mPhase (OTCBB: XDSL) more like mFraud (OTCBB: SCAM)

So mPhase technolgies has some great technologies.  One of it’s featured technologies is the magnetometer.  It reminds me of something in a Willy Wonka film.  But of course this technology is “REAL”.  The magnetometer can detect different metals that they say will help future security threats in airports as well as in other locations.  What baffles me is that the example they use is that it can detect a crowbar from 10 meters away….great!
You won’t find this information in their 10-Q’s but in their youtube example videos that are made in order to pump the stock — I mean show how great their technology is.

Now the executives are great friends.  They have been business parters for a long time.  How do I know.  Well they are famous.  So famous that you can find their name under litigation on the SEC’s website.  Here’s the kind words said about a few of the mPhase executives former company.

“The Securities and Exchange Commission filed an enforcement action on November 15, 2005, charging six individuals and four companies with securities fraud and other violations in connection with a scheme to pump and dump the stock of PacketPort.com, a company based in Norwalk, Connecticut. The SEC alleges that three PacketPort.com officials and two stock touters, aided and abetted by a registered representative, executed the pump and dump, which obtained more than $9 million in illicit proceeds.”

So now who are these six individuals.

“The Complaint alleges that Ronald Durando, a 48-year-old resident of Nutley, New Jersey, privately acquired a majority stake in an insolvent public company, then called Linkon. His stake in Linkon consisted of restricted shares. With the help of his colleagues, Gustave Dotoli, a 70-year-old resident of Nutley, New Jersey, and attorney Robert H. Jaffe, a 69-year-old resident of Mountainside, New Jersey, Durando took control of Linkon and changed its name to PacketPort.com. Durando became president and CEO, and Jaffe and Dotoli became directors. Durando, Jaffe, and Dotoli laundered restrictive legends from Durando’s share certificates so that the restricted shares could be passed off to the public as “free trading.” Durando then paid IP Equity, Inc., a private California corporation that operated an Internet-based stock newsletter, and its principals, M. Christopher Agarwal and Theodore Kunzog, to publish false publicity and bogus recommendations about PacketPort.com in order to pump up the stock price. The share price more than quadrupled following the false publicity, rising from about $4.75 to a high of about $19.50.”

Ronald Durando and Gustav Dotoli sound very familiar.  Oh that’s right they are now pumping the stock of good ‘ol mPhase (OTCBB: XDSL).  Now these guys aren’t just crooks but total morons.  They don’t get that committing similiar crimes for something they are already accused for will hurt their previous case in court.  It’s not like there using YouTube to pump their stock.  That would be a ridiculous assumption because we know how ethical these guys are….not.  mPhase reminds me of packetport.  It is very disspointing because I have this intuition you may call it that I will never be able to use a magnotometer…probably because it only exists on YouTube.