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Tale Of Fraud: $GSX 
@SEC_Enforcement (A Thread)
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1. You're a fraudster hedge fund manager based in China. You know what you're doing because you've done it before.
2. You help your buddy create shell companies around a BS education firm.
1/n
@SEC_Enforcement (A Thread)--------------------------------
1. You're a fraudster hedge fund manager based in China. You know what you're doing because you've done it before.
2. You help your buddy create shell companies around a BS education firm.
1/n
3. You say to yourself, "Maybe this becomes something real, but more likely, we go public in the US and I harvest options premiums from idiot retail investors."
4. You know it's hard for @SEC_Enforcement to act b/c the law supports the accused and...
2/n
4. You know it's hard for @SEC_Enforcement to act b/c the law supports the accused and...
2/n
...you've built the firm to make it ridiculously challenging for a US entity to prosecute you.
5. You pump the price on low volumes, burning shorts along the way. But that's not the real game.
6. You manipulate the price. This is where it gets fun!
3/n
5. You pump the price on low volumes, burning shorts along the way. But that's not the real game.
6. You manipulate the price. This is where it gets fun!
3/n
7. You know where the price is going, and you know the SEC can't act, so you play the price up and down, harvesting insane amounts of premium from retail investors and, probably to a lesser extent, institutional investors.
8. You drop the price to bait short sellers...
4/n
8. You drop the price to bait short sellers...
4/n
...then pump it to burn them.
9. You don't care. You control the price! YAY!
10. You chuckle as retail speculates when your price will tank. You know when it will because you control the price!!!
11. You trade through your broker-dealers to masks your moves.
5/n
9. You don't care. You control the price! YAY!
10. You chuckle as retail speculates when your price will tank. You know when it will because you control the price!!!
11. You trade through your broker-dealers to masks your moves.
5/n
12. Retail bellows at institutions for holding positions in your stock, but institutions really don't. You and retail hold most of the shares. You control when the price moves.
13. Retail finally gets bored or broke and your money tree dries up.
6/n
13. Retail finally gets bored or broke and your money tree dries up.
6/n
14. Then, at the time of your choosing, you dump all your shares. Who buys? Retail, shorts covering, and maybe your IB buddies who's fees have more than covered their losses.
15. You get off scott-free with hundreds of millions or billions of dollars.
7/n
15. You get off scott-free with hundreds of millions or billions of dollars.
7/n
16. US investors lose
17. No one - not @SEC_Enforcement, not @realDonaldTrump, not @JoeBiden, not @KamalaHarris, not even @ewarren or @AOC - cares.
No. One. Cares.
8/n
17. No one - not @SEC_Enforcement, not @realDonaldTrump, not @JoeBiden, not @KamalaHarris, not even @ewarren or @AOC - cares.
No. One. Cares.
8/n
These are our markets. This is the world we live in. Integrity is not a thought in this market. It is sad to think that integrity is dead, but it is.
BUT it doesn't have to be.
9/n
BUT it doesn't have to be.
9/n
