The
participation of the Securities and Exchange Commission (SEC) in political cronyism and crony capitalism and its practice of
covering up for its indisputable gross
negligence and seeming criminal
complicity (hereinafter collectively referred to as "business as usual") creates
an environment in which perpetrators are able to perpetrate their wrongdoings with
impunity.
Pertaining
to CMKM Diamonds, Inc. (CMKM), business as usual of the SEC and its
SEC Enforcement Division Attorneys, John M. McCoy, Molly M. White, and Leslie
Hakala (hereinafter collectively referred to as "malfeasant SEC Attorneys"),
allows Kevin West, off-and-on COB/CEO/President of CMKM Diamonds, Inc., (CMKM) , Mark Faulk,
former CEO/President of CMKM, all other subsequent illegally-appointed
officers of CMKM, and illegally-hired Bill Frizzell , current attorney for CMKM (hereinafter
collectively referred to as "CMKM management")
to operate CMKM without calling an annual
shareholder meeting. By failing to call an annual shareholder meeting,
the CMKM management breaches
CMKM's bylaws, violates Texas Business
Corporation Act, Article 2.24(B), and therefore is liable for mismanagement (hereinafter collectively referred to as
"wrongdoing").
Even if CMKM
management's wrongdoing does not fall within the purview of the SEC and its
malfeasant SEC Attorneys, they are still conducting business as usual for
failing to refer CMKM management's wrongdoing to the appropriate governmental
enforcement agencies.
What is even
more disturbing is that the business as usual of the SEC and its
malfeasant SEC Attorneys indicates they are colluding
with the CMKM management by agreeing not to file a complaint
against it for its wrongdoing.
In return, the
CMKM management agrees not to expose the business as usual of the SEC and
its malfeasant SEC Attorneys pertaining to the illegal naked short selling of CMKM's stock and numerous other issues.
The following flip-flop of the CMKM management pertaining to the illegal naked short selling of CMKM's stock points toward said collusion:
Before being appointed
or hired to their respective positions with CMKM, the CMKM management advocates
stock market reform in general and questions the business as usual of the SEC
and its malfeasant SEC Attorneys in particular regarding the illegal naked short selling of CMKM's stock.
Excerpts from
three of Bill
Frizzell's emails:
"We proved
a huge naked short position in this
company a long time ago."
"Our
investigation reveals a potentially huge naked
short position in at least two of the very companies that have sent us
certs."
In his 1-6-06 SEC
Deposition,
Bill Frizzell testifies repeatedly under oath that CMKM was illegally naked shorted, pages 123, 149-151, 155,
164, and 167;
In his 6-1-06
article, "The CMKX Story: When Too Much Isn't Enough," Mark Faulk points
out that brokerages give phony excuses for their failing to deliver stock certificates to CMKM shareholders.
In FAQ Session #s 1-4, 6, and 13-14 (8-10-07
to 6-1-08), the
CMKM management
pronounces that CMKM's being illegally naked shorted is no longer a primary concern; and furthermore, they
cover
up the illegal status of CMKM's naked short sales which denotes
fraud, RICO, and punitive damages and replace it with the legal status of failures
to deliver which merely denotes
bookkeeping errors and the mere recovering of one's investment.
Because the flip-flop is so transparent, many CMKM shareholders are able to interpret it to mean that the CMKM management is colluding with the SEC and its malfeasant SEC Attorneys as evidenced by the following posts of CMKM shareholders in CMKM forums:
"It
appears that the Tyler gang has been bought
off...... could that be the case, Kevin?
"It
is clear that you have signed some sort of settlement
agreement in which you promised not to sue the bankers and brokers""
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