Canada-Ecuador: When Stock Exchanges Fuel Human Rights Violations

A very interesting article came up on upsidedown world just before Christmas concerning the methods of the junior mining company in South America (Ecuador, to be exact). Written by the author of Ascendant Copper's dsownfall, Carlos Zorrillo, it examines the role of the stock exchange in cases of human rights abuses, using what happened at Intag as its base point. Well worth reading, even if you don't necessarily agree.

Canada-Ecuador: When Stock Exchanges Fuel Human Rights Violations

Recently, Toronto-based Pinetree Capital bought a few million shares of Copper Mesa Mining Corporation, making it the largest share owner of a failing company currently embroiled in a lawsuit. The takeover raised the price of its penny stock upwards to between three and five cents.

Copper Mesa, however, got a lot more than what it bargained for.

Copper Mesa, until last year, was the owner of a couple of mining concessions in the Intag region of Ecuador. But the company ran into a strong, organized opposition from communities, local government and, eventually even the national government, which eventually stripped Copper Mesa of its concessions in the country. The company then had to shed itself of its mining projects in the US to pay off debts, leaving it as empty handed as when it was first aborted.

Needless to say, Copper Mesa’s directors and a select number of employees and shareholders have never been the worse for the disaster they created, which happens to be an established norm in the world of Canadian stock exchange business. The Bre-X case is one which comes to mind. Bre-X was the Canadian company that fleeced thousands of investors of billions of dollars all based on a non-existent gold mine in Indonesia.

Copper Mesa, based in Vancouver, is infamous for other reasons, in addition to wasting millions of dollars on a mining project that has gone nowhere. Its notoriety mostly comes from using the equivalent of paramilitaries in the Junín community to forcefully trying to gain access to its concessions (which they never were able to access even to explore). Interestingly enough, the shootout took place almost exactly three years ago to the day that Pinetree took over the shipwreck called Copper Mesa. The assault against the community of Junin failed completely, but the graphic images and video of ex-military thugs dressed as security personnel shooting at defenseless campesinos went round the world, and is featured on several full-length documentaries about Intag’s successful resistance to mining.

In the rich and varied annals of corporate abuse and stupidity, and in record time, this has become a classic.

CONTINUES HERE

Sheldon Heart Sheldon's Companies

The CEO pose

We're often snarky and scathing about blatant insider selling by company directors that care far more about their own back pockets than the wellbeing of shareholders, so it's fair dinkum* to note some significant insider buying today, point a finger at a director using his money to add stock in his companies and say "Good on yer, mate"*

So let's highlight Sheldon Inwentash, head honcho at Pinetree Capital (PNP.to) and w00t him with a "Hey dude..serious buying". Here's the latest set of filings....

Pinetree Capital Ltd. (PNP)						As of December 3rd, 2009
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Dec 03/09	Dec 02/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	20,600	$2.217
Dec 03/09	Dec 02/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	8,000	$2.150
Dec 03/09	Dec 02/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	116,500	$2.169
Dec 03/09	Dec 02/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	54,900	$2.224
Dec 02/09	Dec 01/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	68,700	$2.123
Dec 02/09	Dec 01/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	4,200	$2.142
Dec 02/09	Dec 01/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	103,000	$2.105
Dec 02/09	Dec 01/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	24,100	$2.143
Dec 02/09	Nov 30/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	8,100	$2.078
Dec 02/09	Nov 30/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	91,900	$2.092

....but that's just brushing the surface really, as our hero Shelly has added a total 1,103,900 shares of PNP to his portfolio in November and December 2009 to bring his total up to 3,136,144. But wait! There's more! In the same period he's tacked on insider purchases in other companies where he sits as director or advisor or general moneybagman. The list includes 434,000 shares of Latin American Minerals (LAT.v), 830,000 shares of Mega Uranium (MGA.to) as well as other purchases in smaller stuff. So hats off to Sheldon for putting his money where his mouth is. Say what you like about the guy, but at least he has confidence in himself and his companies.

*I've come over all Australian today. No idea why.

Insider sellers, insider buyers

ECU Silver (ECU.to) still bailing to the suckers who still lunatic enough believe in this POS

ECU Silver Mining Inc. (ECU)						As of September 18th, 2009
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Sep 18/09	Sep 11/09	Bélanger, Clifford	Direct Ownership	Common Shares	10 - Disposition in the public market	-10,000	$0.650
Sep 18/09	Sep 15/09	Bélanger, Clifford	Direct Ownership	Common Shares	10 - Disposition in the public market	-10,000	$0.600
Sep 17/09	Sep 11/09	Thériault, Francine	Direct Ownership	Common Shares	10 - Disposition in the public market	-10,000

Hank Van Alphen dumped 32,000 Int'l Tower Hill (ITH.v) shares on the market since September 10th this month, at prices from $4.38 upwards. This guy looks after himself and then number one then Henk Van Alphen and then later might have a moment for other people, so take the hint.

International Tower Hill Mines Ltd. (ITH)						As of September 18th, 2009
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Sep 18/09	Sep 15/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-2,000	$4.500
Sep 18/09	Sep 15/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-2,200	$4.580
Sep 18/09	Sep 14/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-100	$4.584
Sep 18/09	Sep 14/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-700	$4.580
Sep 18/09	Sep 11/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-3,000	$4.750
Sep 18/09	Sep 11/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-3,000	$4.580
Sep 18/09	Sep 11/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-1,000	$4.600
Sep 18/09	Sep 11/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-4,000	$4.640
Sep 18/09	Sep 11/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-4,000	$4.480
Sep 18/09	Sep 10/09	Van Alphen, Hendrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-4,000	$4.440

Meanwhile, the B2gold chairman Robert Cross has suddenly taken a liking to his stock. He's never owned a share in BTO.to until this week and now here he is with 250,000 bought on the open market.

B2Gold Corp. (BTO)						As of September 18th, 2009
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Sep 18/09	Sep 17/09	Cross, Robert Melvin Douglas	Indirect Ownership	Common Shares	10 - Acquisition in the public market	150,000	$0.730
Sep 18/09	Sep 16/09	Cross, Robert Melvin Douglas	Indirect Ownership	Common Shares	10 - Acquisition in the public market	100,000	$0.740

And Sheldon is falling in love with Pinetree again. Just like starting over, no?

Pinetree Capital Ltd. (PNP)						As of September 18th, 2009
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Sep 18/09	Sep 10/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	500	$1.640
Sep 18/09	Sep 10/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	101,300	$1.634
Sep 18/09	Sep 10/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	50,000	$1.678
Sep 18/09	Sep 09/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	5,200	$1.650
Sep 18/09	Sep 09/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	2,800	$1.644
Sep 18/09	Sep 09/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	148,300	$1.644
Sep 18/09	Sep 09/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	18,500	$1.660
Sep 18/09	Sep 08/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	147,300	$1.673
Sep 14/09	Sep 04/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	10,100	$1.641
Sep 14/09	Sep 04/09	Inwentash, Sheldon	Direct Ownership	Common Shares	10 - Acquisition in the public market	300	$1.640