Spongetech Delivery Systems, Inc. (fka SPNGQ)

[cowtown jay]

This case remains open for further proceedings, according to the criminal court judge. If the SEC's charges are correct, and if the law is upheld (neither assumption in which I am confident), I would expect these cases to involve naked shorting; the sale of unregistered shares by the recipients; and, at a minimum, negligence on the part of the brokerages who cannot verify the authencity of the shares they sold to us.

Meanwhile, a number of other cases have already been brought, as a result of this investigation. I would hope that we won't see too many more of those, as they just diminish the recovery available to us, and also result in sentences that intentionally fail to reflect the amount of harm caused by the defendants in those cases.