PPS is .0003 for those that had the misfortune of buying this worthless stock pre-split. And with the float essentially ballooning back up to pre-RS levels since then, that's the true value of the shares longs are holding. .0003. A fractional tick away from NTEK's own designated par value, meaning cert holders (not that they can convert now with the new rules and a sub-penny PPS) are holding worthless paper, as any transaction would be essentially meaningless without any pumps to get real volume - as in tens of millions of share type volume.
Heck, I'd imagine even Lisa is pissed she couldn't dump all of her 30 milly in shares before the PPS plummeted and the Broward courts banned any company stock sales.
Oh and FYI:
**LAWSUIT DISCLOSURE REQUIREMENT**
According to federal securities law, publicly owned companies must issue regular financial reports. These reports must disclose pending litigation if the company believes a possibility exists that the litigation will have a material effect on its financial results. Failure to disclose a lawsuit can result in sanctions, fines, suspension of trading in company shares, criminal charges and, of course, yet another lawsuit filed on behalf of the shareholders.
SEC Disclosure Rules
The Securities and Exchange Commission requires all companies listed on public stock exchanges to release regular financial reports. If a company is being sued, SEC Regulation S-K Item 103 may require disclosure of the lawsuit on its Form 10-K annual report as well as the Form 10-Q quarterly report. Disclosure means naming all of the parties to the lawsuit, describing the factual basis and giving the date the suit was filed and the amount of damages the plaintiff is seeking.
Nonrequired Disclosure
The SEC does not require disclosure if a legal claim against a company is a routine event the company experiences in the course of business or if the claim represents less than 10 percent of its assets. If a client claims a small loss of wages due to a faulty product made by General Electric, for example, the amount of relief sought would be far less than 10 percent of the company's net assets and by definition would not have a "material adverse effect" on the company. GE would not need to disclose the lawsuit in its quarterly or annual reports or report the outcome.
Enforcement Actions
The SEC also requires disclosure of any proceedings by government agencies or any action in which an officer or director of the company, or any shareholder with more than 5 percent ownership, is one of the parties suing the company. Failure to disclose litigation can result in an SEC investigation. If SEC investigators find reasonable cause for an enforcement action, the agency will notify company officers involved in the investigation by filing a "Wells notice." The enforcement action may result in a court injunction forcing the company to disclose the lawsuit; the SEC may also levy a civil penalty as a condition of settling the matter. Of course, another outcome is possible -- a finding that the company has not violated the regulation.
