Small Investors For Fair Markets:
We are a group of small investors who are concerned by the abuse and manipulation happening in our markets. This fraud is becoming rampant throughout our nation's financial systems, but the SEC, NASD and other regulatory agencies fail to recognize or accept it as a major problem. Naked Short Selling(NSS) or Fail to Deliver(FTD) has become one of the greatest risks facing the small investor and our economy today. This website was created to help in the effort to further the awareness of the issues threatening our equity markets and to inform people of what is being done or not being done to correct it.
In early 2004, we invested in a small Arizona company named Taser International(TASR) and by the end of 2004 we had a significant position in their stock. By late December of '04, Taser had risen to
an all time high of $32.59 and was looking very promising for the future. Then in January '05 things quickly reversed closing at $14.10 on January 11 and eventually was trading in the single digits by
April of '05. Several things looked very suspicious surrounding this stock's abrupt fall from glory and as with many investors, we were caught off guard by the sudden barrage of attacks on the company
and their stock.(see chart)
As more information began to surface about the drop and the possible reasons surrounding it, we started looking deeper into the issues. One of the issues being floated about
was Naked Shorting, or selling shares of stock and failing to deliver them. In our search for more answers we stumbled across the website NFI-Info.net where we found out more about Naked Shorting and what it had done
to a company called Novastar Financial Inc(NFI). Skeptical at first, we wondered how it could be possible, in America, that someone with blatant disregard for our laws could get away with this time
after time. We were surprised to learn that they were not only getting away with this, but using our regulatory system as part of their scheme to drive down the stock prices of these companies. It
was also interesting to see the link between new rules against naked short selling and hundreds of U.S. companies being listed on the Berlin-Bremen Stock Exchange without their knowledge in early to mid
Your feedback is important to us, because it is with your help and awareness of these problems that are going to lead to a real change. Several very good websites are also out there covering these issues and can be found on our Links page.