Buxton Helmsley Issues Letter to EchoStar Directors Regarding Failure to Address Investors Amid Apparent Accounting and Securities Fraud, Apparent Fraudulent Conveyances, and Apparent Breaches of Fiduciary Duty in Connection with DISH Merger
NEW YORK--(BUSINESS WIRE)-- The Buxton Helmsley Group, Inc. (together with certain of its affiliates, “BHG” or “we”), the New York City-based investment fund manager with financial interests in EchoStar Corporation (“EchoStar” or the “Company”) (NASDAQ: SATS), today issued an open letter (the “Letter”) to the Company’s Board of Directors, given their complete failure to address (not even having denied) the serious matters raised in BHG’s January 22, 2024, open letter, which discussed apparent material misstatements of financials (apparent, undisclosed asset value depreciation expenses, in apparent violation of GAAP ASC 350/360 and Regulation S-X), and apparent fraudulent conveyances occurring after the Company was privately notified by BHG (on December 27, 2023) as to findings of evidenced net asset insolvency at DISH Network Corporation.
Despite material declines in the trading values of the Company’s issued securities after BHG’s January 22, 2024, open letter, the Company and its Board of Directors have remained silent, with no public comment, and have provided no indication of an internal investigation being conducted, even after such extensively detailed, evidence-supported allegations of an apparent multibillion-dollar accounting and securities fraud scheme occurring at the Company, for which – as noted – the Company has not denied.
The Letter issued by BHG to the Company today, in addition to the instances of private correspondence leading up to this Letter, may be found at: https://www.buxtonhelmsley.com/sats/
About Buxton Helmsley: The Buxton Helmsley Group, Inc. is a New York City-based investment advisory firm and fund manager, engaging both active and passive investment strategies across a range of asset classes, with a general focus on opportunities in North America and Europe. The investment approach is based on deep fundamental analysis and risk management, with a focus on ensuring disclosure obligations being upheld under applicable accounting standards and securities laws.
Disclosure and Disclaimer:
Disclosure and Disclaimer: This letter (the “Letter”) has been publicly released by The Buxton Helmsley Group, Inc. (“BHG”). BHG is a registered investment advisor in the United States (particularly, registered with the State of New York).
This Letter is for informational purposes only and is not an offer or solicitation to buy or sell any investment product. BHG is also not proposing any particular investment proposal, nor a particular investment decision, nor recommending or suggesting an investment strategy, explicitly or implicitly, concerning EchoStar Corporation or DISH Network Corporation (each, an “Issuer”, and together, the “Issuers”), and therefore the Letter is not information recommending or suggesting an investment strategy or investment recommendation.
Our research expresses our opinions, which we have based on publicly available information, research, inferences, and deductions through our due diligence and analytical processes.
Our research and this Letter include forward-looking statements, estimates, projections, and opinions prepared with respect to, among other things, certain accounting, legal, and regulatory issues each Issuer faces and the potential impact of those issues on its future business, financial condition and results of operations, as well as more generally, the Issuer’s anticipated operating performance, access to capital markets, market conditions, assets, and liabilities. Such statements, estimates, projections and opinions may prove to be substantially inaccurate and are inherently subject to significant risks and uncertainties beyond BHG’s (and its affiliates and related parties) control. No representation is made (or warranty given) as to the accuracy, completeness, achievability, or reasonableness of such statements of opinion.
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BHG, based on the contents of the Letter, believes certain securities of the Issuers are materially overvalued by the open market compared to their true, intrinsic value; that is, in addition to the belief that certain securities of the Issuers are more likely than not worthless. Given those beliefs, at the time of this Letter being publicly released, BHG, its affiliates, and/or related persons (possibly along with or through its members, partners, affiliates, employees, and/or consultants) holds a short interest in securities of the Issuers, whether through direct short sales, options, swaps, over-the-counter derivatives, or any other derivative securities.
BHG, its affiliates and/or related persons, may take additional positions in the Issuers (long and/or short) at a future date, and disclaim any obligation to provide a public notification as to any such transactions, except to the extent required by law.
For U.S. recipients: The Letter is being distributed in the U.S. in compliance with the Investment Advisors Act of 1940. The information in the Letter is intended solely for the use of institutional investors, and may not be used or relied upon by any other person for any purpose. Such information is provided for informational purposes only and does not constitute a solicitation to buy or an offer to sell any securities under any U.S. federal or state securities laws, rules, or regulations. All readers of the Letter should seek competent, independent advice (financial and/or legal advice), prior to transacting in securities of the Issuers.
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Media: Public Relations and Corp. Comm. The Buxton Helmsley Group, Inc. Tel: +1 (212) 561 - 5540, Option 4 press@buxtonhelmsley.com
Source: The Buxton Helmsley Group, Inc.
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