cudeco(cdu) trading - representations, page-412

The following abridged letter was sent to Mr Greg Medcraft, Chairman, ASIC, on the 1sJuly, 2013:

"Your ref. CCC11\0338 – CuDeco(CDU) Limited – Tra

I wish to draw your attention to the shorting/churning activity for CuDeco(CDU)Limited securities trading for the month of June,2013.This follows up the trading of CDU securities for the month of May, 2013,and you can see that shorting/churning continues to decimate the share price
of CDU as a consequence of this illegal trading practice.

Therefore, I have provided, hereunder, the details of the daily trading figures for CuDeco(CDU) Limited securities for June,2013.This will enable you to see the consistency of the patterns being used at the present time by those shorting/churning of CDU securities.

Number of Number of Percentage of

June, 2013. CDU Traded. CDU Shorted. CDU Shorted. Price Movement.

------------- --------------------- ---------------------- ------------------ ---------------------

3rd. 117,163 41.211 23% Down 4c.

4th. 162,357 41,758 25% “ 4c.

5th. 231,749 81,307 35% “ 10c.

6th. 412,328 150,840 36% “ 9c.

7th. 246,953 74,416 30% “ 11c.



11th. 101,090 23,817 23% Up 1c.

12th. 532,349 37,306 7% Down 12c.

13th. 542,980 172,721 32% “ 14c.

14th. 332,178 68,626 26% Up 4c.



17th. 459,047 73,588 16% Down 3c.

18th. 1,272,786 304,155 24% “ 30c.

19th. 555,214 61,050 11% Up 3c.

20th. 1,650,125 631,050 38% Down 14c.

21st.. 1,041,176 160,223 15% “ 2c.



24th. 1,023,391 149,167 15% “ 20c.

25th. 903,045 275,927 30% “ 21c.

26th. 547,345 128,071 23% Up 4c.

27th. 661,315 118,122 18% Down 7c.

28th. 2,370,102 480,339 20% “ 26c.

This has resulted in an average of 680,000 CDU securities being traded daily,in June 2013, along with an average daily 23% of this stock being shorted.

The overall price movements of CDU for the month of June, 2013, was a gain of 12c and a massive loss of $1.89. A net loss of $1.77 in the CDU share price as a result of the shorting/churning undertaken.

Allowing external Hedge Funds, and blatant shorting/churning/capping Operators, to profit from the decrease in a company’s share price through manipulation is the greatest shame of modern day share trading on the ASX. It also greatly affects in the longer term all Superannuation Fund Contributors.

Mr. Wayne McCrae, Chairman, CuDeco(CDU) Limited has sent
the undermentioned letter to CDU shareholders on the 28th June, 2013,regarding the manipulative trading in CDU securities: (Letter to Shareholders advised herewith).

As you can see from Mr. McCrae’s letter, he has already made a request to ASIC that shares in CuDeco be removed from short selling. Others and myself too, have made many complaints to ASIC into the trading activities of CuDeco since the issuance of the first JORC on the 18th August, 2010. ASIC has failed to act on these complaints.

The situation which CuDeco faces, is not uncommon with other stocks.

A forensic examination into CuDeco could be a test case for the whole of the ASX to determine where malfeasance is taking place and, thus enable changes for the system to operate with integrity and fairness for all shareholders.

The High Court of Australia has unanimously ruled that the buying and selling of shares on the Australian Securities Exchange(ASX)to create or maintain a share price is an offence of market manipulation.

Now is the time for ASIC to take some positive action to rectify the current unhappy situation prevailing in the market. Especially, CuDeco(CDU), in my case.
Yours sincerely,
Maxw."

Referred for the information of CDU shareholders concerned.

Max