Pump and Dump

Discussion in 'Trading' started by forsalenyc, Jun 17, 2011.

  1. My question is.....if you suspect someone of 'pump and dump scheme', can you report this person to the SEC? Is there a clear guideline as to what qualify as a pump and dump? What kind of evidences do you have to provide in order to report someone? any tips will be appreciated.
  2. You'd need - proof that the shares were held by this person or firm .. and that shares not reported by the person or firm were also being held with intent to control them under other peoples or other firms names....

    But good luck. Take a look at deepcapture.com, that site is proof that no one at the SEC cares about anything.
  3. Thanks for the reply. In other words, even if this person has told me that he accumulated shares prior to tipping others, I can't use this as evidence? There is no way I can get physical evidence such as trade reports.....
  4. Well, if he accumulated a significant share of the float... like 100000s to millions of shares... you could maybe go somewhere with that...without the trading report...but unless its a consistent pattern or millions of dollars at risk, I doubt they would do anything.