Post by jcline on Dec 13, 2005 13:17:26 GMT -4
STOCKGATE TODAY
An online newspaper reporting the issues of Securities Fraud
TASER International Receives Early Holiday Gift; Sort of – December 13, 2005
David Patch
It was nearly one year ago that Arizona Stun Gun Manufacturer TASER International (NASDAQ: TASR) received word that the SEC would initiate an informal investigation into the company pertaining to public statements made regarding the safety of the TASER Stun Gun and contract orders. At the time of the reported announcement TASER International was trading at a price range of $25.00/share. Today at $6.12 a share, the company has received word that no SEC enforcement actions will be taken. Apparently the allegations of mis-deeds were wrong.
But the dilemma is; TASER has been left a shell of its former self directly due to the SEC’s actions. Where exactly is the SEC’s accountability?
The ensuing actions against TASER last year after the announcement of an SEC Investigation was made public included successive press releases by Class Action Attorneys filing Class Action Lawsuits questioning the integrity of the TASER Corporation and Management. TASER’s stock quickly ran into a tailspin as the $32.00 stock of December 31, 2004 was cut in half by the end of January 2005. The trading volume in the stock, 420 Million shares, represented nearly 8 Times the total shares outstanding and issued by the company and the pressures were all on the sell side.
It was reported last January that short sellers who had bet against the company and had continued to lose on the bet due to increasing business operations and company success prompted the SEC to Investigation TASER International. With growing losses the short sellers needed to create an event to reduce liability and what better event take place than to call upon your Federal Regulators to act on your behalf.
The December 2004 Short Interest in TASER was approximately 31 Million of the 60 Million shares outstanding. But the December Short Interest was being posted after a period of trading where TASER’s stock had run to over $50.00/share by the end of November from a low in the $20’s.
By the January 2005 NASDAQ Short Interest Reporting date, the stock had been cut in half in value and the reported shorts were now reduced by 30% to 21 Million shares. But in January TASER had more than just a sudden SEC Investigation to worry about, TASER was also listed on the first publication of the Regulation SHO threshold security list for excessive unsettled trades associated with short sales that could not settle.
The short sellers holding positions in a stock that continued to hold value were doing so without making good on delivery and the SEC had committed to Congress and the Public to correct the problems. The shorts did not want to take a loss so they manufactured a win, using the SEC as the vehicle, from on otherwise losing proposition.
Since the January 2005 Announcement of the informal SEC Investigation, and a subsequent announcement by the SEC in September 2005 raising the investigation from informal to formal, TASER has traded 21 times the total shares issued and outstanding and traded in a continuous downward direction. TASER has also remained steadfastly on the Regulation SHO list for 235 consecutive trade days with excessive levels of unsettled trades captured at the DTCC.
The Market Cap loss to the company since January 2005 has exceeded $1.44 Billion. The reported short position as of November 2005 was 17 Million shares.
So with this Holiday Spirit amongst us all, who better to thank for releasing TASER from the burdensome liability of stock manipulation than the Santa Clause to Wall Street Criminals, the Securities and Exchange Commission.
The SEC has aided the short sellers in knocking the stuffing out of TASER for this past year and has derailed TASER’s Business Operations by involving the Company in a yearlong engagement to defend false allegations of accounting and disclosure violations. The distractions only impaired the business and have resulted in the NASDAQ threatening to de-list TASER from the exchange.
But now the battle is over, the SEC witch-hunt on behalf of the short sellers turned up nothing. The SEC concluded that it is time the short sellers managed business on their own and the SEC has afforded them the luxury of starting this managed business at predetermined manipulated prices.
In our news papers we can read of the failed lawsuits against TASER over deaths associated with the use of their products. We can also read the numerous accolades that come with the successful non-violent police actions against criminals through the use of a TASER Stun Gun. Had it been up to the SEC and the short sellers, the company would be driven into oblivion and our nation’s law enforcement would be left shooting bullets into criminals instead of jolts of electricity.
It’s all about the money and not about the American Business.
In an armed robbery there is the robber that enters the bank and steals the money at gunpoint and then there is the conspirator waiting outside to drive the getaway vehicle. In our Securities Markets short sellers rob our nations businesses blind by selling excessive amounts of shares that they can’t deliver and then solicit the Securities and Exchange Commission to run a negative press campaign to turn those illegal trades into profit. The SEC responsible for driving the proverbial getaway car in the robbery.
Fortunately for TASER, the SEC driven getaway car ran out of gas before the company succumbed to the markets version of a death.
It is good to know that the SEC is looking out for the interests of the marketplace and has protected upside volatility in our markets by initiating a grandfather clause into Reg. SHO. It is only too bad that similar type regulations were not put in place that protected against the downside manipulations that transpire based on a malicious and inexcusable attacks initiated by our Securities Regulators on behalf of those selling illegally into our markets.
The 80% market cap loss in TASER was justified according to the SEC. To think those initial illegal trades would be forced cover at a loss if necessary was not. The question remains, who owned those fails and why did the SEC put those rights above the rights of TASER, their employees, clients, and investors.
Rest assured, this story is far from over.
For more on this issue please visit the Host site at www.investigatethesec.com .
Copyright 2005
An online newspaper reporting the issues of Securities Fraud
TASER International Receives Early Holiday Gift; Sort of – December 13, 2005
David Patch
It was nearly one year ago that Arizona Stun Gun Manufacturer TASER International (NASDAQ: TASR) received word that the SEC would initiate an informal investigation into the company pertaining to public statements made regarding the safety of the TASER Stun Gun and contract orders. At the time of the reported announcement TASER International was trading at a price range of $25.00/share. Today at $6.12 a share, the company has received word that no SEC enforcement actions will be taken. Apparently the allegations of mis-deeds were wrong.
But the dilemma is; TASER has been left a shell of its former self directly due to the SEC’s actions. Where exactly is the SEC’s accountability?
The ensuing actions against TASER last year after the announcement of an SEC Investigation was made public included successive press releases by Class Action Attorneys filing Class Action Lawsuits questioning the integrity of the TASER Corporation and Management. TASER’s stock quickly ran into a tailspin as the $32.00 stock of December 31, 2004 was cut in half by the end of January 2005. The trading volume in the stock, 420 Million shares, represented nearly 8 Times the total shares outstanding and issued by the company and the pressures were all on the sell side.
It was reported last January that short sellers who had bet against the company and had continued to lose on the bet due to increasing business operations and company success prompted the SEC to Investigation TASER International. With growing losses the short sellers needed to create an event to reduce liability and what better event take place than to call upon your Federal Regulators to act on your behalf.
The December 2004 Short Interest in TASER was approximately 31 Million of the 60 Million shares outstanding. But the December Short Interest was being posted after a period of trading where TASER’s stock had run to over $50.00/share by the end of November from a low in the $20’s.
By the January 2005 NASDAQ Short Interest Reporting date, the stock had been cut in half in value and the reported shorts were now reduced by 30% to 21 Million shares. But in January TASER had more than just a sudden SEC Investigation to worry about, TASER was also listed on the first publication of the Regulation SHO threshold security list for excessive unsettled trades associated with short sales that could not settle.
The short sellers holding positions in a stock that continued to hold value were doing so without making good on delivery and the SEC had committed to Congress and the Public to correct the problems. The shorts did not want to take a loss so they manufactured a win, using the SEC as the vehicle, from on otherwise losing proposition.
Since the January 2005 Announcement of the informal SEC Investigation, and a subsequent announcement by the SEC in September 2005 raising the investigation from informal to formal, TASER has traded 21 times the total shares issued and outstanding and traded in a continuous downward direction. TASER has also remained steadfastly on the Regulation SHO list for 235 consecutive trade days with excessive levels of unsettled trades captured at the DTCC.
The Market Cap loss to the company since January 2005 has exceeded $1.44 Billion. The reported short position as of November 2005 was 17 Million shares.
So with this Holiday Spirit amongst us all, who better to thank for releasing TASER from the burdensome liability of stock manipulation than the Santa Clause to Wall Street Criminals, the Securities and Exchange Commission.
The SEC has aided the short sellers in knocking the stuffing out of TASER for this past year and has derailed TASER’s Business Operations by involving the Company in a yearlong engagement to defend false allegations of accounting and disclosure violations. The distractions only impaired the business and have resulted in the NASDAQ threatening to de-list TASER from the exchange.
But now the battle is over, the SEC witch-hunt on behalf of the short sellers turned up nothing. The SEC concluded that it is time the short sellers managed business on their own and the SEC has afforded them the luxury of starting this managed business at predetermined manipulated prices.
In our news papers we can read of the failed lawsuits against TASER over deaths associated with the use of their products. We can also read the numerous accolades that come with the successful non-violent police actions against criminals through the use of a TASER Stun Gun. Had it been up to the SEC and the short sellers, the company would be driven into oblivion and our nation’s law enforcement would be left shooting bullets into criminals instead of jolts of electricity.
It’s all about the money and not about the American Business.
In an armed robbery there is the robber that enters the bank and steals the money at gunpoint and then there is the conspirator waiting outside to drive the getaway vehicle. In our Securities Markets short sellers rob our nations businesses blind by selling excessive amounts of shares that they can’t deliver and then solicit the Securities and Exchange Commission to run a negative press campaign to turn those illegal trades into profit. The SEC responsible for driving the proverbial getaway car in the robbery.
Fortunately for TASER, the SEC driven getaway car ran out of gas before the company succumbed to the markets version of a death.
It is good to know that the SEC is looking out for the interests of the marketplace and has protected upside volatility in our markets by initiating a grandfather clause into Reg. SHO. It is only too bad that similar type regulations were not put in place that protected against the downside manipulations that transpire based on a malicious and inexcusable attacks initiated by our Securities Regulators on behalf of those selling illegally into our markets.
The 80% market cap loss in TASER was justified according to the SEC. To think those initial illegal trades would be forced cover at a loss if necessary was not. The question remains, who owned those fails and why did the SEC put those rights above the rights of TASER, their employees, clients, and investors.
Rest assured, this story is far from over.
For more on this issue please visit the Host site at www.investigatethesec.com .
Copyright 2005