Not exactly accurate as far as I am aware. I have never done stock mailing, but from my discussion with those that have they are usually paid by the company in question based on a percentage of the volume of sales of that companies stock they bring in. They usually don't actually purchase the stock (as the article suggests) only to sell after it has been pumped.
I could be a bit wrong, but I have been informed that this usually means a small company wanting to sell stock has contacts with a middleman broker who than also uses email marketers (with the companies knowledge) to send out mails promoting the stock (though the companies usually try to enforce only the mailing of their positive based press releases and not pure stock pumping). Than the broker may receive 20% of the volume of sales increase bought in by him, and split it between those who he is working with. Usually large mailers team up for stock mailing, and split the money made.
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