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Re: TooFrank post# 202397

Monday, 03/02/2015 8:52:37 PM

Monday, March 02, 2015 8:52:37 PM

Post# of 370686
The only way to cure a "former" shell status is to have been compliant in reporting without any delinquencies for a period of 12 months. In otherwords, 12 months after a 10-12g becomes effective, the shell status drops. But that is only if it files all its periodic reports on time within the 12 month period.

After the 12 month period, if it becomes delinquent, the shell status reverts back until the company becomes current.

If a selling stockholder sells pursuant to Rule 144 during a delinquent stage, that selling shareholder cannot rely upon the exemption and should refrain from selling. Shareholders and their brokers need to pay attention and adhere to these periods, should they occur.

However, since the issuer has no effective registration, Rule 144 is not applicable to any selling shareholders since the rule was amended in 2008.