We were all sideswiped by reports that the 'new' production facilities and 'new' product lines were on track and on-schedule. One of the weaknesses of our stocktrading system is that the PR firms who put out this information are not held accountable. When challenged (which I have done), they can always say: "Well, we were misled by the company." In an ideal situation, the PR firms would personally visit and perform on-site audits to verify that the companies they are pumping are performing as expected. One such scam, PGNE, ran elaborate articles with photographs showing their oil fields. All the company consisted of was an office in NYC with an answering machine. They also had an answering machine in a London office for a short time. In the case of PGNE, the American promoters were fined, but it was a mere slap of the wrist. Investors lost hundreds of millions, the PR incompetents got spankings. I complained about the failure of CNGL's American PR firm to keep us up to date on the CNGL failings with the 'new' production facilities and "new" product lines to the same SEC officer I worked with on the PGNE investigation. But, the laws are inadequate to cover cases where PR firms never leave their cozy offices and simply pass information on to investors whether the claims are true or not. It's still caveat emptor out there, although it need not be that way. As to CNGL, it's still a valid company and its P/E is artificially low. It will bounce back a bit, but the devastating news surrounding their failures has blackened their image, and one wonders if they will ever be a success... in other words, they've proven themselves to be untrustworthy and may never be a good investment option.
Thanks, you seem to know as much as anyone about CNGL and give an honest opinion. Good to have that in this pump and dump world. I picked up a little more in the 40 cent range. Nothing much, just mad money.