When Gotham City published its damning report on Quindell (QPP) supporters of Rob Terry’s firm were quick to rubbish Gotham as a two bit operation with conflicted interests which did not know what it was talking about. On July 1st Gotham turned its fire on Gowex a US and Spanish listed firm with a market capitalisation of Euro 1.44 billion saying that its shares – then Euro 19.91 were worth zero. Today the CEO has admitted that it was all a fraud and the company has gone bust. It took just Five days.
Of course Gowex initially denied all of Gotham’s charges. It said that Gotham had got ait all wrong, reporters were briefed that Gotham was conflicted and it noted “The independent stockbroker analysts have published target prices ranging from €17 to €31 per share. The market consensus is at a value of €23.97 per share.” Hmmm might be some downgrades (to zero) tomorrow I suspect.
Yup six brokers all loved the stock (including Singer N+1 from London). So when folks tell you a stock must be a buy because respected brokers say so just think of Gowex.
And of course Gowex was going to sue Gotham for libel – see HERE – so when a company says it is going to sue a bear
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