Investors Embrace Save Canadian Mining Led by Terry Lynch and Eric Sprott

There was a time when the mining sector was the shining light on the Canadian exchanges. Reinforced by good fundamentals, investors used to view the mining sector as a safe place to put their money. Don’t get me wrong, it’s had its ups and down but more recently there have been several factors working against hard working people looking to build wealth. Some of the factors include the ability of investors to self manage portfolios, the emergence of bit coin, the rise and fall of the cannabis sector and meme stocks. These areas have drawn the attention of young investors who never experienced the benefits of investing in mining. However, the most damaging issue facing this sector is naked shorting and algorithmic trading. While the attention has been pulled away from mining, banks and hedge funds have taken over junior mining and obliterated the confidence of new investors.

Thankfully, a new group has emerged and over the last four years have led the charge to combat these illegal and manipulative practices. Led by Terry Lynch and backed by mining tycoon Eric Sprott, Terry has worked diligently to build a case to prove that naked shorting exists. While they have been mostly laying the foundation for their case, new evidence would suggest that a flaw in the system has inadvertently created a loophole that creates naked shorts, but not everyone has access to this loophole.

In a recent interview with George Tsiolis of Agoracom, Terry states, “When I talk to investors, they all seem to think that “you know Terry, I don’t see how they can do that because I know I can’t. Individuals sort of say, I can’t trade like that so how is that even possible?” because they think that we all have the same rights. Well, that’s the thing, we don’t all have the same rights! Apparently, some are more equal than others.”

What Terry has discovered is that there is a system in place that allows for short exemptions for hedge fund managers, and this was applied around the same time as algorithmic trading. Now the way it works in layman’s terms is, hedge funds get short exemption status which allows them to execute short trades whether the shares exist or not, it’s a guarantee that the shares are available by the banks.  What this has done is effectively created naked short selling and is having a very negative effects on the Canadian mining sector. Terry talks about it in more detail, so we suggest you take some time to watch this interview.

Below is the full interview by George Tsiolis of Agoracom with Terry Lynch

With investor confidence at all time lows, the Canadian mining sector is struggling. Great projects that would have seen their stocks flying in the past have been pushed down to historic lows, making it near impossible to raise funds for exploration without diluting the share structure of the company. Compounded by the algorithmic trading and the two-week reporting period for short trading, quite simply put, the system is broken and this in turn has caused people to pull their investments out of the Canadian mining sector. If there was ever a time to act, its now and that’s why Terry has boldly proclaimed that if he doesn’t get the support in the very near term to make a change, there will be a class action lawsuit filed against the Canadian exchanges.

You see, Terry has a distinct advantage as he used his company Power Nickel (TSX-V: PNPN) to gather the evidence he needed to show the effects of naked short selling in the market. Through his efforts, they have now provided evidence to the regulators showing a negative imbalance that started collectively around 3,000,000 shares and now stands at well over 9,000,000 on the Power Nickel stock.

In a recent news release by Power Nickel, Terry said, “As Founder of Save Canadian Mining, we have been at the forefront of trying to bring industry and investor attention to this problem and to create evidence to compel Regulators, Exchanges, Securities Commissions, and Government to act to prevent the continued destruction of the Canadian capital markets which for a very long time made us the center of the mining world,” stated Power Nickel CEO Terry Lynch.

“We have now delivered the complaint and evidence to the regulators; we also are providing it to our industry association, PDAC, as there is widespread unhappiness from many mining companies who are experiencing the same issues Power Nickel has faced. We are the first to deliver the evidence, but we certainly won’t be the last. Recent legal rulings now make banks responsible for providing oversight on their clients who are doing computerized algorithmic trading and engaging in illegal activity, such as spoofing or naked short selling. Should they be found to fail to provide their oversight, they could potentially be liable for the damages created. Our industry is waking up! Solving this problem could unlock the biggest mining boom of our lifetime. It boggles the mind to believe that these forces will continue to short these capital markets when liability is now a big issue and evidence is growing. Far better we think that the regulators choose to fix the problem and restore order and faith in this market,” added Mr. Lynch.

For more information follow this link to the official news release
https://www.newswire.ca/news-releases/power-nickel-files-complaint-on-widespread-potential-illegal-short-selling-of-its-shares-873440599.html

In addition to Terry’s efforts, naked short selling has been under the microscope abroad on multiple other exchanges in various countries, India for instance, in a futile move just banned naked short selling in an effort to stabilize a declining market. In South Korea, prosecutors recently filed criminal charges against HSBC and three of its traders, accusing them of illegal short selling worth 15.8 billion dollars and in the US meme stocks like Gamestop attract investors looking to apply a short squeeze on highly shorted stocks forcing margin calls in an effort to highlight and voice their displeasure with the system.

If you would like to get actively involved in this movement, scroll to the bottom of the page to sign the petition, and scroll through to find more information
https://savecanadianmining.com/

You can help support the cause through a donation here
https://savecanadianmining.com/donate/

You can also write to the premieres of your provinces and to the federal government and urge them to act. Here are some tips to get started.
https://www.peacemakers.ca/research/Canada/FormsOfAddress.html

In conclusion, I’d like to thank Terry Lynch, Eric Sprott, and all those who are supporting this effort. You Gentlemen are the true heroes of the Mining Sector. Canadian investors are tired of being taken advantage of and with all the recent attention, regulators had better take notice. It’s important that we stand together and show our support for the #SaveCanadianMining movement. It’s time to put an end to the destructive and manipulative practices destroying the Canadian Exchanges.