Motors Liquidation Company (fka MTLQQ)

[eddy2]

Sly the lender of the shares is the company that has a banking deal with the underwriter so the borrower is off the hook once shares are returned that he borrowed and the company is on the hook for the debt but what it does is buy,s the company time and allows them too use there shares as collateral by lending them and having the borrower put up the collateral.


Leveraging is what they call it but there is no bank in the world going to do it unless they can use the depreciation on the loss should things go bad for them and there they have to have revenue or will forced to lend capital back to the company to keep things afloat taking a share position but a company has to be close to making money before they allow this to take place often having every thing end up with the back and insiders who hold stock under another entity under the parent company who went public.


Control is every thing if you can control the revenue you can control the debt payment now a court the feels this is happening will have new people step in or point someone else to take charge even if the ceo holds the majority of the debt but it can take years and years to go through the courts until then government will step in and pick up the tap until the courts get things sorted out.


This is false hope but still hope here.