Alfred Little Takes Down Silvercorp Again With Full Report Detailing Company's "Substantially Inflated" Earnings

Tyler Durden's picture

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gojam's picture

Alchemy bitchez!

trav7777's picture

only an idiot would trust China with his money

Pladizow's picture

How much of your money does China hold?

strannick's picture

Alread Little is a short who was spooked by the companies stock buyback. Another of their silly claims in this bogus 'report' is that Silvercorp's silver grades are lower than stated because Alfread Little looked at some material that fell from one of Silvercorps trucks.

spiral_eyes's picture

I won't comment on the veracity of all of this...

But I'm glad I got into Silvercorp at $4, and out at $14. 

DormRoom's picture

read the open letter by the CEO about today's allegation:

 

http://www.marketwatch.com/story/silvercorp-turns-corner-on-short-distor...

 

Maybe you'll jump back in and gain a quick 100% when the shorts get squeezed.

bigkahuna's picture

I have been buying all I can for the last week. In fact, I have not seen anything look so much like a sure thing since I used skf to make a bunch of money about 6 weeks ago. As soon as Silvercorp started buying tens of millions of it's own shares back and then cancelling them, I have pretty much gone all in.

We'll see at the end of the month if I'm right. 

JW n FL's picture

 

 

trav7777

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JW n FL's picture

 

 

Keiser Report

http://www.youtube.com/watch?v=OJAjTa_u7Ns

Silver Corp CEO is gonna Die Fighting! whoever is telling the truth? Oops! I mean sending phoney (real{ish}) documents to everyone! LOL!!

Notice all the hot air and NO!! release of information??

I did.

Pegasus Muse's picture

As many long-suffering gold & silver mining equity holders know there is a constant drumbeat of rumor mongering and naked short selling in the junior miner space.  It just goes with the territory since neither the SEC nor the Canadian equivalent will go after these white-shoed criminal fraudsters. 

Rather than drawing conclusions based soley on the posting above you might want to listen to these two interviews that came out over the weekend on Jim Puplava's Financial Sense website.  They will give you some insight into the underhanded shenanigans criminal "operators" use to manipulate the share price of targeted mining companies. 

Disclosure:  I have never owned shares of Silvercorp Metals, though after listening to these broadcasts I may be a buyer soon.

==========

Silver Stocks - Fraud or Manipulation? Expert panel discussion: Dr. Keith Barron, Dr. Leanne Baker, David Morgan, Chen Lin, and David Bond

In a special broadcast, Jim is joined by famed exploration geologist Dr. Keith Barron, Dr. Leanne Baker, Managing Director of Investor Resources LLC, silver expert David Morgan of the Stone Investment Group, analyst and metals newsletter editor Chen Lin, and silver expert and editor of SilverMiners.com David Bond to discuss recent fraud allegations against several silver companies, particularly Silvercorp Metals.

http://www.financialsense.com/financial-sense-newshour/guest-expert/2011/09/17/02/silver-stocks-fraud-or-manipulation 

====

Silvercorp Responds to Allegations In-Depth Interview with Lorne Waldman of Silvercorp Metals Inc., as well as Robert Archer of Great Panther and Jason Reid of Gold Resource Corp.

 

http://www.financialsense.com/financial-sense-newshour/guest-expert/2011/09/17/03/lorne-waldman-silvercorp-responds-to-allegations  

yabyum's picture

Pegasus, Junior miners have driven me crazy. Manipulation both outside and inside, criminal fucks all of 'em. I'am LONG PRILOSEC!!!!

JW n FL's picture

 

 

ALL MINING STOCKS  ARE FOR LOSERS!!

 

UNLESS YOU ARE A PRINCIPLE YOU WILL NOT MAKE ANY REAL MONEY!!

BUY PHYSICAL METALS!!

 

DO NOT BE A SUCKER!!!

DormRoom's picture

interview with SVM corporate secretary who refutes each allegation point by point here:

http://www.financialsense.com/financial-sense-newshour/guest-expert/2011...

JW n FL's picture

 

 

Keiser Report

http://www.youtube.com/watch?v=OJAjTa_u7Ns

Silver Corp CEO is gonna Die Fighting! whoever is telling the truth? Oops! I mean sending phoney (real{ish}) documents to everyone! LOL!!

Notice all the hot air and NO!! release of information??

I did.

JW n FL's picture

 

 

ALL MINING STOCKS ARE FOR LOSERS!!

 

UNLESS YOU ARE A PRINCIPLE YOU WILL NOT MAKE ANY REAL MONEY!!

BUY PHYSICAL METALS!!

 

DO NOT BE A SUCKER!!!

DormRoom's picture

SVM provides documentation: Chinese VAT receipts, and SAIC filing to show Alfred Little allegation are based on false data.

 

see SVM Sept 2 news release.  If you're bullish on silver, SVM is undervalued, from the recent shorting, and allegation by the Chinese-short wolfpack.

Raphio's picture

also - expert panel hosted by Jim Puplava and David Morgan draw conclusion that fraud allegations are false and based spurious data from short sellers

http://www.financialsense.com/financial-sense-newshour/guest-expert/2011...

Cognitive Dissonance's picture

Is there nothing 'real' in China? Other than 1.331 billion people (2009) that is.

SeverinSlade's picture

Tyler,

Can you comment on the following?

1. So far, Alfredlittle.com and Mr. Anonymous refuse to comment on high grade ore going directly from the mines to the smelter.

2. The silver content has been "verified" by two men standing on the side of the road, picking up dust and pebbles and taking to a lab to be analyzed.  First off, all of the ore bound for the mill should be expected to be of lower silver concentration as it does not include the high grade ore mentioned in the previous question.  Second this analysis cannot be considered credible due to the extremely low sample size.  Had these reports been based on analyzing tons and tons of ore then it'd be somewhat valid.

3. If the company is actively engaging in fraud why have they paid out taxes to the Chinese government that are consistent with their reported revenues and silver production?

4. The Canadian authorities have asked alfredlittle.com and Mr. Anonymous to come forward and participate in the ongoing investigation.  To date, no one has stepped forward.

5. All of these reports have been leaked anonymously and all contact information is being shadowed by a proxy. 

6. If the authors behind these reports are in fact credible why do they continue to lurk in the shadows?

DormRoom's picture

common sense please.  samples off the side of the truck is not scientific.  videos of truck loading from far away, so you can't tell if the trucks have been overloaded, weakens the claim.  Full documenation backing SVM against allegation from Albert Little.

 

Albert Little & Bronte Capital & Muddy Waters are likely working with a hedgefund, playing put/put-call spreads to profit off the options market, as they short in the equity market. Seems to be working for them.  share price are down 30-40%

flacon's picture

This is sick man. The TRUTH in this day and age is so shrouded. 

sunwheel's picture

All this dirty tricks, are not working anymore with this Company, I am susprised to see this great site to support this kinf od totally fake reports.

SeverinSlade's picture

Agreed.

I caution Zerohedge from getting involved in this ongoing story especially when taking the side of some unknown anonymous websites.  So far all of the claims in these reports have been refuted.  This most recent report pretty much regurgiates the same claims from the previous.  It seems that their most "damning" allegations are counting trucks bound for the mills being lower than expected...even though the reports fail to comment or even acknowledge high grade ore being sent directly from the mine to the smelter...

JW n FL's picture

 

 

Keiser Report

http://www.youtube.com/watch?v=OJAjTa_u7Ns

Silver Corp CEO is gonna Die Fighting! whoever is telling the truth? Oops! I mean sending phoney (real{ish}) documents to everyone! LOL!!

Notice all the hot air and NO!! release of information??

I did.

stacking12321's picture

i disagree.

the claims, even if false, are real news that have a real effect on share price and public perception.

also, the discussion of said claims, allow readers to have a better understanding of the situation.

this is good tradeable info.

oc's picture

All refuted.

Looks like the shorts are getting desperate.

 

 

you enjoy myself's picture

yeah, still going through the whole "new" report right now, but this appears to just be a rehash of AL's earlier summary.  all of which was prety thoroughly (and quickly) refuted by SVM.  especially hilarious is AL's claim of lower than reported silver content -- they randomly grabbed a couple rocks that fell off of some trucks and submitted them for testing. 

swissaustrian's picture

David Morgan is on the other side of the trade. He defends the company.

Temporalist's picture

I believe SVM is/was also a Schiff holding (EuroPacific).

Habecki's picture

I don't get the trust people have in the likes of David Morgan and other visible precious metal bulls.  The guy charges thousands of dollars to be his friend, this is laughable.  His forecasts are equally laughable, I read a piece a month or so ago where he was throwing at the idea silver would collapse to 5 dollars but then shoot to 80.  WTF type of prediction is this? 

 

swissaustrian's picture

Thousands of $ for what?

the basic membership is $129.90 a year: http://www.silver-investor.com/amember/signup.php

Where did he make that $5 prediction? Never heard of that. He said the 50 dma ($ 35) would be his worst case for the year recently.

Stick to the facts ;-)

Habecki's picture

David Morgan: "It is getting more difficult to predict what the market reaction will be to specific events. As people figure out that there really is no solution to the global financial system without a great deal of pain and some defaults along the road, more will seek the safety of precious metals. So, even when things calm down for the moment, it does not mean the precious metals will not get pushed down. You could see gold and silver react to the downside, perhaps dramatically—$5/ounce (oz.) silver is not entirely out of the realm of possibility. My best guess is we will see some pullback going into mid-August.

 

Hows that?  The guy throws out 5 dollars as a possibility, this is from just a couple months ago.  What is his motivation throwing out such a ridiculously INSANE low number like this?  Is he simply an idiot?

tmosley's picture

You have bolded the wrong portion.  Look at the sentence before that.  He is predicting price manipulation.  There is nothing at all far fetched about that.  If the entire bulk of the money printing apparatus were to turn to shorting silver for a short time you would in fact see $5, but the explosion that follows would make $80 look the same as $6.

I myself have made similar predictions, and I have never read anything by the man.  

Raphio's picture

Morgan is saying that that silver could react $5 an ounce to the downside - not go to $5 an ounce in price. I have been following him this year and his most dire prediction was that silver could hit it's 200DMA, which at the time was $28 - this was in June

Habecki's picture

That is your interpretation, its unclear at best.  Considering silver had just dropped 15 dollars in the past couple months when this interview was conducted the use of the word dramatic at that time would fit my interpretation he meant 5$ an ounce, not a drop of that amount.

Habecki's picture

And what about his "Premium" service which includes personal email/phone contact information? Or even more laughable his "Elite" service for which the price is so disgusting it can't even be listed.  But for that package you get be his friend with the right to call him anytime during business hours.  Unreal.

 

Premium Membership (Yearly) ($999.99)
Annual Membership (Billed Yearly) SAVE 17%
You receive everything in the Basic Plus membership plus... You become a Master Mind Series Member -- A Monthly Teleconference with David Morgan (Recorded and Transcribed). You'll also receive any recorded Keynote Speeches, Workshops, Webinars, Teleconference free of charge, Priority access to live Webinars & Teleconferences, Direct access to David's private email with priority response, and exclusive use of The Morgan Report Alert System (Instant Alerts right to your desktop)

 

Elite Membership (Yearly) (Email for Details) ?????
Annual Membership
Our Elite Membership includes everything in the Premium Membership PLUS...  David’s private phone number where you receive nearly total access to David. You can call anytime during normal business hours. If you are a Fund Manager, or very high net worth individual, this service is invaluable.  This is a one time charge for the year and you will have to renew each year. Please email support@silver-investor.com for details on pricing.

tmosley's picture

Lots of people do that.  What is your point?

Or do you think that the time of businessmen should be given away for free?

ffart's picture

He's a PAID analyst. People pay him for his advice. If you don't want his advice, you don't have to pay anything. You fucking idiot.

Matthew C's picture

Jesus.  Are the folks at ZH short?  Another anonymous report, with yet more "details", same as last week.  This is getting old. 

Zola's picture

Careful Tyler, this fraudcap story sounds very dodgy... Looks like a short raid manipulation...

medicalstudent's picture

was going to buy at 6.35, but ill hold my tinka for now, thanks.

Habecki's picture

For whatever reason a lot of blind belief in SVM here and on other forums.  Personally I find some of the allegations about this company a little alarming.  And the defense of the company from silly newsletter writers and analysts doens't make it go away.  You can disagree with how the short sellers are doing business but to say all the red flags have been addressed/refuted and everything is A-OK with this operation is crazy.

 

Here was a report from the first anonymous letter described in the initial PR defense from SVM.  I find this one a little better written than the Alfred Little reports.

http://blog.geoinvesting.com/?p=2724

 

swissaustrian's picture

silly newsletter writers and analysts

David Morgan is one of the most trustworthy persons I know in the mining industry. His stockpicks have been very good. I´m a subscriber to his newsletter for 8 years. Jim Puplava isn´t a lightweight either.

 

 

 

Habecki's picture

David Morgan: "It is getting more difficult to predict what the market reaction will be to specific events. As people figure out that there really is no solution to the global financial system without a great deal of pain and some defaults along the road, more will seek the safety of precious metals. So, even when things calm down for the moment, it does not mean the precious metals will not get pushed down. You could see gold and silver react to the downside, perhaps dramatically—$5/ounce (oz.) silver is not entirely out of the realm of possibility. My best guess is we will see some pullback going into mid-August.

 

This is your respected analyst?  The guy gives out mining shares, of course his picks are doing good, virtually every silver miner is in a serious uptrend.  Also worth mentioning how this guy turtles up everytime the topic of silver manipulation comes up.  You'd think as a so called silver bull he would be all over this subject and yet everytime its brought up he goes out of his way to avoid it completely and even dispel the "myth".