Securities FraudA very serious and punishable offensive if convicted in Canada and US. Of course, most people get away with it (2008 for example), but CGX over the past eight months has proven to be a classic example of security maniupulation in my opinion. The past month has been even more outrageous.
Catalyst Capital (CC) has spent a large amount of time in court over the past couple years, as per online articles and available court documents Their business practice, it appears, is very maniupulative and illega. The actions with CGX stock, and the overwhelming impact CC exerts on Frontera, make me believe that illegal activites with CGX are also ongoing.
The news release, as crytpic and perhaps dissapointing as it was, should have only warranted a 10% drop at best. 200ft of hydrocarbons still exist and the primary zone (Horizon 23, Santonian) is believed to have liquid potential (either oil and gas condendate). Either this news release is misleading/contains false information (and hence insiders/money managers are tanking the stock hard) or its being manipulated downwards by short sellers looking to make a massive profit. Either way, the events this morning are inexcusable and I hope the securties commission starts looking into this stock and the actions of all major parties concerned.
Perhaps this is why Tarilisa (former CFO) left? She saw the underhanded nature of CC/De Alba and wanted nothing to do with the illegal activites being perfomed. She recieved a tremendous amount of critism online, but perhaps she knew a lot more of what was happening than we truly knew at the time.