Bounced Checks and “Insider Wrongdoing”

August 17, 2010

HAVING worked through the dotcom boom and bust, I learned what to look for; getting rid of contractors and bounced payroll checks. So I took particular note of a recent post at WGs complaining about a bounced refund check from ShopNBC. According to the customer, the Shop had withdrawn one too many value pays and refunded the ‘extra’ EVP. When he deposited the $21.00 check, it bounced and he was hit with a $25.00.

The poster wanted to know, “What the heck is going on…”

With Q2 results to be announced in just one day, I’m still wondering.

THE battles rage in the world of online horology message boards regarding the value, veracity of claims and quality of the networks biggest brands, Invicta wristwatches. I’ve come to find that these same online debates rage regarding the financial viability of the network itself; a revelation recently revealed by my referrer traffic from Yahoo’s Financial message boards.

There are those who view quarter after quarter of losses as an improvement because each loss is not as great as the last. Over a period of a year or two I might agree; but over ten years? I’m thinking that’s probably not the case.

Those who disagree are treated with disdain and dismissed when presenting the accumulated facts – sound familiar? Both this blog and watchlords.net were accused by the ‘cheeries’, as the financial fanbois are called, of having an “ax to grind” with Jim Skelton, Invicta and ShopNBC. Apparently it’s okay for Jim Skelton and his army of Invictard diehards to creep on your outpost on the Internet, but when you return the favor, somehow, that’s wrong.

The networks current state is best encapsulated in the following comment from the Yahoo financial board:

No cash, poor revenues, compounding losses, increased accruals replacing payables, assigned assets, asset based lending covenant restictions, investor skepticism, shelf registrations, Going Concern filings”
Might the one too many Value Pay refund check be an example of the fiscal troubles? Possibly. Or might the cause of the extra payment and subsequent bounced check be the result of something else I stumbled across; something I never heard mentioned in either Invicta or ShopNBC circles: security breaches.

The New York State Office of Cyber Security has listed 95 various security breaches affecting several companies and occurring between January 1, 2010 and April 12, 2010. The law that requires this reporting is The NYS Information Security Breach and Notification Act. It states that if personal information of a New York state resident is compromised that it must be reported to three state agencies: the NYS Attorney General, the NYS Office of Cyber Security and the Consumer Protection Board. ShopNBC appears on the list twice with apparently five New Yorkers affected by “Insider wrongdoing” reported on March 3, 2010 and again with four additional New Yorkers compromised by “Insider wrongdoing” on March 5, 2010. I would suspect that these breaches were not specific to only New Yorker residents. it’s now August which means that it’s been a little over three months – which is typical of the amount of Value Pays for most Shop items. Might this fourth, mysterious value pay be the result of “Insider Wrongdoing” and the check bounce was due to non-payment instead of ISF? If this guys identity was compromised, would they bother to tell him if his home state of Oregon doesn’t require reporting?

Will the real answer be revealed at 11:00 AM tomorrow?

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6 Responses to “Bounced Checks and “Insider Wrongdoing””

  1. krane11367 Says:

    Better,

    As always, thought-provoking stuff.

    Is there anything about ShopNBC that’s appealing anymore? It’s such a tawdry mess.

  2. Koimaster Says:

    Well written and researched. Good job. I suspect that valuevision is a tax write off for some larger shareholders and might remain that way for awhile.

    What has also been of interest is a recent comment by Jim Skelton aka Corona Gorda aka the knife lord. He claimed to have a multi year contract which Shopnbc does not have. He claims to have purchased two new cars yet at the same time comments his wife is looking at one day in the future purchasing an SUV ( so what second car?) and claims to have gotten a raise. My sources say almost all of this is BS.

    Jim Skelton did not offer to help this guy. Instead he responds to comments on how cool he looks.

    With blogs like this the eyes of many get opened. Keep up the good work,

  3. jr Says:

    Skelton’s always lived on credit going back to the mall days. The 3rd place shopping channel format is a multi-decade bust. Any other genre of channel would do better for NBC/ Comcast

  4. krane11367 Says:

    Better and fans,

    Make sure you check out Watchlords.com – a member there called Geeknomo has presented a bunch of photos of his cracked-open Invicta “Sandstone” dial watch. I’ll let the photos speak for themselves….

  5. LIES ALL LIES! Says:

    It will all be okay, I am sure the next volley of Invicta TTV’s will pull them right out of dire straights…… Oh wait, that’s right. I have been tracking them on Watchlords and let me just say….. “Hahahahahahaha”. If they break 10% sold it’s a good day on an Invicta TTV now.

  6. krane11367 Says:

    Lies,

    Honest companies making good products with service after the sale makes for repeat customers.

    IWG brings “once bitten, twice shy.”

    Only Lalo and his minions are too full of themselves to figure that out.

    The reason that IWG sold in the first place was because it was cheaper – period. But now folks have truly figured out that you get what you pay for.


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