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Diebold: Voting Machine Scam Offers Windfall Profit Opportunity PDF  | Print |  Email
By Agorafinancial Flash Sell alert   
December 17, 2005
(Posted on News from Underground) sent out the following alert on December 14, 2005.

Voting Machine Scam Offers Windfall Profit Opportunity

**Flash Sell Alert**

Back in 2000, the presidential election was decided based on interpretation of hadwritten ballots. Pundits decreed that never again should we depend on a system that allowed "hanging chads," "dimples" and other such flaws.

Instead, we were to use electronic voting machines. The rush was on to adopt these across the country.

It now turns out that America traded the frying pan for the fire.

Diebold Inc. (DBD: NYSE) is ready for sale. We don't own it, but it's so vulnerable that a short-sale is warranted.

While I generally don't recommend short-selling (borrowing shares and then selling them), I can't resist doing this with Diebold.

Why am I making my first-ever short sale in the history of The Emerging Capital Report?
Law Offices Of Charles J. Piven, P.A. Announces Class Action Lawsuit Against Diebold PDF  | Print |  Email
By Market Wire Press Release   
December 17, 2005
Baltimore, MD--(Link to Press Release)--Dec 17, 2005 -- Law Offices Of Charles J. Piven, P.A. today announced that a securities class action was commenced on behalf of shareholders who purchased, converted, exchanged or otherwise acquired the common stock of Diebold Inc. (NYSE:DBD - News) between October 22, 2003 and September 21, 2005, inclusive (the "Class Period").

The case is pending in the United States District Court for the Northern District of Ohio. The action charges that defendants violated federal securities laws by issuing a series of materially false and misleading statements to the market throughout the Class Period, which statements had the effect of artificially inflating the market price of the Company's securities.
New Mexico: Sequoia Edge Voting Machines Do Not Meet Federal Standards PDF  | Print |  Email
Sequoia Voting Systems
By United Voters of New Mexico   
December 16, 2005
Further Investigation Reveals Machine Purchase May Violate State Law

Albuquerque – December 16 - Secretary of State Vigil-Giron is set to purchase hundreds of electronic machines that meet 15-year-old standards, but not the current 2002 standards. The machines proposed for purchase, furthermore, don’t produce a paper record of votes as required by state law. Stephen Fettig, a citizen involved in voting issues, says, “Last winter many citizens worked with many legislators to get the state law as it is written. We are asking that the secretary of state purchase only machines that comply with both state and federal law.”

The National Association of State Election Directors (NASED) is the organization that determines when voting machines meeting federal standards. The 17-page list of NASED qualified machines, dated November 18, 2005 doesn’t list any Sequoia Edge machines as meeting current standards. By “current,” the NASED means standards set in 2002. The list does identify some Sequoia software and firmware that meets the current standards, but no complete Sequoia machines meet the 2002 standards.

Sequoia Edge voting machines have a known history of problems. These machines were the source of vote switching in the 2004 election, where votes were switched from the selected candidate to an opponent. Voting systems using these same machines were responsible for the loss of over 12,000 votes in Bernalillo County, New Mexico in 2002, which may or may not ever have been “recreated” when the vendor took the cartridge back up to it’s headquarter in Denver. These machines also have a history of failing to record Spanish language votes.
Lerach Coughlin Stoia Geller Rudman & Robbins LLP Files Class Action Suit Against Diebold PDF  | Print |  Email
By Business Wire Press Release   
December 16, 2005
San Diego CA (Link to Press Release) Lerach Coughlin Stoia Geller Rudman & Robbins LLP ("Lerach Coughlin") () today announced that a class action has been commenced in the United States District Court for the Northern District of Ohio on behalf of purchasers of Diebold, Incorporated ("Diebold") (NYSE:DBD - News) common stock during the period between October 22, 2003 and September 20, 2005 (the "Class Period").

If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from December 13, 2005. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, William Lerach or Darren Robbins of Lerach Coughlin at 800/449-4900 or 619/231-1058, or via e-mail at If you are a member of this class, you can view a copy of the complaint as filed or join this class action online. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
Schatz & Nobel, P.C. Announces Class Action Lawsuit against Diebold PDF  | Print |  Email
By Primezone Press Release   
December 16, 2005
Hartford, CT (Link to Press Release) -- The law firm of Schatz & Nobel, P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Eastern District of Ohio on behalf of all persons who purchased the common stock of Diebold, Inc. (NYSE:DBD - News) (``Diebold'') between October 22, 2003 and September 20, 2005 (the ``Class Period'').

Schatz & Nobel, P.C. also has substantial experience representing employees who have suffered losses investing in their employer's stock through a company sponsored 401(k) plan. If you bought Diebold stock through the Diebold, Incorporated 401k Savings Plan and have information or would like to learn more about your rights as a plan participant, please contact us.
Chitwood Harley Harnes LLP Files Securities Fraud Suit PDF  | Print |  Email
By Business Wire Press Release   
December 16, 2005
Encourages Purchasers of Diebold common stock from October 22, 2003 Through September 20, 2005 To Explore Legal Options

ATLANTA--(Link to Press Release)--Dec. 16, 2005--Chitwood Harley Harnes LLP announces that it has filed a securities fraud class action complaint in the United States District Court for the Eastern District of Ohio against Diebold, Inc. ("Diebold" or the "Company") (NYSE: DBD - News), Walden W. O'Dell, Eric C. Evans, and Gregory T. Geswein on behalf of purchasers of DBD common stock during the period between October 22, 2003 and September 20, 2005 (the "Class Period"). The civil action number for this case is 5:05CV2912. A copy of the complaint is available from the court and will be posted on our website for the next two months.

Chitwood Harley Harnes LLP encourages investors to explore their legal options in connection with this putative class action proceeding and would be happy to speak with you at no cost or obligation. If you have questions about this case or wish to submit your transaction information to our firm for our evaluation, you may contact us through our website by clicking on Diebold, or by or calling Leslie Glover Toran at 1-888-873-3999, ext. 6829 or emailing . Any member of the class who desires to be appointed lead plaintiff in the class action must file a motion with the Court no later than February 13, 2005 on their own or through counsel of their own choice. Class members must meet certain legal requirements to serve as a lead plaintiff. You may also choose to do nothing and remain an absent class member.
Saber Consulting Management Team PDF  | Print |  Email
By Saber Consulting   
December 16, 2005

Nitin Khanna, President and CEO
Mr. Nitin Khanna is founder, president, and CEO of Saber Consulting. With personal ownership of overall quality and customer service, Mr. Khanna has overseen annual growth of over 40% in both revenue and profit since he started the company in 1997. Mr. Khanna is quite active in the civic community. His work with the Urban League of Portland (as a Board member), Portland Children’s Museum, Salem Area Youth Golf, and other organizations helped him win the “40 under 40 in Portland” award from Oregon Governor John Kitzhaber.

Prior to Saber, Mr.Khanna was employed by Oracle Corporation where he held a number of senior technical positions in both the consulting and training organizations. Mr. Khanna has a Master of Science degree in Industrial Engineering from Purdue University.

Karan Khanna, Chief Operating Officer
Karan Khanna, Chief Operating Officer Mr. Karan Khanna is co-founder and Chief Operating Officer of Saber Consulting. He ensures on-time, on-budget delivery of products to customers, customer satisfaction with Saber services and also provides executive oversight over corporate operational issues. He is heavily involved in overseeing the recruiting, hiring, and performance management of all Saber consultants to ensure both client and employee satisfaction. He manages Saber’s Dynamic Resource Allocation Method™ (DRAM), which ensures that all Saber consultants perfectly meet the client’s needs.

Before founding Saber Consulting, Mr. Khanna co-founded Evergreen PolyProducts Pvt. Ltd. and was an Executive Director responsible for Operations and Quality Control for this polypropylene manufacturing plant. Mr. Khanna has a Bachelor of Commerce from Kurukshetra University in India. He currently lives in Portland, Oregon.

Mohamad Kahlout (PMP), Senior Vice President
Mr. Kahlout is Senior Vice President in charge of executive oversight of the Elections Management practice nationwide. Equipped with his fifteen years of professional hands-on IT experience and successful technology project management, he oversees the execution of client projects, ensuring their adherence to on-time, on-budget and on-scope. In addition to being responsible for client satisfaction with respect to the delivery of Saber’s services, Mr. Kahlout provides technical architecture, application design, and quality assurance services to clients. His expertise includes project management, enterprise data modeling and large system requirements analysis.

Mr. Kahlout has a Bachelor of Science in Electrical Engineering from Qatar University. He is a certified Project Management Professional (PMP) and is currently working on a Master of Business Administration at Marylhurst University in Oregon.

Diebold and Florida Scramble for Cover PDF  | Print |  Email
By Brad Friedman, The Brad Blog   
December 15, 2005
This article appeared in The Brad Blog. It is reposted with permission of the author.

As AP Reports on Devasting Leon County, FL Diebold Voting Machine Hack

PLUS: Only One Class Action Fraud Complaint Has Been Filed Against Diebold So Far, Not Two as Mis-Reported Elsewhere

The Associated Press (AP) has finally taken note of the Leon County, FL hack test. The extraordinary test election which was entirely flipped last Tuesday as reported here previously. In the bargain -- in light of that devasting test, after which the Elections Director of Leon County reportedly vowed to never allow Diebold's machine to be used in another election and has requested funds to replace all of Diebold's voting machines -- and along with the Securities Fraud suit that was filed against Diebold on the same day, Diebold's PR machine has kicked into overdrive. Though their normal spokesman, David Bear, normally in charge of lying about things having to do with their Voting Machines has been notably missing in action, Diebold has been issuing press releases and sending letters in an attempt to counter and distract from the devastating news of late. And the State of Florida is similarly scrambling to find someone else to blame as well.

From AP's report today on the Leon County hack, Diebold goes on the offensive and conjures up the gall to send a letter attempting to place blame for the incident on Ion Sancho, the Elections Director in the county who was wise enough to let the test move forward in hopes of determining if the machines were as vulnerable as many of us have been charging forever...
Maximus: Missouri Clerks Cite Hurdles in Updating Voter Rolls PDF  | Print |  Email
By Susan Redden, Globe Staff Writer   
December 14, 2005
This article appeared in The Joplin Globe.

Federal department suing state over inaccuracies

They acknowledge the problem, but some county clerks in the area are scratching their heads in the wake of a U.S. Department of Justice lawsuit arguing that Missouri must do more to purge voter rolls of the names of people who have died or moved.

The lawsuit, filed Tuesday, alleges voting laws have been violated in Missouri because people who have moved or died may still be eligible to vote because of inaccurate and inflated registration rolls.

"I don't think they're reading their own statutes," said Ron Mosbaugh, Jasper County clerk. "We have to follow federal law when we remove people from the voter rolls."

Gary Youngblood, Barry County clerk, agreed.

"The federal government made the law that you have to keep people on the rolls for so long and jump through hoops to take them off, and with the way the law is written, we err on the side of caution," he said.
Securities Fraud Litigation Filed Against Diebold PDF  | Print |  Email
By Brad Friedman, The Brad Blog   
December 13, 2005
Eight Current and Former Executives Named as Co-Defendants, Including former CEO O'Dell and New CEO Swidarski - Class Action Suit Alleges Fraud, Insider Trading, Manipulation of Stock Prices, Concealment of Known Flaws in Voting Machines and Company Structural Problems

Originally posted at The Brad Blog. Reposted with permission of the author.

The BRAD BLOG can now report that a Securities Fraud Class Action suit has been filed against Diebold, Inc. (stock symbol: DBD) naming eight top executive officers in the company as co-defendants. The suit has been filed by plaintiff Janice Konkol, alleging securities fraud against the North Canton, Ohio-based manufacturer of Voting Systems and ATM machines on behalf of investors who owned shares of Diebold stock and lost money due to an alleged fraudulent scheme by the company and its executives to deceive shareholders during the "class period" of October 22, 2003 through September 21, 2005.

The suit was filed today in U.S. Federal District Court in Ohio and alleges the company "artificially inflated" stock prices through misleading public information designed to conceal the true nature of Diebold's financial and legal situation. The defendants are also alleged to have attempted to disguise well-known and ongoing problems with Diebold's Voting Machine equipment and software. Additionally, the suit alleges insider trading by defendants resulting in proceeds of $2.7 million. Remedies are sought under the Securities Exchange Act of 1934.

The suit, filed by the law firm SCOTT+SCOTT on behalf of Konkol and the plaintiff class, names former Diebold CEO and Chairman, Walden O'Dell as a co-defendant along with seven other current and former officers of the once-venerable company.
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