This message was posted today on the Yahoo stock board. I sometimes forget about this. About the fact that Kroll tipped off Usana Health Sciences (NASDAQ:USNA) about Barry Minkow’s investigation of the company and how these insiders unloaded a ton of stock right before the release of the report.
From the stock message board:
Here were the real manipulators of the stock:
On Feb. 8, 2007 – Ronald Poelman excercised and sold 10,000 shares for $598,500
On Feb. 9, 2007 – Mark Wilson excercised and sold 10,000 shares for $613,500
On Feb. 12, 2007 – Myron Wentz sold 85,000 shares for $5,183,300
On Feb. 13, 2007 – Jerry McClain excercised and sold 5000 shares for $305,600
On Feb. 20, 2007 – Kevin Guest excercised and sold 18,000 shares for $1,092,960
On Feb. 26, 2007 – Kevin Guest excercised and sold 7255 shares for $442,555
On March 1, 2007 – Bradford Richardson exercised 15,000 shares and sold 5100 shares for $300,000
Six insiders dumped $8,536,415 in a period of 21 days just prior to the release of the March 15, 2007 fraud report against USANA. USANA wants to sue Barry for stock manipulation, but it was the top executives own bailing out that is to really blame. USANA never defended the fraud allegations and quickly initiated a lawsuit against Barry to divert attention away from the allegations. That also had an impact on the stock. And since that period, USANA has had a harder time recruiting more distributors because people are starting to realize that those Fraud Allegations were true.
10 May 08 at 3:09 pm
Unfortunately Tracy as you know this means absolutly nothing to the Usana group. It is a shame that the people trying to sell the product don’t understand that when a group of people offload the stocks like they did means the company is not worth working for. And all this before the release of the FDI information. How blind are these people and are they really that stupid that they beleive the products are better just because they are told they are? When they say there is a sucker born every minute they are not kidding and I think they all work as Usana distributers.
13 May 08 at 11:56 am
Ok Tracy what does this mean about Usana now with talks of a buy out. Where does that leave Minkow with all the work he did to try and prove the company was a pyrimid schem that just scammes a bunch of suckers.