Boycott Overstock.com
Whatever little patience I had with Patrick Byrne, and his overzealous friends at DeepCapture.com, has now become officially exhausted.
As I noted last week (DeepCapture.com Scraping Facebook Friends), this group found the Facebook friends and relatives of any journalist, critic, fund manager or blogger who dared to criticize Overstock (or Deep Capture), and then published the list.
The publicized names were not just colleagues and friends, but family members, including teenagers and kids.
Big mistake.
As Gary Weiss discovered, the entire operation was a pretexting scam, run by former Director of Communications at Overstock, Judd Bagley. His sleazy cyber-stalking/identify theft approach probably violated some law somewhere.
I don’t know why I am on the Overstock enemies list. I am in favor of shorting, but I am against naked shorting. I’ve never said much about Overstock.com (see this and this) as they are mostly below my radar. The massive over-reactions to any criticism shows just how tenuous their business must be.
And whatever legitimacy the anti-naked shorting crowd had is thoroughly undercut by its association with Patrick Byrne. He is an imperfect messenger for what is a small but real problem. Having Byrne lead the crusade against naked shorting is like having Bernie Madoff chair a commission on Wall Street ethics; They are each simply the wrong person to lead any discussion on the issues.
My personal opinion on his obsession? It appears to me that Overstock CEO Patrick Byrne has used the naked shorting issue over the years as a distraction, a cover to take the focus off of problems at his company. Add some intimidation of journalists and sleazy behavior and you have the strategy one might expect from a mediocre CEO of a 3rd rate online retailer. The facts are that Overstock has a history of losing money (Joe Nocera called it an “unprofitable retail liquidation Web site”), and more recently of having reporting/accounting problems. Apparently, its a long their M.O.
Oh, and as a side note: I have no position in OSTK, long or short.
Here is a rhetorical judgment question: Why would anyone, especially the CEO of an online retailer, do anything to piss off the online world — just around the holidays? How frickin dumb is THAT?
I am totally out of patience with this bully, with Overstock.com, and the trolls at DeepCapture.com. Here is what I propose to do:
1) Request the FBI investigate and prosecute the identity theft, online cyber-stalking, and fraud of Judd Bagley of Overstock.com
2) Request the SEC investigate Patrick Byrne, Judd Bagley, and Overstock.com for their part in this scam. If they find it to be a fraudulent scheme, then they should prosecute.
3) Call for a boycott of Overstock.com.
Lastly, some free advice to the Overstock Board of Directors: You have a fiduciary duty tot he owners of your firm. It does not appear to me that you are fulfilling it. Your CEO appears to be dustratced from running the firm. At a certain point, you will be called out for how you handled your obligations. Wise up . . .
As to Facebook, I guess its time to defriend everyone who isn’t actually a friend or relative. (I was getting bored with irt anyway).
December 14th, 2009 at 8:43 pm
Two things:
1. I never, ever shop at overstock BECAUSE of crap like this, and it doesn’t hurt that I can do much better with reputable online merchants such as Amazon, and
2. I periodically purge my facebook account of anyone I don’t personally know and trust. Last time I purged 50 people from the rolls.
December 14th, 2009 at 8:44 pm
Boycotts work.
People should be more conscious of their purchasing decisions, and, remember, that Price, and, more critically, Profits are formed ‘at the Margins’..
past that, I think Byrne has done a good turn by drawing more attention to the ‘naked shorting’-story.
It, really, is a tremendous abuse of the system, and, by itself, upon greater recognition of its existence, can drive many, current, participants, out of the Market.
and, worse, it is another example, in a long stream, of the ineffectiveness of ‘Gov’t Regulation’(as one reads about it in ‘Textbooks’)
December 14th, 2009 at 8:45 pm
I am 100% with you on the boycotting of Overstock.com….I’ve heard nothing good about them and they are rather annoying.
Now on the defriending your Facebook friends thing…lol, considering I have you as one of my friends, I guess it means no more BP updates on FB?
December 14th, 2009 at 8:58 pm
Ok, here’s the deal PB. The reason your stock price sucks, is that the performance of your company sucks.
@takbak04 what are his legitimate complaints?
December 14th, 2009 at 9:10 pm
Always seemed a little OTT….but are you sure you are not over reacting to this? Patrick Byrne does have some legitimate complaints. Sometimes he sounds like the “9/11 Truthers” but does that invalidate that many folks not only still have questions about negligence of “those on the watch” that seemed to not stop the “9/11 Attacks” while they were in progress and claim that “who Could have Known” that this could happen when there was ample intelligence that something was up……
And then…Patrick B. claims that his site was attacked by “Naked Shorts.” How do we know this IS or ISN’T true unless there’s a full and fair impartial investigation.
Seems like that folks fight against things they “think” sound like “conspiracy” without really fully investigating what is being charged. WHY is there ALWAYS PUSH BACK…for folks who sense something is wrong…and actually have “some” corroboration and they are “put down” by Mainstream Media going after them. :shrug:
Why is this?
December 14th, 2009 at 9:11 pm
You are giving these slobs too much credit. Their history speaks for itself. Enough already.
I originally thought this was a scraping off of public Facebook data. Instead, it was a willful pretexting scam. (Anyone who uses pretexting to obtain information is a creep).
These douchebags knew they were getting friends and family . . . they pederasts pinged neices and nephews (you can tell by their pictures who is 12 years old) and even younger relatives.
That was bad enough — but when these pigfuckers published the names of 10 year olds, well you just crossed a bad line.
December 14th, 2009 at 9:25 pm
Ahh.. another scam. I’d definitely stick with Amazon.
December 14th, 2009 at 9:32 pm
@ TakBak04: Bravo, I agree with you 100% and I doubt Facebook will ever achieve its financial aspirations.
December 14th, 2009 at 10:19 pm
This is what happens when you let the inmates run the asylum. I hope you forwarded your complaint to the FBI or whomever is tasked with policing the online universe. Hopefully some DA that has yet to sleep with a hooker would be willing to take on this issue.
As an aside, did I make the list of overstock.com persona non grata?!!! If not, what do I need to do to join that illustrious list?
December 14th, 2009 at 10:23 pm
i don’t know why i’m wasting any breath on this loser (Byrne), but, as MarkD said above “Ok, here’s the deal PB. The reason your stock price sucks, is that the performance of your company sucks.”
short sellers, naked or otherwise, have no effect on Overstock’s business. None. Byrne should worry about business first. If he wants to manage his share price, he should do a recapitalization – issue debt and buyback stock to squeeze all the shorts he’s complaining about.
of course, i’m guessing Overstock is not financially sound enough to do that, or hopefully Byrne would have already done it – instead of wasting his time leading message board rallies for the Ignorati.
December 14th, 2009 at 10:25 pm
Sorry Barry, while I think Byrne is a jerk and will wind up charged with security law violations, those naive enough to put any real info on Facebook doesn’t have much grounds for complaint.
Went to a seminar recently where someone talked about the use prosecuters have made of Facebook or Myspace stupidity. Two differnt incidents of young women pleading guilty to DWI homicide and expecting probation. Before sentencing, someone dug up facebook pages where they bragged about excessive drinking with plenty of photos to accompany the text. “One photo even showed her
wearing an outfit with shot glasses and a liquor advertisement.” Each wound up with several years in jail.
In another, the FBI managed to track down a fugitive who put enough info on his pages to id where he was.
~~~
BR: I put nothing private on Facebook — and friended anyone who asked. That now shifts to a less inclusive apporach.
Understand what took place here: The was a very conscious scam:
changes.
December 14th, 2009 at 10:31 pm
markd Says:
December 14th, 2009 at 8:58 pm
Ok, here’s the deal PB. The reason your stock price sucks, is that the performance of your company sucks.
@takbak04 what are his legitimate complaints?
——–
Read BR’s links in his posts. Or, for the whole thing Google “Patrick Byrne, Overstock” and read the years of “theories” on his site that do seem to get very “conspiratorial” with the Bagly stuff “BR” links to.
But, be aware, his site is no more conspiratorial than “Zero Hedge” or other folks out there “Questioning” which may sound “conspiratorial” but given what most Americans have lived through the past few decades…one starts to scratch one’s head wondering is “conspiracy truth” or what we’ve lived through…the Real Truth. Frankly, at this point….I’m willing to give the “so called conspiracy folks” a hope for a hearing. Because what we are seeing with our New President and this Congress is something VERY BIZARRE…. So one person’s conspiracy is another’s truthseeking and what really is truthseeking unless one has something of contentiousness against the “status quo.”
There’s something very wrong in our country and how do we fix it unless we open our minds up to other view points past CNBC/CNN/FOX/MSNBC…..and the few remaining BIG VOICE Print Media: NYT, WAPO, WSJ,Financial Times and the British Newspapers and “Asia Times.” Not a lot there when the “magazine media” has fallen on hard times and is shutting down “Editor and Publisher” while allowing Media Papers to be bought by third parties. Where is the magazine media. Check out that religious guy editor of NewsWeek and Claire Booth Luce’s legacy: “Time.”
What is left? Why not have a little “conspiracy/muckraking” thrown in. That’s why Taibbi’s article took off! Crude writing and hyperbole but PASSION….and where in the Mainstream Media do you get passion from anyone except the RW on FOX NEWS or Talk Radio from Limbaugh and such.
PASSION…might be the antidote for our times for the average folks out there who have little time for anything but work and keeping their families fed and clothed and schooled and hanging on to their marriage….or as Barry says: “Taibbi caught the Zeitgeist of the times.” Patrick Byrne and Zero Hedge has as much of a place in our media world as the rest, if one can think about it that way……Freedom of Speech…to address perceived wrongs.
Should we trash that?
December 14th, 2009 at 10:35 pm
Given Patrick Byrne’s rather obvious issues, and given that the Americans with Disabilities Act of 1990 covers “mental impairment”, are you risking litigation by calling for a boycott?
December 14th, 2009 at 10:41 pm
Mike in Nola. Agreed on Facebook. It’s an abomination for society. That kid should monetize his “investment” very soon.
This CEO seems like a complete ‘tool’ in every way. But, if you think your ‘private’ life on Facebook is somehow private, you’re mistaken.
December 14th, 2009 at 10:53 pm
I love this post from one of Byrne’s cowards:
Too bad you are too cowardly to man up and post this under a real name and address. Byrne isnt the only one with lawyers.
December 14th, 2009 at 11:03 pm
On Face Book…
It’s taken off with many folks. But, the rewards seem to be few looking out over having to deal with the “hangers on” that come in there that one really doesn’t want to deal with or maybe shouldn’t want to deal with.
In the end..it struck me as going back to high school and reuniting with some folks you were glad to leave behind…and to think that anything had changed was innocent and hopeful…when, in the end, it’s a tremendous drag on one’s time and causes some personal angst revisting issues with folks one thought they’d resolved long ago.
It’s vanity and hope to contact back to see how one is doing “against one’s former buddies from times past, as a sort of “reality check,” guised under “reconnect” from the past.
Sometimes it’s better not to deal with some of that. Keeping things to family and close friends for privacy and currency of the time one lives in might cause less angst and sleepless nights wondering….What Happened? What if I’m not who I was then…what if EVERYONE is not who they were then. Why do they want to connect with me after all these years? What do they want from me? What do I want from them….?? VALIDATION? Validation of WHO I AM and WHERE I’VE BEEN and WHAT I’VE DONE…compared to THEM? and Vice Versa.
In the end…What the hell is FaceBook? Many things to different folks…but it can be manipulation back into a past that some want and some use.
Just Saying. The site creeps me out…because of what I just said. Then…there’s the Privacy Issues with it.. Sheesh, when CNN/MSNBC/FOX NEWS all go to check out if you have a “Face Book Profile” for whether you have a minor traffic violation or become a Mass or Minor Murderer or Terrorist (in the eyes of the MSM) , or a philanderer who is bedding themselves with cocktail waitresses or maybe that old “girl friend” you reconnect with on “Face Book” back from HighSchool and you guys ran off and left spouse and little children who are owed “child suppor”….. Well you can see where I’m going and I’ve gone to far in my worries about “Face Book” and the other “Social Connect” places like this.
When is WHO WE ARE NOW more important than figuring out WHO WE WERE THEN…important?
If we’d wanted to keep up with some we see on “Face Book” and other social networking sites…wouldn’t we already be corresponding with them? Why is it that we are so vain as to “collect” people on these sites who might remember us from times past and want to “Friend” us?
Is it not the ultimate in VANITY? And for What?
December 14th, 2009 at 11:04 pm
This is not about Facebook — its about the creepy, sleazy and probably illegal activities of Patrick Byrnes and Overstock.
And, its not about Naked shorting. Attempted thread hijacks will be deleted
Its soon to be out of my hand . . . I will leave it to law enforecement to handle . . .
December 14th, 2009 at 11:17 pm
Oh. Sorry, BR. I hadn’t read all the back and forth in the comments. I just went back through your links, and saw your sample (screen grab). I can see now why you were disconcerted.
Still, who’s friends with who, doesn’t seem that personal, on a bulletin board. I think the official age for a facebook page is 13, btw, although plenty of kids are on there, I know. Still, I stick by my previous comment, that it’s no big deal, imho, really. I think facebook.com is harmless, although a great time waster for some who get easily addicted to pretend farming games, but we had the equivalent … in our day. Who’s friends with who, on facebook, doesn’t mean much.
December 14th, 2009 at 11:18 pm
Way to go Barry,
If someones going to play this way you should have the backbone to go through and check the names. I saw your list and right away could tell family members were on it.
Though it was sad to see that Cuban is a lonely man, you should take him out for a drink the next time he’s in town. Cheer him up.
Good Work
Keep on the Feds with stuff like this, if they don’t want to give you updates on the open case do FOIAs considering you filed the complaint and are being harmed you should have grounds for info as the case moves forward.
December 14th, 2009 at 11:18 pm
How about we start a website called Overrated.com…put Patrick Byrne in there but feel free to add Doug “I got a 17% return in my hedge fund this year while everyone got double that” Kaas in it! U know when a noted short seller is buying longs, its close to start doing the opposite!
December 14th, 2009 at 11:20 pm
“Five months after it first announced coming privacy changes this past summer, Facebook is finally rolling out a new set of revamped privacy settings for its 350 million users. The social networking site has rightly been criticized for its confusing privacy settings, most notably in a must-read report by the Canadian Privacy Commissioner issued in July and most recently by a Norwegian consumer protection agency. We’re glad to see Facebook is attempting to respond to those privacy criticisms with these changes, which are going live this evening. Unfortunately, several of the claimed privacy “improvements” have created new and serious privacy problems for users of the popular social network service…”
http://www.eff.org/deeplinks/2009/12/facebooks-new-privacy-changes-good-bad-and-ugly
also,
http://epic.org/privacy/facebook/
people would do well by knowing of EFF & EPIC..
December 14th, 2009 at 11:22 pm
If they came after my family, if they the posted the names of my kids, cousins, neices, nephews, even if accidentally I would hunt that fucker down and hurt him.
This guy is a scum, and his deepcapture pals are assholes too.
Go get ‘em!
December 14th, 2009 at 11:23 pm
Incidentally, I can tell who are the new Overstock posters
Your comments will be viciously edited with extreme prejudice.
December 14th, 2009 at 11:27 pm
I have been waiting for this jerk to get his for a long time.
Overstock sucks –
December 14th, 2009 at 11:31 pm
LOL. Barry, I just read the Feb. 2007 post where you called Overstock stock a POS. Obviously, you were naked-shorting it. [snark]
Full disclosure: I think the spokesmodel on the TV spots who talked about “It’s all about the O” was HOT. http://www.youtube.com/watch?v=23LclXnKK8g
Too bad the company sucks. Anecdotally, there was buzz around Overstock a few years ago among the women in my life when it first came out that died out. That’s my level of awareness of Overstock.
Sabine Ehrenfeld is her name. Here she is in a Special K spot: http://www.youtube.com/v/LHiFhU_yS9c?f=videos&app=youtube_gdata
Anyway, good luck with the legal pissing match. Please post a .pdf of the complaint and any related criminal side docs, if any.
Civil RICO. ;-)
December 14th, 2009 at 11:31 pm
Uh, not to add to the conspiracy theory stuff, but I *had* posted, and then responded to my own post, but only the response posted. So. That looks weird. Probably just me, and I missed the button. Sorry, for any confusion.
I had meant to say that it only fuels the flames of conspiracy theories to not say why you’re mad at Mr. Byrne.
Then there’s the whole separate the person from the theory idea. You know, Byrne may be deranged (who knows after all those years of fighting, anyone would go a little crazy, and it would be perfectly normal), but the problem of wall street unfair advantage is still real. Makes the whole equity market investment seem less secure when there are scandels like Madoff, naked short-selling, fraudulent brokers, million dollar bonuses for bankers, etc.
I say, let’s focus on the real problems: a lack of faith in the fairness of the US markets, for instance. An emphasis on entreprenurial initiatives, via the internet for the most part, and alternative energy solutions, are my interests. (I tried to buy solar panels for my boat recently and found it way more complicated than I expected.) Anyway, it’s been an interesting year, this 2009. Like most people, I’m paying off credit cards and trying to imagine my own retirement, someday. I’m looking forward, to better days ahead.
December 14th, 2009 at 11:33 pm
Boston: Your 1st post is here:
http://www.ritholtz.com/blog/2009/12/boycott-overstock-com/comment-page-1/#comment-241849
Please do not make excuses for this dirtbag’s behavior. He has a long history of being a shitheel, and this time, he has gone too far.
December 14th, 2009 at 11:51 pm
Boston,
“An emphasis on entreprenurial initiatives, via the internet for the most part, and alternative energy solutions, are my interests. (I tried to buy solar panels for my boat recently and found it way more complicated than I expected.) ”
So you were into this “internet” and then this “alternative energy” tell us about these. They sound like the next big thing, how are they turning out?
December 15th, 2009 at 12:20 am
Barry: I get it now. Sorry. Was distracted trying to fix this crappy old phone.
One advantage of WinMo is you can hack it. Installed a custom rom and it’s working better than before. I really need to get a new one, but suspect some much better ones are hitting the States after the 1st.
December 15th, 2009 at 2:08 am
Darn, I think I friended Barry before I realize I kept a lot of personal info on my FB account. I’m pretty sure I removed Barry. Not really sure… If I didn’t does this make me a Sith Lord?
Can I put that on my Resume?
December 15th, 2009 at 2:26 am
The Facebook issue is just the tip of the iceberg. For example, Patrick Byrne’s paid cyberstalker Judd Bagley planted tracking code on emails to critics posing under a false identity, too.
In any case, Overstock.com is under two parallel SEC investigations (Enforcement Division and Division of Corporation Finance) due to its improper establishment of “cookie jar” reserves that allowed the company to report a Q4 2008 profit instead of a loss.
December 15th, 2009 at 2:39 am
To pose as “Larry Bergman” on Facebook, Judd Bagley stole the photo identity of a European art critic named Matthias Dusini. Why would anyone shop online at Overstock, knowing its CEO apparently condoned identity theft? You’d have to be crazy.
December 15th, 2009 at 3:21 am
I like the term “pigfucker.” The first literary reference I encountered is in Tracy Kidder’s 1980 book, “Soul of A New Machine,” where the CEO of Data General, Edson DeCastro, is alleged to have walked into a computer lab, eating a fudgsicle, and says to a computer engineer, “You got that pigfucker working yet?”
December 15th, 2009 at 3:23 am
Thanks for the heads up.
I recently saw they started shipping to Australia and was thinking of making a purchase.
Will stick to Amazon.
December 15th, 2009 at 5:01 am
Naked shorting cannot exist without the brokerages. Hedge funds are some of the biggest abusers and are in fact engaged in criminal activity if they don’t have the stock to deliver. The new and improved SEC will sit around and do nothing so write to them.
~~~
BR: Wrong issue. This is not about Naked shorting — its about a warped CEO whose money losing firm that cannot keep an auditor (they keep wanting to report his numbers, making him unhappy) engaging in really sleazy behavior — that is the issue.
December 15th, 2009 at 5:25 am
I have been a reader of the BP for a longer time. I have to say that I am with BR all the way on this. Identity theft is not a joke, and for the PB-DC gang to abuse Facebook in the way that they did is simply beyond wrong. For them to “act” so high and mighty about their cause and stoop this low is downright pathetic.
My favorite comment so far on this thread was “Hopefully some DA that has yet to sleep with a hooker would be willing to take on this issue.”
December 15th, 2009 at 5:45 am
[...] have learned from my sources that Larry Bergman – a creation of Overstock.com CEO Patrick Byrne – and infamous Hoax pundit Martin Eisenstadt have been seen canoodling in a [...]
December 15th, 2009 at 6:29 am
Don’t know anything about it. Glad to have one more thing I don’t have to think about.
December 15th, 2009 at 6:58 am
An anonymous coward writes:
Why don’t you contact me off line to discuss this ? With your real name, your real email account, and where you really work . . .
The only thing I know for sure about you anonymous coward, is that like most of the DP and PB folks, you suffer from MP. (And I am willing to prove that in court)
December 15th, 2009 at 7:59 am
BR-
You probably have this already, but if not…
http://www.ip-adress.com/ip_tracer/85.25.20.249
~~~
BR: You can use TOR or other programs to mask your true IP address. . .
December 15th, 2009 at 8:38 am
Another reason to hate Overstock.com is that it uses paid spammers.
I used to own a large community Web site, and battling spammers was a 24/7 job, a real drag. Overstock’s spammers would come in and post what appeared to be innocent testimonials with links to overstock.com. They had an overstock.com ip address. Of all the spammers I caught, these were about the only ones from a company of any size. These people stood out.
In other words, if you DO hear anything positive about overstock.com, it may well be a paid shill. Real sleaze.
December 15th, 2009 at 8:46 am
There are rumors that in the new DSM, MP will be changed to BDS (baby dick syndrome). I can only assume that the additional letter is to indicate how serious this problem is.
December 15th, 2009 at 8:56 am
Ritholtz, take this Viral.
There are plenty of other websites, consumer sites, and objective shoppers who want to know the straight dope on these guys.
Go wide with this . . .
December 15th, 2009 at 8:58 am
Yet another reason why I won’t open a Facebook account. Any benefits one derives from ’social media’ I think is more than balanced out by the potential annoyances and risks of abuse and misuse. I choose privacy.
December 15th, 2009 at 9:06 am
Duly noted
December 15th, 2009 at 9:09 am
My view… Keep your hands out of the crazy. Once you get Crazy on your hands, it’s difficult to get it off.
December 15th, 2009 at 9:11 am
Yeah, thats a risk we take when standing up to bullies.
Lie down with dogs, get up with
fleasherpesDecember 15th, 2009 at 9:24 am
I’m not big on boycotting; Overstock’s actions should do more than enough to make people think better than to submit credit card information through its site.
As for FB, never touch the stuff. Don’t you know bad boys move in silence and violence? All y’all’re doing is herding up for the big data miner.
December 15th, 2009 at 9:41 am
BR… Stickin’ it to the man. I like it.
December 15th, 2009 at 9:50 am
Naked schmaked this outfit is such a money losing pile of crap people were falling over themselves to short it. Issue some more stock Pat. They love you man.
December 15th, 2009 at 9:54 am
Window Washer Says:
Boston,
“An emphasis on entreprenurial initiatives, via the internet for the most part, and alternative energy solutions, are my interests. (I tried to buy solar panels for my boat recently and found it way more complicated than I expected.) ”
So you were into this “internet” and then this “alternative energy” tell us about these. They sound like the next big thing, how are they turning out?
– -
My guess is this sarcasm, but I was serious. There are quite a few social networks out there, and each is trying to tailor make themselves for a niche audience. (I like Brazen Careerist http://www.brazencareerist.com/ for the Gen Y audience.) College grads facing a lack of jobs are blogging and branding and FB is another tool … for what? Ultimately for marketing practical tools, for food, clothes, heating one’s home, one’s boat, or whatever. Unless of course you live only in the world of finance, where phantom trades are real. Wall Street doesn’t get Main Street, often. Sorry, for trying. ~ Yvette
December 15th, 2009 at 9:55 am
[...] Overstock.com’s unhinged CEO, Patrick Byrne, has won a new pal from his recent foray into pretexting and cyberstalking: respected economics blogger Barry Ritholtz, who last night called for a boycott of Overstock.com. [...]
December 15th, 2009 at 9:56 am
Trader: We’re Shorting Overstock.com Because Of This Facebook Insanity (OSTK)
The reaction to a campaign to infiltrate an alleged network of naked short sellers by using a phony Facebook profile to befriend several bloggers, old media journalists, and a couple of fund managers may not be what Overstock CEO Patrick Byrne and Judd Bagely were hoping for.
“Dude this just gets crazier by the minute,” the manager of a small fund wrote to us this weekend. “We will be adding to our ostk short position in the coming weeks.”
Last week, several bloggers discovered that a list of their Facebook friends had been compiled on the Deep Capture website. The purpose and origins of the list was initially mysterious. Deep Capture was founded by Overstock.com CEO Patrick Byrne to attack what he insisted was a cabal of naked short sellers and allied journalists. Critics of Byrne say it is just an attempt to intimidate and pester critics of Overstock.
December 15th, 2009 at 10:04 am
I can’t believe a CEO would do anything that stupid. I’m in on the boycot.
December 15th, 2009 at 10:08 am
Personally, I think we ought to pursue this cabal of $USD short-sellers. They are far more harmful to the average citizen than anyone who shorts retail or banks.
December 15th, 2009 at 10:10 am
Here is the original story that started the whole Overstock nonsense rolling in 2004:
Did Overstock’s CEO cross the line?
http://www.marketwatch.com/story/did-overstock-ceo-cross-the-line
I’ve seen company CEOs battle short sellers, but nobody has ever come off as vicious as Overstock CEO Patrick Byrne. If his public comments aren’t enough, his e-mails to critics suggest not just a cocky style of management, but unprofessional and even irrational behavior — something that may be of concern to Overstock investors.
The Salt Lake City-based online closeout retailer has been a longtime favorite of short sellers, who have seen the stock do little but rise since August. The company has never been on this column’s radar — at least not until now. My interest was piqued after Donn Vickrey of Camelback Research, one of this column’s occasional sources, shared his recent e-mail exchange with Byrne.
The comment in question followed Overstock’s (OSTK 14.84, -0.17, -1.13%) report of third-quarter earnings (or the lack, thereof) — and its subsequent conference call — in which Byrne lashed out at shorts and other critics. Red flag No. 1 is always when companies attack shorts, but that apparently is of little concern to Byrne. In his press release, he wrote: “The elephant in the room during our conference calls and other meetings is the fact that out there are a bunch of short sellers and their sycophants who bad-mouth every thing I do or say. Eventually the nasty things they write make their way to my desk. It is OK with me. I practice Buddhist non-attachment on such matters. I ‘walk past the barking dog.’”
Well, maybe publicly he does, but privately he barks back in what I would suspect is a very non-Buddhist way.
December 15th, 2009 at 10:53 am
Overstock.com ‘Spy’ Larry Bergman & Hoax Martin Eisenstadt accused of illicit ‘Tater-Totting’ affair
http://dagblog.com/business/overstockcom-spy-larry-bergman-hoax-martin-eisenstadt-accused-illicit-tater-totting-affair-
ITALY – In a land known for sordid romances, the latest romantic drama has people around the globe transfixed, as two great mythical characters have been linked together by noted blogger William K. Wolfrum.
“I have learned from my sources that Larry Bergman – a creation of Overstock.com CEO Patrick Byrne – and infamous Hoax pundit Martin Eisenstadt have been seen canoodling in a New York bar,” said Wolfrum. “This would mark the first time in known history that two invented personages have had an illicit relationship.”
Bergman, who was created by Byrne’s underling Judd Bagley, has thus far refused to, or been physically unable to comment. Eisenstadt has thus far been in hiding, reportedly on a “book tour,” and also has yet to comment.
While, this would not be the first time two fictitious people had a sordid affair, it is certainly the most prominent, as it involves two nefarious fictitious subjects.
December 15th, 2009 at 10:55 am
On a personal note, I interviewed with Overstock several years ago (for mid-management position) and in the course of a full day of interviews, I got to speak with Patrick Byrne for about an hour. Now through my 15-year career I got to work with large and small companies, good and awful management, and know a thing or three about my field (marketing related) and boy, was this experience an eye-opener! Anyone going through the process I did would end up shorting these clowns.
The VP or SVP (I don’t recall) I would have been reporting to had NO idea or experience about what she was supposed to be leading. She was a good communicator, young 30’s, and cute but this was a significant department for an online retailer which means this should have been staffed with more than a cutie-pie suck-up for the big boss. There’s no doubt this outfit had no idea what it was doing then and I suspect it has not changed much since.
December 15th, 2009 at 10:59 am
I’ve brought stuff from Overstock some years ago and really felt that it’s a 4th class company in a world of first class companies. I’ve gone back once every 6-8 months or so when I am looking for something specific and I am always amazed that they can stay in business..All these times, I do not know that they are a public company (let alone whatever’s going on with their stock) nor who their CEO is.
It’s really a sad commentary or sign of the times when CEOs spend their time worry more about stock price then improving their companies (I think one of Lucent’s former CEOs was famous for that: Wall Street loved him, except he did not run the company’s business at all).
One the other side, I always remember one of the short interviews (10 questions, 10 answers) Rowan Drilling’s CEO did some 10 years ago (when crude was trading around $10, and the whole oil business was just emerging from a deep slum). The last question to him was what’s he doing or going to do to improve shareholder value. His answer: “As the company’s CEO, my responsibility is to make sure our customers and employees are taken care of, if I do my job, company stock will take care of itself. If any shareholder do not agree with this philosophy, they should sell RDC and buy somebody else. I put my money where my mouth is, every single share of stock I own is RDC, no other companies and nothing else”
December 15th, 2009 at 12:15 pm
BR,
I didn’t catch this post last night, but you were awfully hawkish (a good thing in this context.) Nice to see you when you are out on rampage. As this story develops I wish more and more that I was able to find some shares to borrow years ago when Byrne started to make his accusations about a sith lord orchestrating his failure as a business man (as a follow on, I wish I were trading now so I can short this pos.) I suppose that makes me part of the grand cabal that is attempting to sink OSTK; as we all know the world stops and starts with Patrick Byrne’s every action. By the by, I agree with Transor Z, that spokes model was somkin’.
Regards,
TDL
December 15th, 2009 at 12:28 pm
Douglas Watts -
Re “pigfucker,” my guess is that Barry’s usage can likely be traced to the original, viral South Park cartoon, where either Stan or Kyle says to Cartman, “Dude! You can’t say ‘pigfucker’ in front of Jesus!”
December 15th, 2009 at 12:59 pm
What this clown did was beyond sleazy but it’s a little difficult to boycott something you’ve never used ;) But now I wouldn’t even be tempted.
There’s always the option of having two facebook profiles – one tightly locked down to the public and searches for actual friends & family and one for your more ‘public face’ for readers, clients, etc.
~~~
BR: Thats a good idea
December 15th, 2009 at 2:30 pm
How much damage has this bunch done to Facebook’s hoped for IPO ? As political banter migrates from newspapers to Facebook and other internet site how much damage has Judd Bagley, a ex political aid to the ex Presidents brother and Governor of Fl. , done to that process ? Just about each and every politician in the country have Facebook accounts. Are they them or a impostor ? …Has anyone contacted Facebook and asked if their IPO has been damaged or delayed ?
December 15th, 2009 at 3:12 pm
I know the story here is about a CEO’s outrageous actions against his critics, but the Facebook side story reminded me of a good summary of all of the social networking sites that I saw last week. Excuse the grammar….
Facebook: voyeurism (and exhibitionism)
The real reason why Facebook works is that people can become voyeurs in a legit way. Most of the time, people spend their time on Facebook by clicking around their friends’ friends profiles. People look at pictures, bios and so on. Of course, people chat and comment on each others pictures and videos, but what is really happening on Facebook is that you can get into someone’s life without breaking any privacy law. Basically, this means that every Facebook user implicitly agrees to be the subject of voyeurism. It’s like there is a deal among Facebook users that they can all invade each other’s privacy.
Twitter: spamming (a.k.a marketing)
When someone tweets something, it’s supposed to be about what’s happening because that’s what is written on top of the text box where people write their tweets. But when I read 90% of tweets, I get the impression that product sales, promotions and money making schemes are all that is happening around the world.
Linkedin: spying on competition(a.k.a. benchmarking )
No, Linkedin won’t get you a job especially if you have a lot of connections. Why? because those people you are connected to don’t know you. Why do they add you to their network if they don’t know you? That’s because they wanna get the biggest possible network to see what is happening on the market. This make spying the unofficial function of Linkedin. Just like Facebook where everybody agrees to be an exhibitionist, Linkedin users agree to give away information about their company.
Digg: brainwashing
Ok, a nicer way would be that it’s a bookmark sharing social network. But in reality, it’s a place to brainwash people because popular links produce group effects and simply get more attention than links that are at the bottom. If a lot of people digg a page, it must be because it’s cool, right? Well, not really. Taking a closer look at the top links on Digg, you’ll see that they are all submitted by a small click of around 500 diggers. Basically, if you are not one of those guys, your links will never make it to the first page. As a result, everybody is under the influence of those top digger’s taste which makes brainwashing the unofficial function of Digg.
December 15th, 2009 at 4:05 pm
I have learned that several of the comments here are stooges of DC and OSTK.
Their names, emails and IP addresses have been duly noted; Their comments were sent to the electron recycling facility for refurbishment . . . .
December 15th, 2009 at 5:00 pm
Hey Barry, you stole my (obscure attempt to riff on “MP”) 9:11 comment slot.
It makes me almost not want to tell you readers to go vote for Harry Markopolous as the 2009 Bostonian of the Year. He is currently getting beaten by a dead guy.
http://www.boston.com/bostonglobe/magazine/galleries/2009/1220/BOTYpoll/
December 15th, 2009 at 6:32 pm
It’s because Patrick Byrne thinks it’s all a big Cabal, like all morons who don’t realize that the world is run by Chaos, they have to overthink it they want to be on the “Inside” of the big Conspiracy that even that idiot at Morgan Stanley John Mack thinks it’s going on.
HOW the Hell do these people make it through the day, with out a big shit sandwich full of stupid, I don’t understand.(whatever that means).
Overstock my ass, overpriced is more the thing. I still want to get naked with the girl “all about the O”.
December 15th, 2009 at 8:47 pm
Overstock sucks. Facebook sucks.
Twitter is for well… twits :)
I look at it every now and then looking for signs of anything useful whatsoever and… nothin so far
but I’m keepin an open mind.
December 16th, 2009 at 4:40 am
So i get up out of bed. I get a cup of coffee and i just can’t believe Overstock’s Judd Bagley , a past political operative for the ex Governor of Fl., Jeb Bush , would pretext on Facebook . Facebook and the net was supposed to invigorate participation in our democracy. Facebook was used by his old boss Jeb Bush. Most politicians use Facebook and Twitter and this professional political aid wreck it for all. Phony pictues, phony names . Identity theft. This wasn’t a kid or some college prank. This Overstock is a public company . One of their directors was a attorney with the US Department of Justice. One of their lawyers was with the U.S. Securities and Exchange Commission and i’m supposed to believe they pretext ? Well i had better believe it because they did. And i’m waiting to hear what Facebook has to say. I’m waiting to hear what the SEC and FBI have to say. I am not waiting to hear what the Board of Directors have to say.
December 16th, 2009 at 7:40 am
This is Bagley’s note to my son. This pederast is cyber-stalking children, and he should go to jail. (My son never accepted his request).
December 18th, 2009 at 2:06 am
Two ex Blue Nile executives will challenge Overstock in the 1st quarter of 2010
http://seattletimes.nwsource.com/html/businesstechnology/2010527033_zulily17.html