- In a blog published on Seeking Alpha last week by Richard Pearson, there were numerous accusations about ProActive Capital Group (PCG) that were inaccurate, misleading and irresponsible.
- Seeking Alpha has updated the article clarifying some of these statements.
- However, we found it necessary (and fitting) to publish all of the facts.
- The article falsely connected us with The Dream Team Group, with whom we have never had a relationship.
- The author also grouped us with other firms, including CSIR, suggesting that we have worked with them in paying writers. We have never had a relationship, directly or indirectly, with any of these firms.
- The author accused us of paying writers to issue positive articles, stories, or blog pieces on behalf of our clients on Seeking Alpha, in a non-compliant manner. Specifically, the author accused us of undisclosed promotions on Inovio Pharmaceuticals (NASDAQ:INO) and Unilife Corp (NASDAQ:UNIS). We have never paid anyone to write promotional articles on these (or any) companies on Seeking Alpha or elsewhere, without full and proper disclosure according to the web site's mandate and in accordance with known regulatory requirements.
- The author published a "contract" in the article with the implication that it is ours, which is demonstrably false, as PCG has no such contract with any party for the services of writing articles on our companies.
We applaud the philosophy of Seeking Alpha in providing a community for credible authors to publish articles in order to encourage discussion and action amongst the investment community. However, these false statements made by the author served as the platform for him to stand on where he was attempting to "investigate" something that never existed at this company. At PCG, we have always conducted our business with integrity and transparency. Our responsibility is to help tell the investment story of each of our clients accurately to the public in a compliant manner. It is not, and has never been, our policy to give incentives to writers to publish promotional stories on any company.