PrimeHoldings.com Signs Letter of Intent to Acquire Telecommunications Network

PrimeHoldings.com Signs Letter of Intent to Acquire Telecommunications Network

Thursday September 28, 10:39 AM EDT

SALT LAKE CITY, Sep 28, 2006 (BUSINESS WIRE) -- PrimeHoldings.Com, Inc. (PINK SHEETS:PMHJ) a diversified holding company with early mover initiatives in the oil and gas and telecommunications industry, today announced it has executed a letter of intent to acquire an existing telecommunications operation. The contract is expected to be finalized within the next thirty days.

"With the pending capitalization opportunities we feel this potential acquisition should provide a strong re-entry into the international telecommunications market and is in line with the company's previously stated growth strategy," stated Thomas Aliprandi, CEO of PrimeHoldings.com.

More information about PrimeHoldings.Com can be found at http://www.stockinformationsystems.com/c/PMHJ/index.html

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995

Statements in this press release relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments, and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, risk factors inherent in doing business. Forward-looking statements may be identified by terms such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "forecasts," "potential," or "continue," or similar terms or the negative of these terms. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. The company has no obligation to update these forward-looking statements.

SOURCE: PrimeHoldings.Com, Inc.

CONTACT: PrimeHoldings.Com, Inc. Thomas Aliprandi, 801-755-6859

Copyright Business Wire 2006

More Fuel for the Fire

The Link:

http://www.faulkingtruth.com/Articles/Investing101/1066.html

The Return of the Lying Liars
by Mark Faulk

One month ago, I wrote one of those articles where I go out on a limb and spout off something extreme for the sake of getting the masses up in arms…and then later I secretly hope I didn’t go too far in my comments. In the case of stock market fraud, and the underlying government incompetence that is the real root of the problem, every time I thought I was over the top in my opinions, something has happened to not just make me look downright prophetic, but to actually make me seem conservative in my statements.

Here is the latest hyperbole turned understatement: In the article titled “Once a Liar, Always a Liar,” I opened with “From now on, don’t believe a word of anything the SEC tells you. Chances are, they’re lying.” From there, I went on to tell the story of Global Links Corp., and how Dave Patch received, under the Freedom of Information Act, evidence of massive failed deliveries by brokers in the company’s stock. In other words, they sold millions of shares of Global Links stock to their customers…but never actually purchased it OR delivered it (and we wonder how the major brokerage firms manage to continue to make record profits year after year in a stagnant market).

From the same article:

The SEC has been caught covering up fraud, plain and simple. And if they’ve done it once, chances are they’ve done it a thousand times. Once a liar, always a liar. If there’s any justice left in America whatsoever, Congress will launch an immediate investigation into this scandal, and the media coverage will trigger a public outcry that will topple the hierarchy from Wall Street to Washington.

If that weren’t enough, in the “Once a Liar” article, we quoted from another article from a year before that one, commenting that the information that Patch obtained made that article look prophetic:

Over a year ago, we put it this way:

“Where did those brokers expect to find the shares to cover those trades, since they DIDN'T EXIST? Answer: they didn't expect to cover those trades, just as they haven't covered trades in thousands of other companies' stock for years. They expect the SEC and DTC to just let them get away with criminal counterfeiting, because THAT'S HOW IT'S ALWAYS BEEN.”

Then, today, the SEC (the lying liars that they are), in an article from HedgeWorld.com, said in reference to the proposed changes to Regulation SHO, that it had "’achieved substantial results,’ significantly reducing FTDs without disruption to the markets.” And once again, Dave Patch has the SEC eating their own words, something he’s become extremely adept at over the past few years. Just two days ago, Patch received another stunning bit of information via the Freedom of Information Act. The failed to delivers rceords for the New York Stock Exchange show that from January 3, 2005 (the date that Reg SHO was implemented) to May 31, 2006, that the rate of fails did drop…by LESS THAN ONE TENTH OF ONE PERCENT. And according to the data, at one point, the number of FTDs spiked from the average of 65 million to over 172 million. And if that wasn’t enough, the number of companies on the list actually increased from 553 companies to 590.

One –tenth of one percent. This is what the SEC describes as achieving “substantial results”? This is their idea of “significantly reducing FTDs without disruption to the markets”? If that is indicative of the SEC’s standard for success, I don’t even want to know what they would consider abject failure.

Here’s a funny sidenote from the HedgeWorld.com article. They devoted a substantial part of their article to quoting from a comment letter submitted to the SEC on proposed changes to Reg SHO by one James Brownfield, a small-time hedge fund con artist who delights in following me around and bashing me at every turn, and who used to delight in sending emails bragging about the various companies that he was taking naked short positions in. Not surprisingly, in the Hedge World article, Mr. Brownfield (known on message boards, where he seems to live 24/7, as “Jimmy B”) seems to believe that Reg SHO is nothing more than a hindrance. Come to think of it, having a pathological liar come to the defense of the SEC makes perfect sense.

Meanwhile, in another “we all look like prophets” episode, Christopher Cox commented on the lack of hedger fund oversight in the aftermath of yet another hedge fund collapse, this time involving Amaranth Advisors, who lost more than $4 billion dollars in less than three weeks. After testifying to the House Financial Services Committee, Cox told reporters that the SEC is developing emergency rules to reinstate other aspects of the court-rejected rules governing hedge funds, to which I responded on an email message thread (yeah, I’m quoting myself, get over it):

"Cox said the SEC is developing emergency rules to reinstate other aspects of the rejected rule."

Pardon my language but.....ARE YOU F*CKING KIDDING ME?????

After 3 years of screaming at the top of my f*cking lungs about this (and even longer for some of these so-called crazies), this is suddenly an "emergency"?

This makes me sick to my stomach.

Sometimes I wonder if we’re all beating our heads against a brick wall here, chasing a lost cause, charging at windmills. Then, I see the progress that’s been made by advocates of stock market reform, the growing list of those who have put themselves on the front line of the battle, and the growing outcry from the millions who have joined our cause, and even the increased scrutiny of the SEC from a few courageous Congressional leaders, and I realize that ultimately, we will win the war to take back our country from the clutches of greed and corruption. We will win because we’re too stubborn to give up, and more importantly, we will win because we’re right.

As for those in our federal government who are supposed to be protecting our country’s interests, I might as well close with exactly the same ending that I used a month ago, since Cox and his cronies at the SEC, and everyone else who either perpetuates or condones this travesty, continue to prove my point every time they open their collective mouths:

This reeks of a massive cover-up, one that extends all the way from Wall Street to the SEC, and one that implicates those in Congress who have allowed it to continue unchecked. Wall Street robbed America, the SEC covered the tracks, and the media concocted the alibis. And Congress turned a blind eye to the entire robbery.

One more time, for good measure: If it’s happened once, then it’s happened a thousand times.

Once a liar, always a liar, and that’s the Faulking Truth.


--------------------------------------------------------------------------------

This article is also posted on Mark Faulk’s blog at The Sanity Check, along with an excellent comment section, at:
http://www.thesanitycheck.com/Blogs/MarkFaulksBlog/tabid/86/Default.aspx

Add your name to our mailing list on our homepage, and we'll update you on developments in the Stockgate scandal.

Mark Faulk is the Editor of The Faulking Truth, and the author of the upcoming book entitled "The Naked Truth: Counterfeiting the American Dream," due out in late 2006 (yeah, the date keeps changing....we're waiting for SOMETHING to happen with the company). For more information on the book and on the stock market scandal, go to http://www.faulkingtruth.com , and to pre-order your copy, go to http://www.theownersgroupinc.com/cart/

NSS Reference

http://www.rgm.com/shortselling.html

RGM Communications Inc.
#307 - 475 Howe Street
Vancouver, BC, CanadaV6C 2B3
http://www.rgm.com/

Listed below are a large number of public information articles and reports detailing the brokerage houses, marketmakers and the conduct of the main "street" characters engaged in the illegal practice of "naked short selling", "death-spiral financing" and/or stock fraud. This page is a resource for anyone wishing to educate themselves regarding the depth and breath of these illegal activities. Please note that some of the articles may have been added out of time sequence because they were discovered weeks or months after publication. All the dates are, to the best of our knowledge, when they came into the public domain. If you find additional public information elsewhere on this subject, please forward the published information or hyperlink to rgodwin@rgm.com for review and posting.

Thank you.

For another excellence source of information regarding "naked short selling" please reference http://www.thesanitycheck.com/.

Notice to all Shareholders and Companies affected by Naked Short Selling and Illegal Trading Conduct. Add your voice and be part of the solution. Please sign the on-line Petition at http://www.investigatethesec.com and help to institute an independent investigation into the misconduct of the Securities and Exchange Commission (SEC).

In signing this petition, you are requesting that there be an independent investigation by the United States Congress or Senate into the conduct of the SEC regarding the manipulative, abusive and illegal trading practice known as "naked short selling". This petition also requests that they also investigate why this illegal trading practice has been allowed to exist by the SEC for over a decade without any significant enforcement.

As John Kenneth Galbraith stated in his book, The Great Crash 1929: "Regulatory bodies, like the people who comprise them, have a marked life cycle. In youth, they are vigorous, aggressive, evangelistic, and even intolerant. Later they mellow and in old age - after a matter of 10 or 15 years - they become, with some exceptions, either an arm of the industry they are regulating or senile."

Since at least the mid 1990’s, the SEC has been aware of naked short selling and has failed to adequately respond to investor and Company complaints alike. In recent years the Federal Bureau of Investigation, the Royal Canadian Mounted Police and the SEC have conducted numerous investigations into naked short selling and have followed these illegal stock sales through to money laundering and other illegal schemes. As a result of the lack of diligent enforcement of their own trading rules by the SEC, every private investor has had their financial integrity jeopardized. Whether its private ownership of common shares, ownership of a mutual fund or participation in a company pension plan, every investor is having money stolen from their pocket by these criminal schemes.

By their lack of enforcement and passive neglect, the SEC is therefore guilty of aiding and abetting criminal activities.

Since the SEC has failed to take adequate counter measures to stop illegal short selling and trading by members of the financial investment industry, we are demanding an independent examination by the United States Congress or Senate as to the reasons for their years of inaction.

Year 2006

Letter to SEC proposed "Amendments to Regulation SHO"By NCANS (The National Coalition Against Naked Shorting)September 5, 2006

Forbes.comNaked Justice?By Liz MoyerAugust 29, 2006

Letter to SEC proposed "Amendments to Regulation SHO"by Susanne Trimbath Ph.D.August 29, 2006

Bloomberg.comNaked Short Sellers Hurt Companies With Stock They Don't HaveBy Bob DummondAugust 4, 2006

Bloomberg NewsGo Short, Mildred - the Kids Are Taking OverBy Susan AntillaAugust 3, 2006
Reuters News ServiceEight Wall Street Stockbrokers Indicted for FraudBy Jeanne KingAugust 2, 2006

New StatesmanLondon, EnglandSell-Out - Why Hedge Funds will Destroy the WorldBy Janet BushJuly 31, 2006

The Globe & MailFairfax the Latest to Join Fight on Hedge FundsBy Sinclair Stewart and Paul WaldieCopy of the Fairfax Financial lawsuitJuly 28, 2006

Forbes.comHedge Fund HellBy Liz MoyerJuly 28, 2006

San Gabriel Valley TribuneLawsuits Accuse "Prime Brokers" of Securities FraudBy Wayne JettJuly 19, 2006

Forbes.comCovering Up Naked ShortsBy Harvey PittJuly 11, 2006

New York PostDismantle the SECBy Christopher ByronJuly 3, 2006

New York PostMorgan's Lawyers were "Handcuffed"By Paul TharpJune 29, 2006

St. Paul Pioneer PressDeutsche Bank Settles Fraud CaseBy Sheryl JeanJune 29, 2006

Forbes.comHedge HogsBy Liz MoyerJune 28, 2006

The GuardianInvestigator claims he was Fired for Hedge Fund InquiryBy Andrew Clark in New YorkJune 24, 2006

Letter from Gary J. Aguirre, LL.M to Chairman Christopher Cox, S.E.C., September 2, 2005and theSubcommittee on Securities and Investment May 30, 2006

The New York TimesS.E.C. is Reported to be Examining a Big Hedge FundBy Walt Bogdanich and Gretchen MorgensonJune 23, 2006

The Financial TimesPrime Brokers Selling Hedge Fund ExposureBy Gillian TettJune 22, 2006

Bloomberg.comRefco Bank Hid $1 Billion Loss From Hedge Funds, Arafat CasinoBy Vernon Silver and Otis BilodeauJune 22, 2006

Bloomberg NewsPrison Sentence for a Short-SellerJune 20, 2006

Pasadena Star-News“Phantom” stock shares lead to civil suitBy Wayne JettJune 16, 2006

MarketWatchNaked' Short Selling is Center of Looming Legal BattleBy Alistair BarrJune 14, 2006

The Lincoln Journal StarBrokers in an Uproar over Utah Law Cracking Down on "Naked Short Selling"By The Associated PressMay 28, 2006

The Salt Lake TribuneBill would Crack Down on illegal "Naked Short Selling"By Bob Mims May 24, 2006

United States Government Indictment for Milberg Weiss Bershad & SchulmanMay 19, 2006

Canada StockWatchSEC names Deephaven Capital in Shorting SuitMay 3, 2006

The Financial TimesBawag Admits Closer Links to RefcoApril 28, 2006

Canada StockWatchZi guy Lauer asks U.S. court to clarify contempt orderby Lee M. Webb April 26, 2006

The Philadelphia InquirerMasterminding a firm's demise?By Todd MasonApril 23, 2006

The Globe and MailThe Banker, his Buddy, a CEO and a Crippling Stock ScamBy Paul WaldieApril 21, 2006

Canada StockWatchIDA, BCSC and RS fine Union Securities $1.77-millionApril 18, 2006

Vodia Group LLCPrimer on Hedge Fund Legal ActionsBy Josh GalperApril 17, 2006

HedgeWorld.comSEC Issues Guidelines on Subpoenaing ReportersBy Christopher FailleApril 12, 2006

The Brussels JournalAustrian Bank Scandal: When Socialists Play With MoneyBy Chris GillibrandApril 4, 2006

Canada StockWatchSEC-aided Mob Bucket Shop Bust Surprises Brokerageby Lee M. Webb March 30, 2006

Canada StockWatchSEC Helps Nab Alleged New York pump and dump MobstersBy Lee M. WebbMarch 24, 2006

Canada StockWatchElgindy makes Final Leniency Pleaby Lee M. WebbMarch 22, 2006

Bloomberg.comRefco Probes Lead to $525 Million in Phantom Bonds, Hedge Fund March 15, 2006

Canada StockWatchSEC Shorting Target was Served by Canadian Brokerby Stockwatch Business ReporterMarch 14, 2006

New York PostCIA Money TrailBy Chris ByronMarch 13, 2006

Bloomberg MarketsCorporate Voting CharadeBy Bob DrummondApril 2006

New York PostSEC: Gone Fishin'By Chris ByronMarch 6, 2006

Canada StockWatchElgindy Slammed by U.S. AttorneyBy Lee M. WebbMarch 3, 2006

The Globe and MailA Boxer and Drug Baron's Unlikely AllianceBy Leonard Zehr and Paul WaldieMarch 2, 2006

The Globe and MailNew Legal Strategy: Show your Hand EarlyBy Jacquie McNishMarch 1, 2006

Houston ChronicleCorporate reform dead; SEC chief should resignBy Loren SteffyFebruary 28, 2006

The New York TimesClaiming Stock Manipulation, Biovail Sues Hedge FundBy Jenny AndersonFebruary 23, 2006

Biovail CorporationLawsuit filed in New Jersey Superior Court February 22, 2006

TheStreet.comTradeStation Caught Up in Shorting ProbeBy Matthew GoldsteinFebruary 20, 2006

New York PostNaked Shorting TargetedBy Roddy BoydFebruary 16, 2006

ReutersJPMorgan faces $2.2B Fraud Lawsuit over BondsFebruary 3, 2006

The Boston GlobeManipulation and Markets By Steven SyreJanuary 31, 2006

Canada StockWatchTSX-V's Global hears client Elgindy plead for leniencyBy Lee M. WebbJanuary 26, 2006

Bloomberg.netSilver Trader Armstrong Seeks to Get Out of Jail After 6 YearsBy David GlovinJanuary 24, 2006

The Philadelphia InquirerSuit blames hedge fund for shares' declineBy Todd MasonJanuary 18, 2006

Year 2005

Pending Settlement Announced in MJK Clearing LitigationMJK Clearing settlement motion.pdfDecember 21, 2005

Canada Stock WatchEntourage bows out of one bowser CMKM Diamonds dealby Lee M. WebbDecember 6, 2005

Canada Stock WatchCMKM Unveils Liquidating Master Planby Lee M. WebbNovember 7, 2005

Time Inc.Watch Out, They Bite!By Daniel KadlecNovember 6, 2005

Finfacts Ireland – Business & Finance PortalDeloitte's failed BCCI case against Bank of England cost £100 million; Multinational bank was "the largest case of organized crime in history"http://www.finfacts.com/irelandbusinessnews/publish/article_10003808.shtmlNovember 3, 2005

Canada Stock WatchCMKM and St. George get the Hookby Lee M. WebbOctober 31, 2005

The Financial ExpressPitfalls ahead in new SEBI ProposalBy Sucheta DalalOctober 24, 2005

New York PostLancer Lobby Loot TaleBy Christopher ByronOctober 24, 2005

Bankruptcy Creditors' Service, Inc.Refco Bankruptcy NewsOctober 19, 2005

The Toronto StarCharges laid in Hedge Fund ScandalBy James DawOctober 6, 2005

New York PostOvergrown HedgesBy Christopher Byron September 26, 2005
http://www.faulkingtruth.com/Congress Sells America ShortBy Mark FaulkSeptember 20, 2005

TheStreet.com Naked Truth Dressed to BaffleBy Kevin KelleherAugust 29, 2005

TheStreet.comNaked Before ByrneBy Kevin KelleherAugust 18, 2005

The Seattle TimesDrug researchers Leak Secrets to Wall StreetBy Luke Timmerman and David HeathAugust 7, 2005

Overstock.com sues Short-Seller Rocker PartnersAugust 11, 2005

New York PostSimmering SwindleBy Christopher ByronJuly 25, 2005

New York PostFaulty RegulatorBy Christopher ByronJune 27, 2005

United States Attorney's Office Former FBI Agent Pleads Guilty to Obstruction of JusticeJune 23, 2005

National Association of Securities Dealers, Inc.NASD Charges Scott W. Ryan with Impermissible Short SellingJune 13, 2005

Canada StockWatchCMKM tagged as an egregious violator By Lee M. WebbJune 6, 2005
National Association of Securities Dealers, Inc.Hedge Fund Manager Hilary Shane BarredMay 18, 2005

The Street.comRefco Faces SEC Charges in Short-Selling ProbeBy Matthew GoldsteinMay 17, 2005

New York PostThe Ionatron BombBy Christopher ByronMay 9, 2005

New York PostSpooky SituationBy Christopher Byron May 2, 2005

New York PostPenny Stock SpiesBy Christopher Byron April 25, 2005

Securities Exchange CommissionSEC Charges Former SG Cowen Managing Director with Insider Trading and FraudWashington, D.C., April 21, 2005http://www.sec.gov/news/press/2005-61.htm

Casinos, Markets and the Philosophy Of ManipulationCommentary by Bob O'BrienSunday, April 10, 2005

Fordham University Graduate School of BusinessShort Selling, Death Spiral Convertibles, and the Profitability of Stock ManipulationBy John D. FinnertyProfessor of FinanceMarch, 2005

South Florida Business JournalBrokerage tied to a top figure in mob caseBy Jim FreerMarch 31, 2005

The Motley FoolWho's Behind Naked Shorting?By Karl Thiel March 30, 2005

Washington Legal FoundationWhat's Up With The SEC?By Daniel J. Popeo, ChairmanMarch 28, 2005

The National Coalition Against Naked ShortingWindows Media Player http://tinyurl.com/5vq8yMarch 25, 2005--Check out this independent video news feature that includes amongst others, Dr. Patrick Byrne of Overstock.com, Dr. James Angel, one of the foremost authorities on the capital markets, and Bob O'Brien.

The Motley FoolThe Naked Truth on Illegal ShortingBy Karl Thiel March 24, 2005

New York PostToo Little, Too LateBy Christopher ByronMarch 14, 2005

U.S. Securities and Exchange CommissionCIBC Mellon Trust agrees to pay $6 Million for Fraudulent Schemehttp://www.sec.gov/litigation/litreleases/lr19081.htmFebruary 16, 2005

Samex Capital PartnersU.S. Stock Market Commentary on "Naked Short Selling"February 7, 2005

The Globe and Mail
U.S., Canadian Regulators Charge Trio of Hedge Fund ManagersBy Michael FlahertyFebruary 5, 2005

Associated PressJury Finds Elgindy Guilty of Fraud in Stock SchemeJanuary 24, 2005

New York PostNASD Scores in 'Crooklyn'By Paul TharpJanuary 14, 2005

National Association of Securities Dealers, Inc.NASD Panel Expels Yankee Financial for FraudJanuary 13, 2005

New York PostShame on the SECBy Christopher ByronJanuary 10, 2004

United States Department of JusticeFlorida Internet Stock Promoter Admits Securities FraudNewark, NJJanuary 5, 2005

Year 2004

New York PostFeds' Double TakeBy Christopher Byron December 20, 2004

Christianity TodayThe Fraudbusterhttp://www.christianitytoday.com/ct/2005/001/12.28.htmlBy Rob MollDecember 17, 2004

Securities & Exchange CommissionSEC, NASD Sanction Knight Securities $79 Million for FraudDecember 16, 2004

Triangle Business Journalhttp://triangle.bizjournals.comPenny stock tied to Local Fitness OutfitDecember 10, 2004

The New York PostWeill, Grubman Must Face SuiteBy Holly M. SandersDecember 4, 2004

University of New MexicoStrategic Delivery Failures in U.S. Equity marketsMs. Leslie BoniNovember 13, 2004

New York TimesJudge in Stock Adviser's Trial Bars Testimony on TerrorismBy Eric DashNovember 9, 2004

The New York PostFBI Agent Fed Stock Guru Risky InformationStaff ReporterNovember 5, 2004

The New York TimesStock Adviser, on Trial for Fraud, is Portrayed as a CrusaderBy Eric DashNovember 2, 2004

The New York TimesBroker who Aided U.S. Going to Trial for FraudBy Eric DashNovember 1, 2004

The New York PostTravelzoo's SkidooBy Christopher Byron October 18, 2004

The New York PostPink Sheets BlusterBy Christopher ByronOctober 11, 2004

The New York PostGagging the MarketBy Christopher Byron October 4, 2004

Canada StockWatchCMKM Diamonds mired in outstanding muddleBy Lee WebbOctober 1, 2004

http://www.thestreet.comHedge Fund Short-Sale Tactic Faces Uncertain FutureBy Matthew GoldsteinSeptember 16, 2004

BioWorld Financial Days of "Naked" Short Selling in Biotech Might be Numberedhttp://www.bioworld.com/By Randall Osborne, EditorAugust 30, 2004

The New York PostWall Street ScofflawsBy Christopher ByronAugust 23, 2004

The New York PostPink-Sheets StrumpetBy Christopher ByronAugust 16, 2004

The New York PostProsecution FumblesBy Christopher ByronAugust 2, 2004

National Association of Securities Dealers, Inc.NASD Bars scott Ryan, Expels Ryan & Company in Short Sale ProbeJuly 8, 2004

www.faulkingtruth.comWho's Looking out for You?By Mark FaulkJune 27, 2004

St. Louis Post DispatchRogue brokers resurface overseasBy Christopher Catey June 14, 2004

The New York PostPIPE Deals SmokingBy Christopher Byron June 1, 2004

The Cincinnati PostShort selling scheme hits from BerlinBy Jon Newberry May 29, 2004

The Financial TimesBerlin-Bremen listings abuse rulesBy Norma Cohen in LondonMay 14, 2004

www.financialwire.net DTCC Chief Spokesperson Denies Existence of LawsuitMay 11, 2004

Text of the Lawsuit betweenNanopierce technologies, Inc., a Nevada corporation; Stephen Seitz, an individual; and Jane Seitz, an individual,Plaintiffs,- against -The Depository Trust and Clearing Corporation; the Depository Trust Company;and the National Securities Clearing CorporationDefendants.April 29, 2004

Newsday, Inc.Bail yanked for Wall StreeterBy Anthony M. Destefano April 19, 2004

TheStreet.comLooking Out for Desperation Finance in PIPEs DealsBy Matthew GoldsteinApril, 9, 2004

Dow Jones NewswiresPenny-Stock Company Says SEC Harassing it for Speaking OutBy Judith BurnsMarch 19, 2004(The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Dow Jones NewswiresNASD Asks SEC To OK Tougher Short Sale RulesBy Carol S. RemondMarch 18, 2004(The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

The Financial TimesThe heat is on for funds' Pipe strategyby Jason HuemerMarch 15, 2004

National Association of Securities Dealers, Inc.NASD Charges Advantage Trading Group, Inc. and its Trade Desk Managerwith Creating False Trading Records to Mislead Investigationhttp://www.nasdr.com/news/pr2004/release_04_013.htmlMarch 8, 2004

National Association of Securities Dealers, IncNASD delays "Naked Short selling" help yet again!February 17, 2004

Canada StockWatchTSX -V firms Global, Union fail on shorting applicationFebruary 10, 2004

San Antonio Business JournalTwo San Antonio firms claim fraud stinging stockBy Mike W. ThomasFebruary 2, 2004

Dow Jones NewswiresNASD Tightens Short Selling/Delivery RuleCarol S. RemondJanuary 23, 2004(The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Flashpoints News Radio, KPFA, Berkeley, USAEnron: The Anatomy of a Cover-UpA Former Republican Insider TalksDennis Bernstein's interview with Catherine Austin FittsJanuary 20, 2004

MoneySense.caOne way to clean up Canadian stock marketsby Larry MacDonaldJanuary 8, 2004

Year 2003

U.S. Securities and Exchange CommissionComments on Proposed Rule: Short SalesComments by Russell K. GodwinPresident, RGM Communications Inc.January 2, 2004
Year 2003

Canada StockWatchSEC bans WAMEX, Absolutefuture promoter DeTrano foreverby Brent MudryDecember 30, 2003

Canada StockWatchSEC short target, brother face criminal charges in Sedona caseby Brent MudryDecember 29, 2003

The Financial TimesLSE acts to solve Room Service short-selling scandalBy David Blackwell December 20, 2003

Dow Jones Newswires Criminal Charges Brought In Sedona Short-Sale CaseBy Judith Burns December 10, 2003 (The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Business WeekDon't Force The Shorts To Get Dressedby Gary WeissDecember 8, 2003

The Financial TimesFSA probes Room Service short-sellingBy Elizabeth Rigby December 6, 2003

The Financial TimesShares in scandal-hit Room Service to resume tradingBy Elizabeth RigbyDecember 3, 2003

The Globe and MailTougher stance urged on Securities FraudBy Patrick BrethourDecember 2, 2003

The Financial TimesHedge funds fight back against accusations of stock short-sellingBy Elizabeth Rigby November 29, 2003

The New York PostHedge Fund Field DayBy Christopher Byron November 10, 2003

San Francisco ChronicleDouble whammy in stock fraud case: Short sellers trash, then sue, Santa Clara tech firmBy Reynolds Holding, Chronicle Staff Writer November 9, 2003

The Financial PostSEC targets ex-CIBC Mellon staffer in Bogus Shares fraudBy Sean Silcoff October 25, 2003

Dow Jones NewswiresNew SEC Rule Could Curtail OTCBB ShortsellingBy Carol S. Remond October 23, 2003(The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Canada StockWatchSEC known Kelly fraud trial results in hung juryby Mort Lucoff in Miami and Lee M. WebbOctober 16, 2003

Canada StockWatchSEC target Lancer featured in Kelly Bermuda Short trialBy Erik Schelzig in MiamiSeptember 25, 2003

Dow Jones NewswiresSEC Looking To Overhaul Short-Selling RulesBy Judith BurnsSeptember 24, 2003(The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Canada StockWatchSEC target Lancer receiver files initial reportBy Lee M. WebbSeptember 11, 2003

The Street.ComFigure in GenesisIntermedia Scheme Pleads GuiltyBy Matthew GoldsteinSeptember 11, 2003

Canada StockWatchZi a personal favourite of SEC target Lancer leaderBy Lee M. WebbSeptember 8, 2003

Canada StockWatchZi short sellers zapped with forced buy-insBy Lee M. WebbSeptember 5, 2003

Canada StockWatchZi booster cops a plea in Operation Bermuda Short caseby Lee M. WebbAugust 22, 2003

The PIPEs Report - Painting The Tapeby Brett Goetschius
(As of December 14, 2005 the following articles have been removed from viewing at the request of PIPEs Report and DealFlow Media. To view the articles please go to the following web site http://www.dealflowmedia.com/)

Part #1 PIPE Players Accused of Global Stock SchemeJuly 1, 2003Part #2 Anatomy of a Naked Short SchemeJuly 15, 2003Part #3 Draining the Naked Shorting SwampAugust 1, 2003

Dow Jones/Associated PressDefendant pleads guilty in FBI insider trading caseJuly 16, 2003
New York PostThe Lancer PapersBy Christopher ByronJuly 14, 2003

Canada StockWatchSEC targets Lauer's Lancer in first big hedge fund caseBy Brent MudryJuly 11, 2003

Dow Jones NewswiresElgindy & 4 others charged again with Insider Trading and ExtortionBy Carol S. Remond June 30, 2003 (The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Canada StockWatchSEC files first suit in GenesisIntermedia debacleby Brent MudryJune 4, 2003

Investment Management DevelopmentsSEC Brings Enforcement Action for Manipulating Stock Prices Through Short Sales and Deceptive Covering PracticesBy Harry S. DavisWinter 2003 Edition

New York PostHedge Fund HijinksBy Christopher Byron April 14, 2003

Canada StockWatchSEC targets Chicago tout Frank Custableby Brent MudryApril 3, 2003

Canada StockWatchTSX member Global's client Elgindy noted in new chargeby Brent MudryMarch 25, 2003

Dow Jones NewswiresElgindy Case Broadened With New ArraignmentBy Carol S. Remond March 24, 2003 (The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Business WireFresh Del Monte Files Suit Charging Conspiracy to Extort MoneyMarch 19, 2003

The Financial TimesSEC widens probe into "death spiral" schemesBy John Labate in New YorkMarch 9 2003

Canada StockWatchSEC fines Rhino $1-million (U.S.) in Amro death spiralby Brent MudryFebruary 28, 2003

U.S. Securities and Exchange CommissionRhino Advisors and Thomas Badian get exposedhttp://www.sec.gov/litigation/complaints/comp18003.htmFebruary 26, 2003

New York TimesPenny-Stock Fraud, From Both Sides NowBy Diana B. HenriquesFebruary 16, 2003
Canada StockWatchHarry Bloomfield and ally Stuart Creggy get probation, fineby Brent MudryFebrurary 11, 2003
Canada StockWatchPacific International in new Mafia indictmentby Brent MudryFebruary 6, 2003

Red HerringThe Shell GameBy Christopher ByronJanuary 17, 2003

Red HerringNo Safe HavenBy Christopher Byron January 17, 2003

The New York TimesOnline Brokers Fined Millions In Fraud CaseBy David BarbozaJanuary 15, 2003

Dow Jones NewswiresSome Small Companies Get Physical To Fight ShortsBy Carol S. Remond January 14, 2003 (The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

New York PostOffshore MaelstromBy Christopher ByronJanuary 13, 2003

The Globe & MailOSC seeks to suspend all of Valentine's tradingBy Jacquie McNishJanuary 8, 2003

Year 2002

The Globe & MailDeutsche Bank, Nomura subsidiaries embroiled in lawsuitBy Karen HowlettDecember 23, 2002

Canada StockWatchValentine's offshore Lemmon flipsby Brent MudryDecember 20, 2002

Canada StockWatchChell Group's chairman nabbed in boiler room raidby Brent MudryDecember 18, 2002

Dow Jones NewswiresCanadian Regulators Review Naked Short SellingBy Carol S. Remond and Steve D. Jones December 11, 2002 (The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Investment NewsPrudential Securities new head's business associates under cloudby Bruce KellyDecember 11, 2002

The Globe & MailTrustee slaps former Thomson Kernaghan staff with suitBy Jacquie McNishDecember 11, 2002

Dow Jones Newswires Some Wall Street Firms to end Trade ProcessingBy Lynn Cowan and Cheryl Winokur MunkDecember 4, 2002(The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

The Daily ReckoningThe Law of Accelerating Returnsby James DavidsonNovember 27, 2002

Canada StockWatchIDA bans, fines Kasman; one Rampart client (Jeffrey Ray Senger) still in jailby Brent MudryNovember 19, 2002

Globe & Mail, Report on BusinessGeneMax battles short sellersBy Peter Kennedy, VancouverJohn Saunders, TorontoNovember 18, 2002

Canada StockWatchTSX member Deutsche Bank in major penny stock scandalby Brent MudryNovember 14, 2002

Canada StockWatchSEC halts 800America, notorious con man CEO arrestedby Brent MudryNovember 14, 2002

NASDFiero Bros. expelled from NASD for Naked Short SellingNews ReleaseOctober 30, 2002
The Toronto Star/Canadian Business NewsmagazinePredator Or Prey?by Matthew McClearnOctober 28, 2002

Canadian Business NewsmagazineBlame Canadaby Mark BrownOctober 28, 2002

Canada StockWatchBCSC-aided SEC fines Maid Aide rigger $378,000 (U.S.)by Brent MudryOctober 21, 2002

Dow Jones NewswiresBrokerage Collapse hits Canadian Fund HardBy Steven D. JonesOctober 18, 2002(The above article has been removed from viewing at the request of Dow Jones Newswires. To view the article in its entirety please go to the following web site http://www.djnewswires.com/ )

Canada StockWatchBCSC target Pacific International served dastardly Davisby Brent MudryOctober 17, 2002

USA TODAYMighty Merrill Lynch bogs down in legal troublesby Thor ValdmanisOctober 10, 2002

Canada StockWatchBCSC paints Pacific International as a cornucopia of client crooksby Brent MudryOctober 9, 2002

Inside Wall Street Online Foul Play Among the UAL Shorts?By Gene Marcial October 8, 2002

Canada StockWatchInvestment Dealers Association court win underlines Supreme Court landmark caseby Brent MudryOctober 26, 2002

New York Daily NewsSpare me because of 9/11By Greg B. SmithSeptember 25th, 2002

Canada StockWatchBMO Nesbitt has quick deal on table in OSC's Lett caseby Brent MudrySeptember 19, 2002

Canada StockWatchOSC targets BMO Nesbitt Burns as prime bank fraud conduitby Brent MudrySeptember 18, 2002

The Globe & MailThe Rise and fall of broker Mark Valentineby Jacquie McNishJuly 8, 2002

New York Law JournalNASD Information Disclosure Lackingby Tamara LoomisJune 12, 2002
Year 2001

Hemispherx Biopharma vs. Manuel P. Asensio et alReport by Robert W. LowryRL Consulting ServicesLeesburg VAJanuary 31, 2001

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From Wikipedia

http://en.wikipedia.org/wiki/Naked_short_selling

Naked short selling
From Wikipedia, the free encyclopedia
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Naked short selling, or naked shorting, is a controversial form of selling shares of securities short. Some forms of naked short-selling are legal and some are not. The controversy has surrounded naked short-selling aimed at profiting from share price declines. The U.S. Securities and Exchange Commission has issued a regulation seeking to curb naked shorting abuses.[1].

Contents [hide]
1 The Practice
2 Does Naked Shorting Drive Stock Prices Down?
3 Controversy
4 Regulators Respond
5 Recent developments
6 External links



[edit]
The Practice
Short selling is the practice of borrowing stock, then selling it in hopes that the price will go down and it can be bought back at a lower price, generating profit and allowing one to return like shares for the borrowed ones.

"Naked shorting" refers to "shorting" a stock for sale without first borrowing it. [2]. When one sells short a non-borrowed stock, one is selling something that one does not possess. The risk that one may not be able to then acquire the shares needed to deliver on the sale is a contributing factor to the controversy surrounding this practice.[3]

Legally, on American exchanges, only a "market maker" in a security may sell a stock short without first locating a borrow.

[edit]
Does Naked Shorting Drive Stock Prices Down?
The Securities and Exchange Commission addresses that issue this way:[4]

"There are many reasons why a stock may decline in value. The value of a stock is determined by the basic relationship between supply and demand. If many people want a stock (demand is high), then the price will rise. If a few people want a stock (demand is low), then the price will fall. The main factor determining the demand for a stock is the quality of the company itself. If the company is fundamentally strong, that is, if it is generating positive income, its stock is less likely to lose value.
"Speculative stocks, such as microcap stocks, often have a high probability of declining in value and a low probability of experiencing above average gains. For example, investors should take extra care to thoroughly research any company quoted exclusively in the Pink Sheets. With the exception of a few foreign issuers, the companies quoted in the Pink Sheets tend to be closely held, extremely small or thinly traded. Most do not meet the minimum listing requirements for trading on a national securities exchange, such as the New York Stock Exchange or the Nasdaq Stock Market. Many of these companies do not file periodic reports or audited financial statements with the SEC, making it very difficult for investors to find reliable, unbiased information about those companies.
"There also may be instances where a company insider or paid promoter provides false and misleading excuses for why a company's stock price has recently decreased. For instance, these individuals may claim that the price decrease is a temporary condition resulting from the activities of naked short sellers. The insiders or promoters may hope to use this misinformation to move the price back up so they can dump their own stock at higher prices. Often, the price decrease is a result of the company's poor financial situation rather than the reasons provided by the insiders or promoters.
"Naked short selling, however, can have negative effects on the market. Fraudsters may use naked short selling as a tool to manipulate the market. Market manipulation is illegal. The SEC has toughened its rules and is vigilant about taking actions against wrongdoers. Fails to deliver that persist for an extended period of time may result in a significantly large unfulfilled delivery obligation at the clearing agency where trades are settled. Regulation SHO is intended to address these effects by reducing the number of potential failures to deliver, and by limiting the time in which a broker can permit a fail to deliver to persist. For instance, as explained above, Regulation SHO requires brokers and dealers to close-out the open fail-to-deliver positions in "threshold securities" (i.e., securities that have experienced a substantial number of extended delivery failures) that have persisted for 13 consecutive settlement days."
Some claim that "fails to deliver" result in "counterfeit shares." These claims are denied by the SEC and by the Depository Trust & Clearing Corporation (DTCC). They say that the vast majority of FTDs are unrelated to abusive naked short-selling, and that shareholders are not disadvantaged when a fail occurs. [[5] [6]

The DTCC and other critics contend that naked short-selling has been advanced by owners of small public companies as an excuse to divert attention of price declines caused by corporate shortcomings and regulatory problems. [7] [8]

In a recent legal brief intervening in a suit against DTCC, the SEC explained that "fails to deliver" did not hurt investors, saying that under the "Uniform Commercial Code, a securities broker-dealer may credit a customer’s account with a security even though that security has not yet been delivered to the broker-dealer’s account by NSCC[9]. In that event, the customer receives what is defined under the Uniform Commercial Code as a 'securities entitlement,' which requires the broker-dealer to treat the person for whom the account is maintained as entitled to exercise the rights that comprise the security." [10]and [11].

[edit]
Controversy
Some investors defend the practice as just another tool of the market, and caution against federal regulation. Naked short-sellers claim that they are enacting market pressure against overpriced and undertraded small-cap stocks. In the bubble of the 1990s, they argue, regulations against short-selling would have caused an even greater boom and bust.[12]

Penny stock brokerages urge all investors to keep their stocks in cash accounts so that no shares can be shorted. The penny stock fraudsters can then illegally hype the stock to very high prices allowing the penny stock fraudsters to pump and dump their shares. Naked shorting keeps the penny stock brokerages from driving prices above the true value of the stock. The free market in this case could prevent the crime of pumping and dumping without any additional police or raising taxes. Pump and dump organizations sometimes are run by the Mafia (see Gary Weiss's true story of Hanover Sterling in the book Born to Steal, published in 2003).

Critics contend that the naked shorting is fraud, and that it constitutes "taking a buyer's money and not delivering the product." However, the SEC denies that occurs, saying that a fail to deliver "does not mean that the customer's purchase is not completed." [13]

In recent years, however, the SEC has acted against naked shorting in part due to pressure from a handful of small and microcap companies.[14] This campaign has drawn criticism. Financial columnist Floyd Norris of the New York Times observed that "Investors who own [allegedly shorted] shares might do better to try to understand why some think the shares are overvalued, rather than simply rail about unfair short selling." [15]

[edit]
Regulators Respond
The allegations of the anti-naked shorting movements are denied by Securities and Exchange Commission and the self-regulatory organizations (SROs) that regulate the U.S. markets.

In a forum sponsored by the North American Securities Administrators Association in November 2005, some regulators, including a high official of the National Assn. of Securities Dealers, denied that naked short-selling is a signficant problem.

An official of the New York Stock Exchange told the forum that NASD had found no evidence of widespread naked short selling. He decried "this fear mongering that there's this rampant naked shorting that's gone unregulated."[16]

Cameron Funkhouser, NASD's senior vice president of market regulations, noted that although a number of companies have in the past alleged their shares have been manipulated through the listing of their stocks on the Berlin stock exchange, he had found no evidence of naked short selling there. "We took (these allegations) very seriously," Funkhouser said. "We have seen not one instance of naked short selling or any abusive short activity" at that exchange.

At the NASAA Forum, the head of the Connecticut Securities Agency and current head of the NASAA, Ralph Lambiase, declared his disappointment at how the industry was handling this issue as a whole.

Rumors spread in 2006some circles in February that the state of Connecticut was investigating the Depository Trust & Clearing Corporation over its alleged role facilitating fraudulent short sales, and that the DTCC was defying a subpoena. On Feb. 17, the DTCC and the state together issued a statement denying those rumors.




[edit]
Recent developments
Naked shorting continued in the news through 2006, with opponents of the practice contending it contributes to the demise of companies. Overstock CEO Patrick Byrne continued to push the anti-naked shorting cause in interviews and Internet postings, including a lively exchange on a New York Times blog. [17]

Naked shorting allegations played a role in the recent scandal surrounding the Refco commodities trading firm. Refco allegedly engaged in naked shorting of a company called Sedona Corp.[18]

Critics of the naked shorting campaign also continued to be vocal, contending the practice was not harmful and its prevalence exaggerated. Opponents include Wall Street Journal, which criticized the naked shorting allegations in an editorial, and columnist Joseph Nocera of the New York Times. Author and journalist Gary Weiss criticized the anti-shorting campaign in his book Wall Street Versus America, as a diversion of regulatory resources from more pressing issues.

Ponder this BEFORE Entering Deadwood

First the link:

http://www.usatoday.com/money/perfi/columnist/krantz/2005-04-29-pink-sheets_x.htm

Investor beware: Pink Sheets, Bulletin Board often too risky

Q: I have noticed you always tell investors to avoid investing in penny stocks and stocks trading on the Bulletin Board or Pink Sheets? When will you reconsider?
A: For whatever reason, the number of e-mails I've gotten regarding penny stocks of all sorts has spiked lately. I've heard it all. In e-mails that are almost cut-and-pasted out of the movie Boiler Room, I've been told that such-and-such stock that trades for 20 cents is the next Home Depot. Some have insisted that even Starbucks was a penny stock (which is not true). Yet others have said when companies get delisted from the Nasdaq to the Bulletin Board, that creates huge buying opportunities.

I'd first like to say that from this point on, with an occasional exception, I will not be answering questions about stocks traded on the Bulletin Board or Pink Sheets. Don't worry. We'll still have plenty to talk about, since there are thousands of stocks listed on the New York Stock Exchange, Nasdaq and American Stock Exchanges.

That's not to say that all stocks on the Bulletin Board or Pink Sheets are scams. There may be some OK stocks there. I'm just saying that the risks to investors are dramatically higher when dealing with these types of stocks.

But, since this is likely my last answer on the topic, I wanted to leave you with some of the reasons why a vast majority of investors should avoid penny stocks because they are:

• Common targets of manipulation and fraud.

And the opportunities for fraud come from both traders and companies. Since the share prices of these stocks are so low, often 30 cents or less, a single investor is able to buy or sell a large number of shares and have a big influence on the stock. Certainly, this can also happen with listed shares. But it's much easier for more investors to do this when share prices are low.

Then there's the opportunity for companies themselves to misrepresent themselves or manipulate the stock.

Don't want to take my word for it? The Securities and Exchange Commission has researched this topic exhaustively and made its findings available to the public. A few great links include:

http://sec.gov/investor/pubs/microcapstock.htm

http://sec.gov/answers/pink.htm

http://sec.gov/investor/pubs/avoidfraud.htm

• Fodder for online bulletin board and chat rooms.

Due to the ease that many Pink Sheet and Bulletin Board stocks can be manipulated, it's not surprising that many investors try to do just that on a variety of online forums.

Again, I understand that even massive companies are discussed on such rooms. But again, due to the smaller market values of penny stock companies, chatter and banter on such sites have a larger influence on them than with large companies like General Electric.

You don't have to take my word on this either. Below is what the SEC has to say on the topic:

http://sec.gov/investor/pubs/cyberfraud.htm

• Full of misconceptions.

Many penny stock investors like to say both Starbucks and Microsoft started out trading for less than $2 a share. That is simply not correct — and reflects the lack of knowledge many penny stock investors have.

Let's take Starbucks as an example. Some investors may look up the stock and say the shares got as low as $1.28 in June 1992. That's not the case, due to the influence of stock splits. In Starbucks' case, the stock has had four 2-for-1 splits since it debuted on the Nasdaq. That means that in June 1992, the stock price was actually $20.50. You can undo the affect of the stock splits by multiplying the amounts of the splits. In Starbucks' case: $1.281 x 2 x 2 x 2 x 2 = $20.50.

In addition, many investors like to get people excited about Bulletin Board and Pink Sheet stocks by saying they're about to get listed on a major exchange. That simply is hype, and rarely happens. Again, yes, it has happened. But it's a rare occurrence.

These are just a few of the reasons why a vast majority of investors are better off sticking with stocks on a major exchange. And I'm fully aware there will still be people who like investing in penny stocks. And they're entitled to their opinion. But for the smart money, it's better to avoid these stocks.

Matt Krantz is a financial markets reporter at USA TODAY. He answers a different reader question every weekday in his Ask Matt column at money.usatoday.com. To submit a question, e-mail Matt at mkrantz@usatoday.com.

Update

Wednesday September 6, 9:36 AM EDT

SALT LAKE CITY, Sep 06, 2006 (BUSINESS WIRE) -- PrimeHoldings.Com Inc. (Pink Sheets:PMHJ) a diversified holding company with early mover initiatives in the oil and gas and telecommunications industry, today released a letter to the shareholders from Thomas Aliprandi, CEO of the Company.

To the Shareholders of PMHJ.PK

It is my sincere pleasure to enlighten you on the Company's progress over the past three months. During this period, management has implemented a business strategy to significantly improve the Company's position and outlook. The action items for this plan are as follows:

1) Identify programs to substantially reduce overhead expenses and aid in the reduction of debt

2) Explore financing options in preparation for the acquisition of ownership interests in growing companies

3) Commence an aggressive and comprehensive search to identify an acquisition/merger candidate

We have substantially reduced the company's overhead expenses through the restructuring of the organization and the elimination of non-revenue producing expenditures. The company has entered into negotiations with certain creditors with the intent to drastically reduce most of its debt. The successful completion of these strategies over the next six months will enhance the company's ability to attract further funding for its acquisition strategies.

Management decided to shift its short-term focus towards acquiring minor ownership positions in growing companies in the oil and gas and telecommunications industries - the objective being to diversify the company's assets while identifying a more significant acquisition/merger opportunity. Over the past several months, numerous possibilities have been reviewed. In recent weeks a company was selected and management is in the process of finalizing the terms of the transaction which will be described in a separate press release.

In conjunction with our short-term strategy to acquire equity positions in growing companies, we have initiated a comprehensive search for a major acquisition/merger. With the assistance of several specialized search firms, the company has initiated preliminary discussions with two potential candidates. Due diligence has recently begun. Once management decides this opportunity meets the Company's requirements and capital means, we will move forward to formalize a definitive agreement and share the details with our shareholders.

More information about PrimeHoldings.Com can be found at www.stockinformationsystems.com.

Kindest regard,

Tom Aliprandi

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995

Statements in this press release relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments, and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, risk factors inherent in doing business. Forward-looking statements may be identified by terms such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "forecasts," "potential," or "continue," or similar terms or the negative of these terms. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. The company has no obligation to update these forward-looking statements.

SOURCE: PrimeHoldings.Com Inc.

CONTACT: PrimeHoldings.com Inc., Salt Lake City Thomas Aliprandi, 801-755-6859 ir@primeholdings.com

Copyright Business Wire 2006