Is Creative Edge Nutrition, Inc. (OTCMKTS:FITX) A Pump And Dump Scheme?
Yesterday marked another session of active climbing for Creative Edge Nutrition, Inc. (OTCMKTS:FITX), who managed to add 10.39% to its market value, in spite of the various accusations by a popular online analyst.
Anyone that’s kept an eye on the sector since the marijuana rush began in early 2014 knows FITX as one of the most notorious companies in the branch.
To put it bluntly – FITX is one of the most dubious companies in an already dubious sector of the OTC Market – and it has come under fire because of that on many occasions.
Its latest bout is with a SeekingAlpha author, and let’s just say that the drama is very real.
As we’ve said, this is by far not the first time such things have occurred. Near the end of last month, things got so bad that the company was forced to issue a press release shooting down “several false accusations against the Company and its President Bill Chaaban, ranging from insider trading to operating a pump and dump scheme”.
Well, that part appears to be, technically, correct. Your average “pump and dump” scheme involves the company in question being on the receiving end of a paid pump, while fraudsters flood the market with shares. FITX has not been targeted by a paid pump since 2013. So, no, FITX is not your everyday pump and dump scheme, that much is true.
However, it is also true that during the last year or so, FITX appeared to be doing anything and everything in its power to exploit the marijuana rush to create hype, that ended up inflating its prices per share to staggering levels. Bold announcements, misleading and sometimes even outright false claims, promises on which it later miserably failed to deliver – it’s all there, in FITX‘s news feed, and you don’t even have to dig all that deep to find it.
Investors should decide on their own what to make of these facts.