Labor Smart Inc (LTNC)

[Colonel_mustard]

What happens when traders "lock up" or put their shares into cash only account? Read this:

In a short sale transaction, shares are borrowed from the lender by the short seller and sold in the market. The lender of these shares continues to maintain a long position, hoping the shares will go up in value.
If the lender wants to sell the stock, the implications for the short seller will depend on where the shares were borrowed from - generally either from the brokerage firm's inventory or from the margin account of one of the firm's clients. Margin accounts differ from cash accounts in that they allow the firm to use shares held in these accounts in various ways, including lending them for short sales. If the brokerage firm has taken the shares from its client's account, and that client wishes to sell the stock at some point while the short position is being held, the client is able to do so.
This sale by the client who was lending shares will usually have no effect on the short seller, as the firm will either borrow the shares from another firm or use other shares in its own inventory. For example, if Jack has 100 shares that are lent out to the short seller and Jack now wishes to sell the 100 shares, all he has to do is inform his brokerage firm. The firm will then look in its inventory, and if there are 100 shares, the firm will sell them on the market and put the proceeds into Jack's account. The brokerage firm will now be the one that is owed the shares by the short seller, Jill. However, what could hurt Jill is if the brokerage firm decides that it no longer wants to hold its position in the stock and it is unwilling to continue to lend the shares to her. The brokerage firm has the right to call any short seller to return the shares at any point in time. In this case, Jill the short seller will have to return the shares to the brokerage firm by purchasing them on the market, regardless of whether she ends up incurring a loss or a gain.
http://www.investopedia.com/ask/answers/05/lendersellshare.asp
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MORAL TO THE STORY: IF WE ALL TELL OUR BROKERAGES TO MOVE OUR SHARES INTO A CASH ACCOUNT, THAT WILL TAKE SHARES AVAILABLE FOR SHORTING OFF THE MARKET.
Now, there will of course be rebuttals to this post and those will only come from those who: a. Are short. b. Want the stock price to decline. c. Both.