Stock Castle’s USA Graphite Inc (OTC:USGT) Goes up on Lower Volume

USA Graphite (OTC:USGT), the current pump job of Stock Castle, recovered some of the losses after getting another option from the mysterious NV Minerals Holdings, Inc. (NV Minerals).

USGT closed up 8.7% at $0.75 on approximately 1.3 million shares. This pump is proving to be extremely resilient and it’s still going, despite all the red flags around USGT.

Those who are new to this pump should know that USGT claims to be acquiring properties from NV Minerals. A company which has no Internet footprint outside the supposed deals with USGT.

What’s perhaps more troubling is the fact that the address of NV minerals is 2368 Second Avenue, San Diego, California 92101. The problem with that, apart from the fact that it looks like a residential area, is that this is the address of Zouvas Law Group, P.C – the legal counsel for USGT.

If we take a look at the 8-K form filed in connection with this latest agreement, we’ll see that USGT is supposed to pay both cash and stock for the option to acquire some property. There’s another problem. According to the latest available financial report of USGT the company had $2 thousand in cash – nowhere near enough to cover the initial cash payment.

The fact that USGT failed to file its quarterly report on time doesn’t’ help its credibility, either.

Those red flags don’t get in the way of the promoters touting USGT. Stock Castle and the other pumper newsletters in the group were also behind the pump of Premier Brands, Inc. (OTC:BRND) in October of last year. The chart speaks for itself.

In one of the latest tout mails Stock Castle ends its pump with “If not now, when?” One possible answer is: when USGT proves it actually has something more than $2 thousand in cash, a load of pump emails and hype press releases.