Pumping, Then Dumping Great Wall Builders (GWBU) ?

First some blockbuster news comes out, then the share price skyrockets, a few investors are hooked in, and finally the stock tumbles. A classic pump and dump scheme.

One such classic pump and dump scheme seems to be Great Wall Builders Ltd. (OTC:GWBU), which claims to own a patent pending technology that can reduce vehicle emissions while boosting mileage. GWBU has made some really tall claims in the last two months.

From reporting that its patent-pending technology called Start FEED is being tested by Mercedes-Benz Italy, to entering into multi-million distribution contracts for the technology in a number of European countries, GWBU has bombarded investors with positive news in the last two months. But, there was always question mark over the company.

In fact, an article appearing in Seeking Alpha last month raised doubts over GWBU. The article, written by Isaac Silbermann alleged that GWBU appears to be a pump and dump scheme.

Recent stock activity backs Silbermann’s claims. GWBU has dropped more than 83% in just five trading sessions. The losses are likely to continue even as CEO Daniele Brazzi said that he will hold a shareholder webcast later this week to discuss the recent stock activity. Brazzi is likely to blame short sellers for Great Wall Builders’ great fall.

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