Back in February, we wrote about how penny stock wunderkind Tim Sykes has stumbled upon a pump-and-dump scheme for a company called NXT Nutritional Holdings Inc (NXTH).Shaq was in their promotions as a compensated spokesperson and the whole thing reeked of trouble.
That man behind the NXT promotions was Jarrett Wollstein and now he’s back helping promote a company called Mesa Energy Holdings Inc (MSEH), which is an oil and gas exploration company.
This time, however, instead of using a basketball star on promotional mailers, he’s using two new members of Mesa’s advisory board: former NY Governor George Pataki and former NY Senator Nicholas Spano. From The New York Observer:
In the two weeks since Mr. Pataki joined Mesa, two brightly coloured promotions touting his involvement have been making the rounds. “Urgent,” says one. “You can profit from America’s New Energy Revolution. Discover how Mesa Energy Holdings could skyrocket 545% in the next 12 months.”
“Even former New York Governor George Pataki,” says the other, “has been leading the charge.”
This has all the makings of a pump-and-dump operation similar to NXTH.
Get a high-profile public figure, compensate them in some way, plaster them on promotions, and watch the stock fly up. Right now, the stock is trading at $2.79, up 4.5% today alone. A one month chart (shown below) looks like a mountain ridge, with rising slopes and sharp drops. We’ll monitor Mesa Energy Holdings to see what happens.
Photo: Google Finance
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