Blitzlane(I like the name) re pump and dump scheme:
Lets start with an official definition
"Pump and dump" is a form of microcap stock fraud that involves artificially inflating the price of an owned stock through false and misleading positive statements, in order to sell the cheaply purchased stock at a higher price. Once the operators of the scheme "dump" their overvalued shares, the price falls and investors lose their money. Stocks that are the subject of pump-and-dump schemes are sometimes called "chop stocks."
Often the scheme is performed by hedge funds and there are no official statements involved. What happens though is that a fund accumulates stock(in HAW case that would have happended in the 0.008 to 0.009 range)over a longer period of time. Once there have sufficient volume accumulated they start to create price and trading patterns that might indicate that a stock is about to pop. In HAW case that would be braking the trading range of 0.008- 0.01. This action maybe supported by posters on forums like ours creating some hype(believe it or not but forums like this get scanned by companies and funds alike. Not to mention our(weak)watchdog). This artificial inflation will drag punters into buying the stock. The fund will put larger orders in as well and will "prop" the price with "fake" orders at 1c, 0.009, 0.008 to make you feel happy about entering the stock since there appears to be plenty of support. So the price starts to pull up attracting more punters. The fund then starts to sell their stock into the rise and bag a nice profit on the volume accumulated over the recent weeks and months. Once their stock is gone, they disappear, momentum dies off and the punters are left with an overpriced stock that nobody is interested in any more. The punters options then are to hold and hope for a rise some time in the future or you sell at a loss. This is particularly painful if it was a T+3 trade as you have limited time to get out and almost certainly end up with a loss.
Hope that was about as clear as the BBI prospectus...very simplified but covers the essentials.
