{"id":4974,"date":"2006-09-06T00:00:00","date_gmt":"2006-09-06T00:00:00","guid":{"rendered":""},"modified":"-0001-11-30T00:00:00","modified_gmt":"-0001-11-30T04:00:00","slug":"overstock-at-overstock-com","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/09\/2006\/overstock-at-overstock-com.html","title":{"rendered":"Overstock at Overstock.com"},"content":{"rendered":"
HedgeCo.Net (New York) – Hedge funds have been practicing a tactic called \u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cnaked short selling\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d, which means selling the same piece of property several times over such as shares in companies like Overstock.com. <\/p>\n

Patrick Byrne has been fighting an ongoing crusade against the hedge funds and stock market speculators that use these tactics, since his shares went into freefall 18 months ago. He argues that speculators are using dubious tactics to drive down his company\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2s share price unfairly. <\/p>\n

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. <\/p>\n

As Overstock.com\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2s founder and chief executive, Byrne told the Herald that he is willing to consider yanking his company from the stock market altogether through a management buyout worth well over half a billion dollars. <\/p>\n

\u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cManagement is certainly reviewing all such options open to us,\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d he said. \u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cIf the right\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u00a6fund or buyout firm came along and wanted to be our partner, it is something we would look at.\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d <\/p>\n

Byrne says as it is, nearly four Overstock shares have been promised for sale for each real one in public hands. Which has caused a share price collapse when the people who think they own the stock will find they only have an IOU<\/span>. <\/p>\n

This practice discourages the smaller, entrepreneurial companies from coming to the stock market. <\/p>\n

Byrne says the Securities & Exchange Commission should have a closer look at these tactics and put a stop to it, he said, \u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cThe shorts (speculators) are very tight with the people in the Department of Justice, the SEC<\/span>, the FBI<\/span>\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u00a6 Canada, Caribbean\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u00a6I think this leads back to organized crime in central and eastern Europe. This is all mobbed up.\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d <\/p>\n

Patrick Byrne received a bachelor\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2s degree from Dartmouth College, a master\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2s degree in philosophy from Cambridge University as a Marshall scholar, and a doctorate in philosophy from Stanford University. <\/p>\n

Alex Akesson
Contributing Writer
HedgeCo.Net
Email: Editor@hedgeco.net<\/a> <\/p>\n

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HedgeCo.Net is a premier hedge fund database and community for qualified and accredited investors only. Membership on www.hedgeco.net is FREE and EASY. We also offer FREE LISTINGS for Hedge Funds! <\/p>\n

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Be sure to check out our sister sites. www.hedgefundlounge.com<\/a>, www.hedgefundtools.com,<\/a><\/strong> and www.hedgefundemployment.com.<\/strong><\/a> <\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

HedgeCo.Net (New York) – Hedge funds have been practicing a tactic called \u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cnaked short selling\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d, which means selling the same piece of property several times over such as shares in companies like Overstock.com. Patrick Byrne has been fighting an ongoing […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-4974","post","type-post","status-publish","format-standard","hentry","category-hedgeco-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/4974","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=4974"}],"version-history":[{"count":0,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/4974\/revisions"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=4974"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=4974"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=4974"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}