Paul Goldberg fights the cancer "right wing insurgency"

Insurgents

1. Rising in revolt against established authority, especially a government.

2. Rebelling against the leadership of a political party.

Paul Goldberg of The Cancer Letter does not seem to fancy the idea of Provenge approval either. He has been the one responsible for publishing "leaked" negative FDA letters in his publication the Cancer Letter.

Who is Paul Goldberg, and why might he not want Provenge to be approved?

Paul Goldberg, along with his wife, runs a home business by publishing the Cancer Letter out of their D.C. basement. Neither of them are doctors. It is a very lucrative business, earning the Goldbergs approximately 500, 000 thousand dollars a year in income.

According to a Washington Post article Paul Goldberg decided to work at the Cancer Letter because,

"It was money and I needed it."

Paul Goldberg is very political. Merril Goozner writes in one of his articles,

"Paul Goldberg's influential "Cancer Letter" pointed out in its August issue how a right wing "insurgency" is pushing for early approvals of cancer drugs.."

Paul Goldberg is not a big fan of the current FDA chief that was appointed by President George W. Bush. According to a New York Times article,

"Paul Goldberg, editor of The Cancer Letter, a Washington newsletter that has been critical of some of Dr. von Eschenbach's policies, said he suspected that if given free rein, Dr. von Eschenbach would relax standards on drug approvals. "

Dr. von Eschenbach was appointed head of the FDA by president George Bush. He is a man on a mission. That mission is

"eliminating suffering and death due to cancer by 2015."
.

Paul Goldberg has gone out of his way to public these allegedly "leaked" letters from the FDA. Making a public circus of it all. It should be a private dignified debate within the FDA, but Goldberg doesn't seem to want to keep it private. Perhaps this excerpt from Goldberg's Cancer Letter will give some insight as to why he wants to make this a public fight,

"By refraining from challenging von Eschenbach's four-year stewardship of NCI, Democrats forego the opportunity to question his reorganizing the institute for the pursuit of a blatantly unachievable and now apparently abandoned goal to 'eliminate suffering and death due to cancer' by 2015. "

So The Cancer Letter thinks that finding cure to cancer by 2015 is a "blatantly unachievable" goal? This is the opinion coming from two people who are not even doctors, or scientists. They feel that Democrats should not refrain from challenging Von Eschenbach? Since when is cancer and finding a cure a partisan subject? Is cancer political?

Why doesn't Paul Goldberg publish something positive about Provenge? Wouldn't that be fair and balanced?There were, after all, 13 scientists and physicians who voted for Provenge.

No - he only publishes letters by doctors who don't want Provenge to be approved. Could it be that Goldberg is making his own "counter-surgency" attack via his newsletter?

Just yesterday Mr. Goldberg published another ‘leaked’ letter from the FDA. This time the letter was from Dr. Maha Hussain. . .

Who is Dr. Maha Hadi Hussain?

Dr. Maha Hussain graduated from the Baghdad University School of Medicine. She escaped from Iraq and now practices in the USA. She is also in Dr Scher’s camp of treating cancer. She is an expert in her field. She has dedicated her whole life to the subject of cancer. Both Scher and Hussain work with chemo. She, like Scher, is also currently acting either as a paid consultant or investigator or sub investigator for several of Dendreon's competitors.

Another similarity between Dr. Howard Scher( Goldberg published his letter) and Dr. Maha Hussain is that they both had to sign conflict of interest waivers in order to vote on Provenge.

Why? Well her husband Dr. Salam Jafar Hussain, a physician at Ann Arbor Radiation Oncology center, owns stock in companies that could be viewed as competetors with Dendreon.
He is in charge of phase III clinical trial for Taxotere® at Michigan Cancer Research Consortium, and at St. Joseph Mercy Cancer Center. Cick here as well for more information.

Dr. Howard Scher's is also studying III clinical trials for Taxotere®. Taxotere® is a chemo based drug that is targeted to treat late prostate cancer. So technically speaking it is a competetor for Provenge.

Take a look at Dr. MahaHussain's conflict of interest waiver here.

During the FDA panel she was very adamant and loud about her views. She really did not want Provenge to receive a positive recommendation.

I ask myself - why doesn't Paul Goldberg publish something positive about Provenge? He's gotten a hold of these negative letters written by doctors who have had to sign conflict of interest waivers ...why won't he do the same for the pro Provenge train of thought? Or would anything positive about Provenge play into his " right wing insurgency theory"?"

Perhaps to get an answer to my question I should just ask Harmon Eyre, chief medical officer of the American Cancer Society in Atlanta, what he thinks about the Goldbergs.

"They serve as their own editors so there is no one reviewing reports for accuracy and fairness and you can see the slant"

Oh I get it now . . . Thanks Dr. Harmon Eyre for clearing that up!

Mathew Herper from Forbes and Dr. Scher's rep say: No way Jose!

In a Forbes article released today Dr. Howard Scher "rep" alleges that he does not know of any family members that would benefit financially if Provenge was not approved.

A Memorial Sloan-Kettering spokeswoman says that Scher had nothing to do with his letter leaking, and that he knew of no family members who would benefit financially either way if Provenge were approved.

In my previous brainstorming I gathered enough information to believe that there was enough evidence to conclude that Barry S. Lafer is a member of Howard Scher's family in law.

Barry S. Lafer owns Lafer Equities which is an offshore arbitrage hedge fund in the Cayman Islands. They are worth around 200 million. Alot of the stock they own is in companies that have in one way or another something related to cancer and chemotherapy.

Now how are you so sure Barry and Alan Lafer are related to Deborah Lafer ( Howard Scher’s wife) you might ask me.

Where's your proof?

Ok point well taken, so put your thinking caps on and let me show you step by step how I came to this conclusion based on facts I found. Just keep in mind I am not 100 percent sure. Just 99 percent sure they are all in the same big happy family.
First off Howard Scher wed Deborah Lafer who worked for Warburg Pincus at the time of their wedding. Click here to read the article.

Now in the New York Times there is a death notice for a Louis Lafer.

Click on this link and you can read it yourself.

Louis was the father to Barry and Alan Lafer. One of the surviving brothers was Fred Lafer.

According to this New York times article Fred Lafer is Deborah Lafer’s father.

Click again here to see proof.

According the the New York Times death notice Barry Laffer’s father was Louis Lafer. Deborah’s father Fred is Barry Lafer’s uncle. In other words Deborah and Barry are first cousins.

Louis Lafer ( brothers) Fred Lafer
Father of Father of
Barry Lafer Deborah Lafer

I find it odd , given the fact that his wife used to work in one of the world's largest hedge funds, that Dr. Howard Scher is oblivious and does not know that his wife's family has over 200 million dollars in an offshore hedge fund in the Cayman Islands. And they invest in one of his favorite subjects - cancer! How can that subject not come up around the dinner table?

Just in case you’re still a doubting Thomas let’s look at some more connections between Deborah Lafer-Scher and Barry Lafer.

They have both made campaign donations from the same Wayne New Jersey location .
Click here to see Barry S Lafer’s donation
Click here to read Howard Scher's mother in law's donation location.

Now back to Matthew Herper's article. He goes on to scoff at the idea of a connection stating,

In response to a previous Forbes story, readers wrote in alleging that Scher's wife works for a hedge fund that might be short Dendreon stock (betting against its rise). This is not true. She works in human resources for a nursing home company that could not conceivably benefit materially from any news about Dendreon..."

On this blog I mentioned that Dr. Scher's wife used to work at a company that runs UBS and has one of the worlds largest hedge funds. Never did I say that she works for a hedge fund. Her family does though. Lafer Equities.Howard Scher's family's hedge fund according to this SEC document was heavily invested in Cancer/Chemo stocks last quarter.

Murphy Blinded Journalist?

Why a journalist for such a respected publication as Forbes would not look a little deeper before completely ruling out any connection is tantamount to shoddy, and sloppy one sided reporting.

Making dogmatic conclusions and printing them as fact in Forbes ( of all publications) without further investigating them makes me think this particular writer is not the brightest bulb in the closet. Either that or he just wants people to see things how he wants them to.

Brean Murray Speaks of Faith

On April 16 Brean Murray's reiteration of their opinion on Provenge was particularly odd - given their choice of words.

"We reiterate our Sell rating and target price of $1.50, which is based on our lack of faith of PROVENGE approval."

Today they played the "faith' card once again saying,

"Firm reiterates their Sell rating and target price of $1.50, which is based on their lack of faith in PROVENGE approval and calculated cash per share est"

When I first read this I stepped back and thought - what?

They issue sell ratings based on a lack of faith ?

I found that particular word choice ( almost religious ) in a statement by a financial analyst rather dramatic.

Faith conjures (to me at least),ideas of god, heaven, hope, and of life. Here are a few definitions I found on the web:

Faith - belief that is not based on proof

Faith -The theological virtue defined as secure belief in God and a trusting acceptance of God's will.

What is wrong with this picture?

They play the faith card in the hopes that a drug that helps to extend the lives of advanced prostate cancer patients (according to many medical experts and scientists), will not be approved for patients whom are a possibly facing death in the near future?

Whose faith really matters ?

The faith ( or lack of) financial analysts . . .

or the faith of cancer sufferers of all kinds throughout the world?

Terminally ill cancer patient speaks on faith.

What about the faith of the families of those affected?

Thought leader warns ; Don't throw the baby out with the bath water

UBS Analysts ( UBS has said in the past they are short on DNDN ) put out a research report today.

It basically advises the FDA not to listen to un-serious oncologists.

Here is a snippet from the report citing thoughts from UBS' serious oncologist (and this is verbatim from their '"research report") . . .

"A thought leader from Memorial Sloan-Kettering Cancer Center (New York) who said it was “important not to throw the baby out with the bathwater.”

Take us to your thought leader.

What exactly is an un-serious oncologist?

OK now boys and girls take heed to what the UBS report says.

Drink your Koolaide, sell your shares , and make sure not to throw your babies out with the bathwater.

Brean Murray doesn't like Provenge

After the FDA approval panel vote , Brean Murray's Jonathan Aschoff has been on an intense media campaign by 'reiterating' almost everyday their opinion on Provenge.

They want people to sell their stock in Provenge. They ( or the hedge funds they work for ) have a short position in the stock. A lot of rich people on Wallstreet are under water financially right now. Even the t.v. personality Cramer said he personally knows a lot of people who have lost their whole year ( financially) for shorting Dendreon.

Aschoff even went so far to issue this statement. . .

"Brean Murray Carret & Co. analyst Jonathan Aschoff said the FDA would set a "dangerous double standard" by approving Provenge, which did not meet its primary goal in two phase III trials.

I don't know about what others think - but to me that sounds as if he is basically saying .... How dare you to the FDA and the panel of doctor and scientists who gave the thumbs up . . . and that is pretty funny coming from a man who has impersonated a doctor.

I begin to ask myself - why? Apart from the financial reasons why are they so upset about a drug that extends the life of prostate cancer patients? What is so terrible about the advancement of science?

Brean Murray is after all a market maker for DNDN.
Dr Howard Scher has been singing the same tune as Brean Murray. Aschoff often refers to Scher's opinion as a basis for his negative opinion.

Who is Dr. Howard Scher?

Here's some quick background information...

Dr Howard Scher voted was one of the minority on the FDA panel who voted NO against Provenge.

Scher has dedicated his career and his life's work on treating cancer patients with chemotherapy. One could deduct given his own media campaign against Provenge that he's not too happy about this new science that teaches the human body to to defend itself from cancer.
Dr Scher’s from the ‘old school’ thought for treating cancer. In other words chemotherapy. So all this new fancy “biotechnology” and training the body to cure itself ain’t exactly Dr. Scher’s cup of tea.

However he had every right to vote no . He just not too keen on the whole newfangled Provenge thing - that’s ok. It is good to have balance at AC FDA meetings.

He did have to sign a conflict of interest waiver in order to vote at the meeting. No big deal - It's just that Scher’s instituion has a grant from a competing firm that is studying an investigational drug in several types of cancer. It might just be Taxotere® which treats late stage prostate cancer via the ‘old school’ chemotherapy method - Scher's instituion recieves grants from the company that is studying Taxotore. Click here to read the FDA waiver.


Scher has even published what I view as his own "how dare you FDA" out in the media. The letter is an oddity in itself. So odd that in fact many thought it was a hoax! He contradicts himself over and over again ,and even changes his mind about the safety of Provenge - after voting at the AC panel meeting that it was safe. Before this letter was published there were rumors on Wallstreet about the letter. All in all .....rather odd behavior for a doctor of his stature.

Speaking of oddities.

According to the New York Times Dr. Howar Scher's wife used to work for a hedge fund called Warburg Pincus.

Mrs. Scher, a graduate of Haverford College who has an M.B.A. from Columbia University, is an associate in the venture-banking division of E. M. Warburg, Pincus & Company in New York.

After reading that his wife used to work for such a huge hedge fund that also runs UBS ( they are short on Dendreon as well) I started some cybersluething see if there was some connection between Brean Murray and Dr. Scher.

While I did not find a direct connection I found some things that made me say .... huh?

Mrs. Scher's employer ( or former employer) has a business relationship( or did in the past) with Brean Murray!

According to this S.E.C. document they are both listed as partners with Eclypsis Healthcare Company

">http://72.14.209.104/search?q=cache:7UM515ahlNwJ:www.secinfo.com/dsvRq.61g.8.htm+Brean+Murray+%2B+Warburg+Pincus&hl=en&ct=clnk&cd=2>;

I also found it odd that Dr. Scher's hospital is a long time Eclypsis customer. . .

A long-time Eclipsys customer, Memorial Sloan-Kettering has successfully used Sunrise Clinical Manager in the ambulatory environment . . .


Who is Jay Petschek? He's the fellow in the picture with the blue tie. I am not sure if he is still employed by Murray but according to this SEC document he was at one time.UPDATE ACCORDING TO A 2007 SEC DOCUMENT PETSCHEK IS THE VICE PRESIDET OF BREAN MURRAY.

Brean Murray's Petschek is a director of Boyar Value Funds , the fund holds shares in a company called Automated Data Processing , Inc.

According to the New York Times Dr. Howard Scher's father in law is or was the Vice President of Automated Data Processing

Petschek also is director of a company called Dab-O-Matic. They make the containers for Drysol. The product called Dab-O- Matic Drysol™ is a topical treatment for hyperhidrosis. Hyperhidrosis is a side effect of patients undergoing systmatic chemotherapy. Sistematic chemotherapy therapy treatment causes the human body to sweat profusely . Scher's Taxatore is a drug employs sistematic chemotherapy.

Petschek is also director of Global Opportunity Partners Ltd( the guy gets around) . Global is listed here on this PDF file. Also listed on the PDF file is a Lafer Equities . Lafer Equities is a hedge fund. They are both located off shore in the Cayman Islands. According to Barrons Lafer Equities both shorts and holds stocks long.

Petchek from Brean Murray also has Corsair and the following companies

The names of the persons  filing this  statement  on Schedule  13G are:  Corsair
Capital Partners,  L.P. ("Corsair  Capital"),  Corsair Long Short International,
Ltd. ("Corsair International"), Corsair Select, L.P. ("Corsair Select"), Corsair
Capital Partners 100, L.P.  ("Corsair  100"),  Corsair Capital  Investors,  Ltd.
("Corsair   Investors"),    Corsair   Capital   Management,   L.L.C.   ("Corsair
Management"), Jay R. Petschek ("Mr. Petschek") and Steven Major ("Mr. Major" and
collectively, the "Reporting Persons").

I can not say I am 100 percent sure that Lafer Equities belongs to Dr. Howard Shers wife ...but according to this web page people who have worked at Warbug Pincus ( Mrs. Howard Sher's former employer ) were later hired by Lafer Equities.

Lafer Equities and offshore hedge fund is run by a Barry S. Lafer.According to this website Scher's mother and law and Barry S. Lafer make political donations from Wayne New Jersey.

http://www.newsmeat.com/fec/bystate_detail.php?st=NJ&last=lafer

http://www.newsmeat.com/fec/bystate_detail.php?st=NJ&last=lafer&first=barryJersey.

Lafer Equities, according to recent SEC filings , is heavily invested in many companies that have to do with cancer and chemotherapy treatment.

http://www.secinfo.com/d12kd8.ue.htm

Cancer insurance company, even a company that manufactures medicine to help with the side effects of chemotherapy treatments.

I am not making any conclusions here .... and it might amount to nothing....some people would say I am being a conspiracy theorist - but I think it important to look at all angles of a story.

However , that being said ,I do find myself asking. . .

Wouldn't it be sad if money , power , and greed were one of the reasons that people on Wall Street don't like Provenge? I think that would be very sad. What so terrible about the advancement of a science that does not use harmful toxic chemotherapy drugs? After all it comes down to saving human life. There is nothing more important than that.

Bellwether retracts false statement about Dendreon Corporation

Bellwether Report Clarifies Investor Alert for Shareholders of Dendreon Corporation

JOHANNESBURG, SOUTH AFRICA,Apr 18, 2007 (MARKET WIRE via COMTEX) On April16th, 2007, Bellwether Report issued a release that has caused some confusion in regards to the current position on Dendreon Corporation (NASDAQ: DNDN). The release was unclear to readers as whether or not the FDA had already made their decision towards Provenge (sipuleucel-T), an active cellular immunotherapy. In fact, the company expects the FDA to make their decision by May 15th, 2007

---------------------------------------------------------------------------------------------

I still want to know who WROTE bogus release. Some people sold on this news. This needs to be investigated by the S.E.C. Interesting to note that all these third party publishers that released the false report are located in foreign countries.

Rumour Mill - DNDN

Well the bashing has been silent since yesterday.

Now a rumour pops up on the trading wires. Something to the effect that the New England Medical Journal will be publishing an article on Provenge.

This might be true , but I am highly skeptical.

Why?

Well Friday is options day. The day the New England Medical Journal comes out on Thrusday - what a coincidence right? It is very important to the shorts to get the stock down on Friday.

So instead of bashing , it is not uncommon to throw out a false rumour or half truths.

This way they get the 'stupid money' ( retail longs) to get excited and buy buy buy so that the price of the shares inflate. At that time they short again.

Then come Thursday and the New England Medical Journal comes out sans an article - people will start mass selling and the shorts accomplish their goal . Not only making the stock go down on Friday but making money in the process.

Longs seem to be catching on , so I don't think they are going to accomplish what they are setting out to do if that is indeed that case.

Since the shorts have been so quite on the Dendreon front I would be highly skeptical of this rumour.

Update - It was just a rumour. No such article in this week's NEMJ.

Some good news for a change

Wow I can't really believe exactly how desperate some of the big boys on wall street are to get the price of DNDN down as low as they can. I've never seen false headlines being sent out to the press. I really hope the S.E.C. investigates this. Unreal.

OK - now onto the good news. Many clients at Scottrade and Fidelity called and complained about the article with the false headline ( see yesterday's post) . From reading the buzz over one investorvillage.com it looks like Fidelity investigated the incident and REMOVED the fake alert from their web pages. So if this is indeed true - kudos to Fidelity. Scottrade has yet to do so.

And after a long span of negative press The Motley Fool released a more fair and balance article about Dendreon and Provenge. Here is an excerpt. . .

Rocket science?
So what's so great about Dendreon anyway? It's not like it's curing cancer. ... Oh, wait, yes it is.

It would be tough to have missed the small but soaring Dendreon as it has painted the skies in recent weeks. On March 29, Dendreon issued a press release saying that the FDA's Office of Cellular, Tissue, and Gene Therapies Advisory Committee had recommended to the FDA that there is significant evidence of safety and efficacy for Dendreon's prostate cancer drug, Provenge. Provenge is exciting because it would be treating the most prevalent form of cancer after skin cancer -- some reports have put the potential market opportunity at more than $1 billion.

To read more click on the link below. http://www.fool.com/investing/general/2007/04/17/the-5-sigma-report.aspx



More good news . . . Dendreon has new job listings on their website. Interesting to note that one of the positions is for a technology transfer manager. The first duty listed for the Tech Transfer job is " Create the tech transfer procedures at the site that are aligned with Dendreon’s global policies".

So what exactly is technology transfer manager? Don't worry , because I had no idea either.
Here is one definition that a poster on the investorvillage board gave.

Technology Transfer in the high-tech industry means to educate an overseas partner on ways to reproduce a company's product overseas for the local market. It includes patents, confidentiality, legal agreements, localization, etc. for a complete tech.

Seems like things are looking very bright for Dendreon right now - despite what the desperate shorts are trying to spin in the media.


Speaking of jobs , I just can't help but post this information I found out about Brean Murray's Jonathan Aschoff ( the man who has been the loudest in anti Provengecamp) After the whole debacle where he impersonated a doctor to try to get insider information - he was fired from the firm he was working for! I did not know that he was actually fired.

Jonathan Aschoff, biotech analyst fired by Friedman, Billings, Ramsey Group last week for posing as "Dr. Rosen" in an attempt to get information from Genta ...


I wonder if he's going to be reiterating his sell today? He's been rather quiet.

I am sure the shorts are thinking about more attacks behind the scenes. It ain't over till the fat lady sings. They are not going to be giving up without a fight. So if you are long on DNDN check and double check about the authenticity of any articles. We've already seen one fake headline. It could happen again.


Since the big boys are caught on the wrong side of the tracks - they will be trying to employ psychology of fear on what they call "stupid money" (retail longs). Trying to scare the masses into selling their shares . It looks like their efforts are becoming more desperate and futile with each passing day.

Midday update - Would I lie to you ?

Well this morning it has been relatively quiet on the Ashcoff war front. Well ...by quiet I mean we haven't seen the normal fury of numerous reiterations by Ashcoff.

We've only had one little teeny weeny new report out in premarket that cited Aschoff's sell recommendation with this very ambiguous title that could be seen as an outright lie.

" Dendreon Cooperation Denied By The FDA"

What you talking about Ashcoff ...er Willace ?

Well last time I checked the FDA does not send out press releases concerning thier approval desicions about life extending cancer drugs to third party online publishing companies based in foreign countries. Especially not citing the opinion of a man who impersonated a doctor.

Today's article , and the other articles citing Ashoff yesterday , came from London based M2 media which releases these 'Dendreon Alerts' without ever mentioning who is publishing them.

I'm not saying Aschoff himself had anything to do with it , however it does reiterate his sell position on DNDN with a heading that could be viewed as an outright lie.


Even though the title of today's M2 'alert' was very misleading it was picked up by several brokerage houses as a DNDN stock alert.

People tend to trust new releases they see being issued by their brokerage houses that they choose on put thier money in.

Now if I was an average investor who wasn't up to par on the whole Dendreon case ; seeing this headline after logging in to my Scottrade account would make me drop my morning cup of coffee and run to hit the sell button!

The monumental FDA decision is to be made by May 15 , and I'm pretty sure the news of approval won't be coming from a third party publisher who doesn't even care to bother to release their identity.


Oh and I've received a couple of comments asking about the authenticity of the Wall Street Journal Article I posted yesterday

Here's an article on the WSJ page

http://pqasb.pqarchiver.com/wsj/access/147315131.html?dids=147315131:147315131&FMT=ABS&FMTS=ABS:FT&date=Aug+8%2C+2002&author=By+Geeta+Anand+and+Randall+Smith&pub=Wall+Street+Journal&edition=Eastern+edition&startpage=A.1&type=91_1996&desc=Trial+Heat%3A++Biotech+Analysts+Strive+to+Peek++Inside+Clinical+Tests+of+Drugs++---++One+Impersonated+a+Patient%2C++One+a+Doctor

If you want to read the full article posted yesterday you can find it here on Pulitzer.org

http://www.pulitzer.org/year/2003/explanatory-reporting/works/wsj10.html

Signing off ,

Pineal Gland

Jonathan Aschoff from Brean Murray - He's not a doctor but he plays one on T.V.

Jonathan Aschoff heading to
work after FDA Panel Vote

I created this blog in order to document financial analyst Jonathan Aschoff' 's daily bashing of Provenge. Provenge is a drug to help prostate cancer patients in the late stage of disease. Dendreaon the company that makes Provenge is a bio tech company who recently received a positive recommendation from the FDA advisory committe that Provenge is safe and the the drug work to prolong survival.

Aschoff's firm had a sell or 'short' recomendation on this stock - target price of 1.50.

After the recommendation of the FDA approval pannel the stock flew up to 18 dollars. Aschoff has been on what seems to be a personal war path against Provenge ever since.

However before posting about Jonathan Aschoff's daily unrelenting 'reiterations' of his strong sell on DNDN , based on ( and this is a quote from him ) "lack of faith" - let's take a look at his history.

He was caught impersonating a doctor in order to get confidential information a few years ago. Why respected publications such as Barrons and Forbes continue associate themselves with this medical impersonator is baffling to say the least.

Here is an excerpt from the Pulitzer Prize winning Wall Street Journal acrticle that exposed the fradulant Aschoff. . . .

Friedman Billings analyst Jonathan Aschoff says he was just trying to get the real story when he impersonated a doctor in early March.

First he sent an e-mail to Dr. Cunningham, the oncologist involved with trials of Genta's experimental cancer drug, requesting a progress update. When it went unanswered, Mr. Aschoff says he telephoned on March 13, posing as a "Dr. Rosen" who had a leukemia patient interested in enrolling in the trial. The alias came from the movie "Fletch," where Chevy Chase pretends to be a doctor by that name, says Mr. Aschoff.

Dr. Cunningham, who works at a cancer center in Dallas, says he talked to the caller about the progress of the trials and the side effects seen. He says he mentioned some shrinking of the "lymphadenopathy," which means swollen lymph nodes. "What's that?" the caller asked.

Dr. Cunningham, his suspicions aroused, said he had to run but would call back with some even better information if he could just have "Dr. Rosen's" phone number. Racing to his computer and rummaging through old e-mails, he found that the number was the same as the one Mr. Aschoff had given in the e-mail request days earlier. "I was mad as hell," Dr. Cunningham says. He called Mr. Aschoff and "chewed him out." He says he told the analyst his behavior was "unethical in the extreme. I don't appreciate being pulled out of patient care to talk to someone who is lying to me."

Mr. Aschoff's defense: "Companies are saying to investors, 'Give me your money.' Are you going to give it to idiots who go off unchecked? I'm trying to bring the truth to investors." He acknowledges lying about being a doctor but says it was for the greater good of unearthing the truth.

Friedman Billings says it provides objective analysis of about 400 companies, demanding "the highest standard of ethical, professional behavior" of all employees.

Dr. Cunningham says a few weeks after the incident, his partner got a call from someone claiming to be a cancer patient interested in enrolling in the trial -- who confessed, when pressed, that he, too, was really an analyst. Dr. Cunningham warned other clinical investigators to beware of impersonators. His own incident "put a damper on my phone conversations with doctors I don't know," he says, adding: "It's bad for medicine, it's bad for science -- and it's bad for investors to take raw scientific data and throw it out there."

Genta investor Barbara Rubensohn, a New Yorker who says she has lost $8,000 on her shares, says, "I have no problem in a stock going down if a drug doesn't get approved. I have a real problem with somebody knowing that before I do."

Mr. Aschoff says he won't misrepresent himself in the future because "it's not appropriate for an NYSE-certified firm." He says he now calls clinical-trial doctors and nurses and tries to avoid saying who he is, "aborting the mission" if they press for his identity. Mr. Aschoff says he talked to others besides Dr. Cunningham who were involved with the Genta trial, and then orally advised some of his firm's 600 clients -- mostly institutional investors -- to short the stock.

That last thought of the article will bring us to my next blog post which I will post tomorrow morning.

Why tomorrow morning ? Well because every morning The Britney Spears of the financial analyst world will 'reiterate' ( whine about) his strong sell opinion to several more news outlets. Heck he might even shave his head while doing so. He's "reiterated " ( whined about it) on average three times a day for that past week.This will be entertaining to post ALL of his recent daily releases ( after a while it becomes very comical) and compare them all in once space.

I am almost expecting to wake up one morning and read a briefing.com issue . . .

Jonathan Aschcroff from Brean Murray has reiterated his sell on DNDN because the little voices inside his head told him too.

Signing off ,

Pineal Gland


http://www.happinessonline.org/InfectiousGreed/p6.html