quote:

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Originally posted by Cavehunter:
I am new in the game, the thing i am looking for is how to catch a scam share company.Any kind of comment will be appreciated.

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Read the charts for one. Look for a lot of spikes. check to see if they R/S a lot then dilute after the reverse split. R/S is the biggest scam in pennies. Not to say a R/S for all are scams but like AFRT they pump there shares then do a R/S O/S but not the A/S then do another R/S over and over. Stocks that are pumped on paid web sites are a clue. Look out for new members starting a new thread saying "I heard this stock was about to run. Get it while you can".

But the best way is to do you DD for yourself and look at there PR. Read the boards on Allstock for that stock. You can put the symbol in under search for old articles. If you can't find it after that then ask in a new thread. Everyone here is very helpful.

Ric

An example would be RVNM which has done this several times killing their stock owners each time. I liked the story and someday they may actually luck into profits, but they have never shown they care about their shareholders only lining the pockets of the insiders and officers. Every time one of these companies do a reverse split just so they can start diluting again it nearly destroys the value of present stock.

- - Increase the authorized shares of our preferred stock from 1,000,000 to
200,000,000 shares; and

- - Effect a reverse split of our common stock on the basis of up to one
post-consolidation share for each 1,000 pre-consolidation shares to occur
at some time within 12 months of the date of this Information Statement,
with the exact time of the reverse split to be determined by the board of
directors."--------

We have two consenting stockholders, Richard A. Bailey, our founder,
president, and a director, who holds 3,278,345,006 shares of our common stock
and 498,000 shares of our preferred stock, and Florian Ternes, our director and
secretary who holds 3,278,341,672 shares of our common stock and 498,000 shares
of our preferred stock. Both Mr. Bailey and Mr. Ternes will vote in favor of
the proposed amendment to our articles of incorporation. Messrs. Bailey and
Ternes have the power to pass the proposed amendment without the concurrence of
any of our other stockholders.

As you can see they don't need the shareholders vote to pass ANYTHING. Don't get into these companies. Or at least dont' go to bed with them- dont hold over night because they do their reverse splits overnight. This company just did its 4th reverse split since 1999.

[This message has been edited by silver70 (edited September 05, 2004).]

GATEWAY DISTRIBUTORS, LTD.
3035 E. PATRICK LANE, SUITE 14
LAS VEGAS, NEVADA 89120
TELEPHONE (702) 938-9316

September 13, 2004
To Our Stockholders:

The purpose of this information statement is to inform the holders of record of shares of our common stock and preferred stock as of the close of business on the record date, September 3, 2004 that our board of directors has recommended, and that a majority of our shareholders intend to vote in favor of resolutions which will accomplish the following:

1. Amend our articles of incorporation to increase the number of authorized shares of our common stock from 25,000,000 to 25,000,000,000 shares.

2. Amend our articles of incorporation to increase the number of authorized shares of our preferred stock from 200,000,000 to 400,000,000 shares.

3. Grant discretionary authority to our board of directors to implement a reverse stock split of our common stock on the basis of one post-consolidation share for up to each 1,000 pre-consolidation shares to occur at some time within 12 months of the date of this information statement, with the exact time of the reverse split to be determined by the board of directors.

quote:

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Originally posted by silver70:
You can usually find out if the company is legit by reading their sec filings For example GWAD, GWDL, GWAY- The following taken from DEF 14C filing with SEC:
"To Our Stockholders:
The purpose of this information statement is to inform the holders of
record of shares of our common stock and preferred stock as of the close of
business on the record date, April 30, 2004 that our board of directors has
recommended, and that a majority of our stockholders intend to vote in favor of
a resolution which will amend our articles of incorporation to:

- - Increase the authorized shares of our preferred stock from 1,000,000 to
200,000,000 shares; and

- - Effect a reverse split of our common stock on the basis of up to one
post-consolidation share for each 1,000 pre-consolidation shares to occur
at some time within 12 months of the date of this Information Statement,
with the exact time of the reverse split to be determined by the board of
directors."--------

We have two consenting stockholders, Richard A. Bailey, our founder,
president, and a director, who holds 3,278,345,006 shares of our common stock
and 498,000 shares of our preferred stock, and Florian Ternes, our director and
secretary who holds 3,278,341,672 shares of our common stock and 498,000 shares
of our preferred stock. Both Mr. Bailey and Mr. Ternes will vote in favor of
the proposed amendment to our articles of incorporation. Messrs. Bailey and
Ternes have the power to pass the proposed amendment without the concurrence of
any of our other stockholders.

As you can see they don't need the shareholders vote to pass ANYTHING. Don't get into these companies. Or at least dont' go to bed with them- dont hold over night because they do their reverse splits overnight. This company just did its 4th reverse split since 1999.

[This message has been edited by silver70 (edited September 05, 2004).]

[This message has been edited by silver70 (edited September 05, 2004).]

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quote:

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Originally posted by Cavehunter:
I am new in the game, the thing i am looking for is how to catch a scam share company.Any kind of comment will be appreciated.

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