Queensland Bauxite Limited (QBL.AX) is a pump-and-dump scheme masquerading as a bauxite explorer. This blog first mentioned the QBL pump-and-dump two weeks ago in a post detailing various ramps orchestrated by Wholesale Investors and Proactive Investors. Since then, the cartel has continued roping in victims with ASIC's blessing and complicity, aided by the homunculi of Australian financial media. No matter how openly manipulated a share is, no matter how obviously ramped by criminals, Australian "journalists" are willing to spruik it. There is literally no scheme too fraudulent. On 13 June, The Motley Fool published a despicable "article" pumping the scam, claiming QBL was "set to soar".
The porcine shill who wrote this "article" should be ashamed of himself. At best, he is a complete moron, and at worst he is a criminal associate of pump-and-dumpers. The Queensland Bauxite securities fraud is operated by veteran share manipulators associated with Merlin Diamonds and the mysterious Gleneagle Securities. Before attaching his name to this pump-and-dump scam forever, The Motley Fool shill should have done some basic due diligence. The cartel ramped QBL from $0.010 to $0.059 in a couple of weeks, performing a complex array of leveraged transactions.
On June 18 QBL then collapsed by 58%. This had absolutely nothing to do with a "market" outcome. The price of QBL had been deliberately ramped by a cartel. Small investors got suckered in as an effect of the ramp, but were not the cause of it. Of course, such small investors can expect zero recourse to the law, because ASIC has effectively legalized pump-and-dump schemes and other revaluation frauds in Australia.
The QBL criminals pulled this exact same scam as recently as 2010. Guess Motley Fools have short memories as well as zero accountability. According to ASIC and the Motley Fool, these are just inexplicable magical market mysteries, and not deliberate ramps at all.