November 13, 2000
The Honorable David M. Walker Dear Mr. Walker: This is with reference to my letters of September 18, 2000, and October 30, 2000, regarding the serious issues raised by a Business Week article questioning the quality of American Stock Exchange (Amex) issuers. The Securities and Exchange Commission recently confirmed that Amex failed to follow its own guidelines in listing more than two dozen stocks this year. I am transmitting correspondence regarding seemingly serious and credible allegations raised by Mr. Manuel P. Asensio, Chairman, President and Chief Executive Officer of investment bank Asensio & Company Inc. concerning Amex’s listing and screening procedures and the oversight of its market. Mr. Asensio describes an alleged fraudulent scheme in the stock of Hemispherx Biopharma Inc. that includes allegations about the possible involvement of Amex leaders and members. Hemispherx disclosed in a Form 10-K filed with the SEC in March 2000 that the SEC was investigating whether the company or any of its officers had committed securities fraud. Mr. Asensio also describes a separate alleged scheme in which eight recent Amex listings purportedly have been manipulated for the purpose of defrauding Russell Stock Index mutual funds. There is no public information available on whether the SEC is looking into that matter as well. To the extent appropriate, I respectfully request that you include these matters as case studies when you conduct the update and review that I previously requested. Thank you for your cooperation and attention to this matter. Sincerely,
JOHN D. DINGELL cc: The Honorable Tom Bliley, Chairman The Honorable Michael G. Oxley, Chairman The Honorable Edolphus Towns, Ranking Member The Honorable Arthur Levitt, Jr., Chairman
| |
|
 |
 |
 |
 |
 |
 |
 |
 |
