Elite Pharmaceuticals Inc (ELTP)

[WeeZuhl]

Pure sophistry.

It's been represented penny stocks cant be shorted or shorting penny stocks is cost prohibitive or shorting penny stocks is illegal

Yet, why would companies, such as Elite, insert such anti-shorting language in their purchase agreement with LP if the above is true??

First, LPC is their own broker, eliminating the logistical impediments to shorting a penny stock that retail investors would have. Second, LPC gets millions of free shares which could be used to hedge a short sale, eliminating the extreme risk of shorting a penny stock. Third, LPC gets insider information 3 days ahead of any shares hitting the market, eliminating the uncertainty of when to short. ELTP or any company would be crazy to enter any agreements like this without anti-shorting language. Any true Super Genius would know better.



If I haven't previously mentioned this, nobody is shorting ELTP.