From Stockwatch...(and the TD Action Notes Report) for those that haven't seen it - an interesting explanation for the escalated action. Was it that simple?
Abby Badwi's Bankers Petroleum Corp. (BNK) added seven cents to $1.79 on 3.7 million shares, on top of the seven cents it added yesterday. It is trying to rally from its 45-cent loss on Friday in the wake of a tax feud with the Albanian government. The government disagrees with the way Bankers recorded nearly every penny of its 2011 spending, is demanding $75-million (U.S.) in tax and froze the company's bank accounts last week. Bankers announced yesterday that it had obtained an injunction from the International Chamber of Commerce to revoke the suspension of the bank accounts. It then held a conference call to try to soothe investors. Operations are continuing normally in Albania, and both the company and the government remain committed to a third party audit that has already begun and should take another five to six weeks, said management. It seemed mystified as to why the dispute got so out of hand. "It is worth noting that for the very same type of audit conducted for prior years [before 2011], no more than 3 per cent of eligible expenses were contested ... the majority of which were less than half a per cent," it said. The fact that nearly all of the 2011 spending is under dispute is odd. TD Securities analyst Shahin Amini has a theory on this. In a new research note, he pointed out that Albania is trying to join the European Union, but took a hit a few weeks ago when the International Monetary Fund said the country needs to improve its tax compliance. This might explain the tax authority's sudden gusto.