this morning's fiasco

There is no way, on a main stock market, within a G20 country, that this mornings events surrounding PSY should ever have happened.

The ASX, ASIC and Australia should be ashamed of themselves.

The directors of PSY should also be investigated over this matter and appropriate sanctions imposed upon them.

After the sharp price rise and very heavy trading in PSY yesterday. The company should have been issued with a demand to notify the market of any news it was unaware of before it opened today by the ASX or ASIC.

Even failing that the company should have requested a trading halt afterhours last night or very early this morning (pre 9am) to ensure no trading occurred in the stock prior to it issuing a price sensitive announcement.

By failing to notify the market via ASX & ASIC before 10:12am this morning the company allowed a false market to occur in its stock. All those who were involved in the private placement and others who had been approached about it, were in receipt of price sensitive information.

You don't organise a PP at a few minutes notice, so it was initiated either yesterday or late last week.

A large number of investors got burned in those first 12 mins this morning(and for the record I wasn't one of them, as I haven't dealt in PSY shares thus far today) when they shouldn't have. They should have been trading with all the facts right in front of them and they weren't.

How many people knew what was coming and sold into the buying frenzy first thing this morning knowing they could most likely buy back the stock later in the day at a much lower price???

The directors of the company should be made to cover the losses anyone incurred during those opening 12 mins.

Not only that, but by acting in such an unprofessional manner, how much damage will they have done to the company going forward?? Who's going to invest in a company that acts in such a manner??

A total disgrace - to say the least

No matter how good there MEMS product is, I won't be investing in PSY for the medium or long term following this disaster that could easily have been avoided.

I hope your Australian press pick up on this fiasco and that ordinary Australian's demand better protection from parliament to protect investors from home and abroad in future.

LOTM