cvi vs asic

May be the focus of getting ASIC to do something about these low life’s is the wrong approach.

Maybe the case against ASIC for derelict of duty as a class action might find more traction and bring the required level of pressure to the table. ASIC clearly have been notified many times and yet nothing of any substance.

These activities mentioned below have clearly been in play with this stock:

• Fictitious Orders
This involves placing a large order or orders on one side of the market to
create an illusion of depth and liquidity, to facilitate a designated trade on the
other side of the market.

• Layering
This occurs where multiple orders are entered for the same account at various
price levels, with the orders representing a significant number of orders in the
bid/ask schedule. Whilst in some cases this pattern of trading may be a
legitimate strategy (for example when a client is looking to break up a large
order), this will be viewed as creating a false and misleading market if each of
these orders does not represent a genuine intention to trade.

• Ramping
Where, during normal market hours, orders are placed in such a way as to
suggest that there is a greater depth and volume of interest than there actually
is.

• Giving up priority / window dressing
Where a bid and or ask order is entered for a significant quantity of stock at a
price away from priority, which is cancelled as it gains in priority. This may be
a legitimate strategy where for instance buy orders are cancelled in a falling
market. However should such orders not reflect a true intention to trade, this
practice will be regarded as creating a false market.

• Spoofing
During the market auction periods, an order can be entered into the market
with there being no immediate possibility of the order being executed. This
provides the opportunity for the entry of fictitious orders, designed to mislead
the market as to the depth and volume of interest, with the order/s being
deleted shortly before trade commences.

• No change of beneficial ownership.
A transaction involves no change in beneficial ownership if a person (or that
person’s associate/s), is on both sides of the transaction, (i.e. both the buyer
and the seller).

• Wash Sales
This involves buying and selling a share at the same price so as to
significantly increase the trading volume in order to attract new buying
interest.

• Marking the Close
Where an order is placed in an attempt to artificially influence the closing price
of the security, this may have an impact on the security during the subsequent
trading day and as such can be regarded as manipulative trading.

The above info is a direct copy of this excellent thread:
http://www.hotcopper.com.au/post_threadview.asp?fid=2&tid=932986#303505