GEO Investing

On 5/16/2014 we mentioned to our premium members that there has been recent third party promotional activity for Medijane (MJMD), and that we were looking into the story for red flags regarding the characters involved in the story.

We stated that Tobin Smith was part of the pump campaign. It’s worth noting that out of the 25 stocks Tobin has promoted (that we tracked since August 2011), the average return is negative 95%, with only two stocks showing positive returns. This increases our confidence that MJMD will ultimately dump. We were able to confirm that the promotional budget is being financed by a large shareholder/shareholders of MJMD that intend to sell the stock.  One thing to keep in mind – the promotional budget is fairly sizable ($400,000 per week).

Here is an excerpt from the disclaimer of the campaign:

“IMPORTANT NOTICE AND DISCLAIMER:  This is a paid advertisement by The Undervalued Newsletter (“UVQ”). UVQ has received $20,000 from or on behalf of Globalvision Communications LLC (“GMS”) in compensation for this advertisement to enhance public awareness of Medijane Inc. (“Medijane” of the “Company”).  UVQ endorser David Katz received a fee of $1,500.  UVQ also expects to receive new subscriber revenue, the amount which is unknown at this time, as a result of this advertising effort.  UVQ does not perform any due diligence on the stocks and companies discussed herein.  UVQ relies on generally available public information and representations made by Medijane.  UVQ does not purport to provide an analysis of any company’s financial position, operations, or prospectus.  This advertisement is not to be construed as a recommendation by UVQ, or an effort to sell or solicitation to buy or sell any security.  Never invest in any advertised company unless you can afford to lose your entire investment.  Medijane, the Company featured in this issue, appears as paid advertising, paid by GMS to enhance public awareness for Medijane.  GMS is managing an online weekly advertising budget of up to $400,000 USD in an effort to build industry and investor awareness, paid to GMS from shareholder(s) of Medijane.  These shareholder(s) hold a large amount of shares in MJMD and intend to sell those shares.  Their sales of MJMD common stock will affect the value of your shares (negatively).  This should be considered a direct conflict of interest.  The payment is to cover costs associated with creating and distributing this report online and GMS will retain any excess funds as profit.  Although the information contained in this advertisement is believed to be reliable, UVQ makes no warranties as to the accuracy of any of the content herein and accepts no liability for how readers may choose to utilize it.  The information contained herein is based exclusively on information generally available to the public and does not contain any material, non-public information.  Readers should perform their own due-diligence before investing in any security including consulting with a qualified investment advisor or analyst. Readers should independently verify all statements made in this advertisement…”

Needless to say, the GeoTeam is on the case and will be releasing more due diligence on MJMD soon.