Imagine shorting a stock that you know is a wonder stock and yet you lose your money because the marker is stupid and the regulators are slow. Well that’s what happened to this guy. He saw a stock that was rising too fast even though it wasn’t justified and decided to short the stock hoping soon it will come crashing down. Rather than go down the stock went 25,000% higher. He lost his job for that yet the regulators later found out the stock was a scam. See full story below;
Thomas Laresca, a 52-year-old market-maker and father of three, said he lost his Wall Street job because of CYNK Technology — a penny stock that’s shocked the internet with its 25,000% rise in just a few weeks.
CYNK Technology is connected to a “social network” site called Introbiz that purports to help people connect to celebrities and business leaders for a fee. However, CYNK does not appear to have ever had assets, revenue, or more than one employee. It has also been a mysterywho is behind the company.
CYNK’s surging stock drew the attention of the SEC, which halted trading in the stock last Friday citing “concerns regarding the accuracy and adequacy of information in the marketplace and potentially manipulative transactions in CYNK’s common stock.”