CREW Alleges That Adam Feuerstein is Involved in Stock Manipulation Scheme in Regard to Northwest Biotherapeutics
Citizens for Responsibility and Ethics in Washington (CREW) have gone after Adam Feuerstein of The Street.com. They have accused him of taking part in a stock manipulation scheme in regard to Northwest Biotherapeutics and other biotechnology companies. I went to their website to get an idea of who they are. They refer to some of my articles in their blog. However, I have never spoken to them and did not know who they were until I was alerted to this article. This is how CREW describes themselves.
“CREW uses high-impact legal actions to target government officials who sacrifice the common good to special interests.
Many Americans have given up on our political system, writing off our elected leaders as crooks. At CREW, we believe politicians must be held accountable for their actions. Day in and day out, we work to ensure government officials -regardless of party affiliation- act with honesty and integrity and merit the public trust.
Citizens for Responsibility and Ethics in Washington (CREW) is a nonprofit 501(c)(3) organization dedicated to promoting ethics and accountability in government and public life by targeting government officials who sacrifice the common good to special interests.
We advance our mission using a combination of research, litigation, policy advocacy, and media outreach. CREW employs the law as a tool to force officials to act ethically and lawfully and to bring unethical conduct to the public’s attention through:
We accomplish our goals by marrying in-depth research and investigation with hard-charging legal action, policy advocacy, and an aggressive communications strategy. Our efforts are augmented by building coalitions to push for policies favoring transparency and accountability. To garner support for our efforts, we use all mediums of the modern media — television, radio, print, and social networking —to maximize coverage of our work.
It’s always easier to tear something down than to build it up, and building a better Washington is no different. We firmly believe, however, that a small group of committed citizens can change the world; it is the only thing that ever has.
Here is a blog that they wrote on July 29, 2014. http://www.citizensforethics.org/legal-filings/entry/crew-sec-investigation-manipulation-drug-company-biotech-stock-feuerstein
They have also sent this letter to the Enforcement Division of the SEC. http://www.citizensforethics.org/page/-/PDFs/Legal/Investigation/7-29-14_SEC_Feuerstein_Letter.pdf?nocdn=1
Tagged as Adam Feuerstein, Northwest Biotherapeutics Inc., NWBO + Categorized as Company Reports
Larry,
It is hard for me to believe that SEC will finally nail Adam for stock manipulation considering how long Adam has been bashing small biotech companies. My question is ” If SEC does go after Adam what are the possible consequences that Adam would face? Also would any of these consequences keep Adam from wanting to continually bash NWBO?”
The key issue for Adam is whether the SEC can tie the publishing of his articles to coordinated short selling before and after the articles. In particular, they would want to look at what is going on in “dark pools”. I am not expert in understanding dark pools, but traders have suggested to me that short sellers can create huge naked short positions with techniques that allow them to avoid the requirement to borrow stock within three days against their short position. I am told that there has been little attempt at compliance by the major banks that run the dark pools and the SEC has ignored this practice.
The question is whether the SEC will go to this degree of effort. In the past, they seem to have favored short sellers viewing this as a balance against over promotion of stocks. However, CREW and others who are likely to join the fray could force the SEC to take a hard look. This seems to be a case of short selling hedge funds possibly victimizing small investors and small companies involved in groundbreaking cancer research. It almost forces the SEC to investigate.
As for Adam, we know that his articles are all negative, are largely based on speculation, defame management and are peculiarly timed just after NWBO and other companies release positive news. There are two outcomes for him. If there is no tie to coordinated short selling. he is just exercising freedom of speech. However, if there is a tie to coordinated short selling and naked short selling programs, he stands the risk of being accused of fomenting. This could be serious. As for Adam in the near term, he will almost certainly step up the level of attack on NWBO. However, hedge funds may be much less aggressive in acting on his articles.
Larry,
If you happen to read this, thank you for the above post, which just personally, will result in nothing…
However, I would like it if you would respond to my invitation to NWBio to publish a “Shareholder
Letter” to me and other shareholders that would help us understand where things are at right now
with our company…….Particularly I am concerned and blinded to know about all the law suits that
law firms are trying to recruit shareholders who lost money on AF”s articles…1..Have any been filed??? 2. What is happening with the “L” trials in the US, UK and Germany??? What is happening with the reimbursement negoiations with the Germans for the “L” treatments? How many new hospitals have been approved to give it??? Has any treatments begun?? 3. Will they still release
data about “D” as it becomes available or have they stopped because of AF and the Dr. at MDA??
5….Does their announcement about expanding the “D” trial to other hospitals mean that MDA is
finished with NWBio and now persona non grata?? I think these are important questions that NWBio should address to us shareholders sometime soon…..What do you think??? I always
value your opinion……What do other shareholders who read this site think about my proposed
“Shareholder Letter”?? PS………I sent a similar request to NWBio and heard nothing back….
Cheers
The answers will come in due time.