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May 4, 2006

Spamming Stocks

Serge Ollu says he is pissed off. As the vice president of HE-5 Resources Corporation, he has been besieged with angry emails and phone calls from people who have received mail from spammers urging them to buy shares of his newly acquired company. "Those guys have put me in a bad situation with their shitty spam," he tells Gelf.

That "shitty spam" is a message urging people to consider buying a stake in the company, which is currently selling for about a dime a share on the NASDAQ pink sheets. The fake forward-looking statement tacked onto the bottom of the email includes the following amusing text:

We have received two million free trading shares from a third party not an officer, director or affiliate shareholder. We intend to sell all our shares now, which could cause the stock to go down, resulting in losses for you. The company has: a nominal cash position, no revenues in its most recent quarter and is not an operating company. There is substantial doubt about its ability to to [sic] continue as a going concern. A failure to finance could cause the company to go out of business. This report shall not be construed as any kind of investment advice or solicitation. You can lose all your money by investing in this stock.

Despite the obvious ridiculousness of the text, Ollu says he is not amused. "I'm like an idiot sitting here in my chair taking calls back-to-back," he says. "I have spent so much time on this crap, it's incredible." Ollu is based in Montreal, though HE-5 is based in Carson City. The company seeks to invest in mining projects, and, according to Ollu, currently owns three sites containing 18 different claims.

But the spam, much of it in the last two days, has made it impossible for the company's plans to proceed, at least according to Ollu. Ollu says he has had to delay announcements about a recent joint venture, his financing from the first quarter of operations, and even the opening of a mine. "I have to build my credibility," he says, worrying that the spam will cause investors to withhold the $3 million it will take to start operations.

Ollu says he has talked to numerous people from spam-blocking companies in his efforts to end the stream of email, but to no avail. "They said I can do nothing," he says.

But, at the start of next month, he says he will have access to the names of everyone who has bought or sold shares in the company. "I will have a list of transactions and I will see if it's normal," he says. "If I see a guy who sells two million shares, I will know immediately that's him. I don't know if there will be any legal repercussions, but then at least I can tell my investors something."

He may be onto something. According to Market Wire, more than two million shares of HE-5 Resources were traded on May 3, right after the spam started flooding mailboxes. The previous high had been just over 200,000.







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- Internet
- posted on Apr 06, 07
stopscams

Well Hrrn is a product of andrea cortalezzi a convicted fraudster and associated with the hells angels. glxi,hrrn,csjj.............


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