T M M Inc (TMMI)

[Stewguts]

"What exactly would happen if off side shorts can't cover their positions? I think a trading halt for irregularity and a frozen market."

This is an unlikely scenario as TMMI has a broad base of shareholders and not your typical tightly held shell company that could be prone to manipulation.

"Naked short squeezes are not like legitimate short squeezes."

I disagree with you view on this, I see little difference between the two acts. Whether the initial short position is legitimate or not, should TMMI deliver on a revenue producing product then there will have to be a reconciliation of the offside positions as a normal course of action. It would be hard pressed for regulatory bodies to be seen as overtly protecting what would be in contravention of their own rules with regards to naked shorting (which by the way is legal) as a form of manipulation which is clearly illegal.

p.s. A moron you're not, but I do hope that I have helped some blind mice in the room. ;)