS SOCIAL SECURITY # ABOVE TO THE IRS
FOR A 10% WE TIP AWARD NOW
. REPORT HELEN BAGLEY FOR ALLOWING A DEAD ATTORNEY'S NAME(YEARS AFTER HIS DEATH (JIM PETROCHELLI(not
exactly sure of spelling last name = but the Feds will find it) AND SIGNATURE TO BE FORGED PLACING
MORE PCBM STOCK CERTS IN THE MARKET. REPORT BILL JONES CERTS WERE ALSO STOLEN FROM HIM BY JEFFERY G
TURINO, AND THE DIRTY NOTARY AT THE WELLS FARGO BANK WITH IN BLOCKS OF 1 GLOBAL TA HELEN BAGLEY =
THE NOTARY BLINDLY STAMPED ANY THING(PAID OFF) = THEY CAME UP WITH SIGNATURES(FORGED) ON THE BTMD
FRAUDLENT CERTS(WHICH IS A GOOD HONEST COMPANY TAKEN ADVANTAGE OF BY AT DIRTY TA, ADAM BURNETT(OMOG
FRAUDLENT CEO IMO) AND JEFFERY G TURINO)THAT ANY ONE WOULD KNOW WERE FORGED, FRAUD, MANIPULATION OF
SECURITIES, COUNTERFIETING,ETC!
* GBDX IS A SCAM = HELEN BAGLEY IS THE TA = FRAUD REPORT
* REPORT JEFFERY G TURINO SS# 262-29-7718 = $ LAUNDERING...
* REPORT MARY TURINO SS# 382-6045-69 = $ LAUNDERING...
* REPORT JENNIFER LYNCH SS# 590-64-2075 = $ LAUNDERING...
ADAM BURNETT'S SCAMS = OMOG, DTEV, PDVN, MLAR, CSON, GMSC
NAME CMKX TA HELEN BAGLEY FOR SECURITYS FRAUD, TAKING BRIBE'S FROM JEFFERY G TURINO(SS# 262-29-7718)
= EX BANNED CEO OF PCBM WHO HAS A 5 YEAR PENNY BAN, AND IS NOW TRADING GBDX, AND POSTING ON THE GBDX
IHUB MESSAGE BOARD AS RONNIED,STOCKLOBSTER, NEGGER0 TO SCAM HONEST INVESTORS INTO BUYING ANOTHER OF
HIS(HELEN BAGLEY IS ALSO GBDX TRANSFER AGENT, AS WELL AS PCBM, CMKX, (GET THE PICTURE).JEFFERY OWES
$1MILLION DOLLARS TO THE IRS. HE HAS NOT FILED TAX'S IN THE LAST 4 YEARS REPORT HIS SOCIAL SECURITY
# ABOVE TO THE IRS FOR A 10% WE TIP AWARD NOW
. REPORT HELEN BAGLEY FOR ALLOWING A DEAD ATTORNEY'S NAME(YEARS AFTER HIS DEATH (JIM PETROCHELLI(not
exactly sure of spelling last name = but the Feds will find it) AND SIGNATURE TO BE FORGED PLACING
MORE PCBM STOCK CERTS IN THE MARKET. REPORT BILL JONES CERTS WERE ALSO STOLEN FROM HIM BY JEFFERY G
TURINO, AND THE DIRTY NOTARY AT THE WELLS FARGO BANK WITH IN BLOCKS OF 1 GLOBAL TA HELEN BAGLEY =
THE NOTARY BLINDLY STAMPED ANY THING(PAID OFF) = THEY CAME UP WITH SIGNATURES(FORGED) ON THE BTMD
FRAUDLENT CERTS(WHICH IS A GOOD HONEST COMPANY TAKEN ADVANTAGE OF BY AT DIRTY TA, ADAM BURNETT(OMOG
FRAUDLENT CEO IMO) AND JEFFERY G TURINO)THAT ANY ONE WOULD KNOW WERE FORGED, FRAUD, MANIPULATION OF
SECURITIES, COUNTERFIETING,ETC!
PLEASE HELP ADAM E BURNETT, AND JEFFERY G TURINO HAVE HURT A LOT OF HONEST INNOCENT PEOPLE.
THANK YOU
--
By FRANCIS KIM 8:24AM on 27 Jan 07
Hi, I have invested several thousand dollars from a company called Kalaco Scientific, Inc. based in Arizona, and with offices in California. After many years after I have made my investment I have yet to see a dime in return, even though they promised the world to me when they pitced it to me. These guys have never had a website, I makes me nervous… This is what they have now: http://www.kalacoscientific.com
How can I get my money back? I am concerned I got dupped… I just got this e-mail from their formal IT guy. I know enough about business to know that the IT has access to everything.. So I am concerned because I know he has seen sensitive communications and records. This is the letter that he sent me and other Kalaco Scientific investors.
http://www.419legal.org/showthread.php?p=6942
By Willam Torres 11:30PM on 23 Apr 07