This is another post about how ValueWiki’s collaborative due diligence helps expose criminal CEO’s.
In November, ValueWiki was lucky enough to find this article from the Windsor Star in Canada and publish it on our Sulja Bros. Building Supplies, Ltd. (SLJB) page. Sulja Bros had been trading around one cent per share, and soared as high as 21 cents when the company announced several hundred million dollar construction deals in the middle east.
A curious reporter from the Windsor, Canada Star Newspaper decided to check out Sulja’s local offices and interview their CEO, “Black Pete” Vucicevich. The local paper snapped and published this photo.
Apparently, he’s called “Black Pete” because he always wears black. At any rate, the article reported it was unlikely Sulja Bros was closing hundred million dollar deals considering their office was in shambles and had no employees!
Vucicevich fired back at the reporter, issuing a lengthy press release which succeeded in drawing even more attention to the bad publicity. At this time, ValueWiki began publishing the details of SLJB’s repeated delays of audited financials.
The publicity received from the Windsor Star article was enough to draw in the Ontario Securities Commission as well as the SEC, who halted trading on the stock. Look how the price plummets:
SLJB currently trades at 7/10ths of a cent.
How to use ValueWiki
The Windsor Star due diligence is exactly the sort of information Zach and I hope users will publish on ValueWiki. The average investor can’t drive to Windsor, Ontario to check how many employees work at the Sulja Bros main office. This is where the collaborative power of the internet comes in. When thousands of users around the world pool their due diligence on ValueWiki, together we have a better shot of discovering which companies are truly good, and which companies are truly too good to be true.
Maybe there’s a Sulja Bros in your town? What can you do to help shed light on the situation? Do your due diligence and share your findings on ValueWiki. The community is waiting.