PAIVIS Corp (fka PAVC)

[emulwa]

I do not believe they can short PAIV due to the new rules (see link below). The enormous short interest has already raised a red flag at Nasdaq. Even if they found a leeway, then, I believe that they would increase their losses especially after a 1:200 forward split. There is a Naked short Alert on this stock and I do not believe any broker would dare lend out more shares to be shorted. I would bet you that AT would never do that because of the mounting risk position they could be in at the moment. If the shorts do not have funds or other securities to cover, then the broker will have to do it and take the loss.

On May 2, 2005, the Securities and Exchange Commission (SEC) implemented a pilot program (Pilot) temporarily suspending the “tick” test of SEC Rule 10a-1, the bid test of NASD Rule 3350, and the price test of any securities exchange for short sales in a list of designated securities (Pilot Securities). Please refer to Head Trader Alert #2004-108 for a description of the Pilot Securities and to Head Trader Alert #2005-036 for a description of implementation details related to the Pilot. Please also go to the SEC’s website at www.sec.gov/spotlight/shopilot.htm for more information about the Regulation SHO Pilot.
During the Pilot, there is no short sale price test for sell short orders in Pilot Securities executed in the NASDAQ and Brut execution systems. Market participants that use a proprietary or vendor order management system to execute must ensure that internalized sell short orders in Pilot Orders are executed in accordance with the Pilot.
http://www.nasdaqtrader.com/aspx/regshopilotlist.aspx