As Gary Weiss discussed on his blog, Overstock.com (NASDAQ: OSTK) CEO Patrick Byrne issued a press release last night to complain that his company was back on the REG SHO list, a list of stocks experiencing failures to deliver often indicative of naked short selling. Overstock had disappeared from the list for 6 days after 669 consecutive days on the list.
Byrne added that "Here we are on the eve of the third anniversary of Regulation SHO (January 3) and hundreds of companies continue to be manipulated -- right under the SEC's watchful eye."
Here's where it gets interesting. According to a countersuit against Overstock filed by Copper River:
When asked about the December 2003 short squeeze, Byrne replied, "when opportunities come along where we can knee the shorts in the groin, that's always good for fun and amusement."
What did Byrne mean by that? If Patrick Byrne engaged in perpetrating an artificial short squeeze to "knee the shorts in the groin", that would be manipulation!
Comfort Zone Investing: The unmighty dollar
Five winners of a weak dollar
For a quick-read on the U.S. economy, check the price of gasoline
Reader Comments (Page 1 of 1)
12-28-2007 @ 2:23PM
TX CHL Instructor said...
Overstock is the only auction site that I have encountered that is actually more stuck-up than eBay. I would strongly suspect that any problems they are having with regard to their stock price could be traced directly back to the way they treat their customers.
12-31-2007 @ 3:54AM
M ALlen said...
OSTK has been manipulated. Fails to deliver are illegal and those breaking the law should be punished. There are tens of billions worth of shares that have not been delivered. Naked short selling should be eleminated as in Europe.