Pantherj,
No, the proper way for the Company to buyback shares is for the buyer and seller to agree on a price per share and amount of shares, and then for the Company to contact the Transfer Agent, who would then notify the DTCC that a transfer of shares is about to take place. That notification would help insure that the much-valued Deferred Tax Asset is not lost, and that it remains in place.
The current Director of Finance, on the other hand, insists that any shareholder wanting to sell shares back to the Company needs to contact the Transfer Agent and request that their shares be converted to a stock certificate (outdated and expensive), which the shareholder would then sell to the Company.
Unfortunately, the manager of the Reorg Department at TDAmeritrade adamantly disagrees. He KNOWS how it is to be properly done, and thinks that PFSD's suggested transfer method is suspect and illegal. The Reorg manager also suggests that there be a single point of contact for both the Company and shareholders --- a specific broker assigned to the PFSD buyback --- to facilitate easy transfers of money and stock. All buy- back transfers would be handled digitally, like any other stock trade.
I have explained this to the current Director of Finance several times, but to no avail.
The Company cannot buyback shares on the gray market because it bypasses the Transfer Agent and DTCC requirements, but shareholders (or any party not affiliated with PFSD) may legally and freely buy and sell shares on the gray market as they so choose.
Have a good day!
