Gerry Harvey Has Another Rant As He Tips In, Another $9M Propping Up Harvey Norman
Gerry Harvey has again been forced to wade into the market to prop up Harvey Norman shares, after already forking out over $18M during the past week he yesterday spent an additional $9M to send a message to investors he has branded “short sellers” who he claims have dragged the value of Harvey Norman shares down.
There was no mention of problems associated with the running of his franchise network.
Last week Harvey hit out at sections of the media over the Harvey Norman’s price slump, claiming that they were “making false statements” when organisations such as ChannelNews claimed that an ASIC probe was underway into the company’s reporting of exposure to franchisee losses, this week it was all about “short sellers”.
The collapse in Harvey Norman shares is also having an impact on the shareholdings of directors David Ackery who recently sold $1.5M worth of Harvey Norman shares as well as John Slack-Smith.
In his latest tirade, Harvey has declared he would personally “bring the criminal shorters undone” as they become increasingly bold and “reach new levels of criminality” he said last night.
“Some of these shorts are genuine shorts, others are acting as criminals and I am trying to bring the criminals undone,’’ Mr Harvey told The Australian.
What he has not explained is how the ASIC investigation into his franchisee operation is going.
After initially denying that an investigation into Harvey Norman accounts was being conducted the Company did a backflip and later confirmed that Australian Securities and Investment Commission was probing the Companies books and how losses incurred by his franchisee network were book kept.
“And the criminals, and I call them criminals, because when they short they just don’t then short, they then use all these other methods to decrease the price and manipulate the shares.’’
The Harvey Norman share price is down more than 14 per cent since February, this has significantly lowered the wealth of Harvey Norman executives, Gerry Harvey, Katie Page, David Ackery and John Slack Smith.
Gerry Harvey’s fortune has been slashed by more than $100 million just last week alone.
last week Gerry Harvey was claiming the retailer had been the victim of a “potential scam” by local fund managers and media organisations to push the value of the company lower, management slammed media organisations such as ChannelNews for daring to reveal that his Company was under investigation by ASIC.
At shareholder meetings in the past Gerry Harvey has told concerned investors to “piss off” when they have questioned the actions of the mass retailer.
He told the Australian yesterday “There has to be someone out there that pursues some of these criminals, because they have been getting away with it for so long and they think because they get away with it and no-one ever pursues them and they just get a little bolder all the time.
“And so now they have become so bold, they go out there and brag about how smart they are and they don’t go into how they manipulate (shares) because they won’t tell the world that, but most people out there in the market know how they manipulate.
“When they go to the extent of using multiple offshore entities that cannot be pursued by Australian regulators, they use those entities to aid and abet, then they are reaching new levels of criminality.’
Mr Harvey said regulators including both ASIC and the ASX had a “history of doing nothing”, hence his personal pursuit of these “criminal shorts”.
What he has not acknowledged is that the so called “short sellers” are doing nothing illegal and are operating with the laws governing the buying and selling of shares.
“They have a long history of ignoring it and if you mention it to any regulator they say ‘thank you for telling me, see you later’.’’ he said.