“Valeant had a certain reputation within the industry,” she says. “I knew it was already engaged in unethical, potentially fraudulent practice. Pharmaceuticals are a very established industry, when someone tries to disrupt it and post unusual numbers, there’s probably something wrong.”
As we’ve previously noted, German regulators have bent over backwards to accommodate Wirecard, even going so far as to discourage short sellers from targeting the stock, and launching an investigation into an FT reporter who published the first allegations about fraud within the fast-growing digital payments company.
Comment: Insiders always have deep broad advance knowledge. Wirecard appears to have some combination of internal issues AND be under attack. The plunging prices are covering the shorts. NSA has all the data but is not doing “trade intelligence” or white collar crime counterintelligence.
BaFin had previously said it would include the findings of the KPMG audit in its ongoing investigation into suspected market manipulation in Wirecard stock.
Comment: Regulatory agencies are easy to manipulate as a secondary means of direct market manipulation. They address only a tiny fraction of the crimes being committed by naked short sellers, while being easily spoofed into helping naked short sellers because they take fraudulent whistleblowers at face value when it suits them to do so.
#Wirecard WDI GR short int is $2.88BN; 29.83MM shs shorted; 25.97% of float; 4.00% borrow fee. Shs shorted up +3.34MM shs,+12.62%,over last 30 days as price fell -12.7% & up 3.91MM shs,+15.1%,last week.Shorts up +$604MM in 2020 mark-to-market profits;+$47MM on today's -1.63% move pic.twitter.com/p9VEp9EEl2
Wirecard has filed a suit at the Munich regional court against both the FT and its reporter, Dan McCrum, seeking a ruling on the merits of its case. If successful, the company would then press for monetary redress.
Comment: Use the tag cloud to find other articles about Dan McCrum, suspected to be in collusion with naked short sellers.
The payments group had predicted vindication from a special audit — it did not arrive
Dan McCrum and Olaf Storbeck
Financial Times, 29 April 2020
For months Wirecard had confidently predicted that KPMG would vindicate its accounting and deliver a final riposte to its sceptics. Instead, the publication on Tuesday of a report from the accounting firm caused shares in the Dax 30 company to crash 26 per cent as investors learnt that KPMG’s investigators had faced obstacles in their attempts to verify that large parts of the business were real, and publication of full-year results would be delayed again. The shares fell another 7 per cent on Wednesday.