got a reply from ASIC, so i sent the reply below, ASIC response...

got a reply from ASIC, so i sent the reply below, ASIC response is at the bottom.

Thanks Caroline,

There is a easy way to prove or disprove this manipulation of share price. You would need to have access to who is buying and selling shares and would have to do the following:

1. Confirm which trader is selling the small parcels of stock using the Bot program. (in the case provided small parcels of shares at 33.5c)
2. Confirm whether or not the same trader is the one actually buying larger parcels of shares at the same price of 33.5c (these are the larger parcels being sold by uneducated investors out of fear, due to manipulation by the trader running the BOT program) These shares are being accumulated by the BOT trader at a much faster rate that the relatively small quantity of sells it is placing. These larger quantity of shares are then in my opinion being placed back on the market almost in real time at a higher sell price.

Thanks for your attention as I believe this type of action works significantly against the benefit of mum and dad traders who ofteen dont have the margin to hold out against such moves in price manipulation.

Kind Regards,


From: Infoline [mailto:[email protected]]
Sent: Thursday, 1 April 2010 2:31 PM
Subject: Re: BOT trading manipulating price of MEO []



Dear Mr Duncan
Thank you for your email.
I have forwarded your complaint to the Misconduct & Breach Reporting department (Referral # 5125903) for their attention and reply. We will aim to respond to a complaint within 28 days of receiving the complaint.
Due to the unique nature of each enquiry ASIC is not able to provide interpretations or recommendations specific to some enquiries or circumstances. If you require further information please seek independent advice through an ASIC registered agent, your accountant or solicitor.
Yours sincerely
Caroline Radford
Customer Service Consultant, Enquiries
Stakeholder Services